Defeated GOP nominee Elijah Norton to sue Kimberly Yee over 'despicable' smear

PHOENIX - Just one day after conceding the race for Arizona State Treasurer to Democrat Nick Mansour, Republican nominee Elijah Norton is preparing a multi-million-dollar defamation lawsuit against outgoing Republican Treasurer Kimberly Yee.

What we know:

Norton alleges that Yee orchestrated a vicious whisper campaign falsely accusing him of having a "boyfriend that wears a dress" and having an affair with his married male assistant. Norton contends Yee weaponized the rumors to recruit primary opponents against him, ultimately forcing him to spend $2 million of his own money to win the GOP nomination and funneling away funds that he claims sabotaged his general election campaign and damaged Republicans statewide.

Norton detailed the impending litigation in an interview with FOX 10, confirming that the complaint will be filed next week against Yee, primary rival Katherine Haley, and Haley's political consultants, Kim Owens and Lisa James.

Norton: 'Kimberly Yee is a selfish, terrible person'

What they're saying:

"The foundation of her allegations is, she said that I was gay and had a boyfriend that wore a dress, and also told a former U.S. ambassador that I was having an affair with my personal assistant who worked for that U.S. ambassador, and that person actually is married with children," Norton said. "She decided to lie and engage in this terrible, horrible smear campaign against me."

Norton said the feud began after he entered the treasurer race and openly criticized Yee’s fiscal stewardship, citing "subpar returns on our state agency investment pools and our local government investment pools, which are like 3.6%" and a $68 million state audit. Rather than answering questions about the office's record, Norton alleges Yee tried to recruit four candidates against him before Haley entered the contest.

"It cost $2 million. I mean, that campaign, the primary, cost $2 million. I funded a lot of that campaign," Norton said. "Part of the reason Republicans underperformed in Arizona is because Kimberly Yee is a selfish, terrible person, and she did this, ran this smear campaign, and it caused me to have to divert funds that could have gone to helping Republicans get elected to running a primary against someone that was totally unqualified to be state treasurer".

Norton said his team obtained video evidence of signature collectors circulating the rumors in the field. In contrast to his battle with Yee, Norton struck a conciliatory tone toward Mansour, saying he called the newly elected treasurer to offer congratulations and buy him a drink after an "above the belt" race.

What we don't know:

Yee has not addressed the allegations publicly and has not responded to FOX 10's requests for comment. While Norton said that several prominent Republicans and a former U.S. ambassador will testify on his behalf, he has not named them, and the video and audio evidence he referenced have not been released publicly ahead of the formal filing.

Not his first rodeo

The backstory:

The legal showdown marks familiar territory for Norton, the founder of vehicle warranty company CarGuard, who waged a similar legal fight following his 2022 primary defeat to U.S. Rep. David Schweikert in Arizona’s 1st Congressional District.

In that 31-page defamation lawsuit filed in Maricopa County Superior Court, Norton accused Schweikert and his consultants of running an anonymous Twitter account that used lipstick, high heels and a peach emoji to falsely imply Norton was in a sadomasochistic gay relationship. At the time, Norton's attorney Dennis Wilenchik argued the smear was "abuse to anybody," while Schweikert consultant Chris Baker blasted Norton as a "two-bit litigant" who "can't take a punch."

Norton noted that Schweikert ultimately settled the case, but insisted Yee will not get the same resolution.

"I did this in 2022. David Schweikert accused one of my really good friends of engaging in a vulgar sex act, and I sued him and he wrote me a check," Norton said. "Politicians should be running on issues. We should be running on policies. We should be running on our records. We should not be talking about people's sex lives. This is wrong. It's despicable. This time I will not be settling — it will go to trial and she will lose."

What's next:

Norton confirmed the lawsuit will be docketed in Maricopa County next week.

While Norton stated he is stepping away from seeking elective office to return to private business, he warned Yee that any future political campaign of hers will face his direct opposition.

"I told her in a text message that if she ever decides to try to run, I don't care if she runs for school board, I will oppose her campaign," Norton said. "I will contribute whatever resources are necessary to expose her record to the people so she never, ever is elected to office anywhere, ever again."

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