It doesn’t matter whether she can win or not. No one knows better than Gov. Palin how much just fighting a lawsuit meritless or not, can cost. This blogger has been picked up by multiple mainstream media including the WaPo and MSNBC — also listed in her lawsuit threat — and is one of the main people filing frivolous and subsequently dismissed ethics complaints against her, making her at least an enormous headache.

I imagine Palin sees this as a win-win-win: either the blogger will cease and remove a large part of her liberal attack dog problem — or Palin will win a lawsuit and, ditto, get rid of a large part of the problem in the judgment — or Palin will lose (with her legal fund covering her costs), costing said blogger a tidy chunk of change and a huge headache to boot, and probably still getting rid of the problem (because no one wants to keep facing lawsuits like this).