The idea of your technique is good, but I think you've left out important details and it has affected your analysis. Gawker was bankrupted not by the actual costs of defending themselves, but by the cost of a judgement against them.

If your assumptions are that Bollea's was a legitimate victim of Gawker's actions, and that we would need to protect the EFF from a similar outcome, it seems to be that what you're saying is that we need to prevent victims from winning court cases because the perpetrators who harmed them might be otherwise good people.