Appeals court dismisses Dan Rather's suit vs. CBS

Television journalist Dan Rather addresses his views on the state of television news on the FOX News Channel show ''Your World'' with David Asman (L) in New York June 12, 2007.

NEW YORK (Reuters) - A New York state appeals court on Tuesday dismissed former TV newsman Dan Rather's lawsuit against CBS Corp in which Rather claimed he was made a scapegoat in a scandal over a 2004 report on then-President George W. Bush's military record.

The ruling on Tuesday by a panel of judges of the New York State Supreme Court Appellate Division said Rather's $70 million complaint should be dismissed in its entirety and that a lower court erred in denying CBS's motion to throw out the lawsuit.

Rather says CBS breached his contract by not giving him enough on-air assignments after he was removed as anchor of the "CBS Evening News" in March 2005.

The appeals court ruled he failed to sufficiently support his claim that he lost business opportunities due to CBS's failure to release him to seek other employment.

Rather sued CBS, parent of the CBS television network, Viacom and others in September 2007, claiming he had been made a scapegoat to "pacify the White House." CBS was part of Viacom until the companies split in 2006.

(Reporting by Edith Honan; Editing by Daniel Trotta and David Storey)