Honestly, "actual malice" part probably the thing both parties here agree on existing. It's a series of diss tracks, they're inherently malicious.

You're just allowed to be maliciously right about things, if you like.

"Actual malice" is confusingly not about if the defendant was acting maliciously. It is specific legal jargon meaning that the defendant knowingly or with reckless disregard for the truth made the false statements.