Wilson and her husband, former Ambassador Joseph Wilson, sued Cheney for allegedly orchestrating the leaking of her identity as a CIA agent. They claimed the leak was retaliation for Joseph Wilson's public attacks on the justification for the invasion of Iraq.
In a 41-page opinion, U.S. District Judge John Bates suggested that the Wilsons hold the moral high ground, CNN reported. He said that if the Wilsons' claims are true, Cheney and other top Bush administration officials committed "highly unsavory" acts.
But Bates also found that federal laws protect top executive branch employees from lawsuits for actions involving their official duties.
Melanie Sloan, a lawyer for Wilson, said she always believed that the case would be decided in a higher court. She added that the Wilsons "intend to pursue this case vigorously."