I would file a lawsuit (I'm sure there are more than one legal claim that can be brought against NYT in this situation), and the "settlement" should be a public

I would file a lawsuit (I'm sure there are more than one legal claim that can be brought against NYT in this situation), and the "settlement" should be a public retraction and apology from NYT (and the author and chain of editors) plus significant financial damage to attempt to make up for the job and professional cost to the claimant.