Former White House chief strategist Steve Bannon is considering a defamation lawsuit against President Trump for calling into question his mental health, CNN legal analyst Mark Geragos said Thursday afternoon.

CNN host Brooke Baldwin asked Geragos if Bannon could have a defamation case against Trump in response to how the president handled their falling out this week and declared Bannon had "lost his mind."

"I have it on pretty good authority that he's considering that," Geragos said.

"No kidding?" Baldwin asked.

"Yeah. So when you say somebody has lost their mind or implied they didn't do this or that, that also could be potentially a defamation action, where Bannon has the ability to do it," Geragos answered. "It's got about as much merit, if not more, than the things that they are claiming that Bannon has to cease and desist about."

Trump's attorneys have asked Bannon to cease and desist following his divulging secrets about the Trump family, campaign, and administration to author Michael Wolff.

Geragos also said Trump's threat to sue Bannon if he does not stop talking is likely all talk, no action.

"I think it's more beating of the chest. It's interesting. There is a degree of hypocrisy here. On one hand, the lawyers are arguing in other contexts that Trump should not be in the middle of civil lawsuits. They have business to take care of as president and made that argument in numerous courts, including, I think, Brooke, you and I talked about New York supreme court recently within the last month," Geragos said. "And now here they are telling Bannon if you don't shut up we're going to sue you, which would mean that they are availing themselves of the court which would seem to undercut the argument they made just last year."