With consumers increasingly relying on on-line reviews about products or services in making purchase decisions, “one star”, “negative” or “fake” reviews can result in serious harm, reputational damage and loss of business. A recent court decision shows how posting a “one star” Google review can be a very costly exercise for reviewers, particularly where the review is defamatory and false or fake. Businesses and individuals subjected to “one star” reviews, can take legal action.
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The additional requirement to establish “serious harm” in a defamation action was part of the reforms to Australian defamation law which came into effect on 1 July 2021. They were enacted to encourage defamation claims not involving “serious harm” to be resolved without court action. This update provides a review of recent Australian defamation cases where the courts have considered whether the “serious harm” requirement has been established and provides useful guidance on factors that the court will consider in determining “serious harm”.
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Courts are continuing to award significant damages for on-line defamatory publications. In this update, Stephens Lawyers & Consultants reviews the damages awards in defamation cases during the period 5 August 2023 to 30 June 2024 involving on-line publications, and provides guidance on damages awards and the factors taken into account by Courts in awarding damages.
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Recent awards of damages by courts for online defamation continue to serve as a warning to reviewers, bloggers, influencers and business competitors that care should be taken to ensure that the content posted online is factually correct and not defamatory. A Gold Coast cosmetic surgeon was recently awarded $420,000 in damages for false reviews made by a business competitor.
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Recent cases show that interlocutory injunctions can be successfully applied for to remove defamatory material and to restrain an injurious falsehood.
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