Katarina Klaric, Principal, Stephens Lawyers & Consultants

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.  Posting a “one star” review can be a very costly exercise for the reviewer, particularly where the review is defamatory and false or fake.

In the recent court decision, Saxena v Singh & Ors[i], “one star” negative reviews on the Google My Business page of a general practitioner by his patient and family members, resulted in the doctor taking defamation action against them.  The court found that the patient’s review conveyed the defamatory imputations:-

“The ordinary reasonable reader would understand that it was being alleged that the plaintiff, was the type of doctor who treats his patients incompetently and was therefore an incompetent doctor”[ii].

The court ordered the patient to pay $30,000.00 in damages to the doctor[iii].

In addition, the patient’s wife, and her brother who posted the second negative “one star” defamatory review about the doctor, were ordered to pay the doctor $40,000.00 in damages[iv]. The court found that their “one star” review conveyed the defamatory imputation:-

“the ordinary reasonable reader would understand that it was being alleged that the plaintiff was the type of doctor who did not listen to his patients and did not treat them with any empathy or compassion and was therefore devoid of empathy and compassion towards his patients.[v]

Given that the court hearing took 7 days, the costs that the defendants will have to pay to the doctor will be significant.

What can businesses do about “one star” reviews?

Businesses or individuals that are faced with “one star” reviews, can minimise the impact of these reviews and resulting reputational damage and serious harm, where the reviews are defamatory, false or fake, by taking immediate action. Some of the steps that can be taken include:

  1. Confirming that the review is defamatory, false or fake;
  2. Contacting the reviewer, if known and requesting removal of the “one star” review immediately;
  3. Requesting Google or other social media platforms to remove the review;
  4. If the identity of the reviewer is not known, engaging the appropriate forensic IT expert to ascertain the reviewer’s identity or obtaining court orders for discovery of the reviewer’s identity;
  5. Taking legal action for defamation or injurious falsehood.

Where the “one star” review is defamatory, false or fake, a legal letter known as a Concerns Notice under the Defamation Act, can be sent to the offending party seeking removal of the review, a retraction and apology, and compensation for loss and damage. Failure to comply with a Concerns Notice may result in court proceedings being commenced against the offending party for defamation claiming compensation for loss and damage suffered.

Individuals seeking to hide their identity by making anonymous posts and using fake names when posting defamatory on-line reviews are at risk of being identified by the use of IT forensic/cyber experts or pre-trial discovery from social media companies and/or telecommunications companies.


Disclaimer: This legal update is not intended to be a substitute for obtaining legal advice.

© Stephens Lawyers & Consultants. 11 August, 2024;  Authored by Katarina Klaric, Principal, Stephens Lawyers & Consultants.

For further information contact:

Katarina Klaric

Principal

Stephens Lawyers & Consultants

Melbourne Head Office

Suite 205, 546 Collins Street, Melbourne VIC 3000

Phone: (03) 8636 9100   

Sydney Office

Level 29, Chifley Tower, 2 Chifley Square, Sydney, N.S.W. 2000
Phone: (02) 9238 8028

Email: [email protected]

Website: www.stephens.com.au

All Correspondence to:

PO Box 16010
Collins Street West
Melbourne VIC 8007

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[i] Saxena v Singh and Ors [2024] VCC 2

[ii] Ibid, [263]

[iii] Ibid, [473]

[iv] Ibid, [268],[474]

[v] Ibid. [268]