A good reputation is important for any business to thrive. When a business it is injured then the business may suffer as a result of loss of customer loyalty. Businesses ought therefore to protect their reputation as much as possible. Loss of reputation can lead to massive financial losses and can even be fatal to the business.
Loss of reputation can be caused by negative statements about the business which may be truthful or false. A business should take all measures to guard against loss of reputation caused by its own failures.
Likewise, a business should also take measures to guard against loss of reputation caused by false statements made by clients, competitors or other third parties. The law against defamation would give an injured business some sort of reprieve for any financial losses suffered as a result of false statements.
Take an example where a competitor out to tarnish your name, publishes some false information about your goods or services. Some businesses resort to unfair trade practises to beat competition. Such practices could include untrue and damaging statements that would lead to financial losses.
Another example could be through false reviews by a customer or potential client. In this era of social media defamation has been on the increase. It can take place on platforms like Facebook and WhatsApp. This can be very injurious to your reputation.
Defamation is a false statement made against a business or an individual that unfairly harms their reputation. Defamation is actionable in that one can file a suit and recover damages successfully if the suit meets the threshold.
Workplace defamation has also been on the increase. Work place defamation can be very injurious to one’s professional reputation and in some instances can even lead to an employee being unfairly terminated. Work place defamation can occur between co-workers, the employer against the employee or the employee against the employer.
Take an example of “work place politics”, where a malicious co-worker communicates false statements to your boss with the intent of injuring your character. In the event you are terminated or disciplinary action is taken against you, did you know you can recover damages against your malicious co-worker?
Some employers give false reviews against former staff when asked for a reference. This is also actionable by the former staff if such statements were false.
For a defamation case, whether business or workplace, to succeed then it must be established that the statements were false. It must also be shown that those false statements were shared to a third party. This is why it is crucial to retain copies of the platform on which the defamation was made. For example if it was made on social media, it is good to keep screenshots.
There are several defences to a defamation case. These include the defence of truth which is an absolute defence. In this defence, it doesn’t matter if the statement made was injurious. As long as it was true then the defence of defamation is upheld.
Other defences include fair comment. Under the defence of fair comment, a defendant is allowed to give what they honestly believe to be their opinion.
The main remedy for a defamation case is payment of damages.
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