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CONDOCENTRIC: CASELAW UPDATE - Libel and Slander
"A good reputation is closely related to the innate worthiness and dignity of an individual…" Hill v. Church of Scientology of Toronto [1995] S.C.J. No. 64
In this edition’s Case Update, we have decided to highlight certain cases which focus on the issue of libel and slander. Libel refers to defamatory words in a newspaper or in a broadcast. Slander refers to a defamatory statement (words spoken) intended to injure the reputation of another. A statement is defamatory if it tends to lower the estimation of a person in the eyes of a reasonable person.
Marika Property Management Inc. v. Cappuccitti (1997): Marika Property Management Inc. ("Marika") successfully sued Cappuccitti for libel based on publications in the form of a newsletter, which contained material and information that defamed Marika. In this case, the court found, among other things, that the Cappuccitti had persisted in publishing defamatory materials; had verbally expressed animosity and malice towards the proprietor of Marika; and had caused the newsletter to be distributed to unit owners of another condominium corporation; Cappuccitti’s actions were the cause for inquiry by ACMO and the premature termination of a condominium management contract of Marika, causing loss of income. The court awarded general damages in the amount of $65,000.00 and aggravated damages in the amount of $20,000.00. (Note: Cappuccitti was noted in default.)
Bird v. York Condominium Corp. No. 340 and Andrew Petroff (2002): Bird, a former director, sued YCC 340 and the President of the Board, alleging defamation in slander and libel based, respectively, on the statements of the President and the posting of minutes by the Board. In dismissing the plaintiff’s action for defamation in libel, the court found that the content of the minutes posted, which outlined terms of settlement with Bird, were found to be true and that the posting of the minutes was not malicious and not made for any sinister motive. The posting was made to "…communicate on going business issues and legal issues of interest to members of the condominium corporation." In dismissing the claim of slander, the court found that the words spoken were not defamatory but that even if they were, the circumstances permitted reliance on the defence of qualified privilege and fair comment. Qualified privilege, generally arises where the information communicated is reasonably appropriate in the context of the circumstances existing on the occasion. For example, the person who makes the communication has an interest or a duty, legal, social or moral, to make it to the person to whom it is made and the person to whom it is made has an interest or duty to receive it. The defence of fair comment protects expressions of opinion made in good faith on facts that are truthful and concern a matter of public interest.
Bahlieda v. Santa (2003): This non-condominium decision considers the claim of libel in the 21st century. Part of the issue addressed by the court was whether material placed on a website and made available through the internet is "broadcast" for the purposes of the Libel and Slander Act (Ontario) (the "Act"), thereby attracting higher levels of damages. The court found that the purpose of the broadcasting definition in the Act was to single out information, which is transmitted to mass audiences, where maximum harm to reputation can be done. The court concluded that placing material on the internet, via a website, where it may be accessed by a large audience, constitutes broadcasting within the meaning of the Act. With the growth in condominium corporation websites, it is critical that condominium corporations review, assess and vet the content placed on their websites to avoid unwanted defamation claims.
Directors, property managers and unit owners must be cautious and prudent in respect of pursuing matters which may put someone’s reputation at risk.
From “Common Elements” Spring 2003
All of the information contained in this article is of a general nature for informational purposes only, and is not intended to represent the definitive opinion of the firm of Elia Associates on any particular matter. Although every effort is made to ensure that the information contained in this newsletter is accurate and up-to-date, the reader should not act upon it without obtaining appropriate professional advice and assistance.
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