Of Outhouses, and the Freedom of the Press

Date01 April 1988
AuthorClayton Trotter
Published date01 April 1988
DOI10.1177/0032258X8806100208
Subject MatterArticle
CLAYTON
TROTTER
Asst.Professor
of
Business Law,
Texas
Tech.
University.
OF OUTHOUSES, AND THE
FREEDOM OF THE PRESS
Thevalueof a goodreputationinthecommunityforbusinesspurposeshas
been recognized for thousandsof years. Solomon once wrote:"A good
nameis rather tobechosen thangreatriches,andloving favour,rather than
silverand gold."! The recentfall of a prominentPresidentialcandidatedue
to revelationsof hisprivate life underscoresthe value of a goodname. In
fact, in politics a good name or name recognition may be the most
important asset a politicianpossesses.
The term "business libel" can be somewhat of a misnomer in most
jurisdictions, because a business (i.e. an inanimate object) cannot bi'
libelled; only the owner of a business (i.e.an individual)can be libelled."
Alibel may tend toinjurethe ownerfinanciallythrougha lossorreduction
in business, but the recovery will be for the defamation of the owner's
reputation.' Apparent!y,thisisnotthecaseinall jurisdictions,"However,
anydiscussionofthestatusofbusinesslibelrequiresanexaminationof the
law of libel as
it
pertains to individuals.
The definition of a libel in one state statute reads:
A libelis a defamation expressedin printingor writing, or by signsand
pictures, or drawings tending to blacken the memory of the dead, or
tendingto injure the reputationof one whois alive, and therebyexpose
him to public hatred, contempt or ridicule, or financial injury, or to
impeachthe honesty, integrity,or virtue,or reputation of anyone, or to
publish the natural defectsof anyone and thereby expose such person
to public hatred, ridicule,
~rfinancial
injury.s
The type of remarks which are defamatory when directed toward a
person's businessdependdirect!yupon thescopeof dutiesto beperformed.
Any remark which tends to impeach a person's skill, knowledge, or
professionalconduct in connexion with his or her business or profession,
whichwould make that personunfit in the eyesof his customers orclients
1. Holy Bible; King James Version, 1611, Proverbs 21:23.
2. Newspapers, Inc. v. Matthews, 339 S.W.2d 890, 893.
3. Ibid.
4. Dun &Bradstreet, Inc. v. Greenmoss Builders, Inc., 105 S. Ct. 2939, 472 U.S. 749.
Vermont apparently allows recovery for defamation to a business.
5. Vernon's Annotated Texas Statutes, Article 5430.
121
April 1989

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