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Sky's the limit for Scots libel awards

23rd June 2005, The Scotsman


THERE are many fine things to come out of Ireland - Brian O'Driscoll, The Corrs and a good pint of Guinness, for example - but a letter from a firm of solicitors in Ireland threatening libel action, well that is about as welcome as a Scot in the Lions Test team.


You see, libel awards in Ireland are out of control. The awards are similar to the position that existed in England, before the English Courts realised that the awards that juries were granting were completely disproportionate to the damage done to the reputation of the individual libelled. As a result of this, a new regime was introduced whereby juries were given direction by the trial judge to compare the award with awards made in personal injury cases. For example, if an individual lost a leg in a road traffic accident, would it be the same as a newspaper wrongly accusing him of being a rapist? Consequently, in England, the largest likely pay out for injury to feelings would now probably be around the £250,000 mark.
In an attempt to bring English reasoning to Ireland, Independent News and Media, the publishers of the Sunday Independent in Ireland, challenged through the European Courts a jury award of £300,000. The newspaper had published a story, which claimed that a politician, Mr de Rossa, had been involved in or tolerated serious crime and had supported anti-Semitism and violent communist oppression. The European Court was having none of it. They held that there had been no violation of the newspaper's rights to freedom of expression as a result of the high jury award. Since Irish law required the jury awards in libel cases to be proportionate and because the Trial Judge's directions to the jury on the issue of damages was adequate then that was sufficient in law.


The BBC tried a similar approach back in 2000. There a trial judge awarded total damages of £178,000 against the BBC following a story concerning allegations of bad practises at a Carluke nursing home. The Court of Appeal held that they did not find comparisons with personal injury awards particularly helpful or useful, since every case of defamation was unique in relation to both the content of the slander and its effect upon the victims.
In fact, if anything the Court held that the awards in personal injury cases were, in fact, too low. Scottish judges, in fact, adopt what has been referred to as a "broad brush" approach when it comes to assessing damages in relation to libel actions.


So where does this leave us? It may well mean the English courts, by introducing their personal injury comparisons, have shot themselves in the foot. The days of the awards of ridiculously high damages in England are gone. That may not be the case in Ireland and in Scotland. With the prospect of larger awards in Scotland, perhaps Scottish courts will get an influx of libel cases.