When a newspaper criticizes a commercial entity such as a business, the business must be able to prove negligence to recover damages for a defamatory falsehood.

Question

Quizplus · Accepted Answer

In order to recover damages for a defamatory falsehood, a business must prove not only negligence but also actual malice on the part of the newspaper, meaning the newspaper acted with knowledge of falsity or reckless disregard for the truth. This high standard is established by the U.S. Supreme Court case New York Times Co. v. Sullivan.

When a Newspaper Criticizes a Commercial Entity Such as a Business