Defamation of Character Arising from Business Relations
Defamation of character is a tort that is concerned with protecting the reputations of individuals or corporations. That is the thrust of the Canadian approach to defamation – the issue the courts consider is whether the statement is injurious to one’s reputation. For it to be properly injurious it must not only allege circumstances that harm one’s reputation it must be made in such a manner that reasonable individuals might believe it.
Where such defamation arises from business relations the resulting injury may have severe negative effects on the profitability of a business. Furthermore, there may be defences available due to the confidential nature of the work or other circumstances surrounding the utterance that may prevent a finding of defamation.