Friday, 17 August 2012

Make no Bones about it; Online Defamation against Businesses is on the Increase.


Has your business recently stopped growing? Are you being shunned by previously valuable commercial contacts? This is what was happening to a client that we recently acted for. A successful entrepreneur who saw the business that he had worked hard to create for the past 10 years, brought to its knees within six weeks due to an anonymous online blog, ranking first on Google  whenever his name was searched.  

Celebrities are always in the media and lately, we hear a lot about them being defamed online and in the newspapers.  The potential effect of this defamation to their line of work is huge – but with the assistance of their media and PR teams, more often than not, they survive this attack on their public reputation.  Being in the public eye, receiving both good and bad publicity goes with the territory.

However, current trends show that it is not celebrities and those in the public eye that are the main victims of online defamation.  Businesses and entrepreneurs have taken the top spot and the effect on them has been devastating. This particular client was a successful entrepreneur, having worked hard to build the success of various businesses for 10 years, on an international scale. However, when he lost out on a particularly lucrative contract in Africa, things simply started to tumble and he could not understand why. He began losing more and more contracts: his usually reliable contacts where shunning him, which put the viability of his business in serious jeopardy.

The reason for this? An online blog posted by an anonymous user on a Google platform, claiming that my client was a con-artist and a fraudster, running complex scams: allegations that were posted without any evidence as to their truth. Having always done business in the old fashioned way, my client never thought such things were possible, and never thought to even ‘Google’ his name. He found out about this blog, because he pushed and pushed for his African contact to explain to him why his lucrative deal had not gone through. The blog was eventually revealed to him and he was dumbfounded. He ‘Googled’ his name and found this offending blog as the top THREE results on Google.  He was completely confused, upset and angry that someone would want to attack him in this way. Feelings of frustration soon followed, when he could not discover who was behind the blog. He even went as far as personally attending Google’s UK offices in an attempt to beg them to help, which they could not do as they have nothing to do with the search engines and Google websites.

He found us, and we resolved what can only really be described as a desperate issue for him.  His business was literally at crisis point. We immediately used our network of contacts within Google to action the removal of the offending blog. We then attacked the veil of anonymity which the anonymous blogger was hiding behind. We did this by obtaining a Norwich Pharmacal Order from the High Court in London, which we then served on Google in the United States. Google provided us with information concerning the user account of the anonymous blog. Google, to its credit, has a robust signing up processes, which generally prevents accounts being set up via fake email accounts. In this particular case the ‘smoking gun’ came from the secondary email address registered by the anonymous user on Google. The secondary email address is used by Google in cases where a user forgets their password i.e. a new password is emailed to you at the secondary email address. The anonymous blogger was not as clever as he thought, as the secondary email address had his full name and work contact details attached. From there, all we had to do was track him down.

Our client already felt empowered, as he had successfully identified the person who had tried to destroy his business and crush his entrepreneurial spirit. This person was in fact an ex-employee of his.
However, our client did not stop at this. He wanted his reputation recovered and he wanted justice. We formally instigated libel proceeding in the High Court against the ex-employee. These proceedings resulted in the ex-employee being ordered to pay substantial sums in compensation for libel to our client for the damage he had caused to the reputation of our client and his businesses. He was also ordered to make a public apology stating unequivocally that the allegations he had made in the blog were untrue, and undertaking that he would not make such allegations again in the future. Our client had succeeded in obtaining justice and reviving his reputation. His business is now firmly back on the way up, his colleagues and contacts flooding back in their droves.

This type of behaviour is happening more and more and is generally perpetrated by people close to home (or business). In our specialist Internet Law Department here at Bains Cohen, we are seeing that more and more businesses are being targeted by ex-employees, disgruntled customers or ruthless competitors seeking an ‘edge ‘in the market, utilising mainly anonymous blogs and anonymous posts online.

Our advice - DO NOT BURY YOUR HEAD IN THE SAND HOPING IT WILL GO AWAY… IT WON’T.

Those who run businesses are used to making tough and uncompromising decisions. Do not let issues of online defamation obstruct your decision making. For each day that you delay taking action, the more damage is done to your company’s reputation.  We can help, but you need to first contact us and make yourself known. This is the first and hardest step to fighting back against the online defamation against your business.

John Spyrou
Head of Media and Internet Law
Bains Cohen Solicitors LLP

p.s. watch this space where I will be writing further articles, specifically on the above client, using real life names, legal procedures and tactics under the title ‘The Power of the NPO’

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