John Fairfax & Sons Ltd v Cojuangco

John Fairfax & Sons Ltd and Anor v Cojuangco [1988] HCA 24 concerned a defamation action brought by Mr Cojuangco against the publishers of the Sydney Morning Herald. The dispute arose from a newspaper article published by John Fairfax & Sons Ltd which Mr Cojuangco alleged was defamatory of him. The High Court of Australia was required to determine whether the newspaper article was defamatory and, if so, whether the defence of qualified privilege was available to the publishers.

The central legal issues before the High Court were: (1) whether the imputation that Mr Cojuangco had acted dishonestly in relation to a business transaction was established by the newspaper article; and (2) whether the defence of qualified privilege, which requires a legal, social or moral duty to publish and an interest in receiving the information, could be successfully invoked by the publishers. The court also considered the extent to which a defendant in a defamation action can rely on a defence of qualified privilege when the publication is made to a wide and indiscriminate audience.

The High Court, by majority, found that the article was capable of bearing a defamatory meaning and that the imputation of dishonesty was open to be found by a jury. Regarding qualified privilege, the majority held that while there might be a moral or social duty to inform the public about matters of public interest, the publication of the article to the general readership of the newspaper was too wide to attract the protection of qualified privilege in this instance. The court emphasised that the privilege is defeated if the publication exceeds the limits of the duty or interest.

The High Court allowed the appeal in part, setting aside the jury's verdict and ordering a new trial on the issue of damages. The court confirmed that the question of whether the article was defamatory and the availability of qualified privilege were matters for the jury to determine, subject to the legal principles as clarified by the High Court.