Defamation against a company can cause the company damage which is in excess to the damage which normally follows defamation against an individual.

Some people argue that because companies do not have feelings, defamation against a company should be treated by the court more lenient than defamation against an individual when it comes to awarding damages for defamation.

But what if defamation against a company brings the company share price down? Would the court take into consideration the feelings of the shareholders who lost money as a consequence of the defamation against the company?

Probably not because the company is a distinct legal entity the court will consider the feelings of the shareholders as irrelevant to any legal action which is brought by the company.

The Internet Law Centre gives free impartial advice to online defamation.