The respondent, a lawyer, was defamed by the appellants who published documents falsely alleging he had misappropriated funds intended for a community organization.
The Supreme Court of Canada upheld the trial judge's finding that the publications were defamatory and that the appellants were jointly and severally liable as joint tortfeasors.
The Court rejected the defence of qualified privilege, finding that the appellants had exceeded the limits of the occasion and were motivated by express malice.
The Court restored the trial judge's award of $140,000 in compensatory damages and $325,000 in special damages for loss of business, as well as the award of prejudgment interest for 12.5 years.
