UK To Weaken Libel Lawsuits By Rich Against Journalists

(March 17, 2022, 1:08 PM GMT) -- The government outlined plans on Thursday to blunt libel lawsuits designed to intimidate journalists from scrutinizing the affairs of the rich and powerful in England by capping the high cost of litigation. 

The measures are designed to clamp down on "spurious" lawsuits and were unveiled after Financial Times investigative journalist Tom Burgis beat a libel case over his book about dirty money. (Christopher Crosby | Law360)

Ministers are backing reforms to overhaul defamation law by making it less costly and easier for journalists to defend themselves against "spurious" lawsuits solely designed to stifle criticism. 

Justice Secretary Dominic Raab is due to announce proposals for clamping down on so-called strategic lawsuits against public participation, or SLAPPS. Such lawsuits are typically aimed at deterring investigations into the wealthy and powerful by saddling publications and authors with years of expensive litigation.

The issue has come to the forefront amid widespread criticism that Russian oligarchs and other individuals were using the U.K. judicial system to prevent legitimate reporting. In one high-profile case, Chelsea FC owner Roman Abramovich — a Russian who is under sanction by the British government — had fought a High Court case over his alleged ties to Vladimir Putin.

"The government will not tolerate Russian oligarchs and other corrupt elites abusing British courts to muzzle those who shine a light on their wrongdoing," Raab said as he announced a consultation that will take evidence on how the government can change libel laws

Reforms could include forcing claimants to prove "actual malice" — an American legal defense that a statement is defamatory only if the person making it knows it is false or is "reckless" about whether it's true. 

Lawmakers are also looking at updating the Defamation Act 2013 to strengthen protection for people who publish private information to benefit the public. Ministers are also considering capping payouts awarded in libel suits to prevent "the super-rich, such as Russian oligarchs" from "weaponizing" the high cost of litigation.

"For the oligarchs and super-rich who can afford these sky-high costs the threat of legal action has become a new kind of 'lawfare,'" Prime Minister Boris Johnson said.

The government has acted after two well-publicized cases were brought against journalists over books about Russian corruption and the flow of dirty money from the former Soviet Union into London.

Financial Times investigative journalist Tom Burgis beat a libel case brought by Eurasian Natural Resources Co. over his 2020 book "Kleptopia: How Dirty Money is Conquering the World" this month over reporting about the deaths of three employees. The mining giant was denied an appeal and said this month that it had dropped the case.

And Abramovich sued Catherine Belton and HarperCollins over a book by the Reuters journalist about his alleged links to the Russian president. Abramovich settled the case in December. 

Other measures being mulled over would enable judges to throw out so-called SLAPP claims at an early stage and clamp down on repeated legal challenges. The Solicitors Regulation Authority has also issued guidance identifying SLAPPs as an example of "pursuing litigation for improper purposes." 

Lawmakers said in January that law firms were selling "intimidation" to wealthy clients.

--Editing by Ed Harris.

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