Dhlomo v Natal Newspaper (Pty) Ltd and Another (407/87) [1988] ZASCA 173; [1989] 2 All SA 136 (A) (1 December 1988)

Dhlomo v Natal Newspaper (Pty) Ltd and Another (407/87) [1988] ZASCA 173; [1989] 2 All SA 136 (A) (1 December 1988)

The Supreme Court of Appeal held that the right to claim damages for defamation is not limited to trading corporations. Non-trading corporations, such as benevolent societies or political organizations, may also sue for defamation if the defamatory statement is calculated to cause financial prejudice, regardless of...

Source-derived case information.

Citation
[1988] ZASCA 173
Parties
Appellant: Doctor Oscar Dhlomo; Respondent: Natal Newspapers (Pty) Limited; Respondent: I M Wyllie
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
1 December 1988
Case Number
407/87
Procedural Posture
Civil Appeal / Appeal Against Exception Upholding and Dismissal of Claim
Outcome
Appeal upheld; exception dismissed.
Judges
Rabie, Corbett, Joubert, Van Heerden, Viljoen
Legal Topics
Defamation, Corporate Personality, Business Reputation, Non Trading Corporation, Aquilian Action
Delict Defamation Corporate Personality Business Reputation Non Trading Corporation Aquilian Action

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Parties

Doctor Oscar Dhlomo

Appellant

Natal Newspapers (Pty) Limited

Respondent

I M Wyllie

Respondent

Procedural Posture

Civil Appeal / Appeal Against Exception Upholding and Dismissal of Claim

Legal Issues

  1. 1 Whether a non-trading corporation has the right to claim damages for defamation in South African law.
  2. 2 Whether the right to claim damages for defamation is limited to trading corporations.
  3. 3 Whether proof of actual financial loss is required for a corporation to succeed in a defamation claim.

Ratio Decidendi

The Supreme Court of Appeal held that the right to claim damages for defamation is not limited to trading corporations. Non-trading corporations, such as benevolent societies or political organizations, may also sue for defamation if the defamatory statement is calculated to cause financial prejudice, regardless of whether actual financial loss is proven. The court found no logical or fair justification for denying non-trading corporations the right to protect their reputations when trading corporations are afforded such protection. The court affirmed that South African law recognizes the right of legal personae, both trading and non-trading, to claim damages for injury to reputation,...

Court Disposition

Appeal upheld; exception dismissed.

Orders

  • The appeal is upheld with costs, including the costs of two counsel.
  • The order of the court a quo is set aside and substituted with: 'The exception is dismissed with costs, including the costs of two counsel.'