Business/commercial law essay question and answers

Hassan Payuka is the proprietor of Parrot Daily Newspaper which published an article two weeks ago to the effect that Mrs. Rose Brown the managing director of Child Welfare Organisation had embezzled, Sh. 5 million from the organization to purchase a private residential house for herself and family. Investigations have revealed that Mrs. Rose Brown bought the house out of a loan of Sh. 6 million advanced to her East Bank and secured on the house. Mrs. Rose Brown is aggrieved and seeks your legal advice.

Advise her.
• This problem is based on the tort of defamation and particular libel which is a defamatory representation is some permanent form as it is in this case.
• Libel is actionable per se i.e. Mrs. Rose Brown is not obligated to establish loss or damage.
• It is evident that Parrot Daily Newspaper defamed Mrs. Rose Brown making these allegations. The statement in question is defamatory in the ordinary sense, they refer to Mrs. Rose Brown, were published the newspaper and the publication was maliciously made in that the Newspaper did not bother to ascertain the factual situation.
• My advise to Mrs. Rose Brown is to sue the newspaper and the proprietor in damages for defamation.
• The action must be instituted within one year of publication of the defamatory representation.

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