I move: "That the Bill be now read a Second Time."
I thank the Leas-Cheann Comhairle and Deputies. This is an important Bill that balances and safeguards the rights to freedom of expression with the protection of good name and reputation, and to access to justice. This legislation touches on the protection of our democracy itself and introduces innovative measures to protect responsible public interest journalism. The Bill delivers on the programme for Government commitment to review and reform our defamation laws. It provides for a range of reforms to address the many concerns raised by stakeholders during the public consultation on the review of the Defamation Act 2009.
The main purposes of the Bill are to tackle disproportionate awards and to support more consistent, proportionate and predictable redress in defamation cases, including by abolishing juries in the High Court; supporting easier access to justice for individuals whose reputations are unfairly attacked, including by ensuring that, if a person is defamed, the correction must be published with "the same or similar prominence" as the defamatory publication. The Bill also provides enhanced and clearer protection for responsible public-interest journalism, including a new defence to protect responsible live broadcasting. It has provisions to reduce legal costs and delays for all parties, including by supporting the use of alternative dispute resolution, and to deter the abusive use of unfounded defamation proceedings, particularly strategic lawsuits against public participation, SLAPPs.
The abolition of juries in High Court defamation cases is a key reform under this Bill. The Government respects the strongly and sincerely held but widely differing views held by different stakeholders on this issue. Following long and detailed consideration, however, the Government has concluded that this is the right course to take. We should recall that juries have already been abolished in almost every other type of civil proceedings, most recently under the Courts Act 1988, and juries have already been abolished in Circuit Court defamation cases, with no adverse consequences, since 2009. This reform is expected to significantly reduce the incidence of excessive or disproportionate awards of damages; the particularly high legal costs and delays; and the length of hearings in defamation cases and the high unpredictability of outcomes. It is also designed to ensure greater clarity on the law, and reduce the need for expensive appeals. In this complex area of law, the fact that a jury cannot give reasons for its decision can cause great uncertainty for stakeholders about its implications for other cases.
Strategic lawsuits against public participation, otherwise known as SLAPPs, are unfounded, abusive legal proceedings taken by a plaintiff against a person or organisation because of their engagement in debate, investigation, or discussion on a matter of public interest that is uncomfortable to the plaintiff. The main aim of SLAPP proceedings is not to genuinely vindicate rights, but to maximise high legal costs, delays and stress, in order to threaten and silence the person targeted. In common-law countries, defamation proceedings are often a favoured vehicle for SLAPPs, and serious concerns about SLAPPs in Ireland were already raised in the replies to public consultation on the defamation review.
SLAPPs are now recognised internationally as a significant challenge to press freedom, and a danger to democracy itself, given the chilling effect they have on the work of investigative journalists and others. Prior to her murder, the Maltese journalist, Daphne Caruana Galizia, faced over 40 lawsuits. The European Parliament, the Council of Europe and the European Commission are all actively engaged in measures to combat SLAPPs. The EU anti-SLAPP directive, which Ireland strongly supported, was adopted in May 2024, and is to be transposed across member states by May 2026. This Bill will already transpose the main provisions of the directive as regards defamation proceedings. In some respects, it goes beyond the minimum requirements of the directive. For instance, the Bill will apply to all defamation proceedings taken in Irish courts, not just to those with cross-border implications.
With regard to retail defamation, section 8 of the Bill will introduce a new statutory defence in so-called retail defamation cases. This responds to serious concerns expressed by retailers and the hospitality sector, particularly small and medium businesses, about a large, recent increase in unfounded claims of defamation made against retailers.
On the defence for live broadcasting, the Bill also includes a new defence for broadcasters against liability for a defamatory statement made by a contributor during a live broadcast, if the broadcaster can show that it took reasonable and prudent precautions before and during the broadcast to prevent this.
The Bill makes a number of cross-cutting practical changes to support ADR, or early settlement of proceedings, in appropriate cases. These include reforms to the offer of amends process for early settlement, which had fallen into disuse. In particular, compensation will now be decided by a judge rather than a jury, if the parties themselves cannot agree. There are new supporting measures, similar to those in the Mediation Act 2017, to encourage voluntary use of ADR in defamation cases where appropriate; and a change across the Act to ensure that where an apology or correction is made, it must be published with, at least, "the same or similar" prominence to the defamatory statement.
I will now address the main provisions of the Bill. Section 3 amends the principal Act’s definition of "periodical". This is important, because it effectively defines who may be a member of the Press Council, which is recognised under Schedule 2 to the Act. This change was requested by the Press Council, and it clarifies for the avoidance of doubt that the term includes online-only periodicals, as well as hard-copy print publications.
Section 4 provides for the abolition of juries in High Court defamation actions, as mentioned earlier. Section 5 is a consequential amendment that removes various references to juries in defamation actions across the Act. Both these sections will apply only to defamation actions that are started on, or after, the date that they come into operation.
Section 6 imposes a new limitation, where a company wishes to sue for defamation of its corporate reputation. It provides that a statement about a body corporate is not defamatory unless it has caused, or is likely to cause, serious harm to its reputation. If the company trades for profit, serious harm to reputation is defined as harm that has caused it, or is likely to cause it, serious financial loss.
Section 7 makes a geographical change, which responds to the increasingly globalised nature of news reporting. It extends the defence of absolute privilege to fair and accurate reports of the proceedings and decisions of courts that are established by law, in any state or place. Currently, absolute privilege only applies if the court is located in this State or in Northern Ireland.
Section 8 introduces the new statutory defence I mentioned in so-called retail defamation cases. The Circuit Court has repeatedly held that it is not defamatory simply to ask a person who walks past the checkout with goods to produce a receipt for them; to check with a group leaving a restaurant whether they have paid for the meal; or to explain in a pub that a bank note cannot be accepted in payment, if it does not seem to be valid legal tender. Nevertheless, defamation claims in such cases are now generating significant extra legal and insurance costs for these businesses. The new defence is not a "serious harm" test but a new specific form of the established defence of qualified privilege. It will be a defence to show that the disputed statement consisted of asking whether a person had paid for goods or services; asking whether the person had obtained a service; asking whether a person has in their possession goods, or a receipt for goods or services; or stating that a means of payment offered is unable to be accepted, for example, if a credit card is blocked or a bank note does not appear to be legal tender. The defence will protect a retailer unless they act maliciously or publish the statement excessively in the circumstances, for example, shouting across a crowded venue when the question could have been asked discreetly.
Sections 9 and 10 refer to the offer of amends process, which essentially supports agreed early settlement where the defendant admits liability. Section 9 improves the requirements for a correction and apology under this process, adding that it must be published with "the same or similar prominence" as the original defamatory statement, unless the plaintiff requests otherwise. Section 10 makes more technical amendments.
Section 11 introduces a new defence for a broadcaster, where a defamatory statement is made during a live broadcast, whether by an invited participant, or unexpectedly by a bystander. The broadcaster must show that it took reasonable and prudent precautions before and during the programme to prevent that occurring. The defence applies to broadcasters of radio or television programmes in the State, as defined, licensed and regulated under the Broadcasting Act 2009. It does not extend to the person who made the defamatory statement.
Section 12 is a technical but valuable provision. It amends section 28 of the Act, which allows a person to apply to Circuit Court for a declaratory order that a statement about them is false and defamatory. Under that section, the court must be satisfied that the maker of the statement has "no defence" to the application. This sets an unnecessarily high bar for applicants, and the amendment changes it to "no defence that is reasonably likely to succeed". Section 12 also allows the Circuit Court to make both a correction order and an order prohibiting further publication, alongside a declaratory order.
Section 13 amends the procedure for a defendant who wishes to lodge a sum of money in court in settlement of damages for defamation, without being required to admit liability. Currently the defendant has to make the lodgment at the point of filing their defence. The amendment removes this requirement, which is over-restrictive.
Section 14 amends section 30 of the Act, to add that where the court orders a defendant to publish a correction of a defamatory statement, the correction is to be published with "the same or similar" prominence as was given to the defamatory statement. Sections 15 and 16 are more technical amendments.
Section 17 inserts the important new Part 4A in the Act, containing a series of protective measures against SLAPPs. New section 34A defines several key terms, including "abusive court proceedings against public participation", which is the legal term used for a SLAPP. The definitions for all SLAPP-related terms are the same as those used in the EU anti-SLAPP directive. New section 34C provides that a defendant should notify the court if they consider the defamation proceedings issued against them are a SLAPP. This links in with the provisions allowing for accelerated treatment in such cases.
Irish law already allows a court to order a plaintiff to provide security in certain circumstances for the defendant's costs. New section 34D provides that where a defendant in defamation proceedings that relate to his or her engagement in "public participation" makes such an application, the court shall decide that application as expeditiously as possible, consistent with the administration of justice.
Irish courts already have a range of legal powers to strike out proceedings early if satisfied they are manifestly unfounded.
The new section 34E applies where such an application is made by a defendant in defamation proceedings that relate to his or her engagement in public participation. It provides non-exhaustive examples of what constitutes manifestly unfounded, such as where the proceedings disclose no reasonable cause of action, or are an abuse of the court process. The new section 34E also provides that the court shall decide such a strike-out application as expeditiously as possible, consistent with the administration of justice. This requirement for accelerated treatment also applies in Part 4A to other applications for anti-SLAPP protective measures.
The new sections 34F and 34G provide that the defendant may ask the court to decide, and issue a declaration, that the defamation proceedings are a SLAPP, that is, that they amount to abusive court proceedings against public participation. Where the court declares the proceedings to be a SLAPP, new section 34G(2) provides that the court shall, insofar as it considers appropriate, take the declaration into account when making any order in respect of the costs of the proceedings. Also, the court may, if it thinks fit, order those costs to be paid on a legal practitioner and client basis, or a legal practitioner and own client basis. These are both more advantageous to the defendant than the usual party-to-party basis on which costs are awarded.
The new section 34H provides for publication on the Courts Service website of any order or written judgment of the Circuit Court finding defamation proceedings to be a SLAPP. Judgments of the higher courts are already published there.
Section 18 inserts a new Part 4B on alternative dispute resolution, ADR, containing new sections 34I to 34L. Part 4B refers to two existing ADR procedures, that is, under Schedule 2 to the Defamation Act for a complaint to the Press Council about conduct of one of its members and under section 49 of the Broadcasting Act 2009, commonly known as the right of reply procedure, regarding broadcasters. Part 4B contains supporting and facilitating provisions for these ADR procedures. All of these reflect similar provisions for mediation in the Mediation Act 2017. Use of the Press Council and broadcasting right of reply schemes remains voluntary for the person making the complaint. Parties also remain free to use mediation, if they so prefer.
The new section 34J provides that if a solicitor is considering issuing defamation proceedings on behalf of a client, he or she must inform the client about the availability of the ADR procedures, if applicable to the case. That information must include explaining the implications of using the ADR procedure, including regarding costs. The solicitor must provide a declaration to evidence his or her compliance with this requirement.
The new section 34K provides that a court may, if it considers appropriate, invite the parties to defamation proceedings to consider engaging in either ADR procedures to resolve their dispute, and may provide them with information on the procedure. Whether to so engage remains a decision for the parties.
The new section 34L provides that a court awarding costs in defamation proceedings where it had invited the parties to consider ADR may, if it considers it just, have regard to any unreasonable failure or refusal by a party to consider using the ADR procedure or to engage with it.
Section 19 refers to Schedule 1 to the principal Act, which sets out types of public-interest reports or documents that will be protected by the defence of qualified privilege, provided that the report itself is fair and accurate. The main change made is that this defence will now apply to reports of events in this State or in any other state or place. Currently, it only refers to here, in another EU member state, or in the UK. This is a modernising provision to reflect the increasingly global nature of news reporting.
On further changes to be included during passage of Bill, several further key reforms are being finalised, which the Minister, Deputy McEntee, will bring to Government as amendments during the Bill's passage. These include the clearer and simpler defence of fair and reasonable publication in the public interest, which is particularly important to protect responsible public interest journalism; and a statutory power for the Circuit Court to issue a Norwich Pharmacal order, directing a digital services provider to identify an anonymous poster of defamatory online material. This will significantly reduce the legal costs for a person subjected to such comments. We are also working on a power for the courts to award damages for harm suffered by a person targeted by SLAPP proceedings.
This is robust, fair and proportionate legislation, that is, a modernising defamation Bill well-suited to meet the challenges of a rapidly evolving communications landscape. It is our strong view that it is a priority Bill. The Minister hopes that, with the co-operation of all sides, we can facilitate its swift passage through the House with a view to early enactment. I commend the Bill to the House.