Shropshire firms need to keep tighter reins on their own Twitter and Facebook accounts, as well as those of their employees, after the first Twibel case resulted in a significant damages and costs award.
While social media has become a key business tool in raising brand awareness, Richard Kerry, a partner at Hatchers Solicitors, said the recent Cardiff ‘Twibel’ case – a libel committed on Twitter - showed how some Tweets and blogs could overstep the line.
False statements, negative reviews, inaccurate data and other information that is broadcast across the Internet via business websites or social media outlets can have huge implications.
And he warned businesses in the county to be wary about handing control of their online reputation over to outside agencies.
“If you allow other people to manage your business reputation on social networking sites you leave yourself wide open to issues such as libel and defamation,” Mr Kerry explained.
He cited the recent case of Plaid Cymru politician Colin Elsbury who had to pay rival candidate Eddie Talbot damages to the sum of £3,000 and also legal costs estimated to be around £50,000 after claiming through his Twitter account that Eddie Talbot had been “forcibly removed” from the polling station during a county council by-election in 2009. Mr Talbot promptly sued for defamation of character. Cardiff’s High Court found the claims to be completely false.
“This is obviously just the tip of the iceberg,” said Mr Kerry, “so there is no doubt there will be many more to follow as those who Tweet or update their Facebook pages without considering the consequences are taken to court for damages.”
Mr Kerry said in many cases it would be the company, not the individual, who would shoulder the burden.
“Who are you going to sue, the individual who might have nothing or the company itself?” he said.
“A lot of firms are taking huge risks by allowing their staff to Tweet without thinking or outsourcing their social media to outside agencies,” he added. “Even if companies are prepared to continue doing this they would be wise to keep a closer eye on what is written by their employees, or on their behalf by their social media agents.
“Anyone can be liable for defamation if they make a false statement which could damage the reputation of another. Employers can also be liable for the actions of their employees. The wide use of social networking sites has increased the chance of businesses and the general public publishing information which is potentially defamatory.”
