Shoplifting probe defamation protection for retailers
A clothing store security system with radio-frequency gates and an integrated metal detector to prevent shoplifting and retail theft Pic: Shutterstock

12 Mar 2026 legislation Print

Shoplifting probes get defamation shield

A note from Lavelle Partners explains that a statutory mechanism for early dismissal of Strategic Lawsuits Against Public Participation (SLAPPS) has now been made law.

The Defamation (Amendment) Act 2026 became law on 19 February, and officially abolishes the use of juries in High Court defamation actions.

It also introduces the anti-SLAPP measures.

The defamation legislation covers:

  • Early Dismissal: Defendants can apply to have "manifestly unfounded" proceedings dismissed at an early stage,
  • Costs: Courts are empowered to award full legal costs to defendants in cases identified as abusive litigation,
  • Public record: The Courts Service is now required to publish all judicial determinations involving SLAPPs to maintain a record of litigants using the courts for intimidatory purposes.

Procedural and substantive changes are also primarily aimed at altering how reputational damage is litigated in the High Court.

Serious harm

For the first time, the act introduces a differentiated threshold for corporate claimants. A body corporate seeking to sue for defamation must now prove that the publication caused, or is likely to cause, "serious harm."

The act defines this specifically as significant financial loss. This requirement does not apply to individual plaintiffs.

The legislation updates several existing legal defences to account for digital and real-time communication:

  • Public interest defence: A statutory defence is created for statements made on matters of public interest, provided the defendant acted reasonably,
  • Retail defence: A specific protection is introduced for retailers and their staff regarding statements made during the good-faith investigation of suspected shoplifting,
  • Live broadcast defence: Broadcasters are granted a defence for defamatory comments made by third-party contributors during live segments, provided the broadcaster took reasonable precautions.

Damages and redress

The act grants the Court of Appeal the power to issue guidelines on the appropriate level of damages to ensure proportionality.

Additionally, the courts may now issue Correction Orders, requiring a defendant to publish a correction with equal prominence to the original defamatory statement.

The statute of limitations for filing a claim remains one year, with a maximum extension to two years under exceptional circumstances determined by a judge, the Lavelle Partners lawyers explain.

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