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Aafco Heating & Air Conditioning Co. v. Northwest Publications, Inc.
321 N.E.2d 580
Ind. Ct. App.
1974
Check Treatment

*1 Fact, Findings All other of Law Court’s Conclusions Judgment are Order, affirmed. On remand Decree and Findings modify delete of Fact said trial court should its Findings only. Economy’s judgment should of Fact and 15 according paid to law. by Economy points

All other raised denied. are JJ., Lybrook, Lowdermilk concur. Reported 215. N.E.2d

Note. — Heating Conditioning Company Aafco and Air v. North- Publications,

west Inc. January Rehearing denied [No. 3-1073A133. Filed December September 19, 1975. Transfer 1975.] denied *2 Bennett, Boehning Bennett, William K. Poynter, & Lafa- yette, Altánese, Altánese, David J. Coffaro, Hoehne & of Cin- cinnati, Ohio, appellant. for Hrebec, Thomas, Cwppy, Burke, Dyerly K. Fred M.

Gerald Gary, Cuppy, appellee. & Gary Post series of J. The Tribune

Staton, concerning ten articles an electrical fire of Mrs. home Matilda Collins which small caused the death of her two grandchildren. Heating Conditioning Company Aafco and Air had installed furnace in the home Mrs. three Collins weeks before the fire on articles re- October 1970. The ported permit that no been had obtained Aafco before making the and that fire installation one official observed heavy duty may “a blower on the furnace have caused ignited overload electrical service” which the fire. against complaint Gary formal Aafco with the was filed Licensing Contractors’ Board which resulted sus- Aafco’s pension. complaint $250,000.00 filed a

Aafco libel in actual dam- ages $500,000.00 damages. punitive Northwest Pub- lications, Inc., publishers Gary Tribune, Post filed *3 grounds its answer which on the relied defensive of truth and qualified privilege. constitutional Later, Northwest’s motion judgment summary for was sustained the trial court. appeal summary judgment presents Aafco’s from this the fol- lowing questions for our review: qualified privilege

1. Does the constitutional announced New York Times v. Sullivan and Rosenbloom v. Metro media, alleged Inc. private to an libel of a indi apply vidual in Indiana when to an issue of statements relate concern ? genuine upon 2. Is there a issue material fact question privilege? development privilege examines the Our review as a First Amendment defense and its dimensions. Gertz v. Robert (1974), Welch, 323, 2997, Inc. 418 U.S. 94 41 S.Ct. gives defining 789, option L.Ed.2d states privilege “private of constitutional the standards rejects opinion simple negligence individuals.” Our stand suggested Inc., supra. Welch, Robert Gertz v. ard We

674 private the Indiana libel individual. redefine standard qualified privilege We conclude does private apply to a there individual Indiana and that genuine issue question privi no of material fact lege. summary judgment. trial We affirm the court’s

I. Privilege ago, privilege Until a decade had no First Amendment development dimensions. The law common of defamation had Corp. City been Film v. left the several states. Times Chicago 403; (1961), 43, 391, 81 5 L.Ed.2d 365 U.S. 725, (1952), 250, Beauharnais Illinois 72 S.Ct. 919; Chaplinsky 96 Hampshire L.Ed. v. New 315 568, 766, example, 62 S.Ct. 1031. For a state L.Ed. legislator liability is immune from even Indiana if he publishes defamatory improper material with motive and knowledge falsity (absolute privilege). with of its IND. CONST., 4, privilege Art. similar absolute attaches § parties judges, attorneys, witnesses connection judicial proceeding. See, e.g., with a v. Slinkard Griffith Ind. 1001. The N.E. dissemination by the news communications traditionally media has been safeguarded by qualified privileges two or conditional pleaded may as affirmative defenses in a libel action: privilege (limited 1. The of “fair comment” opinions officials their applicable conduct —not or newsworthy individuals events) and reporting 2. The attached to the public pro- ceedings. Press, v. Evansville Inc. (1957), Henderson See App. 127 Ind. 920; 142 N.E.2d & I.L.E. Libel Slander at 474-75. § generally Note, Fair Comment, See 62 HARV. L. REV. 1207 *4 (1949). states,

In most regarding privileged law of defamation pattern. communications follows similar RESTATEMENT (1938). But, prior to the land 585-92 OF TORTS §§ Times Co. Sullivan in New York mark decision L.Ed.2d 254, 84 S.Ct. were media mass qualified privileges for narrowly were often hy restrictions numerous limited Indiana au appear no to be While there construed. weight privileges, scope thority explicate these opin recognized only statements of traditionally authority priv were never statements of fact privileged; false ion as Co. v. Hallam (6th 1893), Publishing Cir. ileged. See Post Candidates, Public 530; Noel, 59 F. Officers Defamation (1949). Even in cases where the REV. 875 49 COLUM. L. publisher-defendant could suffer applicable, the privilege was plaintiff could if the libeled of his defense the loss negligence ill RESTATE of either will. evidence adduce many 606(c) (1938). Moreover, courts TORTS OF MENT § comment privilege of fair discussion limited public officials; conduct of there was no public events merely media to comment on matters privilege accorded the v. Phoenix newsworthy. See, e.g., Broking they were because 413; Ariz. Newspapers (1953), 76 P.2d PROS W. 1971). (4th 814-15 TORTS ed. LAW OF SER, THE qualified privilege law of common expression media emerging transplanted the realm of into First Amendment was case New in the landmark York doctrine Times Co. v. starting supra. point Sullivan, The basic New York opinion publisher discussing public ques- Times was that engaged activity protected by in an tions is the First Amend- formulation, to its narrowest this Confined held ment. decision Fourteenth the First and forbade “a Amendments recovering damages defamatory for a official from falsehood relating proved conduct unless his official he ‘actual malice’—that is was with with knowl- statement made edge reckless or with that it false 279-280, 84 S.Ct. at it or not.” 376 U.S. was false Butts subsequent Co. v. decision, Curtis In *5 676 1094,

(1967), 130, 1975, 18 L.Ed.2d 388 87 U.S. S.Ct. the New York Times to media Court extended concerning “public interest comments matters meaning figures.” “public While the term official” has difficulty,1 question caused the Court little or of who figure” “public fully not a has not who is been resolved Publishing In Butts, supra, the Court. Curtis Co. Mr. v. figure” spoke “public commanding Harlan Justice as independent public “a amount substantial interest” at the publication. 154, time 388 U.S. at 87 at 1991. Sev- S.Ct. interpreting eral state court cases the federal have standard “public variety persons figures” found a wide to be within the Butts formulation.2 York undergone Times malice New standard has ex initially

tensive refinement. It determined that “reckless disregard of the truth” meant false statements made with a high degree probable falsity. of awareness of their Garrison v. (1964), 74, 64, 209, Louisiana 379 U.S. 85 S.Ct. 13 L.Ed.2d emphasized 125. Later cases the distinction between New knowledge falsity York Times test of or reckless of the truth and “actual malice” in the traditional sense of ill Newspaper Corp. v. Hanks Beckley (1967), will. 81, 389 U.S. 197, 248; 88 19 Cooperative S.Ct. L.Ed.2d see also Greenbelt Assoc. v. Bresler Publishing (1970), 6, 398 U.S. 1537, 90 S.Ct. 26 decision, St. Amant v. L.Ed.2d In later Thompson 6. developed ascertaining 1. A identity test was “public of a York official” within New Times standard: among hierarchy government employees “[T]hose have, who appear have, to the responsibility substantial for or governmental control over the conduct of affairs.” Rosen- (1966), 75, 85, Baer 669, 676, blatt v. 383 U.S. 86 S.Ct. 15 L.Ed.2d 597. See, e.g., Publishing v. (1969), Tilton Cowles Co. 707, 76 Wash. 2d 8, 927, 459 2238, P.2d cert. denied 399 U.S. 90 S.Ct. 26 (1970), 792 L.Ed.2d (policeman running municipal and fireman for election to a health and safety board); (1968), Arber Mich.App. v. Stahlin 181, 10 159 N.W.2d 154, denied, 924; 927, cert. 397 U.S. 90 (re S.Ct. (1970) L.Ed.2d 103 publican party precinct delegates); volunteer workers and Rose v. Koch (a (1967), 235, university professor 278 Minn. 154 N.W.2d 409 who was legislator both a noted author and a former publi state at the time of Grayson cation); v. Curtis Co. 72 Wash.2d (head University P.2d 756 basketball Washington). coach at 262, 1323, 20 L.Ed.2d 88 S.Ct. to' uncertainty any remaining as attempted resolve Court Amant malice The St. standard. proper content of measured not be could held that reckless conduct Court have reasonably prudent man would publishing; investigated alleged before libel have “that the defendant must malice” evidence show “actual pub of his as the truth in fact serious doubts entertained at 1325. lication.” 390 U.S. 29, 91 Metromedia, (1971), 403 Inc.

Rosenbloom *6 degree First 29 L.Ed.2d increased S.Ct. previous cases media Amendment afforded the privilege from by shifting York Times New the focus of the person’s of the statement status to newsworthiness plurality opinion that when published. held The Rosenbloom private general published, a a or concern” is “matter of defamatory by may injury false caused recover for individual prove publication made with only he was if can hood knowledge it false or with reckless sweeping York extension New it was false —a of the privilege. Times urged Rosenbloom

Mr. Justice Harlan’s dissent a differ- privilege apply pub- constitutional ent standard to should by private lisher-defendants libel actions instituted indi- adopted Harlan formulation viduals. The a “reasonable man” negligence simple proper as or standard measure of liability publisher-defendant for otherwise libelous communi- Moreover, counterbalancing protective device, cations. as a (cid:127) negli- publisher-defendant liability approach for this limited damage.” recovery gent provable Any “actual defamation to “presumed” general damage private by or to individuals required proof reputation of “malice” under New York 67-76, 91 privilege Times standard.

A recent decision the United First Amendment States Court, Inc., supra, Welch, added Robert has Supreme Gertz the First between dimension to the accommodation new and common law A Amendment defamation. second more expansive approach protect reputation taken to is individual, private approach which is similar advocated to the Justice Harlan’s dissent Rosenbloom. Status private re-emphasized individual is while is “newsworthiness” de-emphasized. simple negligence proposed, but standard liability per part of without fault or libel se cannot become a negligence Damages are standard. under this standard damages.”3 damages general to limited “actual or Presumed reputation contingent upon proof continue Finally, malice under the privilege New York Times standard. given option the states are their standard define own for the indi defamation viduals, provide but the must liability standard not without fault. option The definitional left the states is either conceptualized Gertz privilege. Rosenbloom choose We the latter.

II. Indiana Standard publication We first assume that of matters which are activity concern is protected Article Section 9 of the Indiana Constitution.4 *7 Secondly, we assume that factual error is inevitable in the course free debate that and some latitude misleading expression for untrue or must be accorded to the media; communications otherwise, free, worthy robust debate protection constitutional would be deterred and self-censor- ship imposed unpopular the face of controversy. We seek an accommodation between two societal interests: (1) speech freedom of press and of the itas relates to well- (2) community, protection informed and private of the indi- dissenting opinion See Rosenbloom, Justice supra. Harlan’s 1, provides: 4. Article 9 Section of the Indiana Constitution passed, restraining “No interchange thought law shall be the free opinion, restricting right and speak, write, freely or print, to or any subject on right, every but for the person whatever: abuse that responsible.” shall be

679 reputation general it is involved matters of vidual’s when public and concern. expression

Indiana’s constitutional of freedom of requires interchange that ideas all matters of “general to public unimpaired. In order or interest” to function, “must em- fulfill its historic freedom discussion appro- all issues about information is needed brace society cope priate with the enable the members of exigencies period.” Thornhill Alabama of their v. Emerging 744, 88, 736, 84 L.Ed. 1093. 102,

310 60 U.S. S.Ct. artificiality, expression “have disclosed the principles of free simple be- public’s interest, of distinction terms Rosen- ‘private’ or institutions.” ‘public’ individuals tween and Metromedia, 33, 91 Inc., supra, at S.Ct. bloom v. placed majority opinion York Times Even the Neto at 1818. “profound emphasis on national commitment to primary our principle issues be unin- that debate should wide-open.” 270-271, robust, at 84 hibited, 376 S.Ct. U.S. added). Comments other States (emphasis United 721 at judgment Supreme decisions reiterate the basic value Court guarantees speech press of free must that all affect our efforts to live extend matters which society. together in a free work requires adopt individual

We a standard involving brings a libel action event of who defamatory prove false- interest knowledge falsity of its with hood it was false. or with reckless

III. Concern or Public General 534, 374, (1967), 385 U.S. 87 S.Ct. Hill Time, In Inc. open . . . had “no doubt 456, the Court L.Ed.2d 17 incident, a matter ing an actual play linked to a new at 542. In Curtis 87 S.Ct. U.S. interest.” Butts Co. v. *8 alleged “fix” held an football L.Ed.2d Court of a game public Thus, was a it seems clear issue. that constitu speech press tional and was be not intended to bearing only limited to matters on issues of official conduct or pre-ordained “public figures.” de activities or facto Rather, we must conclude Indiana’s constitutional man designed press date of freedom of the “truth, advance science, morality general responsible the arts in as as well government.” Butts, supra, Curtis Co. v. (Harlan, concurring at at opinion). 87 S.Ct. J. general or

aWhen interest is recognized, it becomes ascertaining unimportant in terms of whether public has legitimate a interest event, an issue or person large-scale involved is a famous, dis heating tributor air-conditioning equipment “private” operating or enterprise businessman a similar community. a small As Brennan Justice stated in his Rosen- plurality opinion: bloom subject “If matter is a of public general or interest, it suddenly cannot merely become so private less because a individual is involved or because some sense the individ- ‘voluntarily’ did ual not choose become involved. The public’s primary interest is event; focus is on the conduct of participant content, and the affect significance conduct,

and anonymity not participant’s prior notoriety.” or 403 Ú.S. 91 S.Ct. at 1819. key analytic determinant application of consti- protections speech press tutional in libel actions

“private” individuals must whether the communi- cation involved concerns issue of regard interest without to whether the individual anonymous. famous

ÍV. Reputations Public v. Private negligence simple require standard would that the prove only publisher individual failed to exercise society has assumes that This standard care.” “reasonable *9 “private” reputation than protecting in greater interest a standing repute “public of community and safeguarding the Drawing between a figures.” distinction “public and officials” figures terms of our no “private” makes sense “public” and press. The New speech guarantees of and free defamatory applied to privilege Times standard York give figure public concerning to public or official falsehood a system expression our of free primary of function effect to the pub- commentary on encouragement and of discussion —the special constitu- a not accorded media was lic issues. The interest society has lesser a merely because tional public reputations of the of protection and vindication figures figures. reputations public public of officials quantum same of as public officials merit private those of citizens.

Any argument private individual, public that the unlike figure, have to the does not access media counter defama- tory disparity only present material focuses on a which is Only rarely of public a number situations. a limited will figure public prominence official or have sufficient attained provide meaningful to command media attention which will a against defamatory chance to rebut and defend falsehood. adequate opportunity Even in the rare case where an for unlikely reply afforded, is that the rebuttal it is statements degree public pub- attention will receive same of as the appear proper It that solu- lished defamation.5 any part citizens, all tion lack access on the of for whether expansion right “private” “public” or not of the to sue is creating defamation, rather passage but laws state plurality opinion, countered Justice Brennan 5. In his Rosenbloom argument the statement: this “access” with rarely news, the “Denials, receive the retractions, not ‘hot’ are and corrections story. original public prominence official When functionary position public figure or has left a minor or is Baer, supra, put public eye, argument Rosenblatt v. him in see force,” at loses all its right respond But, defamatory limited falsehoods.6 are, alternative course, remedial measures matters legislative consideration. figures public

Public officials and deserving are as of re- injury dress for reputation to their as citizens. The argument figures officials and assume risk of by voluntarily placing defamation themselves in the public eye is a misconception of the role every citizen expected play system participatory self-govern- Every citizen, ment. necessary living part as a society, must assume the risk media comment when he becomes involved, voluntarily involuntarily, in a matter long recognized interest. It has been “[ejxposure varying degrees the self to others in ais *10 concomitant of life in community.” a Time, civilized Inc. v. Hill, supra, 388, 385 U.S. at 87 S.Ct. 542.7 Supreme The United States Court’s recent decision in Miami Herald L.Ed.2d invalid, (1974), Co. v. 241, 2831, Tornillo 418 U.S. 41 730, right-to-reply constitutionally held Florida’s statute legislative does not compel right foreclose creation of a of limited ac- tion to generally retraction of Note, libelous statements. See Reputation Vindication Official, a Public 80 HARV. L. REV. of of 1730, (1969). present 1939-1947 merely Indiana’s “retraction” statute re- quires prospective litigant libel to a serve written demand for re- offending publisher traction on the precedent as a condition to _ judicial proceedings, initiation of recovery “good limits and faith” defamatory damages” falsehood to “actual if a retraction is statutory period. within the 1971, time IC § 34-4-15-1 and 2. arguably 7. An protected by examination of the values the law of implicated defamation clarifies the individual interests our de protects cision. Libel law at least two distinct interests of the indi First, preserve aspects vidual: his desire to certain of his life from intrusion; second, preserve unwarranted and reputation a to desire his standing community. See, e.g., in the Rosenblatt v. Baer 75, 92, 669, 15 But, 383 U.S. 86 S.Ct. L.Ed.2d 597. the individual’s interest preventing private aspects unreasonable into the intrusion of his life implicated category is not of in the cases under consideration since the only media general of the lives we have created extends to discussion of matters of public recognizes aspects Our concern. formulation that “some of even general most men fall outside the area of matters Metromedia, Inc., of supra, concern.” Rosenbloom v. 48, argument “public” U.S. at figures 91 S.Ct. at 1822. The that voluntarily exposed aspects personality officials have view while publicity ignores all of their to private kept individuals have lives their free of unwanted dynamic potential emerging privacy law of “penumbral” protection, its a elevation level to the

V. Self-Censorship recognized York in New Supreme Court States The United requiring media supra, a rule Sullivan, Times Co. v. to reporting lead guarantee would truth to of its news prove being to Publishers, unable fearful of self-censorship. publication of statements, would avoid the truth their would adopt rule a refuse We articles. controversial damage judgments obtain allow citizens to publisher a failed jury probably a basis determination promote self- a rule would use reasonable care. Such censorship by causing publishers “steer wider far Speiser v. Randall 357 U.S. unlawful zone.” uncertainty 1332, 1342, 2 1460. The L.Ed.2d 78 S.Ct. charge the care standard would attendant a reasonable jury guessing press how with “the untolerable burden might verify steps it to taken assess the reasonableness portrait.” accuracy every name, picture or reference Hill, supra, S.Ct. at 543. Time, Inc. juror guessing wrong publisher’s assess about fear of procedures gathering ment of the of the news reasonableness inevitably speech. employs “protected” Fur deter he employed thermore, proof libel actions the standard heightens self-censorship inherent in a “reasonable risk privilege. Speaking care” standard of media for the Rosen plurality, Brennan bloom Justice observed: “Moreover, ordinarily litigation by we civil pre- decide ponderance of the evidence. In the ... normal civil suit *11 employed, this where is standard ‘we view it as more serious in ant’s favor.’ be an for erroneous there verdict in the defend- Winship, 358, In re 371, 1068, 397 U.S. 90 S.Ct. (1970). cases, however, 25 L.Ed.2d libel 368 In we view plaintiff an erroneous verdict for as the most serious. Not only does mulct the defendant for an it innocent misstate- possibility error, beyond . . ment . the but such even (1973), 113, 705, 147; Roe Wade 410 See v. U.S. 93 35 S.Ct. L.Ed.2d (1965), 1678, 479, Griswold v. Connecticut 85 381 U.S. S.Ct. 14 L.Ed.2d EMERSON, 510. See also OF T. THE OF SYSTEM FREEDOM EX 543-547 (1970). PRESSION 684 vagueness negligence itself,

the standard cre- would strong impetus self-censorship, ate toward which the 50, First Amendment cannot tolerate.” 403 U.S. at S.Ct. 91 at 1823. recovery limit the citizens in libel actions damages” operate to “actual not to alleviate un- the attendant certainties the reasonable care standard adopted majority.8 the Gertz The Gertz broad Court’s injury “impairment reputa- definition of “actual” includes standing community,” “personal tion and in the as well as anguish suffering.” at humiliation and mental 418 U.S. 350, 3012, expansive 94 S.Ct. at 41 L.Ed.2d at 811. Such damage” materially definition of “actual not the will reduce caprieous jury jury risk of it verdicts nor would deter a punishing publisher from unpopular the ideas.

The threat of self-censorship arising media un- the from incident to a certainties reasonable care of media standard privilege, largely avoided New York Times standard falsity. knowing vagueness reckless While original standard, phrased in terms of “reckless truth,” self-censorship,9 caused some concern about Thompson formulation of “malice” test in St. Amant v. (1968), 731, 727, 1323, 88 S.Ct. 20 L.Ed.2d 262 8. publication Indiana law reflects historic rule that in written defamatory per form without which, of statements se—words on their face and regard facts, injure to a reputation extrinsic tend to of an subjects publisher liability although reputation' no harm to other — actually proved. Indianapolis Newspapers, is Ind. (1970), Inc. v. Fields 254 219, 255-56, 651, 667-668, 259 930, N.E.2d cert. denied 400 U.S. 187, (1970); (1966), App. 27 L.Ed.2d 190 Gibson v. Kincaid 140 Ind. 186, 201, 834, “presumed damage” rule, juries N.E.2d 843. Under the may compensation award supposed injury substantial sums as reputation proof any actually without that such harm was suffered. The juries uncontrolled damages discretion of in libel actions to award injury necessarily compounds absence demonstrable danger expression posed by vagueness free of the reasonable care standard. concurring opinion Black, joined by See of Justice Justice Douglas in New York Times v. Sullivan 376 U.S. at 84 S.Ct. 733; Garrison v. Louisiana opinion concurring Douglas, joined by Black, of Justice Justice 64, 80-83, 85 S.Ct. 13 L.Ed. Speech also, Note, 2d 125. See Free Public Persons: Defamation of Expanding Sullivan, Doctrine New York Co. Times COR L. REV. 429-32 (1967). NELL

685 guidance. relatively clear with provide trial courts should not conduct was held that reckless Amant The St. Court have prudent man reasonably measured investigated publishing; before have published or would fact the defendant must show rather, the evidence the of serious doubt as the truth statement. entertained publisher knowl- Thus, 731, 88 1323. S.Ct. at negate factual inconsistencies —facts which edge serious impression materially conveyed by pub- contradict or significant highly be to some extent —would lished statements falsity. probable The probative evidence awareness of any investigatory employ publisher’s reliable failure independently verify any effort dis- or lack methods puted questionable also relevant factual assertions would be or falsity issue reckless for Indianapolis v. Newspapers, Inc. Fields See statements. 244-251, (De- 259 N.E.2d 666-668 (1970), 254 Ind. opinion). guidance separate Further as to Bruler, J. privilege proper content of the New York Times standard examining many gained by can federal and state cases question constitutional “malice.”10 that have focused Expanding Note, Constitutional Protection the News The Liability Predictability and Media for Defamation: from Synthesis, Neto 1560-62 and *13 deciding promo information is not relevant to the what or is task not expression. is that this tion of it true will free While traditionally always easy, be the courts have assumed the conflicting disputes concerning role of ultimate arbiters of policies. judiciary The contention will that the inadequate prove persuasive a role be such more body for the sizable federal and state cases were it not of employed concept general of have a matter of public interest to reach decisions in involving libel cases broad; citizens.11 The interest is necessarily dealing recent decisions panoply topics with a events, of ranging organized from quality crime to the of food served particular in a restaurant, will assist trial defining courts proper scope interest test.12 See, e.g., 11. Corp. Treutler (8th v. 1972), Meredith Cir. 455 F.2d (announcement candidacy 255 Johnston municipal office); Time, Inc. v. (4th 1971), Cir. (story profes 448 F.2d 378 of how obscure sional quit athlete was playing years forced basketball ten before published); Gospel article Co. Spreading was Publishing Church v. Johnson (1971), U.S.App.D.C. 207, (size 147 454 F.2d 1050 estate left by elder); Washington a church News, v. New York (1971), App. Inc. 37 Div.2d (attendance 322 N.Y.S.2d 896 bishop nightclub per singer formance of church). a choir of his See, e.g., City Publishing v. (6th Cantrell Forest 1973), Co. Cir. (article concerning family 484 F.2d 150 Davis v. National bridge disaster); victim of Broadcasting (E.D. 1970), Co. F.Supp. 1070, La. 320 (5th 1971) aff’d 447 981 (report F.2d Cir. person about a who was involuntarily relating involved events to the assassination of Presi Kennedy); dent Belli v. Curtis (1972), Co. Cal.App.3d 384, 25 Rptr. (article 102 concerning Cal. attorney reputa with national tion) ; Time, (Fla. App. Inc. 1972), v. Firestone (divorce 254 So.2d 386 prominent businessman public concern); held not a matter of Harnish Co., v. Herald-Mail Inc. (article 264 Md. 286 A.2d 146 concerning apartment building substandard by city official); owned Twenty-Five East Corp. Fortieth Forbes, Street Restaurant Inc. App. Div. 2d (quality N.Y.S.2d 408 of food served by restaurant).

VII. Summary Judgment granted summary judgment motion for Northwest’s genuine trial court. Aafco contends that a material judg- issue fact existed court’s the trial ment under should reversed. Our review genuine ma- Indiana Standard is whether a issue of terial fact existed defense of asserted privilege: context of the Northwest’s Stated answer. any place Were there facts before trial court which would knowledge the articles false issue Northwest’s were or that the articles were with reckless they were false. need not concern ourselves We question with the interest the event preliminary since this consideration has been conceded. genuine issue of dispositive material fact is one that litigation. presented by If there are no facts the inter

rogatories, depositions place affidavits which would *14 judgment issue, defense of the trial court’s should App. 542, 251 be affirmed. Doe v. Barnett 145 Ind. N.E.2d 688 . Gary Department report

The Fire the of fire is as follows: “Origin heavily of cause The most fire: area burned living leading was Makeshift stairway room and around to attic. running dining extension cords from room through living stairway wall under to room for television hook-up, then same from outlet another extension cord for-light upstair being attic extended to used for as this attic was sleeping quarters.” brief, report Aafco contends that any this routine eliminates possible overloading comment on furnace blower electrical Aafco further contends that the factual circuit. published variance between report and the articles raises a clear inference of a reckless for the truth in investigatory reporting techniques. Northwest’s disagreement challenge a with Northwest’s reflects Aafco’s coupled report official’s of inferences. The with one fire choice suggests assessment several inferences. choice of infer- One from, suggest may conclusion much a a ences second different inferences, choice of but these of inferences a third choice reporting. irresponsible falsity or not constitute choices do supra, Butts, 155, 87 Co. v. Curtis S.Ct. depositions

The established that the articles affidavits city wholly were based information from obtained testimony participants officials and from the the license Gary proceedings revocation conducted Contractors’ surrounding Licensing most, At circumstances Board. re- publication that Northwest’s the articles indicates Department porters may to examine Fire have failed report misinterpreted report’s possibly conclusion as But, the cause the Collins’ fire. evidence to discloses investigative verify recurrent effort factual no lack support a reasonable sufficient inference statements falsity. It that: reckless must be remembered a reason- not measured conduct is “[R]eckless ably have or would prudent man would have investigated publishing. must be evi- There before [support] conclusion defend- dence ant to the doubts as in fact entertained serious Thompson (1968), publication.” Amant his St. truth 727, 731, 88 at 1325. policy privi- foundation the New The at the York Times lege promotion pub- expression. free standard designed maintains standard of care avoid lisher who knowing falsehood must be sufficient or reckless accorded factual errors which nonetheless occur those assurance genuine liability. expose If a not him to indeterminate will issue, concerning publisher’s dis- fact material reckless *15 ,showing regard by a that the truth raised mere could.be factually incorrect, the constitu- published speech was the avoiding self-censorship policy media be seri- tional ously eroded

'' conveyed Assuming impression that by articles false, find no in the we evidence record Northwest had any knowledge impression’s any falsity, nor find do we evidence that Northwest entertained of the serious doubts impression’s falsity. Therefore, summary trial court’s judgment hereby should be and the same is affirmed.

Buchanan, concurs; J., Garrard, J., opinion. dissents with OPINION

DISSENTING Garrard, agree us, J. I mate before case presented upon rials to the trial court for consideration summary motion judgment insufficient were to establish genuine issue of material fact issue of defense New York Times malice v. Sullivan as defined Furthermore, (1964), court the time the trial 376 U.S. 254. by guided plurality decision, only rendered its it was opinion Metromedia, (1971), Rosenbloom v. Inc. application which indicated of the New York Times proper.

standard would be However, 25, 1974, Supreme June its Court issued Welch, decision in Gertz v. Robert Inc. 418 U.S. by a majority redefined Court applicability of First Amendment aas defense in necessary certain libel It actions. therefore deter- becomes presented mine whether Aafco has a viable claim on facts presented under the modification announced in Gertz.

In York New Times the Court determined that libelous communication privileged the news media was unless ac- companied what has come to be known as “constitutional malice”. only publisher Such malice exists where the of the knowledge libel has falsity actual the statement or publishes probable with reckless falsity.

Subsequent decisions have further defined what conduct through e.g. suffices to See, establish malice recklessness. 64; Garrison v. Louisiana St. Amant Thompson (1968), 390 U.S. 727. *16 conceive, I

Here, however, to we are concerned with what York-Timesconcept. application the New be a more basic Neto the the York Times is balance between The essence of against right public protection the individual members to public, defamatory right the false the accusations and general, knowledge shape affairs that in to of the events and balance, attempting the their lives.1 In achieve this Court to has, so, recognized if essential properly and I that believe respon- preserved, value is to those informed be providing must accorded some for information be sible margin providing chilling “breath- effect of no error. The ing space” upon vital information dissemination true, verify proof to the burden of either difficult under is but containing substantially imposed trial, at minor true but inaccuracies, cases. well discussed federal privi- that consideration

Yet it is to remembered be defamatory Mr. lege postulates As necessarily falsehood. a Amant, majority in stated: writing for St. White, Justice igno- puts premium on may such a test “It said that inquire, rance, encourages publisher not irresponsible testi- permits by the defendant’s to be determined the issue good faith published the statement mony that he falsity.” probable of its unaware tainment and ability or further it erroneous 731-32. “Neither is essential First publications lies Amendment, publication of the truth about nor proliferation. false communications serve the ends the First Amendment as [*] and no well as true ones.” [*] [*] But one suggests insure the ascer- public affairs, protect their desir- some at significance measure, Therefore, in broad bearing define, real, very if difficult to issue has events at sacrificing truth and justification recognized by the Court well This was reputation. purpose its also has as 1. The First Amendment appli- however, opinion. I, find those right express his individual’s See, Pub- Curtis purview considered. beyond of those here cations v. Co. Butts, lishing infra. of law appropriate rule as Gertz, but abandoned was predictability. providing more favor of one determined Amant the Court York and St. In New Times malice of constitutional the absence privilege based on concerning public justified reports officials. Press Associated Butts Co. v. Curtis application of extended Walker figures” they nevertheless “are “public because standard to important public intimately in the resolution of involved shape fame, events in areas of questions, or, by of their reason large.” society 388 U.S. 164. concern *17 supra, Inc., Metromedia, the Court Rosenbloom v. Then in if a mere malice” necessity for “constitutional found the in con made “private to recover for statements citizen” was allegedly involving discovery ob nection with the events Blackmun Burger, Brennan scene materials. Justices the requiring application of qualified privilege found the “all in discussion present New York Times standard to be con involving communication matters of or cern, regard persons involved are the without to whether anonymous”. 44. Mr. White Justice famous or private citizens those have this extension to would limited servants, in the official acts of or affected involved reported in full detail. he felt should Welch, Robert context, In came to Gertz v. this the Court Chicago policeman supra. attorney. was Inc., an Gertz was by the victim’s Gertz retained convicted of murder and was against police- litigation the family represent them in civil magazine alleged appearing man. article in defendant’s An part communist policeman’s murder trial was that the (who in criminal conspiracy, implied had no role the that Gertz a communist- case) record, was had criminal and asserted he judgment sued, court entered n.o.v. Gertz the fronter. When showing on the that there no defendant basis for the required malice constitutional the under the New York Times standard.

n Supreme reversing recognized legitimate Court the compensating' injury reputation state interest to the' private individuals who have been defamed and held unduly abridged by proposed such interest was the test plurality. Rosenbloom anticipated The Court also disadvantages of hoc ad determinations that would follow quest “public” “general” to determine which events were interest. balancing again competing

Thus, effort once Court, affirming public, “public interests of the while figure” announced, “public previously official” and standards official/figure, non-public case of the held inter- injury by defamatory protecting est the redress inflicted “breathing outweighed requirements falsehood room” necessary implementation full Amend- the First except ment, sought the extent per- that the redress would recovery compensation injury,2 for more mit than for actual impose liability words, fault. without In other Gertz non-public official/figure, the case holds against protects only liability First Amendment (in malice) without fault the absence of damages injury. limits to actual Accordingly, says may when Court “the define states appropriate liability”, themselves the standard of it iterating merely absence of constitutional limitation.. *18 (cid:127) Judge turning law, In then Indiana I merit -find no assumption ready 1, the Staton’s Section of Article provides privilege Indiana broader in defense Constitution a of appears Any plain libel than in the First Amendment. reading dispel a Section 9 must such notion.

Instead, Indiana case law the establishes that absence privilege, Amendment First malice in the connotation New York necessary recovery. Times is not a element punitive 2. damages precluded. Presumed or injury are Actual in impairment reputation standing cludes per community, in the humiliation, anguish sonal suffering. Welch, mental Gertz v. Robert Inc., 418 323, 350. Printing (1889), Wabash Co. Crumrine 904; Ind. v. McGinnis 123 Ind. 21 N.E. Gabe 538; Employees, etc. v. Zurzolo Hotel and Restaurant App. 233 N.E.2d Ind. ' Furthermore, very preser- I am much in while accord with “breathing necessary a vation of room” dimension purposes successful of the First Amend- recogni- it ment, not believe that is emasculated doI gives majority competing tion interest the Gertz preserving reputation. from defamation one’s figure

Where a sub- either official a ject report, con- absence of exists report however, When, stitutional malice. concerns anonymous, “private” citizen, liability otherwise or mere then injury imposed defamatory for actual be untruth will for a showing although upon fault, be a that fault based negligence.

While an ad hoc particular determination of whether a event might is a matter of keeping interest more in be purposes with ultimate Amendment, First I am agree forced to of predictability the lack approach might provide chilling upon reporting well effect we seek to avoid. presented

The materials to the court below were sufficient to disclose disputed genuine existence of a issue ma- terial appellee negligently pri- fact: whether libeled mere causing vate citizen injury. actual I therefore believe judgment summary should set aside in favor of trial on the merits. Reported at 321 N.E.2d 580.

Note. — Day

Roosevelt v. State Indiana. Filed [No. 2-773A152. December 1974.] L. REV. notes 70 MICH. (1972). 94-96 VI. Test subject adopted Court believes that This matter test opinion general topic event this' or in- —an Many favorably 10. eases to the these have been decided de by summary judgment See, e.g., or directed verdict. Treutler v. fendant Meredith (8th 255; Corp. 1972), Gospel Spreading Cir. F.2d Church U.S.App.D.C. 207, 1050; v. Johnson Co. 454 F.2d Syn Time, (4th 1971), 378; F.2d Miller News Inc. v. Johnston Cir. v. Dacey 1971), 356; Bar, (2nd (5th dicate Florida Inc. Cir. 445 F.2d Co. 1970), Cir. 427 F.2d provide courts terest —will both media and the guidance sufficient to those with as matters appropriate for comment thus ac- are privilege. corded applying test “malice” interest task of involve the trial courts standard will

Case Details

Case Name: Aafco Heating & Air Conditioning Co. v. Northwest Publications, Inc.
Court Name: Indiana Court of Appeals
Date Published: Dec 30, 1974
Citation: 321 N.E.2d 580
Docket Number: 3-1073A133
Court Abbreviation: Ind. Ct. App.
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