He claimed that in order to be considered employment-related, defamation must meet two standards: (1) the author of the defamation must be the plaintiff's superior--defamation by a peer does not constitute employment-related defamation; and (2) the subject of the defamation must be the plaintiff's performance during the employment--an insult by a former supervisor does not constitute employment-related defamation.
Instead, the issue is whether Justin's [Stimson's] alleged actions, particularly his alleged defamation of his sister, were 'employment-related.
The court ruled that the defamation was an employment-related dispute and excluded by the CGL policy.
On the other hand, claims for post-employment defamation may net different results, such as in Owners Ins.
As these cases demonstrate, being in any type of employment situation with the insured and suffering defamation can trigger the employment-related practices exclusion on the CGL form; however, the defamation must be in an employment context.
Due to the ease with which one can publish defamatory material via cyberspace, the potential for global publication of the material instantaneously (21) , and the varying defamation laws among states (22), choice-of-law plays an even more crucial role in interstate defamation actions.
In general, defamation refers to a "false written [or spoken] statement that exposes a person to public ridicule, hatred, or contempt, or injures [their] reputation.
Despite the common elements of defamation shared among states, many key variations in defamation law exist.
The Restatement (Second) of Conflict of Laws Approach for Defamation
In multistate defamation actions, where the defamatory statement is contained "in any one edition of a book or newspaper, or any one broadcast over radio or television, exhibition of a motion picture, or similar aggregate communication[,]" (40) there is a strong presumption that the state with the most significant relationship will be "the state where the person was domiciled at the time, if the matter complained of was published in that state.