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Thursday, November 14, 2024

Tennessee Supreme Court dismisses developer’s defamation lawsuit against resident

State Supreme Court
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Chief Justice Holly Kirby | Tennessee Judiciary Website

The Tennessee Supreme Court has ruled that a defamation and false light lawsuit filed by Bill Charles against Donna McQueen must be dismissed under the Tennessee Public Participation Act (TPPA).

The litigation began in 2020 after Durham Farms, a planned community in Hendersonville, announced plans to add a "rental-only" unit section. Residents, including Donna McQueen, opposed the proposal and expressed their discontent through petitions and online comments. McQueen's Google review alleged that Bill Charles, president of the Durham Farms homeowners' association and a consultant for Freehold Communities, used misleading tactics to deceive homebuyers. In response, Charles sued McQueen for defamation and false light.

McQueen petitioned for dismissal under the TPPA, which allows defendants in speech-based lawsuits to seek dismissal unless plaintiffs can establish a prima facie case for each claim element. The trial court granted McQueen's petition, identifying Charles as a limited-purpose public figure who needed to prove actual malice but failed to do so.

Charles appealed, leading the Court of Appeals to partially reverse the trial court's decision. It ruled that Charles was not a limited-purpose public figure and did not need to prove actual malice for his defamation claim but upheld the dismissal of his false light claim. The appellate court also held that McQueen waived her request for attorney’s fees on appeal.

Upon reviewing McQueen’s application, the Tennessee Supreme Court concluded that Charles is indeed a limited-purpose public figure due to his involvement with Freehold Communities and communications with residents about development changes. The Court found no evidence of actual malice in McQueen’s statements, determining that her failure to investigate constituted negligence rather than malice.

Additionally, the Supreme Court ruled that McQueen had not waived her request for attorney’s fees on appeal since she included it in her brief's argument and conclusion sections adequately.

Based on these findings, the Supreme Court reversed part of the Court of Appeals' decision while affirming other parts and remanded the case for further proceedings.

To read Justice Sarah K. Campbell's unanimous opinion, visit TNCourts.gov.

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