Slander of Title in a Digital World

Traditionally, slander of title was a tort claim used exclusively in the real estate industry when another party made wrongful, malicious, and other detrimental claims against one’s title to property. In a digital age, slander of title cases have passed through the courts concerning slander of title claims relevant not to real estate property, but rather digital or software property ownership disputes, such as the case SCO v Novell over the ownership of the rights of the Unix operating system. This case, which is the most notable concerning slander of digital title, most likely will be occurring more frequently as the digital developments become more proprietary and the financial gains from such proprietary ownership increase immensely. In essence, slander of title may prove applicable in any title of ownership, whether it is real estate, or in the digital world, patents, trademarks, and copyrights over software programs and other development work.

Elements Plaintiff’s Must Prove to Win Slander of Title Cases

The cause of action applicable to slander of title suits occur if another party makes false and malicious statements concerning another party’s right to ownership (title) over a given digital property (trademark, patent, copyright, or other form of digital ownership). The elements a plaintiff in a slander of title case must prove include, which may vary slightly by state, include:

Direct or indirect disparaging remark concerning the ownership or title of a digital property or right

Publication of the disparaging or detrimental statements concerning one’s personal property title, which must be a statement that is proven false or untrue

Publication of disparaging statement must prove false, as well as shown to be made without justification

The publication of the statement must have been made with malice, or intent to disparage or cause pecuniary (financial) damages to rightful title holder

The publication with malice must be shown to have caused actually pecuniary (financial) damages to the plaintiff, which must be proven as special damages as the proximate cause of the slander of title

In slander of title cases, legal fees are most often not recoverable, and in most cases as well, damages for non-economic claims, such as reputation damages or mental damages are not recoverable either. In essence, in the final element a plaintiff must prove in a digital slander of title case, the plaintiff must show a specific sale was lost or lowered by the slander. A notable point of damage claims pertinent to slander of title cases is that punitive damage requests are often granted provided a plaintiff proves the slander occurred with definitive malice.

Getting Legal Help with Slander of Title Claims involving Online Assets

Having the assistance and counsel of an attorney is essential in proving any slander of title claim, as well as pursuing damage awards from liable parties. Consult with an attorney before making any statements or taking other actions to initiate a slander of title suit, if you are considering doing so.

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