Hearst Corporation v. Hughes

466 A.2d 486, 297 Md. 112, 9 Media L. Rep. (BNA) 2504, 1983 Md. LEXIS 296
CourtCourt of Appeals of Maryland
DecidedSeptember 15, 1983
Docket[No. 56, September Term, 1982.]
StatusPublished
Cited by62 cases

This text of 466 A.2d 486 (Hearst Corporation v. Hughes) is published on Counsel Stack Legal Research, covering Court of Appeals of Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hearst Corporation v. Hughes, 466 A.2d 486, 297 Md. 112, 9 Media L. Rep. (BNA) 2504, 1983 Md. LEXIS 296 (Md. 1983).

Opinions

Rodowsky, J.,

delivered the opinion of the Court. Eldridge and Davidson, JJ., dissent. Davidson, J., filed a dissenting opinion at page 132 infra, in which Eldridge, J., joins.

The principal question presented in this appeal is whether, in a negligent defamation action, actual impairment of reputation must be proved in order to establish a right to recover compensatory damages, where emotional distress, caused by the defamation, has been proved to the satisfaction of the trier of fact.1 We shall hold that actual impairment of reputation is not required to establish the tort.

In July 1975, Dawn Rottman (Rottman) purchased a new American Motors Corporation (AMC) Matador from Forty West AMC/Jeep, Inc. (40 West). Soon after its purchase, the car evidenced serious mechanical defects. On fifteen occasions, Rottman brought the car to 40 West for warranty service, but the defects were not corrected.

During August 1976, the assets, but not the liabilities, of 40 West were sold to Security AMC/Jeep, Inc. (Security), a Delaware corporation wholly owned by AMC. At that time, Security began to sell and service cars at the location formerly occupied by 40 West. The plaintiff below, Wayne Hughes (Hughes), was employed by Security as its operating manager.

[115]*115Rottman, who continued to experience problems with her car, brought it to Security for service. Although neither Security nor Hughes had sold the car to Rottman, and the car’s warranty had expired, Hughes obtained special authorization from AMC to perform warranty service. Security made four attempts to repair the car, the last of which occurred on 29 June 1977. After this repair, a test drive was made by an investigator from the Maryland Department of Transportation who reported that "the vehicle operated properly” and that "no problem could be observed.” On 22 July 1977, the car’s engine cut out, and the car never again functioned.

Dissatisfied with the service she had received from AMC and Security, Rottman complained to a large number of government agencies, consumer help groups, newspapers, and television stations, including WBAL-TV, owned by the petitioner, The Hearst Corporation (Hearst). As part of its public affairs programming, WBAL broadcast short filmed commentaries by, inter alia, members of the public who had requested to appear.

On 29 September 1977, WBAL-TV broadcast a videotape of Rottman making the following complaint:

"Dawn Rottman: Viewers please bear with me while I read the following letter. If after I’m through, any of you have any suggestions, please send them to 1211 Cleveland Street, Baltimore, Maryland 21230.
Dear Mr. Wayne Hughes:
Hi Mr. Hughes. I’m sure that you know who I am. Just think a minute and you’ll get it. I’m the lady who has been trying for two years to get my car running properly. And you Mr. Dick, how are you tonight. Remember when I bought my new 1975 AMC Matador on July 9, 1975 and was explained your great buyer protection plan. Now I ask, what [116]*116protection? It surely isn’t against an engine that cuts out at various speeds without warning is it? Let me see, August the 27th, 1975 when the car only had 872 miles on it was the first trip to the service center concerning this. June 28, 1977 when the car had approximately 14,500 miles on it was the 19th trip for the same problem and guess what? On July 22, 1977 the engine cut out and the car hasn’t run since. I mean what should I expect for $5,093.16. A miracle? No just the car that runs. After all it has power steering and power brakes and you know that when you are doing, going down a highway doing 55 miles per hour and the engine cuts out that I can’t steer or stop the car. You don’t know the fun of playing dodge-um cars with three children in the back seat on the beltway and all you viewers, guess what? I have to go to court to try to get out of this death trap and get a car instead of a toy that plays with peoples’ lives from AMC. Mr. Hughes, here’s one person you could offer a camera and calculator to and I still wouldn’t buy another AMC product.”

As described by the court, Rottman explained that she "made her comments concerning Hughes because she considered Hughes to be the owner of the Security dealership, and she wanted everyone who would listen to her to know that Hughes was responsible for the difficulties she had experienced with her car.”

On 14 July 1978 Hughes, alleging defamation, sued Hearst. On 29 March 1982, in a written opinion issued after a bench trial, the trial court found that Rottman’s statement was defamatory, because it disparaged Hughes’ conduct in his trade, business or employment. Additionally, the trial court found that Rottman’s statement was false, because Hughes had not sold Rottman the car and, therefore, "it was not Hughes who put Rottman in a 'death trap.’ He had no connection whatever with the 1975 sale of the vehicle to [117]*117Rottman, nor with 15 of the 19 alleged trips 'for the same problem.’ ” Moreover, the trial court found that after the last such repair, the vehicle had operated properly.2 The trial court further found that Hearst had been negligent in broadcasting the statement.

On the damage aspect of the case the trial court found

"no out-of-pocket loss sustained by Hughes. Nor [was] there any evidence of impairment of reputation.”

The trial court was "persuaded, however, that the publication did produce personal humiliation and mental anguish,” for which compensatory damages in the amount of $2,500 were awarded.

Hearst appealed, and while that appeal was pending, Hearst petitioned for certiorari. We granted the writ before the appeal had been considered by the Court of Special Appeals.

Hearst contends that the trial court erred in awarding damages for emotional distress without proof that the broadcast impaired Hughes’ reputation. The exclusive foundation for Hearst’s argument is Maryland common law. It is Hearst’s position that, following Gertz v. Robert Welch, Inc., 418 U.S. 323, 94 S. Ct. 2997, 41 L. Ed. 2d 789 (1974), this Court has not defined the "actual injury” for which recovery will be allowed, absent proof of constitutional malice. We are invited to use Gertz as the occasion for requiring, as a matter of state law, that actual harm to reputation be proved before any compensatory damages for any harm may be awarded. The rule Hearst seeks is not Maryland law, and we decline to adopt it as Maryland law.

[118]*118I

A.

The subject legal issue lies in a corner of the law of defamation. To locate the issue in relation to the rules surrounding it, we must sketch common law defamation, federal constitutional developments and recent changes in the Maryland common law, insofar as they relate to the instant case. Unfortunately terms like "injury,” "actual injury,” "damage” and "harm” are used in different decisions, and often within the same decision, to represent different concepts. We shall use the following terms as defined in Restatement (Second) of Torts (Restatement).

"Injury” means "the invasion of any legally protected interest of another.” § 7 (1).

"Harm” means "the existence of loss or detriment in fact

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
466 A.2d 486, 297 Md. 112, 9 Media L. Rep. (BNA) 2504, 1983 Md. LEXIS 296, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hearst-corporation-v-hughes-md-1983.