Next Technologies, Inc. v. Beyond the Office Door, Inc.

Federal 7th Circuit Court
Civil Court
Defamation
Citation
Case Number: 
No. 20-2169
Decision Date: 
March 24, 2021
Federal District: 
W.D. Wisc.
Holding: 
Affirmed

Dist. Ct. did not err in entering judgment in favor of defendant in Wisconsin state-court action alleging that defendant defamed standing desks manufactured by plaintiff, where defendant, which also manufactured standing desks, published unfavorable review of plaintiff's standing desk that plaintiff claimed was not true. Under Restatement (Second) of Torts sections 623A, 626 and 649 product defamation is treated differently than personal defamation, and that, for purposes of product defamation claim, plaintiff is required to establish that speaker knew that defamatory statement was false or was made with reckless disregard of its truth or falsity. Plaintiff failed to meet this standard, where instant unfavorable comparisons made by plaintiff's competitor were arguably privileged, and where instant disagreements regarding shades of color of product and desirability of product design are not false assertions of specific unfavorable fact that plaintiff was required to establish.