Durando v. The Nutley Sun

In 2005, "The Record," a newspaper owned by Defendant North Jersey Media Group, published an article about an SEC complaint. The headline of the article read: "3 N.J. men accused in $9M stock scam." Neither the SEC complaint nor the article suggested that Plaintiffs Ronald Durando and Gustave Dotoli were arrested. The North Jersey Media Group also owns Defendant "The Nutley Sun," which received permission to reprint the Record article about Plaintiffs. In 2008, the Sun prepared the article for publication in its December 8 edition (a promotional issue circulated to 2500 non-subscribers in addition to the weekly's regular subscribers), but wrote a new headline for the article: "Local men charged in stock scheme." The day after publication, Plaintiffs' attorney sent an email to The Sun pointing out that his clients had not been "arrested," and demanded a retraction. The North Jersey Media Group gave approval for the filing of a retraction, and indeed one was published in boldface and large print on the front page of The Nutley Sun's December 22 edition. This edition was not circulated to the 2500 non-subscribers who received the December 8 edition with the erroneous teaser. Subsequently, Plaintiffs filed suit, alleging libel against the Sun and North Jersey Media Group. The trial court ultimately granted summary judgment in favor of Defendants on all claims and dismissed the complaint. The court determined that there was not "sufficient evidence from which a jury could clearly and convincingly conclude that any . . . of the defendants acted with actual malice." In an unpublished opinion, the Appellate Division affirmed, finding no 'clear and convincing' evidence of actual malice to warrant a jury trial on defamation or false light. Upon review, the Supreme Court affirmed: "[a]lthough this case unquestionably involves sloppy journalism, the careless acts of a harried editor, the summary-judgment record before the Court cannot support a finding by clear and convincing evidence that the editor knowingly or in reckless disregard of the truth published the false front-page teaser."