68 The plaintiff attributed the downward trend in work from ISG from about February 2007 to the fact that thereafter he was not doing surgery in Queensland. As he said in the interview of 18 July 2008, he had not been associated with Miss Noon a great deal for the previous 12 months. He did not accept that he had any business relationship with her.
69 On 13 August 2008 the plaintiff had a telephone conversation with Miss Noon in which she told him three patients whom he had seen had cancelled their surgery, and patients were still coming to her but asked not to be referred to him. (This evidence was admitted as relevant to hurt feelings, not to economic loss (T p 103). It establishes the fact of the conversation.)
70 On 6 November 2008 the plaintiff wrote to the Medical Board of Queensland seeking a review of the orders made on 5 March 2007. The letter included:
"The financial consequences are also incalculable. Patients do not wish to go near a surgeon who has conditions placed on his practice, considering him to be a rogue and unsuitable, and the Motor Accidents Authority will no longer refer matters to me as a panel expert on scarring and upper limb impairment. The conditions are viewed as though I have committed some gross error and, in short, I believe that those conditions that have been placed upon my practice as a result of possibly being naive seem to me to be overly punitive."
71 The plaintiff said that since August 2008 he has not done any cosmetic surgery on referral, and has not replaced the work referred by ISG with other cosmetic surgery work. In accepting that as the income from ISG went down, his income from other sources has gone up, the plaintiff said (T p 268) "… I now have half a day a week off, where I never had before. I used to go up to the Gold Coast for two days a week".
72 The plaintiff submitted that it was reasonable to assume, but for the programme, that the plaintiff's income from cosmetic procedures would have continued at least at the same level as the year ending 30 June 2008 until he retired in about five years time. It was put that the plaintiff's increased income from non-cosmetic work did not replace the income gained from the two days per month previously spent on the more remunerative cosmetic procedures, with the result that the increase would have been greater had the referrals continued.
73 For the defendants it was submitted that the claim should be rejected. It was put that the plaintiff's income tax returns disclose no loss post publication. As Ex AP showed, there was a marked deterioration in referrals and related income from February 2007 to July 2008 whilst the plaintiff's professional income increased. It was put that the financial records show that, in fact, the plaintiff has replaced and improved upon the declining income stream from ISG. It was further submitted that the history of decline, particularly between January and July 2008, precluded an assumption that referrals would have continued had there been no broadcast on 1 August 2008.
74 The defendants also submitted that there was no evidence that the severance of the relationship was caused by the broadcast. It was put that the probable causes were the effect of the order of the Medical Tribunal as described in the plaintiff's letter of 6 November 2008, and the broadcast of an earlier programme of "A Current Affair" which referred to Miss Noon and resulted in the cancellation of a procedure.
Consideration
75 In my opinion the plaintiff's claim, properly described, is one for compensation for loss of the chance or opportunity to earn income from patients referred by ISG post publication. The onus is on the plaintiff to prove the monetary amount of the loss, and that it was caused by the broadcast of the programme. As for causation, it is sufficient to establish that the publication of the defamatory imputations was a cause or materially contributed to the loss (Selecta Homes and Building Co Pty Ltd v Advertiser-News Weekend Publishing Co Pty Ltd [2001] SASC 140, pars 142, 143).
76 In my opinion the plaintiff's evidence that Miss Noon severed the relationship soon after the broadcast of the libel is sufficient for the finding, which I make, that the programme was a cause of, or materially contributed to, the cessation of referrals from ISG in August 2008. At the time of the broadcast the relationship was in decline for a number of reasons and, in my opinion, probably would have come to an end anyway within a relatively short time. The effect of the programme was a cause of it ending earlier than it otherwise would. Accordingly, the resultant loss is compensable.
77 The paucity of evidence to support the claim makes quantification almost impossible. Neither Miss Noon nor anyone else on behalf of ISG were called. There was neither evidence as to the probability of the relationship continuing, nor evidence which explored the probability of continued referrals to the plaintiff and, if so, the probable number of patients and types of procedures. There were no forecasts or projections of future prospects.
78 Assessment of this component of the claim involves the exercise of a wide discretion. The court is not constrained by narrow limitations and is required to do the best it can despite the paucity of specific evidence. Assistance is to be had from the analysis of the cases by Heydon JA in State of New South Wales v Moss [2000] NSWCA 133, pars 67-87, from which his Honour concluded (par 87):
"The task of the trier of fact is to form a discretionary judgment by reference to not wholly determinate criteria within fairly wide parameters. Though the trier of fact in arriving at the discretionary judgment must achieve satisfaction that a fair award is being made, since what is involved is not the finding of historical facts on a balance of probabilities, but the assessment of the value of a chance, it is appropriate to take into account a range of possible outcomes even though the likelihood of any particular outcome being achieved may be no more than a real possibility".
79 Allowing for contingencies, the evidence suggests there would have been some referrals after the programme. With loose regard to the information in Ex AP as to the numbers of consultations and procedures between February and July 2008, noting that there were none in June 2008, I estimate the relationship would have ended within the next 12 months, during which the plaintiff would have attended to six referrals. Taking the average fee per patient to be $2,500, I assess damages for economic loss in the amount of $15,000 which is to be included in the overall compensatory award.
Assessment
80 In summary, the plaintiff's claim is for compensatory damages for harm to reputation, for injury to feelings, for the purpose of vindication, for aggravated damages on a number of counts, and for loss resulting from the cessation of referrals from ISG.
81 I have found that at the time of publication the plaintiff had a settled and high reputation in the wide medical profession as a very competent surgeon. The imputations were grave allegations of incompetence, unfitness to practise as a surgeon, and guilt of serious professional misconduct.
82 The programme was broadcast Australia-wide to about two million viewers. Damage to reputation is presumed. Although witnesses gave evidence of the plaintiff's reputation, none said that as a result of the broadcast they thought the less of him, or that his reputation was actually diminished in the circles in which he moved. Nevertheless, I do not doubt that the imputations conveyed by the programme would result in significant injury to his reputation. I am also satisfied that, given the nature of the accusations published, it would be natural and probable that there would be discussion about them as the evidence of Dr Maitz, Miss Pye, and the plaintiff himself demonstrated. Thus some allowance should be made for the "grapevine" effect as explained by Gummow J in Palmer, Bruyn and Parker Pty Ltd v Parsons [2001] HCA 69; (2001) 208 CLR 388 (pars 88-89) in assessing the award.
83 The plaintiff is entitled to compensation for damages done to his reputation and for hurt to feelings. The award must be sufficient to enable him to point to it as a vindication of his reputation and to mark the baselessness of the defamation (Cassell & Co Ltd v Broome [1972] AC 1027; Ley v Hamilton (1935) 153 LT 384). The assessment requires an estimate of the likely duration of reputational damage. I consider it likely that the substantial portion of reputational harm occurred in the weeks immediately following publication with the overall impact on reputation gradually diminishing in the months thereafter.
84 As to the hurt to the plaintiff's feelings, I have earlier set out the evidence and my findings. I accept the plaintiff's evidence that he was gravely upset, distressed and angered by the programme, and by the need to undergo the ordeal of these proceedings to obtain an award for his public vindication. In my assessment the significant component of the award should be for compensation for hurt to feelings.
85 Factors to be taken into account also include the continuing harm occasioned by the failure to apologise, the defendants' persistence in the plea of justification, and the strain occasioned by the proceedings.
86 I have already held that the plaintiff is entitled to aggravated damages for the falsity of the imputations; the conduct of defendants' senior counsel in asserting in cross-examination that the plaintiff had improperly destroyed photographs of Miss Chia, and had rushed into the operation on Anne for personal profit; and for the defendants' conduct in the composition, editing and presentation of the programme. Taken together these matters justify a significant increase in the award of compensatory damages.
87 In assessing the amount of damages to be awarded to the plaintiff I have been guided by the relevant principles which emphasise its compensatory, not punitive, purpose and require there be an appropriate and rational relationship between the harm sustained by the plaintiff and the amount awarded.
88 I assess damages for non-economic loss in the amount of $240,000.
89 The plaintiff claims interest from the date of publication, 1 August 2008 at the rate of four per cent per annum. In Greig v WIN Television NSW Pty Ltd [2009] NSWSC 877 McClellan CJ at CL (par 5) said:
"5 It is commonly accepted that the primary damage to a plaintiff's reputation and injury to feelings is occasioned at the time of publication and shortly thereafter with both elements diminishing over time. For that reason, it is common to award interest at a rate which allows for the diminishing impact of the published libel. This, of course, is different to the circumstances where a plaintiff is pt [sic] out of money or damages with constant injury occurring by reason of the harm occasioned by the defendant's actions or a failure in a defendant to meet a monetary obligation which existed in the plaintiff."
90 In my assessment the greater part of compensable harm referable to reputation and hurt to feelings occurred at the time of publication. However, as earlier indicated, I find that the major component of harm resulting from the publication was the hurt to the plaintiff's feelings which has persisted from the date of publication to the date of this judgment. There was no delay by the plaintiff in commencing and prosecuting these proceedings. The award compensates for loss and harm spread throughout the period from date of publication to trial. In my opinion, in all the circumstances of this case, the award of interest which is fair to both parties should be interest at the rate of three per cent per annum. That calculation produces the sum of $11,700.
91 Accordingly there will be an award of damages for non-economic loss in the total sum of $251,700.
92 I have assessed damages for economic loss in the amount of $15,000. The amount is for compensation for the loss of referrals during the year following publication. Accordingly, in my opinion the fair rate of interest for this component is five per cent per annum. That calculation produces the sum, rounded off, of $1,219.
93 Accordingly there will a total award in respect of economic loss in the sum of $16,219.
94 It follows that there will be judgment for the plaintiff against the defendants in the total sum of $267,919.
95 The question of costs remains outstanding. Failing agreement, arrangements should be made with my associate 4pm 19 March 2010 to list the matter for argument.
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Annexure A
A Current Affair
1 August 2008