Customer Review Lawsuit: Ripoff Report Case Study

Picture of laptop on table in modern office to accompany blog post about customer review lawsuitsAnother customer review lawsuit is making its way through the courts. Let’s talk about the case and review the basic requirements for winning an online trade libel case.

A Florida woman bought a hot tub, claimed it didn’t work, and posted a scathing review about it on Ripoff Report. In response, the hot tub company slapped the her with a defamation lawsuit.

Below, we’ll review the customer review lawsuit, and then discuss what differentiates an acceptable-but-negative online review from a defamatory one.

Ripoff Report Case Study: Customer v. Hot Tub Company

This Ripoff Report story is similar to most: A disgruntled customer posted a bad online review after an unfortunate incident, and the targeted company fired back with a libel claim.

In this case, a woman (whom we’ll call “Jenny”), bought a hot tub. “The spa leaked the first time I used it,” she explained, “so [the hot tub company] had it repaired. But then it leaked again. My carpet stank from the water and I wanted a refund.”

The situation grew even more contentious when the spa company reminded Jenny of the “no return” policy, which limited her options to paying a 10% restocking fee or $800 for a new tub.

Eventually, Jenny’s credit card company reversed the charges. Regardless, she posted her version of hot-tub-gate on Ripoff Report, which butchered the spa company’s bottom line.

Winning A Customer Review Lawsuit: Required Proof

Winning online review defamation cases isn’t easy. After all, free speech is a national solemnity. As such, slander and libel plaintiffs must present undeniable proof of the following:

  1. Falsity: Small mistakes don’t cut it. To win a defamation lawsuit, the problematic statement must be a demonstratively false statement of fact — and the plaintiff must prove its *untruthiness*.
  2. Harm: In most cases, businesses that file customer review lawsuits must demonstrate that the lie had a direct, financial impact on their bottom lines.
  3. Negligence: Proving harm and falsity still isn’t enough to win a trade libel lawsuit. Plaintiffs must also convince a judge or jury that the plaintiff a) didn’t engage in enough fact checking before publishing or b) knew the statement was false but posted it anyway.

Before moving forward with an online review claim, think about the situation. Can you prove all of the above? Or, did your adversary simply write a negative opinion? If it’s the latter, you may want to consider marketing options to restore your reputation instead of legal options.

Could win a customer review lawsuit?  Contact Kelly Warner Law.