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Real estate bloggers can protect themselves from libel lawsuits

Thousands of real estate blogs have been created in the past few years, but their operators and message writers can be sued if their comments are libelous.

Q. I operate a blog on the Internet that focuses on local real estate issues. One man who recently lost his home to foreclosure wrote a profane message that appeared on my blog, claiming that the bank did several unscrupulous things to "force" him into foreclosure so it could sell the property itself for a big profit. The bank's lawyers have now sent me a certified letter saying that the man's statements were false and libelous and that the lender intends to sue me for defaming its character. There's no way that I can afford to defend myself in a big lawsuit. What can I do?

A. You probably don't have to worry much, especially if the writer's rants were limited to only one or two statements and you made no defamatory comments yourself. But your situation provides a reminder that operators of the thousands of real estate blogs that have sprung up in the past few years can easily get themselves into legal trouble if they don't tend their blogs carefully. People who post messages on such blogs need to be careful, too.

Below are answers to some typical questions I have recently received concerning the liabilities of operating real estate-related blogs and posting messages to them.

Q. What is a blog?

A. Most blogs are basically a personal journal that individuals use to publicly post their thoughts or questions via the Internet. Many blogs also allow readers to post comments of their own, and have computer links to related sites.

The number of real estate-related blogs soared in lock step with the start of the housing boom about eight years ago, and now are climbing again as prices fall and foreclosures rise. Small blogs are often created by homeowners like you, who want to provide commentary and feedback on the state of the local market. Others are operated by homeowners associations, big real estate companies or professional trade groups.

Q. Can I really be sued for stuff that is published on a blog?

A. Yes. Much like newspaper reporters, bloggers can be sued if they publish a story (or merely make a brief comment) on their site that they know is false or that defames or libels another person or a company.

Most professional journalists are trained to know what's fair and legal to write. The majority of bloggers don't have the benefit of such training, so are sometimes more likely to write or publish something that could trigger a lawsuit.

Q. If I'm sued, what factors could I cite to defend myself?

A. I don't have room in this column to provide details of libel laws. But, as the saying goes, "Truth is the ultimate defense." If you can prove that what you personally wrote or published on the blog is true, it's almost impossible for the plaintiff to win a lawsuit.

Remember, though, that defending yourself in a libel case can be very expensive. And even if your defense is successful, there's no guarantee that the judge will order the party that sued you to pay your attorney fees and court costs. It's not unusual for a judge to make a ruling but then require both the winner and loser to pay their respective legal expenses.

Q. What can I do to prevent myself from getting sued?

A. There's nothing you can do to eliminate the chance of getting sued, but there are some easy steps you can take to reduce the chance of getting slapped with a libel lawsuit.

First, make sure that anything you write is the truth. That goes for anyone who operates their own real estate blog, as well as any person who might send a message to it.

There are other precautions you can take if you operate the blog yourself, whether it's for your personal use, as an HOA's chat board or other purposes. As the "publisher" of the blog, you generally have the right to refuse to post a comment from a reader that you know is false or inflammatory -- much like newspaper publishers can decide which letters to the editor they will print and which ones they will not.

The federal Communications Decency Act also gives you a limited amount of protection. Under the law, the operator of a blog or other "interactive computer service" usually cannot be held liable for comments from others that appear on their Web site. So, even if you publish a disparaging statement from someone else, you probably can't be held liable for any damages if you don't contribute to the commentary yourself.

© 2008, Cowles Syndicate Inc.

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