Robert E. Evans, v. Amcash Mortgage Company, Inc.

In this defamation action, Robert Evans (“Plaintiff”) filed suit against Amcash Mortgage Company, Inc. (“Defendant”) and Franklin American Life Insurance Company1 for an alleged defamatory statement made by Defendant’s attorney to one of Defendant’s employees. In granting the Defendant’s motion for partial summary judgment, the trial court dismissed Franklin American Corporation from the suit, dismissed Plaintiff’s claims against Defendant under a theory of “slander by action,” and held that a genuine issue of material fact existed as to whether the statement made by Defendant’s attorney to one of Defendant’s employees regarding the reason for Plaintiff’s employment termination is subject to a qualified privilege. Defendant appeals the judgment of the court below arguing that the trial court erred in denying Defendant’s motion for summary judgment regarding the statement made by Defendant’s attorney to one of Defendant’s employees concerningthe reason for Plaintiff’s employment termination because the statement is subject to a qualified privilege and is not defamatory in nature. For the reasons stated hereafter, we reverse the judgment of the trial court and hold that the statement made by Defendant’s attorney to one of Defendant’s employees regarding the reason for Plaintiff’s employment termination is subject to a qualified privilege and is not defamatory.