Maxim Ali has illustrated to the DP low compensations problem in business reputation disputes

The RepTrak Company (Reputation Institute), an international consultancy, estimates that Russian businesses have become more than 3 times more likely to use words related to reputation than it was in 2000. These changes show that domestic companies have become more concerned about their reputation. However, there is still acute a problem of extremely low compensation awarded by courts to plaintiffs in defamation-related disputes.

In one case, for example, a travel agency was able to recover only 35,000 rubles for the publication of a post about a burning bus with children on VKontakte social network. However, the publication was viewed by 30,000 people. “In a sense, the cost of spreading defamatory information, which the court recognized as such, was 1.5 rubles per user,” Maxim Ali, a partner and head of IP/IT practice at Maxima Legal, told the Delovoy Peterburg newspaper.

To read the full article (in Russian), please see the Delovoy Peterburg website >>>