Caldwell was shopping at T-Mart department store, carrying a large purse. A security guard observed her looking at various small items for sale. At one point, Caldwell put her reading glasses in her purse, and the guard thought she might have been shoplifting. The guard approached her in the parking lot and accused her of taking store merchandise. The guard found no stolen goods in her purse but had her return to the store with him. They walked around the store for approximately 15 minutes, while the guard said six or seven times that he saw her steal something. Another store employee indicated she could go and Caldwell later sued. What kind of suit did she file, and what should the outcome be?

Defamation refers to a false or misleading claim made by a party about another party, which harms or damages their reputation. The target of defamation can sue the offending party for this and demand a compensation.

Most states in the United States recognize the concept of defamation per se, that is, false statements that are inherently defamatory and that injure the reputation of the offended party, like accusing someone of committing a crime. What the plaintiff has to do to win a defamation suit is prove that the statement was made, that the statement was false, and that the person who made the false statement shared it with a third party. In our case, Caldwell was falsely accused of stealing by the security guard, and at least another store employee had knowledge of the situation. This fulfills the criteria needed for Caldwell to sue for defamation and win the suit.