Mercedes Corby and Channel 7 Settle Case

Seven Network settles Mercedes Corby defamation case

By Evyn Testoni and Adam Bennett

May 30, 2008 06:46pm

Channel Seven settles Corby defamation case
Walks by the Today Tonight studio after win
Says network chose ratings over truth

MERCEDES Corby will pocket a large payout from the Seven Network after winning a defamation case over its interviews with her former best friend.

Seven tonight announced it had reached a settlement with Ms Corby's lawyers to pay her an undisclosed sum, after a jury yesterday found she had been defamed by the network.

"The Seven Network has concluded a confidential settlement with Mercedes Corby's lawyers this afternoon,'' it said in a statement.

"There will be no further statements as the terms of the settlement preclude either party making any further comment regarding that settlement.''

A NSW Supreme Court jury yesterday found three Today Tonight programs and one news bulletin, broadcast in February last year, had defamed Ms Corby, the 33-year-old sister of convicted drug smuggler Schapelle Corby.

The programs centred on interviews with 35-year-old Jodie Power, a one-time Corby family friend.

The Today Tonight programs were found to have conveyed defamatory meanings, including that Ms Corby was a drug smuggler, a drug dealer and posed a threat to the safety of Ms Power.

Today's settlement would appear to be a case of Seven cutting its losses after losing its legal battle with Ms Corby.

The settlement means the Supreme Court will no longer have to decide damages in the case.

A short hearing will be held on Monday to declare the case over.

The settlement means both sides - but particularly Seven - will avoid having to pay for a further three or four days of legal argument over the amount of damages to be awarded.

Seven's legal costs in the five-week-long case would have been considerable.

It had already paid Ms Power $100,000 for the interviews and also gave the mother-of-two boys two all-expenses paid overseas holidays.

But the settlement also spares Mercedes Corby from further cross examination over her past drug use.

Outside court this morning, Ms Corby told reporters she has been looking forward to addressing the court on the issue of damages.

"This is a major victory for me and my family,'' she said.

"Living with these disgusting allegations has been difficult and hurtful.

"I'm relieved Today Tonight has been held accountable for their ... story.

"It is sad when a hunt for ratings overtakes the truth.''

Ms Corby said she hoped the current affairs program had learned a lesson from her legal win.

"I really hope that in future, Today Tonight thinks hard before broadcasting attacks and lies about somebody,'' she said.

"It may be just showbiz and ratings for Today Tonight, but it is real people they hurt.''

Ms Corby said today she now planned to spend more time with her family, including Schapelle, jailed in Bali for 20 years for smuggling 4.1kg of cannabis into Indonesia inside a bodyboard bag in 2004.

http://www.news.com.au/story/0,23599,23782051-2,00.html