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Man fined £36,000 in damages after exposing mortgage fraud

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  • 16/03/2011
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A US blogger who caused a man to lose his job after reporting him for mortgage fraud, has been fined around £36,000 in damages by a court.

Blogger Johnny Northside Hoff posted an article about mortgage specialist Jerry Moore on his blog, after finding out that he was connected to a mortgage fraud.

Moore, previously a mortgage adviser, was employed by the University of Minnesota where he was studying mortgage foreclosures at the time of the blog entry.

Following the post, the University fired Moore which resulted in him accusing Hoff of putting up statements on his blog that were allegedly biased and defamatory.

Jill Clark, Moore’s attorney, argued that Hoff should be made responsible for the comments others made on his website because he had created a “defamation zone.”

The district judge disregarded the blog comments and said that they were either opinion or the comments of others on the blog.

However, the jury agreed with Clark that Hoff had committed “tortious interference” by meddling with Moore’s employment.

Clark also pointed out to the jury that Hoff, in a later blog post, took partial credit for Moore’s firing.

Throughout the trial Hoff denied claims that his reporting was false and provided the court with documentation to prove Moore’s guilt.

The court ruled that Moore was guilty of mortgage fraud.

Following the verdict, Moore sued Hoff for nearly £21,000 for lost wages and £15,000 for emotional distress.

The jury agreed in Moore’s favour and fined Hoff £36,000.

Hoff’s blog The Adventures of Johnny Northside, has up to 300 to 500 daily readers.

According to US newspaper the Star Tribune, his lawyers are examining whether the case can be overturned.

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