Marion Smith v Mountain Oaks Winery (Pty) Ltd and Another

The appellant created and controlled a public website listing certified biodynamic and organic wine producers. On the website, Mountain Oaks Winery was listed with a note in red stating that it was "no longer organic". The respondents, who owned and marketed wines from Eikenbosch farm under the Mountain Oaks label, contended that this statement was false and damaging to their reputation and goodwill, as they had been certified organic producers since 2005. They sought an interdict compelling retraction and correction. The High Court granted the interdict. The appellant appealed, contending that the statement was true under post‑2012 EU organic wine standards and that the elements of injurious falsehood or defamation had not been proved.

The appeal was upheld with costs, including the costs of two counsel. The High Court order was set aside and replaced with an order dismissing the application with costs.

The case clarifies the strict requirements for establishing injurious falsehood in South African law, particularly the need to prove falsity, knowledge of falsity, and actual damages. It also illustrates how regulatory standards can determine the truth or falsity of commercial representations and reaffirms the application of the Plascon‑Evans rule in motion proceedings.