On 17 May 2025, the Supreme Court of Justice of Panama issued a landmark ruling in favour of freedom of expression and the press, in the context of a civil lawsuit brought against the newspaper Corporación La Prensa, S.A. The lawsuit, filed in 2006 by a former justice of the Supreme Court, sought USD 25 million in damages over three articles published by La Prensa.
In its decision, the Court adopted the “actual malice” standard established by the U.S. Supreme Court in the New York Times Co. v. Sullivan case. This doctrine holds that in order for public figures to succeed in civil defamation suits, they must prove that the contested statements were made with knowledge of their falsity or with reckless disregard for the truth. Among other important points, the Panamanian Supreme Court also stated that compensation awards that merely aim to fulfil the plaintiffs’ dreams of fortune – by inflating the amounts disproportionately in order to silence those who are simply exercising their right to express themselves – cannot be allowed to prevail.
This decision marks a significant step forward for press freedom in Panama, contributing to a more enabling environment for independent media to hold power to account without fear of retaliation.