Slander of title is a false and malicious statement made in disparagement of a person’s title to property that causes the property owner special damages (losses). It is a tort action with stringent pleading and proof requirements.
In a slander of title action the plaintiff must prove that the defendant made a false and malicious statement, disparaging property in which the plaintiff holds an interest, and causing special damages.
In states that recognize a slander of title claim or cause of action, some courts have held that a plaintiff who sues for slander of title must plead and prove the loss of a specific sale—and that a plaintiff who does not meet these pleading requirements may not recover damages.
In North Carolina, slander of title is recognized as a cause of action. To establish a claim for slander of title, a plaintiff must demonstrate that the defendant made a false and malicious statement that disparaged the plaintiff's title to property, resulting in special damages. These special damages typically need to be specific and quantifiable losses, such as the loss of a particular sale. The burden of proof is on the plaintiff to show that the disparaging statement was not only false but also made with malice, which means with knowledge of its falsity or with reckless disregard for the truth. The requirement of malice distinguishes this tort from mere negligence. If a plaintiff fails to meet the stringent pleading requirements, which include the specificity of the alleged damages, they may not be able to recover damages. As with any legal matter, the specific facts of the case and state statutes will guide the application of the law, and consulting with an attorney for individual cases is advisable.