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The court ruled in Milo v. Martin that the host of a website is still protected from libel, defamation and slander charges by safe harbor provisions in the Communications Decency Act of 1996 (the CDA), even when the host has vouched for the accuracy of questionable statements made by others on the site. Its a pretty big deal in my eyes.
In this case statements were made anonymously on a website that two individuals found objectionable. They evidently pressed the web host host to remove said statements, however the host did not. Instead, it appears that the host investigated the statements and ultimately let them stand, going so far as to publicly announce that it the original statements were "believed to be totally accurate". Even vocally standing behind legally questionable information did not strip the host of protection afforded by the CDA.
In the eyes of the court, a host can only be held liable for damaging statements made on a website if the owners, employees or agents of the host actually make those statements. Until that line is crossed, the CDA applies and the host is safe from legal action.
We're not lawyers and this isn't legal advice, but it appears that (at least in the state of Texas) when one of your website members calls another member a doodyhead, not only do you not have to take action but you're free to pile on to some degree. Who said hostin' ain't fun?
Just be sure that none of your employees calls anyone a doodyhead. Then the CDA gets tossed out and in Texas you go directly to the electric chair. They don't mess around down there.
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