(1) Unless the court
orders otherwise under subsection (2), the maximum amount of damages for
non-economic loss that may be awarded in defamation proceedings is $250 000 or
any other amount adjusted in accordance with this section from time to time
(the maximum damages amount ) that is applicable at the time damages are
awarded.
(2) A court may order
a defendant in defamation proceedings to pay damages for non-economic loss
that exceed the maximum damages amount applicable at the time the order is
made if, and only if, the court is satisfied that the circumstances of the
publication of the defamatory matter to which the proceedings relate are such
as to warrant an award of aggravated damages.
(3) The Minister is,
on or before 1 July 2006 and on or before 1 July in each succeeding year, to
declare, by order published in the Gazette , the amount that is to apply, as
from the date specified in the order, for the purposes of subsection (1).
(4) The amount
declared is to be the amount applicable under subsection (1) (or that amount
as last adjusted under this section) adjusted by the percentage change in the
amount estimated by the Australian Statistician of the average weekly total
earnings of full-time adults in Australia over the 4 quarters preceding the
date of the declaration for which those estimates are, at that date,
available.
(5) An amount declared
for the time being under this section applies to the exclusion of the amount
of $250 000 or an amount previously adjusted under this section.
(6) If the Australian
Statistician fails or ceases to estimate the amount referred to in subsection
(4), the amount declared is to be determined in accordance with the
regulations.
(7) In adjusting an
amount to be declared for the purposes of subsection (1), the amount
determined in accordance with subsection (4) is to be rounded to the nearest
$500.
(8) A declaration made
or published in the Gazette after 1 July in a year and specifying a date that
is before the date it is made or published as the date from which the amount
declared by the order is to apply has effect as from that specified date.