Paralegal Advanced Competency Exam (PACE) Practice Exam

Defamation involves attacking a person's reputation through false statements that can harm their standing in the community or personal relationships. It encompasses two main categories: libel, which refers to defamation in written form, and slander, which involves spoken statements. The core component of defamation is that the statements must be untrue and made with the intent to damage one's reputation. This distinguishes defamation from other legal concepts, as it specifically addresses the harm caused by the dissemination of incorrect information about an individual or entity.

In contrast, other options focus on concepts that do not relate to reputation. Supporting a person's character involves positive affirmations, creating a formal document refers to legal documentation processes, while establishing a trust relates to estate planning and asset management. None of these accurately capture the specific nature of defamation.