Quote From: starsong14Dear Dr. Phil: I can't think of anything worse one human being can do to another, than to "bear false witness," a direct violation of the 10th Commandment. How dare anyone create or perpetuate a rumor (true or false) against another person. And, then to add insult to injury sully the person's good name. I could quote from the Commandments to Shakespeare ("he who steals my purse steals nothing, but he who sullies my good name takes all I have) paraphrasing, to "The Crucible" and the Salem witch hunts. The message is the same. Take a pillow and let all the feathers blow into the wind. Taking back a reputation-destroying falsehood is like attempting to get each and every feather back into the pillow. False witness leads to corrupt ideology. History has taught us where that leads. We simply need to find the graves of six and a half million people whose murders were justified by others bearing false witness against them. Then look at the genocides in Africa of ten years ago and now Al-queda. Read "The Children's Hour" and see that those who are not killed by others, die by their own hand. You get my drift.  
 
If there is hope at the end of the tunnel, it is to say to those whose reputations have been ruined: walk with dignity and rise above these small minds. It always amazes me that those who are so ready to cast the first stone always seem to be living in houses made of glass. Jesus died in order to prove to those who would sully him that love is the way . Pray for those who would ruin you for the doors of Heaven are closed to them. Starsong14 
Starsong14,
I'm glad you made the point about the Jews in Europe being vilified through having malicious rumors spread about them (and eventually murdered while people looked the other way) because it's one that's often overlooked. It is one of the most sad and compelling examples of how damaging slander can be.
Bullies are usually deeply insecure people who feel driven to put others down to elevate themselves. The intent of people who gossip and slander is to marginalize, isolate, and undermine their target. It is a form of bullying and psychological harassment and if it continues for even 6 months, it is well known among health professionals that it can have serious effects (unable to work/study, PTSD, insomnia, depression, loss of confidence, social withdrawal, suicide).
It should be noted that bullies tend to target not only people they consider a threat, but those they believe will not retaliate in any way (take legal action, tell on them, fight back etc.). While it may be more dignified to not respond, it could send an unintended message that one is weak and passive and result in more bullying by that individual and even others.
My personal and business reputation has been trashed in my community (first by a bitter ex, then by others who appear to feel threatened) so I know first hand what it feels like. I do intend to send the person who sullied my business reputation a cease and desist letter from a lawyer possibly demanding a retraction and apology. It will be money well spent. I worked too long and too hard to build up a great reputation and if I just roll over, it will be like putting up a billboard for every insecure, roughneck to take potshots. I don't intend to do that.