The Tasmanian government has been forced to scrap controversial proposed changes to defamation laws after unanimous national opposition.
The island state's Liberal government wanted corporations employing more than nine staff to be able to sue protesters for commentary that could prove commercially damaging.
It was a move supported by the forestry industry that would have seen Tasmania break away from nation-wide legislation, therefore needing the support of other states and territories.
Attorney-General Vanessa Goodwin on Thursday said that support had not been forthcoming and that the government would ditch its plan.
"Having canvassed (other states and territories) it is clear there isn't that support," Dr Goodwin told reporters.
"We did not have the support of any state and territory governments to pursue this."
The attorney-general described the outcome as disappointing, adding that she and her colleagues had been trying to protect Tasmanian jobs that are threatened by "false and misleading campaigns".
But the policy had faced widespread criticism, including from law experts, who said the move would have stifled free speech.
Former Australian Greens leader Bob Brown said the government backflipped on its policy to avoid becoming a national legal laughing stock on a policy that had no support anywhere else in the country.
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