Isaac, you are correct with the law situation. Defamation as a civil law means the claimant must show that they have suffered some form of ACTUAL loss or damages as a result of the printed word, be it mental stress, financial loss etc. A "reckless disregard to the truth" is covered under these laws. The classic example is where someone say had a criminal conviction as a youth. After 10 years of no subsequent convictions, these offenses become "spent convictions" and X does not need to reveal these misdemeaners.
Now, let's say that person (X) has moved on in their life and let's say that Person Y has a vendetta against X and reveals that X had a conviction for offending as an 18 yo. As a consequence of those revelations, X is sacked from their job, booted off this that and the other, and has their membership of the Adelaide Club revoked.
Even though what Y revealled was true, they did so recklessly knowing there would be consequences and in doing so caused ACTUAL damages to X. Consequently, X may sue Y for ACTUAL loss.