In 1982, Morosi took 2UE and The Daily Mirror to court on defamation charges, with both Cairns and Morosi denying the accusations of sexual impropriety and corruption. In the Supreme Court of New South Wales, Cairns denied under oath having had a sexual relationship with Morosi. The jury in that case found that the article in question did contain "an imputation" that Cairns was "improperly involved with his assistant, Junie Morosi, in a romantic or sexual association", but that this statement was not defamatory. Cairns did not receive compensation, although Morosi did.