Actor Geoffrey Rush has had a comprehensive victory in the defamation case he launched against Sydney newspaper the Daily Telegraph, with justice Michael Wigney labelling the articles published about him "recklessly irresponsible" and journalism "of the very worst kind".

In a judgement handed down Thursday afternoon in Sydney, the newspaper was found to have completely failed to make out its truth defence and Rush was awarded $850,000, with a further sum yet to be determined for economic loss.

Rush's accuser, Eryn Jean Norvill, declared outside court that she stood by everything she said at trial and had never wanted the matter to end up in court.

Rush, 67, sued publisher Nationwide News and journalist Jonathon Moran after they published allegations the Oscar winner had been accused of behaving inappropriately towards a female cast member during the 2015-16 Sydney Theatre Company (STC) run of King Lear.

Rush strenuously denied the allegations and filed for defamation soon after, claiming the stories had painted him as a pervert and a sexual predator, among other things.

During a three-week trial in 2018, Nationwide News argued a defence of truth based on the testimony of Norvill, who played the role of King Lear's daughter Cordelia in the production. Norvill did not participate in the stories and agreed at a late stage to testify for the Telegraph.

Handing down the judgement on Thursday afternoon, Federal Court justice Michael Wigney found in Rush's favour and said Nationwide News had failed to make its truth defence.

The courtroom was packed to hear the judgement, Rush sitting with wife Jane Menelaus behind his lawyers and Norvill seated with supporters in the front row of the public gallery.