The former principal of an outback school has been awarded damages of $40,000 over a defamatory Facebook page created by parents of her students.

The hate page was set up in 2010 by the parents of two Coober Pedy Area School students and a former student of Gepps Cross High School about both schools' former principal, Sue Burtenshaw.

The civil claim has now been finalised, with Adelaide Magistrates Court awarding the maximum sum its jurisdiction allows.

Ms Burtenshaw's lawyer Carey Goodall said it was a pleasing outcome.

"I think this is an indication that if people choose to post defamatory comments on social media, such as Facebook, then the courts will, in appropriate cases, award damages to those who choose to do that," he said.

"My client will be very pleased to put all this behind her."

Magistrate Bill Morris said it was clear Ms Burtenshaw was a passionate and dedicated teacher whose reputation was damaged by the defamatory remarks.

"I am satisfied that prior to the publication of the defamatory material the plaintiff had a sound personal reputation and an enviable professional reputation as a school principal. Consequently I am satisfied that the imputations of the subject defamatory postings are untrue," he said.

"I am satisfied that the plaintiff and her family have suffered personally from public odium in the local community at Coober Pedy. I am satisfied that the defamatory publication of the defendant, in its context of the other postings of a like defamatory kind, contributed to the unjust and unfair decision of the employer to suspend the plaintiff from the position as principal.

"I am satisfied that the injury to personal reputation in the community at Coober Pedy and amongst the plaintiff's colleagues would have been significant.

"I take into account that there would have been a very high level of interest in the local community of some 3,000 people. I note that in the postings it was said that there were 177 persons registered as members of the account that have a close interest. But this is not an indication of the number of person that viewed the posted materials.

"The fact that Ms Knueppel [the mother] used the publication via a Facebook format and the ease of access and republication should be taken into account as a factor that aggravates the award of compensatory damages.

"I am satisfied that Ms Knueppel intended to actually cause the hurt and humiliation which I am satisfied was caused."

Magistrate Morris said Ms Kneuppel did not file a defence to the action and deliberately absented herself from the court proceedings, so he entered a default judgment in favour of Ms Burtenshaw.

In addition to the $40,000 compensation Ms Kneuppel was also ordered to pay Ms Burtenshaw's legal costs.

Other parts of the legal proceedings were previously settled out of court on terms that included an apology.