A chilling effect is when a person or a group has a fear of exercising their right to free speech due to perceived negative legal consequences. This commonly occurs when people are afraid to say things due to a fear of being sued for libel. In such circumstances, the term "chilling effect" is often used synonymously with the term "libel chill."
There are many things that can create a chilling effect. For example, a decision of a court, a passing of a law or the threat of a lawsuit can all result in a chilling effect.
When a chilling effect occurs, it can make a specific group of people a lot less likely to speak out in some way. This usually happens because people do not want to face some kind of uncomfortable legal consequence such as a lawsuit or fine.