The Supreme Court of Victoria subsequently awarded her a payout of A$650,000 (€415,000) in general damages and A$3.9m (€2.49m) for the loss of the film roles.
It was the largest defamation win in Australian legal history and Bauer appealed, arguing the size of the settlement set a risky precedent and there were errors of law in the judgement.
It also reduced Wilson's non-economic losses by 50,000 Australian dollars to 600,000 Australian dollars.
The actress is now filming in Europe, and ahead of the decision, took to Twitter last night to say that regardless of the level of payout, she had won the case.
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Wilson is now in Europe in pre-production on Taika Waititi's war-drama Jojo Rabbit but she tweeted that the case was "never about the money" and that proceeds would be going to charity.
In other post, she wrote: 'The Court of Appeal in Australia will be handing down their decision in the morning re my defamation case against As I've said before, I have already WON the case and this is UNCHALLENGED!'
"It followed that the judge's award of damages for economic loss had to be set aside, there was no basis in the evidence for making any award of damages for economic loss".
She had previously vowed to give her entire payout to charity and tweeted Wednesday it was never about the money.
Bauer did not, however, appeal the verdict that the articles were defamatory, but argued the Australian-record damages awarded in September were excessive.
During the trial, Wilson said her agents had advised her to stop mentioning her age - which was reported to be 29 in 2015 - because "Hollywood is very ageist, especially towards women".
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