Too Much Freedom of Speech?

In a novel he published himself, Harry Nicolaides insulted royalty and was sentenced to three years in prison.

Nicolaides, 31, is an Australian novelist who was arrested five months ago for insulting a Thai king in his self-published novel.  This controversial arrest relates back to the idea that anyone who “defames, insults or threatens the king, the queen, the heir to the throne or the regent” is subject to a prison term of up to 15 years.

“Verisimilitude,” Nicolaides’ novel, became published in 2005 and has yet to sell more than a dozen copies.

Nicolaides states, “I would like to apologize. This can’t be real. It feels like a bad dream.”  He also admits to feeling as though he has experienced “unspeakable suffering” since he was arrested.

Would this situation have the same effect on Harry Nicolaides had he been an American and therefore entitled to freedom of speech?  Does this right give people the right to write that freely?  Where does the line lie where poor personal ethics become a legal issue?