Civil Litigation
Oct. 4, 2024
Anti-SLAPP statutes: From shield to sword
While anti-SLAPP protections are essential for safeguarding public participation rights, the authors of the statute underestimated litigators' creativity, leading to the widespread use of anti-SLAPP motions in California civil litigation.
Christopher Frost
Trial Litigator, Law Professor, and the Founding and Name Partner, Frost, LLP
Nicholas Lauber
Litigator and the Appellate Supervisor, Frost LLP
Enacted by
the California Legislature in 1992, the anti-SLAPP statute was designed for a
very specific and important purpose: to shield defendants from meritless
lawsuits that might chill the exercise of their political rights to speak
and petition on matters of public concern. In practice, as case law
interpreting the codified protections has evolved, the anti-SLAPP statute has grown into a sword for proverbial
Goliaths to hinder, delay, or strike down legitimate litigation at the outset.
The playbook is simple: find an argument, no matter how contrived, that a
complaint implicates public participation. File an anti-SLAPP motion and
thereby automatically stay discovery. Even if the motion is denied, the ruling
triggers automatic appeal rights and an automatic stay during the period of the
appeal. There is very little risk to the strategy because the fee provisions
are one-sided in favor of the movant--an imbalance that creates risk of
six-figure fee applications but limited risk to defendants of an adverse fee
award. Legitimate plaintiffs are required to sit on the sidelines and wait a
year or more before they can ever engage in discovery or pursue meritorious
claims, and the war of attrition tilts heavily against them.
It should
be a relatively noncontroversial proposition that anti-SLAPP protections are
vital to protecting rights of public participation for all manner of
litigants, large and small.
However, it appears the authors of the anti-SLAPP statute underestimated the
creativity of good litigators and the ability of bad actors to transform
unlawful conduct into something resembling protected activity. The end result is that anti-SLAPP motions are an almost
inescapable component of regular civil litigation practice in California. These
authors believe that critical steps to reframing the anti-SLAPP protections
involve solving for the following:
The
Automatic Stay of Discovery: An anti-SLAPP statute is one of the rare vehicles that triggers an
automatic stay of discovery. No discovery may move forward pending the Court's
ruling on the motion, meaning the case is not allowed to advance in any
meaningful way. A conspiratorial mind might also assume that a defendant would
be well served to file such a motion as a mechanism to conceal troubling
evidence. This issue is especially concerning when one considers that the second prong of the
anti-SLAPP analysis places the burden on the plaintiff to demonstrate the
relative merits of their claims, yet the plaintiff has not had the opportunity
to acquire any evidence beyond what they gathered prior to filing the
complaint. This is despite the fact that the
defendants are often the ones with superior information concerning their own
conduct.
The stay
on discovery is not necessary to anti-SLAPP protections. These authors believe
a more prudent approach would be to allow discovery to continue, as with other
pre-trial motions, and any defendant who believes the discovery is
inappropriate may utilize the traditional safeguard of a motion for protective
order.
The
Automatic Appeal:
Additionally, an anti-SLAPP order is one of the rare pre-trial rulings that,
when denied, can be appealed immediately. The appeal preserves the discovery
stay until the remittitur is issued, only further delaying a plaintiff's
opportunity to obtain necessary evidence and reach a resolution on its claims.
The authors believe the more appropriate approach would be to treat an
anti-SLAPP denial in the same manner as demurrers and summary judgment motions.
The denials can be considered in the ordinary course on a post-judgment appeal.
Writs would still be available in those rare circumstances where urgent
intervention is truly needed. We will see if the Ninth Circuit agrees when it
considers the issue shortly in its rehearing en banc
of a recent decision in Martinez v. Zoominfo
Technologies, Inc.
One-Sided
Attorney's Fees:
Civil Code section 1717 serves a vital role in leveling the proverbial playing
field by providing for mutual application of one-sided attorney's fees
provisions. There is little reason for anti-SLAPP protections to be any
different. Yet, for now, they are. A plaintiff may only recover attorney's fees
where the motion is considered frivolous--a rare occurrence. A prevailing
movant, however, is automatically entitled to fees. The result is little risk
to filing an anti-SLAPP motion but great financial risk for opposing one. These
authors believe that the risk to the parties should be coextensive, and that
the balance of mutuality of attorney's fees recovery should be restored.
Overly
Broad Interpretation: What was once intended to be a
narrow statute with specific contours and confines has become, through judicial
interpretation of perhaps
unintended statutory overbreadth, a vast behemoth of application. For instance,
in Baral v. Schnitt, the California Supreme
Court interpreted the anti-SLAPP statute as applying to any part of a
complaint, not just to the complaint as a whole. As a
result, creative litigators look to detect whether any part of any claim in a
complaint can be framed as protected activity. Additionally in Wilson v. CNN,
the California Supreme Court enshrined that protected activity reaches beyond
speech activity. Neither is necessarily wrongly decided, but they demonstrate
the manner in which, as a whole, the anti-SLAPP
statute is being expanded
and overapplied beyond its intent.
Ultimately,
effecting changes in the anti-SLAPP statute requires a confluence of
legislative action and judicial interpretation. It also requires understanding
that this is not just a "little plaintiff vs. big defendant" issue. Anti-SLAPP
motions arise in all sorts of contexts, including large disputes among major
parties and smaller disputes among smaller parties. More fundamentally, it
involves recognizing that rectifying these issues is critical to: (i) resetting the balance among litigants; (ii) stopping
procedural gamesmanship and abuse; and (iii) unclogging the judicial backlog
created by these cases effectively standing still while that gamesmanship
occurs.
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