BILL ANALYSIS                                                                                                                                                                                                    






                 SENATE JUDICIARY COMMITTEE
                  Adam B. Schiff, Chairman
                 1999-2000 Regular Session


AB 1675                                                A
Assembly Judiciary Committee                           B
As Amended May 28, 1999
Hearing Date:  June 29, 1999                           1
Code of Civil Procedure                                6
JMR:cjt                                                7
                                                       5

                           SUBJECT
                               
          Right to Appeal Decisions on Anti-SLAPP 
 (Strategic Lawsuits Against Public Participation) Motions


                         DESCRIPTION  

This bill would permit an appeal of an order granting or  
denying a motion to strike under the anti-SLAPP statute.   
It also would require the party filing an anti-SLAPP  
motion, and any party opposing the motion, to send certain  
documents to the Judicial Council to be maintained as part  
of a public record on these motions.

(This analysis reflects author's amendments to be offered  
in Committee.)

                          BACKGROUND  

Strategic Lawsuits Against Public Participation, or SLAPP  
suits, as they have become popularly termed, were first  
defined by University of Denver Law School Professor George  
Pring and University of Denver Sociology Professor Penelope  
Canan in their seminal article, Strategic Lawsuits Against  
Public Participation (1988) 35 Social Problems 506, as  
"civil lawsuits ... that are aimed at preventing citizens  
from exercising their political rights or punishing those  
who have done so."

While SLAPP suits "masquerade as ordinary lawsuits" such as  
defamation and interference with prospective economic  
                                                       
(more)



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advantage, they are generally meritless suits brought  
primarily to chill the exercise of free speech or petition  
rights by the threat of severe economic sanctions against  
the defendant, and not to vindicate a legally cognizable  
right.  (See, Pring and Canan, SLAPPS:  Getting Sued for  
Speaking Out  (Temple University Press, 1996).)

In 1992, Code of Civil Procedure Section 425.16 was enacted  
by SB 1264 (Lockyer), Ch. 726, Stats. of 1992, to provide a  
"special motion to strike" which could be used by  
defendants in "SLAPP" suits to obtain an early judicial
ruling and termination of a meritless claim arising from a  
person's exercise of the right to petition or free speech  
under the United States or California Constitution in  
connection with a public issue.  In enacting the provision,  
the Legislature expressly found that "there has been a  
disturbing increase in lawsuits primarily to chill the  
valid exercise of the constitutional rights of freedom of  
speech and petition for the redress of grievances . . .  
that it is in the public interest to encourage continued  
participation in matters of public significance, and that
this participation should not be chilled through abuse of  
the judicial process." 


                   CHANGES TO EXISTING LAW
 
  Existing law  provides that a cause of action against a  
person arising from any act of that person in furtherance  
of the person's right of petition or free speech under the  
United States or California Constitution in connection with  
a public issue, is subject to a special motion to strike,  
unless the court, after considering the pleadings and  
supporting and opposing affidavits, determines that there  
is a probability that the plaintiff will prevail on the  
claim.  (Code of Civil Procedure Section 425.16.  Other  
further references are to this code unless indicated  
otherwise.)


  Existing law  specifies that the right to appeal is granted  
and governed by statute.  (Code of Civil Procedure Sections  
902 and 904.)   Most judicial orders are not immediately  
appealable, but can be reviewed only as an appeal from the  
final judgment at the conclusion of the case.  (Section  
                                                             




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904.1; De Lao v. Superior Court (1951) 37 Cal.2d 711.)

  Existing law  defines "judgment" as the final determination  
of the rights of the parties.  (Section 577.)  The courts  
have stated that there can be "but one final judgment in an  
action, and that is one which in effect ends the suit in  
the court in which it was entered, and finally determines  
the rights of the parties in relation to the matter in  
controversy."  (  Bank of Am. Nat'l Trust & Sav. Ass'n v.  
Superior Court  (1942) 20 Cal.2d 697, 701.)  Generally, an  
appeal may be taken only from this final judgment in an  
action. 
 
  Existing law  provides that even if an order is not  
immediately appealable, the party may be able to obtain  
discretionary appellate review via an extraordinary writ  
petition.  Writs typically allow the court of appeal to  
correct error when the petitioner has no immediate right of  
appeal, no adequate remedy at law, and a beneficial  
interest in the outcome.  (Sections 1068-1069, 1086, and  
1103.)

  Existing law  provides that the perfecting of an appeal  
stays proceedings in the trial court upon the judgment or  
order appealed from or upon the matters embraced therein or  
affected thereby, including enforcement of the judgment or  
order, but the trial court may proceed upon any other  
matter embraced in the action and not affected by the  
judgment or order.  (Section 916.)
  
This bill  would provide that an order granting or denying a  
special motion to strike shall be immediately appealable,  
and therefore, the perfecting of the appeal would stay  
proceedings in the trial court.

  This bill  also would require the party filing an anti-SLAPP  
motion, and any party opposing the motion, to send certain  
documents to the Judicial Council to be maintained as part  
of a public record on these motions.
                               
                          COMMENT
  
1.    Stated need for legislation 

  According to the proponents, this bill would further the  
                                                             




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  purpose of the anti-SLAPP statute by allowing the  
  defendant to immediately appeal a denial of a special  
  motion to strike.  Without this ability, a defendant will  
  have to incur the cost of a lawsuit before having his or  
  her right to free speech vindicated.  

  The proponents contend that when a meritorious anti-SLAPP  
  motion is denied, the defendant, under current law, has  
  only two options.  The first is to file a writ of appeal,  
  which is discretionary and rarely granted.  The second is  
  to defend the lawsuit.  If the defendant wins, the  
  anti-SLAPP statute is useless and has failed to protect  
  the defendant's constitutional rights.  The proponents  
  assert that since the right of petition and free speech  
  expressly granted by the U.S. Constitution are at issue  
  when these motions are filed, the defendant should have  
  the immediate right to appeal and have the matter  
  reviewed by a higher court.

  The author is submitting amendments in Committee to  
  clarify that the right to appeal would apply to motions  
  granted or denied in order to assure that both the  
  plaintiff and defendant are given equal rights to appeal  
  an adverse order.

2.     Creating a public record of anti-SLAPP motions filed  

  This bill would require the party filing an anti-SLAPP  
  motion, and any party opposing the motion, to send  
  certain documents to the Judicial Council to be  
  maintained as part of a public record on these motions.  

  When the anti-SLAPP statute was enacted, the Legislature  
  requested that the Judicial Council report on the  
  statute's effectiveness after five years of operation.   
  Specifically, the Legislature requested that the Judicial  
  Council report by January 1, 1998, on the frequency and  
  outcome of motions to strike and on "any other matters  
  pertinent to the purposes of this section."

  The report, which was recently distributed, made  
  recommendations on several issues, including further data  
  collection.  As to this issue, the Judicial Council  
  report concluded:

                                                             




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     The Judicial Council does not believe that further  
     data collection on special anti-SLAPP motions by the  
     courts is necessary.  The information already obtained  
     by staff is adequate to indicate that special  
     anti-SLAPP motions are not very common.  Most survey  
     respondents believed the existence of the statute  
     deters SLAPP suits as the Legislature intended.  A  
     case-level review is required to collect data on  
     special anti-SLAPP motions.  Further tracking of  
     Section 425.16 would be burdensome and costly and  
     should not be required.  (Legislative Report:  Special  
     Motions to Strike Strategic Lawsuits Against Public  
     Participation, May 28, 1999, p. 4.)

  However, the specialists in the area that were hired by  
  Judicial Council as consultants on the report came to a  
  different conclusion.  Because SLAPP suits are a highly  
  specialized area of the law, two leading specialists on  
  SLAPP suits, Penelope Canan, Ph.D., and George W. Pring,  
  J.D., were hired as consultants on a contractual basis to  
  analyze the results of the Judicial Council staff's data  
  collection efforts.  The consultants' views differ in  
  significant respects from that of the council's on  
  several issues.  As to the data collection, the  
  consultants stated:

     If the Legislature requires knowing how the anti-SLAPP  
     provision is working, it must enable reliable  
     research.  At a minimum it should require the filing  
     of a simple form whenever the motion is entered.  Then  
     a random sample of these could be selected and various  
     participants interviewed about impacts.  (Legislative  
     Report, supra, p. 4.)

  DOES THE LEGISLATURE WANT TO FURTHER TRACK THE  
  EFFECTIVENESS OF THE ANTI-SLAPP STATUTE? 

Support:  California Broadcasters Association; California  
       Newspaper Publishers Association; American Civil  
       Liberties Union; California Anti-SLAPP Project;  
       League of California Cities; Golden State Mobilhome  
       Owners League, Inc.; California Employment Lawyers  
       Association; Rural Canyons Conservation Fund;  
       Planning and Conservation League

                                                             




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Opposition:  None Known




                           HISTORY
  
Source:  Author

Related Pending Legislation:  None Known

Prior Legislation:  None Known

Prior Vote:  Asm. Floor 79-1; Asm. Appr. 14-7; Asm. Jud.  
12-0
                              
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