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Mundy v. Lenc
203 Cal. App. 4th 1401
| Cal. Ct. App. | 2012
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Background

  • Mundy, in a wheelchair, sued Lene for ADA/related Civil Code violations at Lene's bar after seeing an inaccessible toilet and mirror in 2009.
  • The parties settled; Mundy received $2,500, Mehrban $3,000, and Lene released known and unknown claims via a general release.
  • Mundy expressly waived Civil Code section 1542 and acknowledged unknown claims could exist.
  • Mundy then dismissed the first suit in December 2009 but refiled about a year later alleging a new ADA issue (van-accessible parking) against Lene.
  • Lene cross-claimed for breach of the settlement, false/misrepresentation, and abuse of process; Mundy moved to strike under § 425.16; the trial court denied the motion and later awarded Lene attorney fees against Mundy and Mehrban.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Lenc’s breach of contract claim is subject to the SLAPP statute Mundy's conduct in filing the second suit is protected petition activity. Cross-claim arises from Mundy’s petition activity and should be struck unless likelihood of success is shown. The first prong satisfied; the second prong showed likelihood of success; breach claim not stricken.
Whether the release barred Mundy’s second suit under Civil Code section 55 The parking-lot claim could not have been asserted in the first suit, so release did not bar it. Release covered all claims that could have been asserted; parking-lot issue was same ongoing harm and thus barred. Release barred the second suit for past harms; Mundy promised not to sue again for the same cause.
Whether Mundy’s SWAP (special motion to strike) was properly denied for misrepresentation/abuse of process claims Fraud/abuse claims not protected by litigation privilege. Lene’s fraud/abuse claims fail and Mundy is protected by litigation privilege. Fraud and abuse-of-process claims reversed; Mundy protected by privilege.
Whether attorney fees awarded against Mundy were proper Fees were warranted due to frivolous SLAPP motion. No bases for fees since SLAPP determination was incorrect. Attorney-fee award reversed.

Key Cases Cited

  • Navellier v. Sletten, 29 Cal.4th 82 (Cal. 2002) (two-step anti-SLAPP framework: prima facie protected activity, then probability of prevailing)
  • DuPont Merck Pharmaceutical Co. v. Superior Court, 78 Cal.App.4th 562 (Cal. App. 4th 2000) (second-prong likelihood of success governs denial of SLAPP motion)
  • PrediWave Corp. v. Simpson Thacher & Bartlett LLP, 179 Cal.App.4th 1204 (Cal. App. 4th 2009) (review on a clean-slate basis after SLAPP ruling)
  • Redevelopment Agency v. City of Berkeley, 80 Cal.App.3d 158 (Cal. App. 3d 1978) (invited error doctrine and waiver principles in appellate review)
  • Boeken v. Philip Morris USA, Inc., 48 Cal.4th 789 (Cal. 2010) (primary rights theory; governs claim preclusion and scope of releases)
  • Mycogen Corp. v. Monsanto Co., 28 Cal.4th 888 (Cal. 2002) (primary rights theory; same harm/same cause of action preclusion)
  • Sperber v. Robinson, 26 Cal.App.4th 736 (Cal. App. 1994) (waiver/invited error considerations in appeal)
Read the full case

Case Details

Case Name: Mundy v. Lenc
Court Name: California Court of Appeal
Date Published: Feb 29, 2012
Citation: 203 Cal. App. 4th 1401
Docket Number: No. B227962
Court Abbreviation: Cal. Ct. App.