METABOLIC RESEARCH, INC., Plaintiff-Appellee, v. Scott J. FERRELL; Michael A. Campos; Thomas Hess; Sara Jordan, Defendants-Appellants.
No. 10-16209.
United States Court of Appeals, Ninth Circuit.
June 18, 2012.
693 F.3d 795
We need not resolve whether such exceptions exist. Retirees pleadings do not allege sufficient facts to support any claim for punitive and extra-contractual damages. In particular, “[e]ven if we were to conclude that punitive damages are available in appropriate circumstances,” Retirees have alleged no facts showing that “the defendants’ conduct in this case is sufficiently ‘outrageous’ or ‘egregious’ to warrant an award of punitive damages against them.” Wilson v. Int‘l Bhd. of Teamsters, 83 F.3d 747, 755 (6th Cir.1996). We therefore affirm the district court‘s grant of judgment on the pleadings to Raytheon as to the availability of punitive and extra-contractual damages.
V
In sum, we hold: that Raytheon expressly agreed to provide 100% company-paid healthcare coverage for eligible Retirees; that Raytheon‘s obligation survived the expiration of the CBAs; and that Raytheon‘s agreed-upon obligation could not be unilaterally abrogated by Raytheon, regardless of the rights Raytheon reserved for itself in Plan documents, because the CBAs did not incorporate the Plans’ reservation-of-rights provisions with respect to employer contribution issues, as opposed to issues relating to the provision of monetary or in-kind benefits for particular medical services. We further hold that the district court did not err in rejecting Retirees’ claim for punitive and extra-contractual damages.
AFFIRMED.
Bevin E. Allen, Khorrami Pollard & Abir LLP, Los Angeles, CA, for the appellants.
Beverly Salhanick, Las Vegas, NV, for the appellee.
ORDER
The opinion filed on February 9, 2012, appearing at 668 F.3d 1100, is withdrawn.
OPINION
SINGLETON, District Judge:
In this decision, we determine whether an order denying a pretrial special motion to dismiss under Nevada‘s anti-SLAPP statute,1
I. FACTUAL AND PROCEDURAL HISTORY
On October 20, 2009, Scott J. Ferrell, an attorney practicing law in Orange County California, sent “demand letters” to Metabolic Research, Inc. (“Metabolic“), at its address in Las Vegas, Nevada, and to General Nutrition Centers, Inc. (“GNC“), at its address in Pittsburgh, Pennsylvania. The demand letters purported to notify the recipients that they had violated
In his demand letters, Ferrell set out what he contended were representative false claims and summarized what he contended constituted violations of the CLRA. Ferrell demanded that Metabolic and GNC cease their false advertising of Stemulite, identify all consumers who purchased Stemulite within the applicable limitations period, and provide each of these consumers with an appropriate refund. In addition, Ferrell demanded that Metabolic and GNC disgorge all revenues from sales of Stemulite for consumers who could not be identified and implement “an appropriate corrective advertising campaign,” including a labeling “disclaimer.”
Ferrell concluded the letters with an offer to compromise and allowed Metabolic and GNC thirty days from the date of his letters to agree to an injunction “that include[d] an appropriate disclaimer” in which case, Ferrell agreed to take no further action, except to enforce the injunction. However, if Metabolic and GNC chose not to accept the offer, Ferrell stated that he would file a lawsuit (presumably in California) and seek all available relief.2
On November 19, 2009, Metabolic filed a lawsuit in Nevada State Court against Ferrell, his putative class action plaintiffs, and various “Does,” all identified as California residents, charging extortion. See
On December 30, 2009, Ferrell removed the case to the United States District Court for the District of Nevada based on complete diversity of citizenship. Ferrell filed an answer on January 5, 2010, and on January 27, 2010, Ferrell filed a special motion to dismiss based upon Nevada‘s anti-SLAPP statute.
Metabolic filed a response to Ferrell‘s special motion to dismiss, and the district court held a hearing on April 21, 2010. At the conclusion of the hearing, the district court denied the motion and directed Metabolic to prepare an appropriate order.
In its order dismissing Ferrell‘s motion, the district court found that Ferrell had not established that the demand letter to Metabolic constituted a good-faith communication in furtherance of the right to petition because it concluded that Nevada‘s anti-SLAPP legislation only protected communications made directly to a governmental agency and did not protect a demand letter sent to a potential defendant in litigation. This appeal followed.
II. DISCUSSION
Our jurisdiction is typically limited to “final decisions.”
A party pursuing an interlocutory appeal under the collateral order doctrine must show that the order being appealed meets three criteria. It must “[1] conclusively determine the disputed question, [2] resolve an important issue completely separate from the merits of the action, and [3] be effectively unreviewable on appeal from a final judgment.” Will v. Hallock, 546 U.S. 345, 349, 126 S.Ct. 952, 163 L.Ed.2d 836 (2006) (internal quotation marks omitted). These requirements are applied strictly, in order to avoid the collateral order doctrine swallowing up the final judgment rule. See id. at 350 (“[A]lthough the Court has been asked many times to expand the ‘small class’ of collaterally appealable orders, we have in-
Applying this protocol, we must first identify the category of cases which must be considered in determining the need for immediate appeal. It might have been possible to look at all the cases dealing with anti-SLAPP litigation within this circuit as constituting a single “category.” Indeed, it appears that all of the anti-SLAPP statutes adopted by the states in the Ninth Circuit have many components in common. However, deeper inspection has persuaded us that, while all of the statutes have common elements, there are significant differences as well, so that each state‘s statutory scheme must be evaluated separately. Accordingly, we have reached different conclusions with respect to the applicability of the collateral order doctrine after examining Oregon law in Englert v. MacDonell, 551 F.3d 1099, 1106-07 (9th Cir.2009) (denying an immediate appeal of an anti-SLAPP motion to dismiss as a collateral order),5 and California law in Batzel v. Smith, 333 F.3d 1018, 1025 (9th Cir.2003) (granting an immediate appeal of an anti-SLAPP motion to dismiss as a collateral order). Therefore, we consider only whether the denial of a special motion to dismiss brought under Nevada‘s anti-SLAPP statute qualifies as an immediately appealable order under Cohen.
Turning to that task, in Englert we found it unnecessary to address the first two Cohen requirements because the order at issue did not satisfy the third—whether it would be effectively unreviewable on appeal from a final judgment. Englert, 551 F.3d at 1104; see Will, 546 U.S. at 349-55 (declining to review the first and second Cohen factors because the third had not been satisfied). The same is true here.
In recent years, the Supreme Court has expanded on how the “effectively unreviewable” prong of the Cohen test should be evaluated. In particular, it has emphasized that “[i]t is not mere avoidance of a trial, but avoidance of a trial that would imperil a substantial public interest, that counts when asking whether an order is ‘effectively’ unreviewable if review is to be left until later.” Will, 546 U.S. at 353. In making such an assessment, “the decisive consideration is whether delaying review until the entry of final judgment ‘would imperil a substantial public interest’ or ‘some particular value of a high order.‘” Mohawk Indus. Inc. v. Carpenter, 558 U.S. 100, 130 S.Ct. 599, 601, 175 L.Ed.2d 458 (2009) (quoting Will, 546 U.S. at 352-53).
The risks identified in the context of anti-SLAPP litigation are: 1) there is a
Accordingly, in appraising whether an anti-SLAPP statute satisfies the collateral order doctrine, we have considered whether the values underlying the particular anti-SLAPP statute can be satisfied through the normal appellate process. See Englert, 551 F.3d at 1106; Batzel, 333 F.3d at 1025. As a practical matter, this analysis has focused on whether the anti-SLAPP law in question functions as a right not to stand trial, i.e., an immunity from suit. In Batzel, we held that the denial of a motion to strike brought pursuant to California‘s anti-SLAPP statute satisfied the collateral order doctrine because the purpose of the California law was to provide citizens with a substantive immunity from suit. 333 F.3d at 1025-26. In reaching this conclusion, the court relied upon the fact that California‘s law provided for immediate appeal in state court and legislative history demonstrating that “lawmakers wanted to protect speakers from the trial itself rather than merely from liability.” Id. at 1025.
In contrast, Englert held that Oregon‘s failure to provide for an immediate appeal at that time indicated its legislature‘s belief that the normal appeal process was adequate to vindicate the anti-SLAPP right, which it in turn described as “a right to have the legal sufficiency of the evidence underlying the complaint reviewed by a nisi prius judge before a defendant is required to undergo the burden and expense of a trial.” 551 F.3d at 1105. The Englert court explained that “[i]t would simply be anomalous to permit an appeal from an order denying a motion to strike when Oregon was satisfied that the values underlying the remedy could be sufficiently protected by a trial judge‘s initial review of the motion, followed by appellate review only after a final judgment in favor of the plaintiff.” Id. at 1105-06.
The distinction our anti-SLAPP cases have drawn is consistent with the Supreme Court‘s command that collateral effect should only be given to those orders that implicate a significant public interest or value. A legislatively approved immunity from trial, as opposed to a mere claim of a right not to be tried, is imbued with a significant public interest. As the Supreme Court explained in Digital Equip. Corp. v. Desktop Direct, Inc., “[w]hen a policy is embodied in a constitutional or statutory provision entitling a party to immunity from suit (a rare form of protection), there is little room for the judiciary to gainsay its ‘importance.‘” 511 U.S. at 879. In line with this principle, we have recently held that “the availability of an [immediate] appeal depends on whether, under state law, the immunity functions as an immunity from suit or only as a defense to liability.” Liberal v. Estrada, 632 F.3d 1064, 1074 (9th Cir.2011). Our review of Nevada‘s law satisfies us that its underlying values and purpose are satisfied without resort to an immediate appeal because, unlike California‘s, it does not furnish its citizens with immunity from trial.
Finally, we note that in the run of the mill of anti-SLAPP cases, prompt review by a district judge will provide adequate protection against frivolous cases brought to chill the exercise of rights. Generally, a trial judge faced with an anti-SLAPP motion will decide it using “the routine application of settled legal principles.” Mohawk Indus., 130 S.Ct. at 607. In the rare case where the district court erroneously denies such a special motion to dismiss, Nevada has provided substantial protections through the award of costs and attorneys’ fees to make the litigant whole after she prevails on the appeal from a final judgment and has, in addition, given her the option to pursue the unscrupulous litigator with an action for damages.8 See
Accordingly, the absence of an immediate appeal provision, coupled with the law‘s use of the phrase “immunity from civil liability” and provision of other safeguards, including attorneys’ fees, leads us to conclude that Nevada‘s anti-SLAPP statute is similar to the Oregon statute as we interpreted it in Englert. Like the Oregon law at that time, it appears to be a mechanism that allows a citizen to obtain prompt review of potential SLAPP lawsuits and have them dismissed before she is forced to endure the burdens and expense of the normal litigation process, not an immunity to suit or right not to be tried. Therefore, we hold that the denial of a pretrial special motion to dismiss under Nevada‘s anti-SLAPP statute does not satisfy the third prong of the collateral order doctrine and is not, therefore, immediately appealable.
Finally, we should not leave this issue without noting Mohawk‘s directive that we consider alternates to an immediate appeal
III. CONCLUSION
We are satisfied that the order in this case was not a collateral order justifying an immediate appeal.
DISMISSED.
UNITED STATES of America, Plaintiff-Appellee, v. Joel Stanley DREYER, Defendant-Appellant.
No. 10-50631.
United States Court of Appeals, Ninth Circuit.
Argued and Submitted Feb. 8, 2012.
Filed Aug. 21, 2012.
