Cholowsky v. Civiletti

69 A.D.3d 110, 887 N.Y.2d 592
CourtAppellate Division of the Supreme Court of the State of New York
DecidedOctober 6, 2009
StatusPublished
Cited by39 cases

This text of 69 A.D.3d 110 (Cholowsky v. Civiletti) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cholowsky v. Civiletti, 69 A.D.3d 110, 887 N.Y.2d 592 (N.Y. Ct. App. 2009).

Opinion

OPINION OF THE COURT

Chambers, J.

At issue here is whether the plaintiffs action to recover damages for libel based upon the publication of two articles by the defendant Times/Review Newspapers Corporation (hereinafter the defendant newspaper), which were written by the defendant Denise Civiletti, was properly dismissed.

In 2004 the plaintiff obtained a permit from the New York State Department of Environmental Conservation (hereinafter DEC) to operate a solid waste facility after incorrectly stating on his application that he was never convicted of a crime involving fraud, bribery, or an offense against public administration.

[112]*112The newspaper articles published by the defendant newspaper in December 2006, upon which the plaintiffs causes of action are predicated, reported that in 1999, the plaintiff pleaded guilty to a felony count of conspiracy to defraud the United States and was sentenced to probation for a period of one year, and “evidence gathered by federal investigators established that” the mastermind of the scheme, Joseph Provenzano, was using the plaintiffs hauling permit to dump hazardous waste in the Brookhaven landfill. The articles further stated that the plaintiff was involved in a “bribery scheme” to gain access to the Brook-haven landfill. The defendants further reported that the plaintiff testified in 1999 that he paid $20,000 in bribes to Republican Party leader John Powell for the right to dump at the town landfill in Yaphank.

The records of the federal judicial action indicated that in 1999, the plaintiff was charged in federal court with conspiracy under 18 USC § 371 to make corrupt payments, for making cash payments to Joseph Lapienski, an agent of the Town of Brookhaven, to gain access to the Brookhaven landfill. The plaintiff pleaded guilty in the federal action, acknowledging during his plea colloquy that he allowed other truckers to enter the Brookhaven landfill using his permit. He further acknowledged that he made payments of $2,000 per month for 10 months (totalling $20,000) to John Powell. The judgment entered in the case stated that the plaintiff pleaded guilty to “conspiracy to make corrupt payments, a class D felony,” and the plaintiff was sentenced to probation for a period of one year.

As a term of his plea of guilty, no criminal charges would be brought against him for his “heretofore disclosed participation in . . . tax fraud.” We note that the plaintiff failed to plead the allegedly libelous statements about tax fraud in the complaint, therefore such statements, if any, are not before us (see Hausch v Clarke, 298 AD2d 429 [2002]).

Although the scheme did not involve defrauding the United States, the computerized docket in the federal court described the crime as “conspiracy to defraud the United States.” The mastermind of the scheme, Provenzano, was indicted in federal court, and the indictment described the plaintiff as John Doe No. 1 and the plaintiffs company as Hauling Company A. The initial criminal complaint against Provenzano stated that wiretaps disclosed that Provenzano was discussing dumping hazardous waste in the landfill, using Hauling Company A.

In 2007 the DEC revoked the plaintiffs permit and the plaintiff commenced the instant action to recover damages for [113]*113libel. The defendants moved, inter alia, to dismiss the complaint pursuant to CPLR 3211 (a) (1) based upon documentary evidence, and CPLR 3211 (a) (7) for failure to state a cause of action. The defendants asserted that (1) the allegedly defamatory statements were protected by an absolute privilege under Civil Rights Law § 74 for “fair and true” reports of judicial or official proceedings, (2) the plaintiff, as a public figure with respect to his permit applications, was required to prove actual malice, but failed to make such a showing, and (3) this action was a strategic lawsuit against public participation, thereby entitling the defendants to the special protections afforded under Civil Rights Law § 76-a (hereinafter the anti-SLAPP statute).

In an affidavit in support of the motion, Civiletti stated that in writing her article, she relied upon the criminal docket in the federal case, as well as articles previously published in Newsday about the criminal prosecution. The plaintiff, in opposition, asserted that he was not involved in a conspiracy to commit bribery, but was actually the victim of extortion and never knowingly dumped hazardous materials or allowed others to use his permit to dump hazardous materials.

In the order appealed from, the Supreme Court held that (1) the statements at issue were covered by an absolute privilege under Civil Rights Law § 74, and (2) the plaintiff failed to prove actual malice or to satisfy the gross irresponsibility standard under Chapadeau v Utica Observer-Dispatch (38 NY2d 196, 199 [1975]). The Supreme Court held that the defendants’ reporting was substantially correct, except for the statement that Provenzano used the plaintiffs permit to dump hazardous materials. With respect to Provenzano, the evidence gathered by federal officials indicated that Provenzano planned to dump hazardous waste, but failed to establish that he, in fact, did so. However, the court held that despite this overstatement, the reporting of the judicial proceedings was “substantially correct” and, therefore, satisfied Civil Rights Law § 74 (see Cholowsky v Civiletti, 16 Misc 3d 1138[A], 2007 NY Slip Op 51742[U]). The court further held that the anti-SLAPP statute was not applicable to media defendants such as Civiletti and the defendant newspaper.

On appeal, the plaintiff contends that Civil Rights Law § 74 does not apply, on the ground that the defendants acquired some of the information through secondary sources, such as prior publication of details of the judicial proceeding in News-day.

[114]*114Civil Rights Law § 74, provides, in pertinent part: “A civil action cannot be maintained . . . for the publication of a fair and true report of any judicial proceeding.”

The purpose of Civil Rights Law § 74 “is the protection of reports of judicial proceedings which are made in the public interest” (Williams v Williams, 23 NY2d 592, 599 [1969]). This provision originally was enacted in 1854 (see L 1854, ch 130, §§ 1, 2), as a qualified privilege for newspapers publishing “a fair and true report” of “any judicial, legislative, or other public and official proceedings” (former Code Civ Pro § 1907; former Civil Practice Act § 337). In 1930, former Civil Practice Act § 337 was amended to make the privilege absolute (see L 1930, ch 619) and, in 1940, the privilege was extended from newspapers to “any person, firm or corporation” (see L 1940, ch 561).

“The case law has established a liberal interpretation of the ‘fair and true report’ standard of Civil Rights Law § 74 so as to provide broad protection to news accounts of judicial or other official proceedings” (Becher v Troy Publ. Co., 183 AD2d 230, 233 [1992]). “For a report to be characterized as ‘fair and true’ within the meaning of the statute, thus immunizing its publisher from a civil suit sounding in libel, it is enough that the substance of the article be substantially accurate” (Holy Spirit Assn, for Unification of World Christianity v New York Times Co., 49 NY2d 63, 67 [1979]). This is consistent with the common law of libel, which “ ‘overlooks minor inaccuracies and concentrates upon substantial truth’ ” (Shulman v Hunderfund, 12 NY3d 143, 150 [2009], quoting

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Cite This Page — Counsel Stack

Bluebook (online)
69 A.D.3d 110, 887 N.Y.2d 592, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cholowsky-v-civiletti-nyappdiv-2009.