De Vivo v. Ascher

533 A.2d 412, 221 N.J. Super. 28, 1987 N.J. Super. LEXIS 1357
CourtNew Jersey Superior Court Appellate Division
DecidedJuly 17, 1987
StatusPublished
Cited by2 cases

This text of 533 A.2d 412 (De Vivo v. Ascher) is published on Counsel Stack Legal Research, covering New Jersey Superior Court Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
De Vivo v. Ascher, 533 A.2d 412, 221 N.J. Super. 28, 1987 N.J. Super. LEXIS 1357 (N.J. Ct. App. 1987).

Opinion

ARNOLD, P.J.Cv.

In this libel action plaintiff alleges that the defendant, a lawyer, defamed her when he wrote a letter to counsel for a third party, Johnson & Johnson, and accused plaintiff of “skimming” funds from a Johnson & Johnson account. The defendant has moved for summary judgment arguing that the letter was written in the course of judicial proceedings so that defendant enjoys an absolute privilege. The motion raises the novel issue of whether a letter written to a third party regarding a matter relevant to pending litigation is absolutely privileged when the third party is not a party to that litigation.

Plaintiff, Eileen DeVivo, was an employee of Triangle Travel. In October 1984 Triangle Travel brought suit against Ms. DeVivo. Triangle Travel was represented in that action by Michael Ascher, Esq., the defendant in the instant action. Triangle Travel’s complaint alleged that Ms. DeVivo had:

1) unlawfully and without authority withdrawn $4,516.19 from Triangle Travel’s checking account;
2) removed Triangle Travel’s business records and altered them;
3) diverted customers from Triangle Travel;
[30]*304) accepted employment with another travel agency with the intent to interfere with Triangle Travel’s economic advantage;
5) breached a fiduciary duty owed Triangle Travel;
6) damaged Triangle Travel’s reputation, and
7) diverted Triangle Travel’s customers and accounts to herself.

Ms. DeVivo in her answer to Triangle Travel’s complaint filed a counterclaim alleging that she was owed $4,516.19 for unpaid commissions and salary. Subsequently her lawyer wrote a letter to Mr. Ascher detailing the source of commissions claimed to be due Ms. DeVivo. Her lawyer asserted that $7,695.00 in commissions had been earned by Triangle Travel on a Johnson & Johnson account, that Ms. DeVivo was entitled to half, or $3,829.99, and that she was also owed $711.38 in commissions on other accounts. Although these sums totaled $4,541.37, her lawyer wrote Mr. Ascher that she was willing to accept $4,516.19 in full payment.

Triangle Travel, represented by Michael Ascher, Esq., also brought an action against Ms. DeVivo in the Chancery Division. In that action Triangle Travel sought, among other things, the return of certain business records. In support of that action, Julie Gilsenan, a principal of Triangle Travel, submitted a certification dated November 11, 1984, in which she stated that Ms. DeVivo had altered Triangle Travel’s records of the Johnson & Johnson account.

During the course of the Triangle Travel v. DeVivo litigation, Triangle Travel’s lawyer, Michael Ascher, subpoenaed certain records from Johnson & Johnson. Johnson & Johnson responded to the subpoena by way of a letter dated February 5, 1985. In that letter, signed by general counsel for Johnson & Johnson, Robert Trainor, Esq., Johnson & Johnson claimed that Triangle Travel owed Johnson & Johnson $7,749.82. That money, it was alleged, was a credit due Johnson & Johnson for travel plans which had been cancelled or not used. By letter dated June 12, 1985, Mr. Ascher responded to Mr. Trainor’s request. In that letter Mr. Ascher denied that Triangle Travel owed Johnson & Johnson money. His denial was based on an [31]*31explanation that Ms. DeVivo had altered the Johnson & Johnson account records and he reasoned that she and a Johnson & Johnson employee were engaged in a “skimming” operation to the detriment of both Triangle Travel and Johnson & Johnson. It is Mr. Ascher’s allegation of “skimming” which forms the basis for Ms. DeVivo’s present cause of action alleging defamation. The defendant now moves for summary judgment arguing that the statement by Ascher was absolutely privileged.

In support of the motion for summary judgment, the defendant refers this court to the basic rule with regard to determining whether an absolute privilege applies. That rule is found in Rainier’s Dairies v. Raritan Valley Farms, Inc., 19 N.J. 552, 558 (1955) where the court stated that “[t]he most noteworthy illustration of the absolute privilege or immunity is that afforded in judicial proceedings where judges, attorneys, witnesses, parties, and jurors are fully protected against defamation actions based on utterances made in the course of the judicial proceedings and having some relation thereto.” The defendant argues that the June 12, 1985, letter at issue had a definite relation to the underlying judicial proceeding, Triangle Travel v. DeVivo. According to the defendant, the letter made reference to certain irregularities in the Johnson & Johnson account, which Ms. DeVivo was handling when she worked for Triangle Travel. In addition, the defendant points out that the Triangle Travel v. DeVivo litigation involved an allegation that DeVivo had altered Johnson & Johnson account records and an allegation that Ms. DeVivo improperly converted funds from Triangle Travel. The defendant also highlights the broad and liberal scope our courts have given the relevancy requirement for the establishment of an absolute privilege. See Thourot v. Hartnett, 56 N.J.Super. 306, 308 (App.Div.1959).

In opposition to the motion, the plaintiff makes two points. First, plaintiff argues that the subject matter of the defamatory letter bore no relationship whatsoever to the pending litigation. According to the plaintiff, the letter was written in [32]*32an attempt to negotiate a sum due Johnson & Johnson by Triangle Travel. Furthermore plaintiff argues that nowhere in the underlying litigation was there a direct claim that DeVivo was stealing money from the Johnson & Johnson account. Plaintiff notes that Julie Gilsenan testified, during a May 15, 1987, deposition taken as part of pretrial discovery in the instant action, that she never formed an opinion that DeVivo was cheating her of money from the Johnson & Johnson account. Therefore, the plaintiff concludes, that there was no relationship between the allegedly defamatory letter written by defendant and the Triangle Travel v. DeVivo actions. Second, plaintiff argues that defendant’s letter of June 12, 1985, was not written in the course of a judicial proceeding. Plaintiff notes that there was no litigation pending between Triangle Travel and Johnson & Johnson, and that Julie Gilsenan testified during her deposition that Triangle Travel did not dispute Johnson & Johnson’s claim for funds. The plaintiff then concludes that the motion for summary judgment must be denied because the defendant has not come within the requirements necessary to establish an absolute privilege for the allegedly defamatory letter.

It is this court’s opinion that the June 12, 1985, letter by Michael Ascher, Esq. is cloaked with an absolute privilege. While this court was unable to find any case which involved the exact factual pattern and issue now before this court, this court is satisfied that the law, and the policy behind the law, compels this result. Accordingly, the defendant’s motion for summary judgment is granted. This court’s reasoning and analysis is as follows.

The test for determining whether an absolute privilege applies is described by our Supreme Court in Rainier’s Dairies v. Raritan Valley Farms, Inc., 19 N.J.

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Related

Delbridge v. Schaeffer
569 A.2d 872 (New Jersey Superior Court App Division, 1989)
DeVivo v. Ascher
550 A.2d 163 (New Jersey Superior Court App Division, 1988)

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Bluebook (online)
533 A.2d 412, 221 N.J. Super. 28, 1987 N.J. Super. LEXIS 1357, Counsel Stack Legal Research, https://law.counselstack.com/opinion/de-vivo-v-ascher-njsuperctappdiv-1987.