G & G Closed Circuit Events, LLC v. California Center for the Arts, Escondido, Foundation

CourtDistrict Court, S.D. California
DecidedApril 6, 2021
Docket3:20-cv-02137
StatusUnknown

This text of G & G Closed Circuit Events, LLC v. California Center for the Arts, Escondido, Foundation (G & G Closed Circuit Events, LLC v. California Center for the Arts, Escondido, Foundation) is published on Counsel Stack Legal Research, covering District Court, S.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
G & G Closed Circuit Events, LLC v. California Center for the Arts, Escondido, Foundation, (S.D. Cal. 2021).

Opinion

1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 SOUTHERN DISTRICT OF CALIFORNIA 10 11 G & G CLOSED CIRCUIT EVENTS, Case No.: 20-CV-2137-JLS (NLS) LLC, 12 ORDER GRANTING IN PART AND Plaintiff, 13 DENYING IN PART PLAINTIFF’S 14 v. MOTION TO STRIKE

15 CALIFORNIA CENTER FOR THE (ECF No. 6) ARTS, ESCONDIDO, FOUNDATION, 16 an unknown business entity d/b/a/ 17 California Center for the Arts, Escondido,

18 Defendant. 19

20 Presently before the Court is Plaintiff G & G Closed Circuit Events, LLC’s Motion 21 to Strike (“MTS,” ECF No. 6). Defendant California Center for the Arts, Escondido, 22 Foundation d/b/a California Center for the Arts, Escondido filed an Opposition to the 23 Motion (“Opp’n,” ECF No. 9), and Plaintiff filed a Reply (“Reply,” ECF No. 10). The 24 Court took the matter under submission without oral argument pursuant to Civil Local Rule 25 7.1(d)(1). See ECF No. 11. Having carefully considered the Parties’ arguments, the 26 evidence, and the law, the Court GRANTS IN PART AND DENIES IN PART Plaintiff’s 27 Motion, as set forth below. 28 / / / 1 BACKGROUND 2 “Pursuant to contract, Plaintiff . . . was granted the exclusive nationwide commercial 3 distribution (closed-circuit) rights to the Saul “Canelo” Alvarez v. Sergey Kovalev 4 Championship Fight Program, telecast nationwide on Saturday, November 2, 2019” (the 5 “Program”). ECF No. 1 (“Compl.”) ¶ 16. Pursuant to its contract, “Plaintiff . . . entered 6 into subsequent sublicensing agreements with various commercial entities throughout 7 North America, including entities within the State of California, by which it granted these 8 entities limited sublicensing rights, specifically the rights to publicly exhibit the Program 9 within their respective commercial establishments.” Id. ¶ 17 (emphasis omitted). “The 10 Program could only be exhibited in a commercial establishment in California” if Plaintiff 11 contractually authorized said establishment. Id. ¶ 18 (emphasis omitted). On Saturday, 12 November 2, 2019, Defendant allegedly intercepted, received, and published the Program 13 at California Center for the Arts, Escondido. See id. ¶ 21. 14 On October 31, 2020, Plaintiff filed the operative Complaint, alleging the following 15 four claims against Defendant: (1) violation of 47 U.S.C. § 605; (2) violation of 47 U.S.C. 16 § 553; (3) conversion; and (4) violation of California Business and Professions Code 17 §§ 17200 et seq. See generally Compl. On December 29, 2020, Defendant filed an Answer 18 raising seventeen affirmative defenses. See generally ECF No. 4 (“Answer”). Plaintiff 19 then filed the instant Motion, which seeks to strike all Defendant’s affirmative defenses. 20 See generally MTS. 21 LEGAL STANDARD 22 Federal Rule of Civil Procedure 12(f) provides that the court “may strike from a 23 pleading an insufficient defense or any redundant, immaterial, impertinent, or scandalous 24 matter.” Fed. R. Civ. P. 12(f). “The function of a 12(f) motion to strike is to avoid the 25 expenditure of time and money that must arise from litigating spurious issues by dispensing 26 with those issues prior to trial . . . .” Whittlestone, Inc. v. Handi–Craft Co., 618 F.3d 970, 27 973 (9th Cir. 2010) (quoting Fantasy, Inc. v. Fogerty, 984 F.2d 1524, 1527 (9th Cir. 1993), 28 rev’d on other grounds, 510 U.S. 517 (1994)). 1 “Motions to strike are ‘generally disfavored because they are often used as delaying 2 tactics and because of the limited importance of pleadings in federal practice.’” Cortina v. 3 Goya Foods, Inc., 94 F. Supp. 3d 1174, 1182 (S.D. Cal. 2015) (quoting Rosales v. Citibank, 4 133 F. Supp. 2d 1177, 1180 (N.D. Cal. 2001)). “[M]otions to strike should not be granted 5 unless it is clear that the matter to be stricken could have no possible bearing on the subject 6 matter of the litigation.” San Diego Unified Port Dist. v. Monsanto, 309 F. Supp. 3d 854 7 (S.D. Cal. 2018) (quotations and citations omitted). “When ruling on a motion to strike, 8 this Court ‘must view the pleading under attack in the light most favorable to the pleader.’” 9 Novick v. UNUM Life Ins. Co. of Am., 570 F. Supp. 2d 1207, 1208 (C.D. Cal. 2008) 10 (quoting RDF Media Ltd. v. Fox Broad. Co., 372 F. Supp. 2d 556, 561 (C.D. Cal. 2005)). 11 “[T]he Ninth Circuit has not explicitly addressed whether the Twombly and Iqbal 12 plausibility standard should replace the Wyshak [v. City National Bank, 607 F.2d 824 (9th 13 Cir. 1979), abrogated in part by Castro v. Cnty. of Los Angeles, 833 F.3d 1060 (9th Cir. 14 2016) (en banc),] fair notice standard for affirmative defenses.” Philpot v. Baltimore Post- 15 Exam’r, No. 3:20-CV-00872-H-MSB, 2020 WL 6449199, at *3 (S.D. Cal. Nov. 3, 2020). 16 Plaintiff requests that the Court apply the Twombly and Iqbal “plausibility” standard to 17 Defendant’s affirmative defenses. See MTS at 9. Defendant requests that the Court find 18 that only a “fair notice standard” applies to the pleading of affirmative defenses. See Opp’n 19 at 1, 9. Although this Court recognizes it previously has applied the Twombly and Iqbal 20 “plausibility” standard in assessing the sufficiency of the pleading of affirmative defenses, 21 in light of recent decisions in this District noting the Ninth Circuit’s continuing recognition 22 of the Wyshak fair notice standard for affirmative defenses and the lack of controlling 23 authority to the contrary, this Court now elects to stand with the clear majority of courts 24 within this District and apply the “fair notice” standard. See, e.g., Philpot, 2020 WL 25 6449199, at *3 (“[S]ince Twombly and Iqbal were decided, the Ninth Circuit has continued 26 to recognize the Wyshak fair notice standard.”) (citations omitted); Boba Inc. v. Blue Box 27 Opco LLC, No. 19-CV-00304-H-NLS, 2019 WL 2140597, at *3 n.2 (S.D. Cal. May 15, 28 2019) (similar); Cota v. Aveda Corp., No. 320CV01137BENBGS, 2020 WL 6083423, at 1 *4 (S.D. Cal. Oct. 14, 2020) (“The Southern District follows the Ninth Circuit’s decision 2 in Kohler, which requires Defendant to plead its affirmative defenses under the fair notice 3 standard.”); Hawkins v. Kroger Co., No. 15CV2320 JM(BLM), 2019 WL 6310553, at *3 4 (S.D. Cal. Nov. 25, 2019) (“Plaintiff has supplied the court with no binding authority for 5 her assumption that the heightened pleading standards of Bell Atlantic Corporation v. 6 Twombly, 550 U.S. 544 (2007), apply to affirmative defenses, and the court is unaware of 7 any circuit court that has addressed this issue.”); Sundby v. Marquee Funding Grp., Inc., 8 No. 19-CV-0390-GPC-AHG, 2019 WL 5963907, at *2 (S.D. Cal. Nov.

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G & G Closed Circuit Events, LLC v. California Center for the Arts, Escondido, Foundation, Counsel Stack Legal Research, https://law.counselstack.com/opinion/g-g-closed-circuit-events-llc-v-california-center-for-the-arts-casd-2021.