Hunter v. National Basketball Players Assn. CA2/3

CourtCalifornia Court of Appeal
DecidedAugust 10, 2015
DocketB254155
StatusUnpublished

This text of Hunter v. National Basketball Players Assn. CA2/3 (Hunter v. National Basketball Players Assn. CA2/3) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hunter v. National Basketball Players Assn. CA2/3, (Cal. Ct. App. 2015).

Opinion

Filed 8/10/15 Hunter v. National Basketball Players Assn. CA2/3 NOT TO BE PUBLISHED IN THE OFFICIAL REPORTS California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for publication or ordered published, except as specified by rule 8.1115(b). This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION THREE

G. WILLIAM HUNTER, B254155

Plaintiff and Respondent, (Los Angeles County Super. Ct. No. LC100771) v.

NATIONAL BASKETBALL PLAYERS ASSOCIATION,

Defendant and Appellant.

APPEAL from an order of the Superior Court of Los Angeles County, Huey Cotton, Jr., Judge. Affirmed. Orrick, Herrington & Sutcliffe, Lynne C. Hermle, Joseph C. Liburt, Leah L. Spero, Christina G. Sarchio; Weil, Gotshal & Manges, James W. Quinn and Bruce S. Meyer for Defendant and Appellant. Sidley Austin, David L. Anderson, Marie L. Fiala, Joshua Hill and Michelle B. Goodman for Plaintiff and Respondent. _________________________ INTRODUCTION In its appeal from an order denying its special motion to strike (Code Civ. Proc., § 425.16),1 defendant National Basketball Players Association (the NBPA or union) contends the trial court erred by allowing plaintiff G. William Hunter to amend his breach of contract causes of action instead of dismissing the suit as a strategic lawsuit against public participation. A review of Hunter’s complaint reveals that the four contract causes of action alleged against the NBPA do not arise from activity protected by the anti-SLAPP statute. Accordingly, for a different reason than that relied on by the trial court, we affirm the order. FACTUAL AND PROCEDURAL BACKGROUND 1. Hunter’s contract with the NBPA The NBPA is the collective bargaining labor union for the players in the National Basketball Association (the NBA). It hired Hunter to be its Executive Director in late 1996. The parties signed a written contract for a three-year term (the contract). Three extensions were made to Hunter’s contract including an extension in 2010 (the 2010 extension), which extension contract was signed by NBPA President Derek Fisher.2 The 2010 extension continued Hunter’s employment term to June 30, 2015. 2. Hunter’s complaint In late 2010, the NBPA entered into negotiations with the NBA for a new collective bargaining agreement. During negotiations, disagreements arose between the NBA owners and the union and in July 2011, the NBA owners locked the players out of the teams’ facilities and eventually out of games. The complaint alleges further that Hunter and Fisher differed about how to resolve the impasse. Hunter believed that Fisher had much to lose from a protracted lockout and

1 All further statutory references are to the Code of Civil Procedure. 2 In addition to being the then President of the NBPA, Fisher was a basketball player variously for the Los Angeles Lakers, the Golden State Warriors, the Utah Jazz, the Dallas Mavericks, and eventually the Oklahoma City Thunder.

2 a personal interest in maintaining good relations with the NBA. In retaliation for their disagreement, Fisher and his publicist Jamie Wior allegedly waged a campaign to oust Hunter as the Union’s Executive. Fisher and Wior initiated an audit of the NBPA. Although the NBPA’s Executive Committee cancelled the audit and issued a unanimous vote of no confidence in Fisher, Fisher refused to resign. Wior orchestrated a campaign in the press designed to undermine Hunter and muddy his reputation. As the result of the negative attention generated by the news articles, the Executive Committee retained a law firm to conduct an internal investigation (the internal investigation). The report of the internal investigation, released on a website, concluded that Hunter committed no criminal acts but had made some missteps in his duties as Executive Director. The report also concluded that the Board of Player Representatives had never properly approved Hunter’s current employment contract with the NBPA as required by the union’s constitution and by-laws, and that Hunter was aware that his current contract was never properly approved and knowingly failed to disclose this information to the NBPA’s Executive Committee and player representatives. After placing Hunter on administrative leave, Fisher and other members of the NBPA’s Executive Committee sent Hunter a letter in February 2013, terminating him from employment “effective immediately.” The letter, attached to Hunter’s complaint, asserted that the 2010 contract extension was “not properly negotiated, executed, or approved, [with the result] that contract is null, void, invalid, and unenforceable. Therefore, you are an at-will employee and being terminated accordingly.” Continuing, the letter explained that “there are grounds to terminate your employment ‘for cause.’ To the extent a tribunal in a future proceeding determines that the [contract] is enforceable, this letter shall be construed as notice of a ‘for cause’ termination . . . .” Hunter’s lawsuit against the NBPA, Fisher, and Wior ensued. Neither Fisher nor Wior is a party to this appeal. Of the 14 causes of action in Hunter’s complaint, four were aimed solely at the NBPA and involved contract theories of liability only: (1) breach of express contract, (2) repudiation, (3) breach of implied-in-fact contract, and (4) breach of the covenant of

3 good faith and fair dealing. Hunter sought damages, but not injunctive relief or reinstatement as Executive Director. None of the remaining eight causes of action is at issue in this appeal. In particular, Hunter alleged the existence of an employment contract, both express and implied, and attached copies of the initial contract and each extension agreement at issue. Hunter alleged he performed all duties and obligations required of him under the contract, and in three causes of action, that the union “breached the Employment Contract by discharging Hunter before the end of his employment term under the Employment Contract” and extensions. In the cause of action entitled repudiation, Hunter alleged the union “asserted without qualification that they never entered into a contract with Hunter and denied the very existence of the Employment Contract and [2010] Extension” and “clearly and positively indicated to Hunter that they would not meet the requirements of the contract, thereby expressly repudiating the Employment Contract and the 2010 Extension,” “thus interfering with and preventing Hunter from receiving the benefits he was entitled to receive under the Employment Contract and the 2010 Extension.” 3. The NBPA’s special motion to strike The NBPA filed its anti-SLAPP motion and demurred to the complaint. In conjunction with the demurrer, the NBPA requested the trial court take judicial notice of a federal indictment of Joseph Lombardo and Carolyn Kaufman by the United States Attorney’s Office, and copies of publications from news outlets pertaining to Hunter’s job performance and termination and referring to a federal investigation into the NBPA. These documents, attached to the union’s request for judicial notice, formed the basis of the trial court’s determination that Hunter’s lawsuit arose out of protected activity as they were made in an official proceeding. (§ 425.16.) In its anti-SLAPP motion, incorporating the arguments raised on demurrer, the NBPA argued that Hunter’s lawsuit arose out of protected activity because Hunter’s causes of action against the union were premised on his allegations about the internal investigation. The union conducted the internal investigation as the result of a

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Hunter v. National Basketball Players Assn. CA2/3, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hunter-v-national-basketball-players-assn-ca23-calctapp-2015.