Issa v. Applegate

California Court of Appeal·Decided January 24, 2019·No. D072375·Published

Opinion

Filed 1/24/19 CERTIFIED FOR PUBLICATION

COURT OF APPEAL, FOURTH APPELLATE DISTRICT DIVISION ONE

STATE OF CALIFORNIA

DARRELL E. ISSA, D072375 Plaintiff and Appellant,

v. (Super. Ct. No. 37-2016-00039144-

CU-MC-CTL)

DOUGLAS APPLEGATE et al.,

Defendants and Respondents.

APPEAL from a judgment of the Superior Court of San Diego County, Richard E.L. Strauss, Judge. Affirmed.

Bell, McAndrews & Hiltachk, Charles H. Bell, Jr., Paul T. Gough, Brian T.

Hildreth and Terry J. Martin for Plaintiff and Appellant.

Law Offices of Donnie R. Cox and Donnie R. Cox for Defendants and Respondents.

I.

INTRODUCTION

During the course of the 2016 political campaign to represent the 49th Congressional District, challenger candidate Doug Applegate's campaign ran two

television advertisements about incumbent Darrell Issa that Issa contends were false and defamatory. Issa filed a lawsuit against Applegate, Doug Applegate for Congress, Inc., and Robert Dempsey (the respondents), alleging a cause of action for libel based on statements made in these two television advertisements.

In response to the lawsuit, the respondents filed a special motion to strike the complaint, pursuant to Code of Civil Procedure section 425.16.1 The trial court granted the respondents' anti-SLAPP motion and entered judgment in favor of the respondents on Issa's complaint. Issa now appeals from the judgment.

In resolving this appeal, we must bear in mind the political context in which the advertisements at issue were published and the extraordinary degree of protection accorded to political speech, including political advertising, in our free society. " '[T]he constitutional guarantee [of free speech] has its fullest and most urgent application precisely to the conduct of campaigns for political office.' " (Buckley v. Valeo (1976) 424 U.S. 1, 15.) It is beyond dispute that "political advertisements . . . [are] the hallmark of a public forum." (AFDI v. Suburban Mobility Auth. for Regional Transp. (6th Cir. 2012) 698 F.3d 885, 890.) While "[i]t is abhorrent that many political campaigns are mean- spirited affairs that shower the voters with invective instead of insight[,]" in order "to ensure the preservation of a citizen's right of free expression, we must allow wide

1 Code of Civil Procedure section 425.16 is commonly referred to as the anti- SLAPP (strategic lawsuit against public participation) statute. (Jarrow Formulas, Inc. v. LaMarche (2003) 31 Cal.4th 728, 732, fn. 1.)

All further statutory references are to the Penal Code unless otherwise indicated.

latitude." (Beilenson v. Superior Court (1996) 44 Cal.App.4th 944, 955 (Beilenson), fns. omitted, italics added.) With this understanding, we consider Issa's contentions that the television advertisements that his political opponent published were false and defamatory. We ultimately conclude that the trial court properly granted the respondents' anti-SLAPP motion because Issa cannot demonstrate that the statements about which he complains are demonstrably false statements of fact.

We affirm the judgment of the trial court.

II.

FACTUAL AND PROCEDURAL BACKGROUND Issa has served in the United State House of Representatives since 2000. During the time of the relevant events in this case, Issa was seeking reelection to represent the 49th Congressional District of California in the November 2016 election. Doug Applegate was Issa's opponent, Robert Dempsey was Applegate's campaign manager, and Doug Applegate for Congress, Inc. was Applegate's principal campaign committee.

On November 7, 2016, just before the election took place and Issa prevailed, Issa sued the respondents for defamation, alleging that two television advertisements published by the respondents during the political campaign were false and defamatory. Specifically, Issa filed a complaint alleging a single cause of action for libel arising from the two separate television advertisements.2

2 Defamation constitutes an injury to reputation; the injury may occur by means of libel or slander. (Civ. Code, § 44.)

In the portion of the complaint setting out the factual allegations, Issa identifies the two television advertisements that he asserts were false and defamatory.

The first advertisement about which Issa complains is a television advertisement that first aired on September 20, 2016 (the 9/20 advertisement). Issa alleges that the 9/20 advertisement was shown on broadcast and cable television stations that serve the 49th Congressional District, and was also available to view on Applegate's campaign website. Issa claims that the "main thrust" of the 9/20 advertisement "is the false allegation that Congressman Issa has profited off his eight terms in Congress." He further alleges, "[s]pecifically, . . . the 9/20 Advertisement visually depicts a copy of an article from The New York Times dated August 14, 2011," and is referencing an article that was published in The New York Times "entitled 'A Businessman in Congress Helps His District and Himself' " that was published on August 14, 2011 (the Article).3 According to Issa, "[i]nstead of including the actual headline of the Article, the 9/20 Advertisement visually depicts a fake, doctored [New York Times] headline consisting of the following words that do not appear anywhere in the Article: 'Rep. Issa Gamed the system to line his own pockets' " and also depicts a "fake sub-headline, which likewise does not appear in the Article . . . . 'Rep. Issa has secured millions of dollars in

3 The Article makes a number of assertions regarding Issa's personal wealth, his businesses and real property holdings, and actions he took as a Congressman that appear to have benefitted his businesses and properties. The Article also describes the fact that Issa's personal wealth increased during his time serving in Congress. We describe additional details about the statements made in the Article, as relevant to the issues in this case, later in this opinion.

Congress earmarks for roadwork to the many properties he owns.' "4 Issa further complains that later in the 9/20 advertisement, words "to the effect that Congressman Issa has 'steer[ed] millions in taxpayer money to help properties he owns' " are visually depicted and are also heard in a voiceover. Issa alleges that by formatting the visual images in the 9/20 advertisement in this particular way, including by "juxtaposing an image . . . that purport[s] to represent the Article[ ] with the statements identified . . . above, the 9/20 Advertisement falsely and misleadingly leads viewers to believe that [certain] statements [presented on the screen] are quoted from an article in The New York Times," even though the "words in quotation marks featured in the 9/20 Advertisement do not appear anywhere in the Article."5

4 A review of the 9/20 advertisement shows a series of images with a narrator's voiceover. With respect to the portions of the 9/20 advertisement about which Issa is complaining, at one point, there is an image on the screen depicting what appear to be columns of a newspaper article. A review of the text demonstrates that the text is nonsensical. Inset into the faux newspaper columns are the two statements that Issa takes issue with, set in type font and with formatting that one could reasonably interpret as being a newspaper headline and subheadline stating the following: "Rep. Issa Gamed the system to line his own pockets" and "Rep. Issa has secured millions of dollars in Congress earmarks for roadwork to the many properties he owns." At the bottom of the image, overlaying some of the faux article text, is an image of The New York Times masthead. A still image of this portion of the 9/20 advertisement is attached as Exhibit A at the end of this opinion.

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