Kirk v. Ratner

CourtCalifornia Court of Appeal
DecidedFebruary 10, 2022
DocketB309880
StatusPublished

This text of Kirk v. Ratner (Kirk v. Ratner) 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
Kirk v. Ratner, (Cal. Ct. App. 2022).

Opinion

Filed 2/10/22 CERTIFIED FOR PUBLICATION

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION SEVEN

CHARLOTTE KIRK et al., B309880

Plaintiffs and (Los Angeles County Appellants, Super. Ct. No. 20STCP02842)

v.

BRETT RATNER et al.,

Defendants and Respondents.

APPEAL from an order of the Superior Court of Los Angeles County, Christopher K. Lui, Judge. Dismissed. Fagelbaum & Heller, Jerold Fagelbaum and Philip Heller for Plaintiffs and Appellants Charlotte Kirk and Neil Marshall. Lavely & Singer, Martin D. Singer, Michael E. Weinsten and Allison S. Hart for Defendants and Respondents Brett Ratner, Kevin Tsujihara, James Packer and Avi Lerner. ___________________________ Charlotte Kirk, an actress, using the pseudonym Melissa Parker, entered into a confidential settlement agreement in August 2017 with four entertainment industry executives, Brett Ratner, Kevin Tsujihara, James Packer and Avi Lerner, using the fictitious names Clark Grandin, Bruce Hamilton, Gregory Kemp and Walter Nelson in the agreement and documents filed in the superior court. The agreement contained an arbitration clause. The executives filed a demand for arbitration in June 2020, naming Kirk (as Parker) and Neil Marshall (actual name), Kirk’s fiancé, and two others as respondents, asserting claims for breach of contract, interference with contract and civil extortion. The executives obtained from an emergency arbitrator a preliminary injunction prohibiting Kirk, Marshall and the other respondents from disclosing confidential information as that term is defined in the settlement agreement, including any disclosures in court documents, and from initiating any lawsuit against the executives in violation of the arbitration provisions in the settlement agreement. Kirk (as Parker) and Marshall filed a petition in superior court to vacate the preliminary injunction. Because the emergency arbitrator’s ruling was not an “award” within the meaning of Code of Civil Procedure section 1283.4,1 the court dismissed the petition for lack of jurisdiction. For the same reason, we dismiss Kirk and Marshall’s appeal as taken from a nonappealable order.2

1 Statutory references are to this code. 2 The settlement agreement obligated any party petitioning to vacate the arbitrator’s award to seek an order sealing all documents in the court file “to the greatest extent permissible by

2 law.” The superior court made the required findings under California Rules of Court, rule 2.550 and granted motions by both sides to seal all documents filed with the court and implicitly approved the use of pseudonyms in court documents. While the appeal was pending in Division Three of this court, the presiding justice permitted appellants to file their appendix conditionally under seal, subject to further ruling by the panel hearing the case; and the parties used pseudonyms in their briefs We notified the parties pursuant to California Rules of Court, rule 8.46(f)(3) that, absent a showing of good cause, we intended to unseal the entire record and use the true names of the parties in our opinion. We observed the documents filed under seal included newspaper and magazine articles that identified the parties (including photographs), discussed the underlying facts of the case and the parties’ dispute and described the events that prompted the executives to initiate arbitration. We suggested that, because the facts of the dispute have become public, any justification for using pseudonyms or sealing the record that may have existed no longer does. (See H.B. Fuller Co. v. Doe (2007) 151 Cal.App.4th 879, 898 [“there is no justification for sealing records that contain only facts already known or available to the public”].) Kirk and Marshall, who challenge the validity of the confidentiality provisions in the settlement agreement, said they only filed the material under seal because they did not want the executives to accuse them of violating the settlement agreement and the preliminary injunction. For their part, the executives first contended, incorrectly, if the superior court’s order was not appealable, we would lack jurisdiction to decide whether documents in the appellate record should remain sealed. (See H.B. Fuller Co. v. Does, supra, 151 Cal.App.4th at p. 889 [“[t]his court is master of its own files”].) The executives next argued the contractual provision to keep the names of the parties and the terms of the agreement secret overrode the right of public access. (See Cal. Rules of

3 FACTUAL AND PROCEDURAL BACKGROUND 1. The Confidential Settlement Agreement Following two days of mediation in August 2017 Kirk, Joshua Newton (using the pseudonym Matthew Waller) and the executives entered into a confidential settlement agreement and mutual release that fully resolved (with no admission of wrongdoing) Kirk’s claims of sexual harassment, infliction of emotional distress and defamation. In addition to payment of substantial sums to Kirk, consideration for the settlement and promise of confidentiality included the executives’ agreement to invest in a film project to be written, directed and produced by Newton, starring Kirk as the female lead. The settlement agreement’s confidentiality provision prohibited Kirk and Newton from disclosing, directly or indirectly, “confidential information,” as defined in the agreement, to any person or entity, including media organizations or on Internet social media. “Confidential information,” as defined, included the facts, circumstances,

Court, rule 2.550(d)(1).) While that might be true in some instances (see Universal City Studios, Inc. v. Superior Court (2003) 110 Cal.App.4th 1273, 1283), the widespread public disclosure of the information in the news media vitiates any such interest here because unsealing the record will no longer prejudice the interest in confidentiality. (See Cal. Rules of Court, rule 2.550(d)(3).) Acknowledging that fact, the executives also argued the media stories had not disclosed all of the confidential information and in some instances had described it inaccurately. We invited counsel for the executives to propose narrowly tailored redactions to protect such information. After reviewing their submission, we authorize limited redactions in a separate order filed concurrently with this opinion.

4 allegations and contentions giving rise to Kirk’s claims against the executives; the facts, circumstances, existence and substance of any encounter or communication between Kirk and any of the executives; and the settlement agreement, its negotiation and terms. The impermissible disclosure of confidential information was to be considered a material breach of the agreement. The parties agreed to arbitrate “any and all future disputes or controversies of any kind or nature between the Parties, including without limitation any claim [or] disputes regarding validity, interpretation, enforcement or claimed breach of this Agreement, however characterized . . . before JAMS under the JAMS Comprehensive Arbitration Rules and Procedures . . . or ADR pursuant to its rules, and California law, to the greatest extent permitted by law.” Kirk and Newton acknowledged an unauthorized disclosure of confidential information would cause irreparable harm to the executives and agreed that, upon any breach or threatened breach of the confidentiality provision, the executives would be entitled to immediately obtain injunctive relief from the arbitrator (ex parte issuance of a temporary restraining order and a preliminary injunction) preventing the disclosure (or further disclosure) of confidential information pending the outcome of arbitration. Notwithstanding the arbitration provision, the parties further agreed, without waiving their right to arbitration, the executives could seek injunctive relief in court to prevent a breach of the settlement agreement.

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Kirk v. Ratner, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kirk-v-ratner-calctapp-2022.