Mansik & Young Plaza LLC, Young Ho Kim, Sun Hui Kim and David Kim v. K-Town Management, LLC D/B/A KTN US IP Investments, LTD. Odes H. Kim Ji Hong Park, and Chul Seung Park

CourtCourt of Appeals of Texas
DecidedAugust 15, 2016
Docket05-15-00353-CV
StatusPublished

This text of Mansik & Young Plaza LLC, Young Ho Kim, Sun Hui Kim and David Kim v. K-Town Management, LLC D/B/A KTN US IP Investments, LTD. Odes H. Kim Ji Hong Park, and Chul Seung Park (Mansik & Young Plaza LLC, Young Ho Kim, Sun Hui Kim and David Kim v. K-Town Management, LLC D/B/A KTN US IP Investments, LTD. Odes H. Kim Ji Hong Park, and Chul Seung Park) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Mansik & Young Plaza LLC, Young Ho Kim, Sun Hui Kim and David Kim v. K-Town Management, LLC D/B/A KTN US IP Investments, LTD. Odes H. Kim Ji Hong Park, and Chul Seung Park, (Tex. Ct. App. 2016).

Opinion

AFFIRM; and Opinion Filed August 15, 2016.

S In The Court of Appeals Fifth District of Texas at Dallas No. 05-15-00353-CV

MANSIK & YOUNG PLAZA LLC, YOUNG HO KIM, SUN HUI KIM, AND DAVID KIM, Appellants V. K-TOWN MANAGEMENT, LLC D/B/A KTN US, IP INVESTMENTS, LTD., ODES H. KIM, JI HONG PARK, AND CHUL SEUNG PARK, Appellees

On Appeal from the 193rd Judicial District Court Dallas County, Texas Trial Court Cause No. DC-14-12729

MEMORANDUM OPINION Before Justices Lang-Miers, Brown, and Schenck Opinion by Justice Brown Appellants Mansik & Young Plaza, LLC (Mansik & Young), Young Ho Kim, Sun Hui

Kim, and David Kim sued appellees K-Town Management, LLC d/b/a KTN US (KTN US), IP

Investments, LTD., Odes H. Kim, Ji Hong Park, and Chul Seung Park for libel following the

publication of four articles in a weekly Korean newspaper. The trial court granted appellees’

motion to dismiss under the Texas Citizens Participation Act (TCPA). In this appeal, appellants

contend the trial court erred in dismissing their claims because the TCPA does not apply and

because they established a prima facie case of libel and erred in denying their motion for limited

discovery. For the following reasons, we affirm the trial court’s order of dismissal. BACKGROUND

According to appellants’ pleadings, in 2008, appellant Mansik & Young purchased a

46,000 square foot office building in Dallas known as the Crown Plaza building. The other

appellants, Young Ho Kim, his wife Sun Hui Kim, and his brother David Kim, are members of

Mansik & Young. Young Ho Kim is very well known in the Texas Korean community, as well

as in the national Korean community and in South Korea. He is the Chairman of the Federation

of Korea Associations USA and former President of the Dallas Korean American Society. In

May 2014, a real estate broker approached Young Ho Kim about selling the Crown Plaza

building to the Korean Cultural Center of Dallas (KCCD) to be used to establish a center for the

North Texas Korean community. Young Ho Kim agreed to sell the building to the KCCD for

$1.5 million. The sale would result in a financial loss to Mansik & Young, but Mansik & Young

was willing to sell as a donation to the KCCD. This agreement was later terminated, but the

parties reached a second agreement for the sale of the building for the same price. The sale was

scheduled to close in November 2014.

Appellee KTN US publishes a weekly newspaper, Korean Town News, in Dallas for the

Korean community. The publication also appears online. Appellee Odes Kim is the owner and

publisher of KTN US, appellee Ji Hong Park is its president, and appellee Chul Seung Park is its

editor. In four consecutive issues in September and October 2014, KTN US published a series of

articles about the proposed sale of Mansik & Young’s building to the KCCD. The articles were

written and published in Korean. English translations of the articles were filed with the trial

court. The first article is attributed to Chul Seung Park, and the other three are attributed to a

“special reporting team.” Each article included at least one photograph of the building or the

surrounding location.

–2– In late October 2014, after publication of the fourth article, appellants sued appellees for

libel, asserting the articles contained defamatory statements. Appellants alleged that appellees

wanted to stop the sale of the Crown Plaza building to the KCCD so that appellee IP Investments

could sell the KCCD its own building. In the factual background section of their petition,

appellants listed specific statements that they asserted constituted libel per se.

Appellees filed an answer generally denying appellants’ allegations and asserting special

exceptions and affirmative defenses. They asserted that public funds were being raised to

purchase the cultural center. Appellees later filed a motion to dismiss all of appellants’ claims

under the TCPA, asserting they were sued in retaliation for publishing the articles. Appellants

filed a response to the motion to dismiss and attached various exhibits to the response. A few

days before the hearing on the motion, appellants filed an emergency motion to take the

deposition of appellee Chul Seung Park, the editor of KTN US, and moved to continue the

motion to dismiss. At the hearing, appellees’ attorney made the uncontroverted statement that

the sale of the building had gone through as planned. The trial court denied appellants’ request

for discovery and granted appellees’ motion to dismiss. The court’s order dismissed appellants’

claims with prejudice and awarded attorney’s fees to appellees. This appeal followed.

Before addressing appellants’ issues, we first summarize the four articles as follows:

1. September 26, 2014 article: “Korean Community, Professionals, and Others Calling Our Office for Complaining Angry with ‘Exclusion of Fairness, Clarity’”

The first article referred to appellants but does not mention them by name. It stated that

Koreans have become increasingly worried since the announcement of the building selection for

the KCCD. The newspaper had received “continuous phone calls of complaints with a kind of

indication of, ‘It’s a kind of deception of Koreans by a tactics of trying to reduce the burden of

rental fees for KSD [Korean Society of Dallas] office and by a card game in which the building

owner was colluded in a ‘Go-stop’ game.” The article indicated that callers are worried about –3– future operational problems caused by purchasing the building with a loan and operating with the

building rental income. It stated, “Accordingly, KTN (Korea Town News) will review the

impropriety as well as the possible future problems of the building, future operation and

maintaining the ownership of the building contracted for the Korean Cultural Center of Dallas.”

The article gave the opinions of four specific people, one who wished to remain

anonymous and three identified by only one initial, who were unhappy with the building

selection. The anonymous person had participated in fundraising for the building, but was

“regretting very much and strongly denouncing the Promotion Committee’s purchase of the

building.” Mr. K, an experienced building inspector, was completely disappointed in the

building site. He listed numerous problems with the building, including “loan, . . . resale or asset

value 0, [u]nder the highway, . . . few parking spaces, internal structure, . . . feels like a haunted

one. Mr. K was also of the opinion that the “poongsu condition” was “like building a house on a

running water.” (According to the pleadings, poongsu is a Korean term for bad karma.) Mr. K

also stated “looks like cheating Koreans.” Mr. L, who had an angry voice on the phone, asked,

“Do you know who is the owner of the Crown Plaza building?” He added that the “registered

names are the brothers, the Senior Vice-chair of Korean Society of Dallas (KSD) and the

Chairman of the board of directors of the Federation of Korean Society in US (FKSUS).”

According to Mr. L, it is a collusion between those representatives of the KSD and the FKSUS.

He noted the contract was rapidly done as the price was very low. He also stated that the Crown

Plaza building was known as problematic due to “renting was not going well.” Mr. L stated that

others shared his opinion that “a real suspicious unclear reason existed” for selecting this

building. Mr.

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Mansik & Young Plaza LLC, Young Ho Kim, Sun Hui Kim and David Kim v. K-Town Management, LLC D/B/A KTN US IP Investments, LTD. Odes H. Kim Ji Hong Park, and Chul Seung Park, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mansik-young-plaza-llc-young-ho-kim-sun-hui-kim-and-david-kim-v-k-town-texapp-2016.