Manufactured Home Communities, Inc. v. County of San Diego

655 F.3d 1171, 2011 WL 3771277
CourtCourt of Appeals for the Ninth Circuit
DecidedAugust 26, 2011
Docket09-55586, 10-55496
StatusPublished
Cited by21 cases

This text of 655 F.3d 1171 (Manufactured Home Communities, Inc. v. County of San Diego) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Manufactured Home Communities, Inc. v. County of San Diego, 655 F.3d 1171, 2011 WL 3771277 (9th Cir. 2011).

Opinion

OPINION

W. FLETCHER, Circuit Judge:

Equity Lifestyle Properties, Inc., formerly known as Manufactured Home Communities, Inc. (“MHC”), appeals the district court’s decision granting the County of San Diego and County Supervisor Dianne Jacob’s (collectively “Defendants”) motion to strike MHC’s defamation suit under California’s anti-SLAPP (Strategic Lawsuit Against Public Participation) statute. See Cal.Civ.Proc.Code § 425.16. MHC argues that the district court erred in concluding that MHC failed to make a prima facie case that various statements made by Jacob were false. MHC also appeals the district court’s order granting attorney’s fees under California’s antiSLAPP statute.

We affirm.

I. Background

MHC is a real estate investment trust based in Chicago. Manufactured Home Cmtys., Inc. v. Cnty. of San Diego (MHC), 544 F.3d 959, 961 (9th Cir.2008). MHC owns and operates mobile home parks throughout the United States. Id. MHC has three parks in unincorporated areas of San Diego County, called Lamplighter Village, Rancho Valley, and Rancho Mesa. Id. This appeal is based on allegedly defamatory statements made by Supervisor Dianne Jacob in response to two events at the parks.

The first event was MHC’s initiation of phased rent increases at all three parks in July 2002. Id. These rent increases led tenants to complain to Jacob about MHC.

The second event was a sewage backup at Rancho Valley. The backup occurred at the mobile home of Mike Dmochowski and his family on Thursday, December 5, 2002. Dmochowski informed MHC of the backup on December 6. MHC hired MBG Con *1174 struction to clean up the sewage. MBG Construction, in turn, subcontracted to Flood Rescue Service.

On Saturday, December 7, a member of the Rancho Valley homeowners association reported the backup to San Diego County’s Hazardous Incident Report Team (“HIRT”). Tony Torres at HIRT contacted Terry Hanifin at MHC. According to a “chronology of events” prepared by Chimene Adams, Jacob’s Policy Advisor, Hanifin told Torres that “the situation was under control.” According to Llew Munter, an employee of the San Diego Department of Environmental Health (“DEH”), Hanifin told Torres that “the problem had been resolved.” Hanifin also told Torres that the carpet at the Dmochowskis’ mobile home had been removed and that the home would be cleaned and sanitized by Monday, December 9. Based on Hanifin’s assurance that “the situation was under control,” or that “the problem had been resolved,” HIRT did not send a team to Rancho Valley during the weekend.

After receiving more complaints about the sewage backup, HIRT sent a team to Rancho Valley on Monday, December 9. When the team arrived at six o’clock that evening, it discovered that, although Flood Rescue Service had indeed been working on the problem, the Dmochowskis’ home was still unfit for habitation. According to a report by Richard Haas, Deputy Director of DEH, the Dmochowskis were still living in the home despite its condition. The Dmochowskis stated that they wanted to leave but could not afford to do so. Many of the owners complained to the HIRT team about the backup and about MHC’s inaction.

Supervisor Jacob criticized MHC in numerous statements both before and after the sewage backup. We describe here the six statements on which MHC bases its appeal.

First, Jacob spoke at a Lamplighter Village tenant meeting on November 16, 2002, three weeks before the sewage backup. MHC, 544 F.3d at 962. Jacob criticized MHC and its decision to increase rents. She said:

We are working with County Counsel, our new District Attorney Bonnie Dumanis and your [attorneys] to determine whether or not there are civil and/or criminal actions that should be filed against the company.

Second, on November 18, one of Jacob’s assistants, with Jacob’s approval, sent an email to residents of the three parks. The email included a summary of Jacob’s statements at the November 16 meeting at Lamplighter Village. The email included the following statement:

I have already talked with County Counsel and District Attorney-Elect Bonnie Dumanis and they are very interested in following up to determine whether or not there are civil and/or criminal actions that should be filed against the company.

Third, on December 10, Jacob was interviewed during a television broadcast about the sewage backup at Rancho Valley. Jacob made the following statement:

This company in this case lied to the County. Said to the County that everything was fine, the sewage situation was fixed. And, in fact, it was not.

Fourth, as part of the same televised interview on December 10, Jacob said:

[MHC] has a reputation throughout the country of running people out of older mobile home parks, increasing the value of the park, and then selling it at a profit.

Fifth, on December 29, an article in the San Diego Uniorir-Tribune quoted Jacob as saying the following about MHC’s rent increases:

*1175 It’s a deliberate attempt to force these people out of their homes in order for the company to move newer mobile homes in, increase the value of the park and sell it for a profit.... They have done this throughout the country, not just here in San Diego County.

Sixth, on January 18, 2008, Jacob spoke at a meeting at Lamplighter Village. According to the talking points she used at the meeting, she said:

December 6, 2002, MHC deliberately LIED to the County about the sewage back-up in the Dmoehoskis [sic] mobile-home. MHC told the County NOT to respond to the sewage back-up in this unit because MHC said that it had everything under control. That was a lie. It was a dangerous lie for the family that lives there and who had to contend with raw sewage in their home. MHC put the health and safety of this family in jeopardy and MHC should be ashamed of itself.

MHC filed suit against San Diego County in federal district court for the Southern District of California on November 24, 2003, alleging a variety of federal-law claims — a violation of the Equal Protection Clause, a violation of the First Amendment, a taking in violation of the Fifth and Fourteenth Amendments, and a violation of substantive due process. In its First Amended Complaint, MHC added Jacob as a defendant, alleging a violation of the First Amendment. MHC, 544 F.3d at 962. In its Second Amended Complaint, MHC added state-law claims of trade libel (defamation) and tortious interference with prospective economic advantage against the County and Supervisor Jacob, based on Jacob’s statements. Id.

Defendants filed an anti-SLAPP motion to strike MHC’s two state-law causes of action.

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Bluebook (online)
655 F.3d 1171, 2011 WL 3771277, Counsel Stack Legal Research, https://law.counselstack.com/opinion/manufactured-home-communities-inc-v-county-of-san-diego-ca9-2011.