NEW JERSEY CHINESE COMMUNITY CENTER, INC v. MCALEER

District Court, D. New Jersey·Decided August 15, 2022·No. 3:21-cv-08320·Unknown

Opinion

*NOT FOR PUBLICATON*

UNITED STATES DISTRICT COURT DISTRICT OF NEW JERSEY _______________________________________

NEW JERSEY CHINESE COMMUNITY CENTER,

Plaintiff,

v. Civil Action No. 21-08320 (FLW)

PETER MCALEER, STATE OPINION OF NEW JERSEY, IPD GROUP INC. dba EIN PRESSWIRE,

Defendants.

WOLFSON, Chief Judge: This matter is before the Court upon the Motion of Plaintiff, New Jersey Chinese Community Center, Inc. (“Plaintiff” or “NJCCC”) for Default Judgment, and upon the Cross- Motion of Defendants, the State of New Jersey and Peter McAleer (“McAleer”) (together “State Defendants”), to vacate default and to dismiss Plaintiff’s complaint. Plaintiff alleges that State Defendants violated NJCCC’s constitutional right to freedom of speech by suppressing a press release defendant IPD Group, Inc. d/b/a/ EIN Presswire1 had agreed to publish on behalf of Plaintiff. To that end, Plaintiff asserts that State Defendants violated NJCCC’s free speech rights under the First and Fifth Amendments of the U.S. Constitution pursuant to 42 U.S.C. §§ 1983 - 1986, the New Jersey State Constitution, and the New Jersey Civil Rights Act (“NJCRA”).

1 Plaintiff also brought the same claims against defendant EIN Presswire. On May 17, 2022, the Court granted EIN Presswire’s motion to dismiss, but permitted Plaintiff 30 days to file an amended complaint alleging additional facts showing state action on the part of EIN Presswire. Thereafter, Plaintiff filed its Amended Complaint. (ECF No. 27.) EIN Presswire’s Motion to dismiss the amended complaint is currently pending. (ECF No. 28.) Plaintiff further maintains that the default entered against State Defendants should not be vacated. For the reasons set forth below, the Court GRANTS State Defendants’ motion to vacate default. In addition, State Defendants’ motion to dismiss is GRANTED in part and DENIED in part. State Defendant’s motion to dismiss is GRANTED as to the State of New Jersey. All claims against

the State of New Jersey are dismissed with prejudice. In addition, State Defendants’ motion to dismiss as to the section 1985 and 1986 claims brought against Mr. McAleer is GRANTED. However, State Defendants’ motion to dismiss as to the section 1983 and NJCRA claims brought against Mr. McAleer is DENIED without prejudice. Mr. McAleer and Plaintiff are directed to submit supplemental briefing addressing whether the additional allegations set forth in the amended complaint state a suppression of speech claim against Mr. McAleer under section 1983 and the NJCRA within 30 days of the accompanying Order. I. FACTUAL BACKGROUND AND PROCEDURAL HISTORY For the purposes of this motion, the Court begins with the procedural history. On April 6, 2021, Plaintiff filed a complaint seeking damages and injunctive relief against all named

defendants for alleged violations of its rights to freedom of speech under §§ 1983-1986 of the Civil Rights Act, the New Jersey Constitution, and the NJCRA. (Complaint (“Compl.”), ECF No. 1.) Summons were issued to all defendants on April 6, 2021. (ECF No. 4.) On July 12, 2021, Plaintiff sought a six-month extension of time to serve its summons and complaint, which the Magistrate Judge denied on July 15, 2021. (ECF Nos. 5-6.) The Magistrate Judge provided Plaintiff a 45- day extension. On August 16, 2021, Plaintiff served the summons and complaint on State Defendants, via email to the NJAG Electronic Service email, pursuant to service of process instructions provided by a security officer at the Office of the State of New Jersey.2 An agency representative acknowledged receipt of service on August 18, 2021. (ECF No. 8.) Plaintiff also filed an Affidavit of Service as to EIN Presswire on September 13, 2021. (ECF No. 9.) On October 4, 2021, EIN Presswire moved to dismiss Plaintiff’s complaint, which I granted. Claims brought

against EIN Presswire were dismissed without prejudice and Plaintiff was directed to file an amended complaint alleging additional facts demonstrating state action on the part of EIN Presswire. On June 9, 2022, Plaintiff filed an amended complaint. (Amended Complaint (“Am. Compl.”), ECF No. 27.) State Defendants failed to respond to the summons and the original complaint, and on November 9, 2021, Plaintiff filed a request for entry of default, which the Clerk entered on the same date. (ECF Nos. 16, 17.) On March 10, 2022, Plaintiff filed a motion for default judgment. (Plaintiff’s Motion for Default Judgment (“Pl.’s Mot.”), ECF No. 18.) Later that month, State Defendants filed letters requesting a one-cycle adjournment of Plaintiff’s Motion to April 18, 2022, with Plaintiff’s consent. (ECF No. 20.) On April 5, 2022, State Defendants filed a cross-motion

to vacate default and dismiss Plaintiff’s original complaint. (State Defendants’ Opposition to Plaintiff’s Motion for Default Judgment and Cross-Motion to Dismiss (“Defs.’ Br. in Opp’n”), ECF No. 22.) Plaintiff opposed State Defendants’ motion. (Plaintiff’s Reply (“Pl.’s Reply”), ECF No. 23.) Turning now to the facts, Plaintiff’s allegations in its initial complaint are as follows. On February 15, 2021, Plaintiff submitted a press release to EIN Presswire for publication titled “In

2 Pursuant to an order issued by the Supreme Court of New Jersey, signed April 7, 2020, the provisions of Rule 4:4-4(a)(7) of the Rules Governing the Courts of the state of New Jersey were relaxed and supplemented to permit electronic service of process by email on the State of New Jersey. (See Covid-19 Order, April 7, 2020.) Somerset Superior Court, Judge Reed Just Couldn’t Stand Up to Judge Miller’s Pressure in Deciding a Case.” (Compl. ¶ 5.) The press release was allegedly part of a fundraising campaign to raise awareness of discrimination and bias against the Asian American community. (Id. ¶ 9.) On February 20, 2021, EIN Presswire allegedly approved the press release for distribution. (Id. ¶

5.) Less than a month later, on March 10, 2021, Plaintiff avers that it discovered that the press release had been retracted without its knowledge or consent. (Id. ¶ 6.) Plaintiff alleges that EIN Presswire retracted the press release because defendant, Mr. Peter McAleer, the Director of Communications and Community Relations at the New Jersey Administrative Office of the Courts, had “filed a complaint and ordered that it be retracted.” (Id. ¶ 7.) Plaintiff’s original complaint does not explain the content of Mr. McAleer’s complaint, or the capacity in which Mr. McAleer “ordered” EIN Presswire. Indeed, as Director of Communications and Community Relations, it does not appear that Mr. McAleer has the capacity to enter an order that would compel a private entity such as EIN Presswire to refrain from issuing any press releases. Nevertheless, as a result of the alleged retraction of the press release, Plaintiff maintains that its credibility and fundraising

ability have been severely damaged. (Id. ¶ 10.) Plaintiff supplemented its allegations as to Mr. McAleer in its amended complaint. (Am. Compl.) Instead of claiming that Mr. McAleer “filed a complaint and ordered that it be retracted,” Plaintiff now alleges that “[a]ccording to EIN Presswire, shortly after the publication of the press release, [EIN Presswire] received a complaint by [Mr. McAleer] . . . .” (Am. Compl. ¶ 35.) However, the amended complaint does not reference the form of the complaint, i.e., whether it was written or oral, or the contents of the complaint. Further, Plaintiff alleges that “[i]t is believed the contact from the New Jersey Administrative Office of the Courts caused the [sic] EIN Presswire to retract the press release shortly after it was published.” (Id. ¶ 36.) Plaintiff further alleges that “[a]ccording to Jeremy Fields, the Vice President of EIN Presswire, [Mr.

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