Soloway v. ALM Global, LLC

CourtDistrict Court, N.D. Illinois
DecidedOctober 18, 2024
Docket1:24-cv-02925
StatusUnknown

This text of Soloway v. ALM Global, LLC (Soloway v. ALM Global, LLC) is published on Counsel Stack Legal Research, covering District Court, N.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Soloway v. ALM Global, LLC, (N.D. Ill. 2024).

Opinion

UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

BRETT SOLOWAY.,

Plaintiff,

v. No. 24 CV 2925

ALM GLOBAL, LLC AND HUGO GUZMAN., Judge Georgia N. Alexakis

Defendants.

MEMORANDUM OPINION AND ORDER Plaintiff Brett Soloway accuses publisher ALM Global, LLC, and reporter Hugo Guzman of publishing a defamatory article describing his exit as general counsel from real estate firm Cushman & Wakefield. [1]. Defendants ALM and Guzman ask the Court to dismiss plaintiff’s complaint. [16]. Because the article is not defamatory as a matter of law, defendants’ motion to dismiss is granted. I. Factual Background Plaintiff served as general counsel for Cushman & Wakefield between 2014 and 2023. [1] ¶ 14. In his capacity as general counsel, plaintiff “oversaw … all of Cushman’s legal efforts,” including litigation, and “oversaw outside counsel that Cushman hired for litigation matters.” Id. ¶ 15. During plaintiff’s tenure as general counsel, the New York Attorney General subpoenaed Cushman to produce documents in the New York v. The Trump Organization, Inc., et al., litigation (“Trump Organization litigation”). Id. ¶ 30. In the summer of 2022, the trial court judge presiding over the Trump Organization litigation criticized Cushman for “treat[ing] the looming [document production] deadlines cavalierly” and, in July 2022, held Cushman in contempt of court for failing to timely respond to the subpoena. Id. ¶ 31;

[1-1] at 2. One month later, an appeals court lifted the contempt order. Id. Seven months later, in March 2023, plaintiff “voluntarily resigned from Cushman on amicable terms.” [1] ¶ 35; see also id. ¶ 4 (“[Plaintiff] departed Cushman on independent and friendly terms.”). Then, on April 13, 2023, Cushman issued a press release announcing the arrival of its new general counsel. Id. ¶¶ 54-57; [1-1]. The press release mentioned neither plaintiff’s name nor the reason for his departure. [1] ¶ 54; [1-1]. When Cushman released the press release, plaintiff’s biography had

been removed from the firm’s website. Id. ¶¶ 54, 57. The next day, April 14, 2023, defendant Guzman—a journalist for the legal publication Law.com, operated by defendant ALM—published an article with the headline “Cushman Replaces GC in Wake of Company’s Rebuke by Judge in Trump Probe.” Id. ¶ 38. The other relevant portions of the article are as follows: • The subheadline read, “The real estate services giant says it has hired former Archer Daniels Midland attorney Noelle Perkins as legal chief. It didn’t explain the departure of GC Brett Soloway, who has been removed from the company’s website.” [1-1] at 2.

• An introductory section was titled “What You Need to Know” and referenced, in bullet points, Cushman’s “long-standing relationship with the Trump Organization,” the “deluge” of subpoenas Cushman had received from the New York Attorney General, the July 2022 contempt holding, and the later lifting of the contempt holding. Id.

• The first paragraph noted that Cushman “replaced” plaintiff as general counsel in “a move that c[ame] eight months after a judge found the company in contempt of court for not complying with subpoenas in New York Attorney General Letitia James’ Donald Trump investigation.” Id.

• The second paragraph identified plaintiff’s successor; noted that Cushman’s press release announcing her appointment “made no reference to [plaintiff], who had been general counsel for nine years”; and added that “[h]is bio was removed from the company’s website.” Id.

• The third paragraph claimed that “Cushman did not respond to requests for comment, and [plaintiff] could not be located for comment.” Id.

• The rest of the article detailed Cushman’s role in the Trump Organization litigation; its response to the contempt holding, including a statement from a Cushman spokesman that “the firm ‘disagrees with any suggestion that the firm has not exercised diligence and good faith in complying with the court’s order’”; the contempt holding’s eventual reversal (accompanied by a hyperlink to a more detailed article on that development); and the professional background of Cushman’s new general counsel. Id. at 3.

Defendants contacted neither plaintiff nor Cushman before the article’s publication. [1] ¶¶ 61, 62. In August 2023, four months after the article’s publication, plaintiff sent a letter to defendants demanding its retraction. Id. ¶ 79. Approximately two weeks later, an ALM employee emailed Cushman to say that ALM was “thinking of updating [the] story from earlier this year on [plaintiff’s] departure” and asked Cushman to “address what the reasons were for [plaintiff’s] departure and what effect, if any, the Trump case contempt order had on it.” Id. ¶ 80. Cushman did not disclose the reasons for plaintiff’s departure, but replied that defendants’ “story, suggesting a direct link between [plaintiff’s] departure and the contempt order, isn’t accurate or factual.” Id. ¶ 81. Soon after this exchange, in September 2023, defendants revised the article. Id. ¶ 86. The headline now reads: “Cushman Replaces GC Who Headed Legal Department During Trump Probe.” Id. ¶ 89; [1-3] at 2. The other relevant changes are as follows: • The subheadline now reads: “The real estate services giant says it has hired former Archer Daniels Midland attorney Noelle Perkins as legal chief. It didn’t explain the departure of GC [plaintiff].” [1] ¶ 90; [1-3] at 2.

• The first paragraph now reads, in part: “The news release made no reference to [plaintiff], who had been general counsel for nine years, during which a judge found the company in contempt of court for not complying with subpoenas in New York Attorney General Letitia James’ Donald Trump investigation.” [1] ¶ 93; [1-3] at 2.

The article, in both forms, remains online and readily accessible to anyone who uses Google to search plaintiff’s name. [1] ¶¶ 99–101. Plaintiff alleges that defendants’ work was defamatory—“falsely claim[ing] that [plaintiff] was fired for his job performance … in a highly publicized New York case involving Trump”—and has prevented him from working with recruiters and securing employment. See, e.g., id. ¶¶ 3, 103–12. II. Legal Standards To survive a motion to dismiss, a complaint must plead “only enough facts to state a claim to relief that is plausible on its face.” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007). The Court presumes all well-pleaded factual allegations to be true (as it has done in detailing the relevant factual background above) and views all plausible inferences in the light most favorable to the plaintiff. Bridges v. Blackstone, Inc., 66 F.4th 687, 689 (7th Cir. 2023). To understand the full context of plaintiff’s claim at the motion to dismiss stage, the Court must consider the articles attached to plaintiff’s complaint, [1-1] and [1-3], which are critical to his allegations. See Burlet v. Baldwin, 452 F. Supp. 3d 801, 812 (N.D. Ill. 2020) (considering a radio segment central to plaintiff’s defamation claim when resolving a motion to dismiss). Here, plaintiff claims that the article, in both original and revised form, is

“defamatory, and in fact, also defamatory per se.” [1] ¶ 122. To survive defendants’ motion to dismiss, plaintiff must allege that defendants (1) made a false statement about him, (2) to a third party, (3) that caused damages. See Bd. Of Forensic Document Examiners, Inc. v. Am. Bar Ass’n, 922 F.3d 827, 831–32 (7th Cir. 2019). In Illinois, there are two categories of defamation: per se and per quod. Muzikowski v. Paramount Pictures Corp.,

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