Sprague v. American Bar Ass'n

276 F. Supp. 2d 365, 31 Media L. Rep. (BNA) 2224, 2003 U.S. Dist. LEXIS 15571, 2003 WL 21949127
CourtDistrict Court, E.D. Pennsylvania
DecidedJuly 31, 2003
DocketCIV.A. 01-382
StatusPublished
Cited by16 cases

This text of 276 F. Supp. 2d 365 (Sprague v. American Bar Ass'n) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sprague v. American Bar Ass'n, 276 F. Supp. 2d 365, 31 Media L. Rep. (BNA) 2224, 2003 U.S. Dist. LEXIS 15571, 2003 WL 21949127 (E.D. Pa. 2003).

Opinion

Memorandum and Order

YOHN, District Judge.

Plaintiff, Richard Sprague, is suing defendants, the American Bar Association (“ABA”), the ABA Journal (“Journal”), and journalist Terry P. Carter (“Carter”), for defamation. Currently pending before the court are defendants’ two combined motions for summary judgment, under Federal Rule of Civil Procedure 56(b), on the issue of damages. Specifically, defendants move for summary judgment on the issues of (1) the compensatory damages for repu-tational and emotional harm and (2) punitive damages. Because genuine issues of material fact exist regarding both of these *367 issues, I will deny both of defendants’ motions for summary judgment.

BACKGROUND

The following relevant material facts are not disputed. The October 2000 edition of the Journal contained an article, authored by defendant Carter, that discussed plaintiff, who is a prominent Philadelphia attorney. Mot. for Sum. J. on Pun. Dam, Ex. A (“Cops in the Crossfire”). Within this article, defendants referred to plaintiff as “perhaps the most powerful lawyer-eum-fixer in the state.” 1

In response to this article, on January 11, 2001, plaintiff filed an action for defamation in the Court of Common Pleas of Philadelphia County, which defendants promptly removed to the Eastern District of Pennsylvania on January 25, 2001. Notice of Removal (Doc. 1). Plaintiff asserts that defendants’ use of the term “fixer” constituted defamation because it implied that he secured favorable judicial decisions through illegal means. 2 Oppos. to Sum J. on Pun. Dam, at 19. He further avers that as a result of this reference to him, he has suffered harm to his reputation, as well as emotional harm. 3 Compl., ¶44. Consequently, plaintiff requests compensatory and punitive damages. Id. at 8.

Thus far, this court has entered three rulings as to plaintiffs cause of action. The court determined, as a matter of law, that the term “lawyer-cum-fixer” as employed in defendants’ article was capable of two meanings: one defamatory, the other not. Memorandum and Order, at *4 (Yohn, J., Nov. 14, 2001). In addition, the court approved the stipulation of the parties that plaintiff “is held to be a limited public figure as a matter of law for purposes of this defamation action.” Order (Yohn, J., April 1, 2002). Finally, this court held that there are genuine issues of material fact as to whether defendants acted with actual malice; therefore, I denied summary judgment on that issue. Memorandum and Order (Yohn, J., July 18, 2003).

Now, defendants have moved for summary judgment on the issues of: (1) rep-utational and emotional harm and (2) punitive damages. The court, however, concludes that there are genuine issues of material fact as to each of these issues, and thus, summary judgment will be denied as to both motions.

STANDARD OF REVIEW

Either party to a lawsuit may file a motion for summary judgment, and it will be granted only “if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to judgment as a matter of law.” Fed. R. Civ. Pro. 56(c). “Facts that could alter the outcome are ‘material,’ and disputes are ‘genuine’ if evidence exists from which a rational person could conclude that the position of the person with the burden of proof on the disputed issue is correct.” Ideal Dairy Farms, Inc. v. John Labatt, Ltd., 90 F.3d 737, 743 (3d Cir.1996) (citation omitted). *368 In addition, “[s]ummary judgment may not be granted ... if there is a disagreement over what inferences can be reasonably drawn from the facts even if the facts are undisputed.” Ideal Dairy, 90 F.3d at 744 (citation omitted). While the moving party bears the initial burden of showing that there is no genuine issue of material fact, Celotex Corp. v. Catrett, 477 U.S. 317, 323, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986), Rule 56(c) “mandates the entry of summary judgment ... against a party who fails to make a showing sufficient to establish the existence of an element essential to that party’s case, and on which that party will bear the burden of proof at trial,” Id. at 322, 106 S.Ct. 2548.

When a court evaluates a motion for summary judgment, “[t]he evidence of the non-movant is to be believed.” Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 255, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986). Additionally, “all justifiable inferences are to be drawn in [the non-movant’s] favor.” Id. At the same time, “an inference based upon a speculation or conjecture does not create a material factual dispute sufficient to defeat entry of summary judgment.” Robertson v. Allied Signal, Inc., 914 F.2d 360, 382 n. 12 (3d Cir.1990). The non-movant must show more than “[t]he mere existence of a scintilla of evidence” for elements on which he bears the burden of production. Anderson, 477 U.S. at 252, 106 S.Ct. 2505. Thus, “[w]here the record taken as a whole could not lead a rational trier of fact to find for the non-moving party, there is no ‘genuine issue for trial.’ ” Matsushita Elec. Indus. Co. v. Zenith Radio Corp., 475 U.S. 574, 587, 106 S.Ct. 1348, 89 L.Ed.2d 538 (1986) (citations omitted).

DISCUSSION

Defamation is a state law claim that is replete with First Amendment limitations. Marcone v. Penthouse International Magazine, 754 F.2d 1072, 1077 (3d Cir.1985); Dun & Bradstreet Inc. v. Greenmoss Builders, Inc., 472 U.S. 749, 755-756, 105 S.Ct. 2939, 86 L.Ed.2d 593 (1985). Consequently, “[a]n adjudication of a defamation case involves both state and federal law inquiries.” Marcone, 754 F.2d at 1078. The issue of defamation damages is no exception. Accordingly, in resolving defendants’ motions for summary judgment, the court must consider both domains.

I. Compensatory Damages

There are two major categories of compensatory damages relevant to a defamation claim: “presumed” and “actual.” “Presumed” damages are those that are expected to result from defamation; they require no proof, but instead, as reflected in their name, are presumed under the law. In contrast, actual damages require competent proof. Gertz v. Robert Welch, Inc., 418 U.S. 323, 350, 94 S.Ct.

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276 F. Supp. 2d 365, 31 Media L. Rep. (BNA) 2224, 2003 U.S. Dist. LEXIS 15571, 2003 WL 21949127, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sprague-v-american-bar-assn-paed-2003.