Steve Quest v. Nicholas Robert Rekieta

Court of Appeals of Minnesota·Decided May 20, 2024·No. a231337·Published

Opinion

This opinion is nonprecedential except as provided by Minn. R. Civ. App. P. 136.01, subd. 1(c).

STATE OF MINNESOTA

IN COURT OF APPEALS

A23-1337

Steve Quest,

Respondent,

vs.

Nicholas Robert Rekieta, et al., Appellants.

Filed May 20, 2024

Affirmed

Ede, Judge

Kandiyohi County District Court File No. 34-CV-23-12

Christopher W. Bowman, Madigan, Dahl & Harlan, P.A., Minneapolis, Minnesota; and David W. Schneider, Schneider & Madsen, P.C., Willmar, Minnesota (for respondent) Matt Kezhaya, Kezhaya Law PLC, Minneapolis, Minnesota; and Marc J. Randazza (pro hac vice), Las Vegas, Nevada (for appellants)

Considered and decided by Larson, Presiding Judge; Reyes, Judge; and Ede, Judge.

NONPRECEDENTIAL OPINION

EDE, Judge In this interlocutory appeal, appellants seek review of the district court’s order denying their special motion to dismiss respondent’s tort claims under Colorado’s anti- SLAPP (Strategic Lawsuit Against Public Participation) law, Colorado Revised Statutes section 13-20-1101 (2022). Appellants ask this court to reverse and remand, arguing that

the district court erred by concluding that Minnesota law governs, rather than Colorado law. Because we conclude that the five-factor test applicable to civil tort choice-of-law disputes favors Minnesota law, we affirm.

FACTS

Appellant Nicholas Robert Rekieta is a Minnesota attorney with an online presence.

Rekieta discusses topical legal issues through pre-recorded videos and video streams, which he publishes online. Respondent Steve Quest is a Colorado resident who creates, directs, and publishes videos online.

Quest filed a complaint in Minnesota district court against appellants Rekieta and Rekieta Law LLC (collectively, Rekieta) for defamation, intentional infliction of emotional distress, and negligent infliction of emotional distress.

Rekieta filed a special motion to dismiss Quest’s complaint under Colorado’s anti-

SLAPP statute, see Colo. Rev. Stat. § 13-20-1101, which “provides a mechanism to dismiss nonmeritorious lawsuits infringing on First Amendment rights,” L.S.S. v. S.A.P., 523 P.3d 1280, 1285 (Colo. App. 2022), cert. denied (Colo. July 17, 2023). Quest opposed Rekieta’s motion to dismiss, arguing that the district court should apply the law of Minnesota, not Colorado. In July 2023, the district court denied Rekieta’s motion to dismiss because it concluded that Minnesota law governs this case.

Citing Jepson v. General Casualty Co. of Wisconsin, 513 N.W.2d 467, 470 (Minn.

1994), the district court applied a five-factor test to resolve the choice-of-law dispute, considering: (1) predictability of result; (2) maintenance of interstate order; (3) simplification of the judicial task; (4) advancement of the forum’s governmental

interest; and (5) application of the better rule of law. The district court determined that factors one, three, and four favored applying Minnesota law, and that factor two favored applying Colorado law. The district court did not analyze factor five, instead choosing to rely on its analysis of the first four factors based on caselaw holding that district courts should only apply factor five “when the first four factors do not clearly resolve the choice of law issue.” Bd. of Regents of Univ. of Minn. v. Royal Ins. Co. of Am., 503 N.W.2d 486, 491 (Minn. App. 1993), aff’d on other grounds, rev’d on other grounds, 517 N.W.2d 888 (Minn. 1994).

Rekieta appeals. 1 DECISION

Whereas Rekieta maintains that Colorado Revised Statutes section 13-20-1101 applies here, Quest insists that the district court did not err by choosing Minnesota law. “Choice-of-law questions are questions of law and are reviewed de novo.” Schumacher v. Schumacher, 676 N.W.2d 685, 690 (Minn. App. 2004). As explained below, we conclude that the district court did not err in deciding to apply Minnesota law.

1 We questioned but ultimately accepted jurisdiction, limiting the scope of this appeal to the district court’s choice-of-law decision, which we concluded is independently appealable under the collateral-order doctrine. See Kastner v. Star Trails Ass’n, 646 N.W.2d 235, 240 (Minn. 2002).

There is a conflict between Colorado and Minnesota law and either may be constitutionally applied.

Before turning to the merits of the parties’ choice-of-law arguments, we briefly address certain preliminary issues to determine whether a choice-of-law analysis is appropriate.

Our “first consideration is whether the choice of one state’s law over another’s creates an actual conflict.” Jepson, 513 N.W.2d at 469. Here, the parties do not dispute, and we agree, that there is an actual conflict between Minnesota and Colorado law. See id. Both Colorado and Minnesota have anti-SLAPP laws that authorize a district court to dismiss a lawsuit if certain procedural requirements are met. See Colo. Rev. Stat. § 13-20- 1101; Minn. Stat. § 554.02 (2022). But the Minnesota Supreme Court has held that, as applied to tort claims at law, Minnesota’s anti-SLAPP statute unconstitutionally infringes on the state constitutional right to a jury trial. Leiendecker v. Asian Women United of Minn., 895 N.W.2d 623, 637–38 (Minn. 2017). Thus, if Colorado’s anti-SLAPP statute applies, Rekieta may have a meritorious special motion to dismiss that could dispose of Quest’s claims. But no such motion currently exists under Minnesota law. The choice of Colorado’s law over Minnesota’s therefore creates an actual conflict.

“Next, we must consider whether the law of both states can be constitutionally applied.” Jepson, 513 N.W.2d at 469–70. “[F]or a State’s substantive law to be selected in a constitutionally permissible manner, that State must have a significant contact or significant aggregation of contacts, creating state interests, such that choice of its law is neither arbitrary nor fundamentally unfair.” Id. (quoting Allstate Ins. Co. v. Hague, 449

U.S. 302, 312–13 (1981)). Here, the parties do not dispute that either state’s law may be selected in a “constitutionally permissible manner” per Jepson, and we conclude that both Colorado and Minnesota have sufficient contacts with this case to create state interests. See id. Minnesota law applies to this matter.

Having concluded that there is a conflict between Colorado and Minnesota law and that either may be constitutionally applied, we must now resolve the choice-of-law question. See id. at 470. Although Rekieta suggests we should employ the “most- significant-relationship” test, 2 the parties ultimately agree—as do we—that the five-factor

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