Opinion

FilmOn.com v. DoubleVerify

Court
California Court of Appeal
Filed
Jul 25, 2017
Status
Published
Cited by
0 cases
Authority
More cited than 3.8%

The opinion

Filed 6/29/17; pub. order 7/25/17 (see end of opn.)

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION THREE

FILMON.COM, B264074

Plaintiff and Appellant, (Los Angeles County

Super. Ct. No. BC561987)

v.

DOUBLEVERIFY, INC.

Defendant and Respondent.

APPEAL from an order of the Superior Court of Los

Angeles County, Terry A. Green, Judge. Affirmed.

Baker Marquart, Ryan G. Baker, Jaime W. Marquart,

Christian A. Anstett and Blake D. McCay for Plaintiff and

Appellant.

Fox Rothschild, Lincoln D. Bandlow and Margo J. Arnold

for Defendant and Respondent.

_________________________

INTRODUCTION

Plaintiff FilmOn.com (FilmOn) is an Internet-based

entertainment media provider. Defendant DoubleVerify, Inc.

(DoubleVerify) provides authentication services to online

advertisers. FilmOn sued DoubleVerify for trade libel, slander,

and other business-related torts, alleging DoubleVerify falsely

classified FilmOn’s websites under the categories “Copyright

Infringement-File Sharing” and “Adult Content” in confidential

reports to certain clients that subsequently cancelled advertising

agreements with FilmOn. DoubleVerify moved to strike the

causes of action pursuant to the anti-SLAPP statute (Code Civ.

Proc., § 425.16), arguing its reports accurately addressed issues

of widespread public interest—namely, the existence of adult

content and copyright infringing material on publicly available

websites, such as FilmOn.1 The trial court granted the motion.

FilmOn appeals from the order striking its causes of action

against DoubleVerify. As its sole ground for appeal, FilmOn

contends DoubleVerify failed to make the requisite threshold

showing that the challenged causes of action arose from protected

activity. We conclude the trial court properly found DoubleVerify

engaged in conduct in furtherance of its constitutional right of

free speech in connection with an issue of public interest. We

affirm.

1 SLAPP is an acronym for strategic lawsuit against public

participation. (See Equilon Enterprises v. Consumer Cause, Inc.

(2002) 29 Cal.4th 53, 57 (Equilon).) Statutory references are to

the Code of Civil Procedure unless otherwise indicated.

2

FACTS AND PROCEDURAL BACKGROUND

1. The Parties

DoubleVerify provides authentication services relating to

the quality of digital media for online advertising. Advertising

agencies, marketers, publishers, ad networks and other

companies hire DoubleVerify to detect and prevent waste or

misuse of advertising budgets and to help take proactive

measures to maintain brand reputation. To provide this service,

DoubleVerify monitors websites designated by its clients and

determines, among other things, if the websites have content the

client may consider inappropriate. DoubleVerify compiles this

information into confidential reports for each client. These

reports consist of a spreadsheet with advertising data (such as

the length of time an ad is displayed on a website and the

regional location of the website’s viewers) and a “tag” or label

classifying the website’s content. The report is accompanied by a

glossary of definitions for each tag.

FilmOn is an Internet-based entertainment content

provider. FilmOn’s services include access to hundreds of

television channels, premium movie channels, pay-per-view

channels and over 45,000 video-on-demand titles. FilmOn

distributes its programming through several different website

domains (the FilmOn Websites). FilmOn derives a significant

portion of its revenue from advertising.

2. FilmOn’s Lawsuit

FilmOn sued DoubleVerify for trade libel, slander, tortious

interference with contract, and other business-related torts,

alleging DoubleVerify distributed reports to certain FilmOn

advertisers with false and disparaging classifications of one or

3

more of the FilmOn Websites.2 The complaint alleged

DoubleVerify’s reports “falsely classif[ied] the FilmOn Websites

under the categories of ‘Copyright Infringement-File Sharing’ and

‘Adult Content.’ ”

According to the complaint, DoubleVerify’s accompanying

glossary defined the category “ ‘Copyright Infringement:

Streaming or File Sharing’ ” as “ ‘Sites, presently or historically,

associated with access to or distribution of copyrighted material

without appropriate controls, licensing, or permission; including

but not limited to, sites electronically streaming or allowing user

file sharing of such material.’ ” The glossary defined the “ ‘Adult

Content’ ” category as “ ‘[m]ature topics which are inappropriate

viewing for children including explicit language, content, sounds

and themes.’ ” The complaint acknowledged that “some of

FilmOn’s programming may be properly characterized as R-

rated,” but alleged “the vast majority of the programming

available on FilmOn does not fit within any definition of adult

content.”

2 FilmOn’s seven-count first amended complaint asserted

causes of action for (1) trade libel; (2) tortious interference with

contract; (3) tortious interference with prospective economic

advantage; (4) unfair competition; (5) false advertising;

(6) slander; and (7) negligence. The causes of action for

negligence and slander were asserted exclusively against AOL,

Inc., which is not a party to this appeal. All other causes of

action were asserted against DoubleVerify or all defendants.

4

With respect to each of the complaint’s five causes of action

against DoubleVerify, FilmOn alleged “the false statements made

by [DoubleVerify] in [its reports] have caused . . . ad partners and

potential ad partners of FilmOn to decline to advertise through

their websites,” resulting in lost profits and other consequential

damages.

3. The Anti-SLAPP Motion

DoubleVerify responded with a special motion to strike the

subject causes of action pursuant to the anti-SLAPP statute.

With respect to the first prong of the anti-SLAPP analysis—

whether the challenged causes of action arose out of protected

conduct—DoubleVerify argued its reports concerned matters of

public interest insofar as the prevalence of adult content and

copyright infringing material on the Internet had received

attention from both the public and government regulatory

agencies. To support the contention, DoubleVerify submitted

several press releases and reports concerning the Family

Entertainment Protection Act and efforts by the Federal Trade

Commission to address the marketing of violent entertainment to

children.3 With regard to copyright infringement, DoubleVerify

submitted press reports concerning numerous lawsuits filed by

media production companies against FilmOn. DoubleVerify’s

3 The Family Entertainment Protection Act was proposed

federal legislation to prohibit the sale of mature and adults-only

video games to minors. The bill did not become law. Similar bills

were passed in states such as California, prompted in part by

public debate over sexually explicit content in several popular

video games. These laws were ultimately ruled unconstitutional.

(See Byrd, It’s All Fun and Games Until Someone Gets Hurt: The

Effectiveness of Proposed Video-Game Legislation on Reducing

Violence in Children (2007) 44 Hous. L. Rev. 401, 405-410 &

fn. 63.)

5

evidence also included the complaints filed and injunctions

entered in a number of federal district courts against FilmOn for

copyright infringement. With respect to the second prong—

whether FilmOn could establish a probability of prevailing on its

claims—DoubleVerify argued a “quick examination of FilmOn’s

website[s]” proved DoubleVerify’s “classifications [were] entirely

accurate.”4

In opposing the motion, FilmOn argued the alleged

misconduct did not concern a matter of public interest because

DoubleVerify distributed its confidential reports to paying

subscribers only. FilmOn also argued the “act of classifying or

certifying certain products or services” was not conduct in

furtherance of DoubleVerify’s right of free speech. As for the

merits of its claims, FilmOn maintained the district court

injunctions were insufficient to establish copyright infringement

because the law concerning the relevant technology was

unsettled. It also argued DoubleVerify’s “Adult Content”

classification was unreasonably misleading.

4. The Trial Court Order

The trial court granted the motion to strike. The court

found the public had a demonstrable interest in knowing what

content is available on the Internet, especially with respect to

adult content and the illegal distribution of copyrighted material.

The court analogized DoubleVerify’s conduct to more publicly

visible media advisory efforts, observing it was “not any different,

4 In connection with the second prong, DoubleVerify

submitted screen captures of the “categories of adult content

listed in the Video on Demand (‘VOD’) section of Filmon.com’s

‘Hotties’ content grouping.” DoubleVerify also relied upon the

district court orders and injunctions entered against FilmOn in a

handful of copyright infringement cases.

6

really, than the Motion Picture Association putting ratings on

movies.” Further, in view of the “massive amount of attention”

paid to FilmOn’s business in the area of copyright infringement,

the court concluded DoubleVerify’s reports clearly concerned a

matter of interest to the public. As for the merits of the

challenged causes of action, the court found FilmOn failed to

establish a probability of success because the undisputed

evidence showed DoubleVerify’s statements were essentially true

and DoubleVerify did not make the statements with the intention

to harm FilmOn’s business.

CONTENTIONS

FilmOn contends the challenged causes of action did not

arise out of conduct in furtherance of DoubleVerify’s

constitutional right of free speech. Specifically, FilmOn argues

the statements contained in DoubleVerify’s reports did not

concern “a public issue” or “an issue of public interest,” as

required by section 425.16, subdivisions (b)(1) and (e)(4), because

(1) the reports contained only “[b]asic classification and

certification decisions” with “little to no analysis or opinion”; and

(2) the reports were made “entirely in private, to individual

companies that subscribe to [DoubleVerify’s] services.”

For the reasons that follow, we conclude the statements

contained in DoubleVerify’s reports, which formed the basis for

FilmOn’s causes of action, did concern issues of public interest,

and the trial court properly found the threshold requirement for

anti-SLAPP protection was met.

7

DISCUSSION

1. Anti-SLAPP Procedure and Standard of Review

The anti-SLAPP statute, section 425.16, provides a

procedure for expeditiously resolving “nonmeritorious litigation

meant to chill the valid exercise of the constitutional rights of

freedom of speech and petition in connection with a public issue.”

(Sipple v. Foundation for Nat. Progress (1999) 71 Cal.App.4th

226, 235 (Sipple).) “When served with a SLAPP suit, the

defendant may immediately move to strike the complaint under

section 425.16. To determine whether this motion should be

granted, the trial court must engage in a two-step process.”

(Hansen v. Department of Corrections & Rehabilitation (2008)

171 0Cal.App.4th 1537, 1543 (Hansen); Equilon, supra,

29 Cal.4th at p. 67.)

The first prong of the anti-SLAPP analysis requires the

court to decide “whether the defendant has made a threshold

showing that the challenged cause of action is one arising from

protected activity.” (Equilon, supra, 29 Cal.4th at p. 67; § 425.16,

subd. (b)(1).) The defendant makes this showing by

demonstrating the acts of which the plaintiff complains were

taken “in furtherance of the [defendant’s] right of petition or free

speech under the United States Constitution or the California

Constitution in connection with a public issue . . . .” (§ 425.16,

subd. (b)(1); Equilon, at p. 67.) “The anti-SLAPP statute’s

definitional focus is not the form of the plaintiff’s cause of action

but, rather, the defendant’s activity that gives rise to his or her

asserted liability—and whether that activity constitutes

protected speech or petitioning.” (Navellier v. Sletten (2002)

29 Cal.4th 82, 92 (Navellier).) “[T]he critical point is whether the

plaintiff’s cause of action itself was based on an act in

furtherance of the defendant’s right of petition or free speech.”

(City of Cotati v. Cashman (2002) 29 Cal.4th 69, 78.)

8

If the court determines the defendant has made the

threshold showing, “it must then determine whether the plaintiff

has demonstrated a probability of prevailing on the claim.”

(Navellier, supra, 29 Cal.4th at p. 88; § 425.16, subd. (b)(1).)

Here, however, we are concerned with only the first prong of the

anti-SLAPP analysis, because FilmOn does not challenge the

trial court’s finding concerning FilmOn’s probability of prevailing

on its claims.

We review both prongs of the anti-SLAPP analysis de novo.

(Hansen, supra, 171 Cal.App.4th at p. 1544.) “Only a cause of

action that satisfies both prongs of the anti-SLAPP statute—i.e.,

that arises from protected speech or petitioning and lacks even

minimal merit—is a SLAPP, subject to being stricken under the

statute.” (Navellier, supra, 29 Cal.4th at p. 89.)

2. Issue of Public Interest Under the Anti-SLAPP

Statute

The trial court found that each cause of action asserted

against DoubleVerify was based on the allegation that a “recently

published [DoubleVerify] impression quality report incorrectly

described and misclassified [FilmOn] and its related websites in

the ‘Copyright Infringement-File Sharing’ and ‘Adult Content’

categories,” which caused some of FilmOn’s “advertising partners

to pull advertising from FilmOn’s websites.” In its motion,

DoubleVerify argued this alleged activity qualified for anti-

SLAPP protection under section 425.16, subdivision (e)(4), which

safeguards conduct “in furtherance of the exercise of the

constitutional right of petition or the constitutional right of free

speech in connection with a public issue or an issue of public

interest.” (§ 425.16, subd. (e)(4), italics added.) The trial court

agreed, concluding DoubleVerify’s conduct concerned issues of

public interest—namely, the regulation of Internet content, the

9

presence of adult content on websites accessible to children, and

intellectual property theft.

Section 425.16 does not define “public interest” or “public

issue.” “Those terms are inherently amorphous and thus do not

lend themselves to a precise, all-encompassing definition.” (Cross

v. Cooper (2011) 197 Cal.App.4th 357, 371 (Cross); see Rivero v.

American Federation of State, County, and Municipal Employees,

AFL–CIO (2003) 105 Cal.App.4th 913, 929 (Rivero); see also

Weinberg v. Feisel (2003) 110 Cal.App.4th 1122, 1132 (Weinberg)

[“it is doubtful an all-encompassing definition could be

provided”].) Indeed, some courts, paraphrasing Justice Stewart’s

famous quip, have suggested that “ ‘ “no standards are necessary

because [courts and attorneys] will, or should, know a public

concern when they see it.” ’ ” (Briggs v. Eden Council for Hope &

Opportunity (1999) 19 Cal.4th 1106, 1122, fn. 9 (Briggs); D.C. v.

R.R. (2010) 182 Cal.App.4th 1190, 1214-1215; Du Charme v.

International Brotherhood of Electrical Workers (2003)

110 Cal.App.4th 107, 117 (Du Charme); see Jacobellis v. Ohio

(1964) 378 U.S. 184, 197 (conc. opn. of Stewart, J.).)

Nevertheless, courts have expounded on principles that

should guide the assessment of whether a statement concerns a

matter of public interest. In Nygård, Inc. v. Uusi–Kerttula (2008)

159 Cal.App.4th 1027 (Nygård), the court observed that while

section 425.16 does not define “ ‘public interest,’ ” it does mandate

that its provisions “ ‘be construed broadly’ to safeguard ‘the valid

exercise of the constitutional rights of freedom of speech and

petition for the redress of grievances.’ ” (Id. at p. 1039, quoting

§ 425.16, subd. (a).) The Nygård court explained that “[t]he

directive to construe the statute broadly was added in 1997, when

the Legislature amended the anti-SLAPP statute ‘to address

recent court cases that have too narrowly construed California’s

anti-SLAPP suit statute.’ ” (Nygård, at p. 1039; accord, Briggs,

10

supra, 19 Cal.4th at p. 1120.) Taken together, the Nygård court

reasoned that the legislative history of the amendment and the

cases that precipitated it “suggest that ‘an issue of public

interest’ . . . is any issue in which the public is interested.

In other words, the issue need not be ‘significant’ to be protected

by the anti-SLAPP statute—it is enough that it is one in which

the public takes an interest.” (Nygård, at p. 1042; Cross, supra,

197 Cal.App.4th at pp. 372-373.)

Further, because the statute mandates broad construction,

courts have determined, and the Legislature has endorsed the

view, that section 425.16 “governs even private communications,

so long as they concern a public issue.” (Wilbanks v. Wolk (2004)

121 Cal.App.4th 883, 897 (Wilbanks); Averill v. Superior Court

(1996) 42 Cal.App.4th 1170, 1175 [the Legislature did not intend

to exclude private conversations from protection under the

statute]; Terry v. Davis Community Church (2005)

131 Cal.App.4th 1534, 1546 (Terry) [holding, § 425.16, subd. (e)(4)

“applies to private communications concerning issues of public

interest”].)

In Rivero, the court identified three non-exclusive and

sometimes overlapping categories of statements that have been

found to encompass an issue of public interest under the anti-

SLAPP statute. (Rivero, supra, 105 Cal.App.4th at pp. 919-924;

Cross, supra, 197 Cal.App.4th at p. 373.) The first category

comprises cases where the statement or activity precipitating the

underlying cause of action was “a person or entity in the public

eye.” (Rivero, at p. 924; see, e.g., Sipple, supra, 71 Cal.App.4th at

p. 239 [national figure]; Church of Scientology v. Wollersheim

(1996) 42 Cal.App.4th 628, 651 (Church of Scientology) [church

subject to intense public scrutiny]; Seelig v. Infinity Broadcasting

Corp. (2002) 97 Cal.App.4th 798, 807-808 [a television show of

“significant interest to the public and the media”].) The second

11

category comprises cases where the statement or activity

involved “conduct that could directly affect a large number of

people beyond the direct participants.” (Rivero, at p. 924; see,

e.g., Damon v. Ocean Hills Journalism Club (2000)

85 Cal.App.4th 468, 479 [home owners association’s governance

of 3,000 residents]; Ludwig v. Superior Court (1995)

37 Cal.App.4th 8, 15 [environmental effects of mall development];

Dowling v. Zimmerman (2001) 85 Cal.App.4th 1400, 1420

[potential safety hazards affecting residents of large

condominium complex].) And the third category comprises cases

where the statement or activity involved “a topic of widespread,

public interest.” (Rivero, at p. 924; see, e.g., M. G. v. Time

Warner, Inc. (2001) 89 Cal.App.4th 623, 629 [molestation of child

athletes by coaches]; Annette F. v. Sharon S. (2004)

119 Cal.App.4th 1146, 1162 [second-parent adoptions,

particularly in the gay and lesbian community]; Terry, supra,

131 Cal.App.4th at p. 1549 [inappropriate relationships between

adults and minors].) “Courts have adopted these categories as a

useful framework for analyzing whether a statement implicates

an issue of public interest and thus qualifies for anti-SLAPP

protection.” (Cross, supra, 197 Cal.App.4th at pp. 373-374

[listing cases].)

In Weinberg, the court, citing federal cases, enumerated the

following additional attributes of an issue that would make it one

of public, rather than merely private, interest. (Weinberg, supra,

110 Cal.App.4th at pp. 1132-1133; Cross, supra, 197 Cal.App.4th

at p. 374.) “First, ‘public interest’ does not equate with mere

curiosity. [Citations.] Second, a matter of public interest should

be something of concern to a substantial number of people.

[Citation.] Thus, a matter of concern to the speaker and a

relatively small, specific audience is not a matter of public

interest. [Citations.] Third, there should be some degree of

12

closeness between the challenged statements and the asserted

public interest [citation]; the assertion of a broad and amorphous

public interest is not sufficient [citation]. Fourth, the focus of the

speaker’s conduct should be the public interest rather than a

mere effort ‘to gather ammunition for another round of [private]

controversy . . . .’ [Citation.] Finally, . . . [a] person cannot turn

otherwise private information into a matter of public interest

simply by communicating it to a large number of people.”

(Weinberg, at pp. 1132-1133.)

With these principles in place, we turn to FilmOn’s specific

contentions concerning DoubleVerify’s statements, and whether

those statements concerned a public issue or an issue of public

interest under the anti-SLAPP statute.

3. DoubleVerify’s Statement that FilmOn Hosted Adult

Content and Copyright Infringing Material on Its

Website Concerned Issues of Public Interest

FilmOn contends DoubleVerify’s reports designating

certain FilmOn Websites in the “Copyright Infringement-File

Sharing” and “Adult Content” categories did not concern an issue

of public interest. In that regard, FilmOn asserts “[b]asic

classification and certification decisions that contain little to no

analysis or opinion are not constitutionally protected activity

within the ambit of the anti-SLAPP statute.” To support this

charge, FilmOn relies primarily upon All One God Faith, Inc. v.

Organic & Sustainable Industry Standards, Inc. (2010) 183

Cal.App.4th 1186 (OASIS).

In OASIS, a commercial trade association sought to develop

an “organic” certification for use by its members with their

personal care products. (OASIS, supra, 183 Cal.App.4th at

p. 1193.) A nonmember competitor sued, arguing the certification

was contrary to federal standards for the term “organic,” and

thus labeling the members’ products with the association’s

13

“ ‘OASIS Organic’ ” seal would constitute deceptive advertising

and an unfair business practice. (Id. at pp. 1193-1194, 1195.)

The trade association filed an anti-SLAPP motion, which the trial

court denied on the ground that the association failed to meet its

threshold burden of demonstrating the challenged conduct

concerned a public issue under the anti-SLAPP statute. (Id. at

p. 1197.) The trade association appealed, and the appellate court

affirmed.

The OASIS court began by addressing what activity gave

rise to the plaintiff’s claims. (OASIS, supra, 183 Cal.App.4th at

p. 1202.) The court rejected the association’s assertion that it

was “sued for its ‘opinion as to what makes a personal care

product “organic” ’ or ‘the articulation and dissemination of the

[“OASIS Organic”] standard.’ ” (Ibid.) Rather, the court

determined the association was sued for “authoriz[ing] its

members . . . to use the ‘OASIS Organic’ seal on their products in

the marketplace.” (Ibid.) This distinction proved critical to the

court’s resolution of whether the challenged conduct concerned an

issue of public interest. While the OASIS court acknowledged

the association’s “articulation and dissemination of a standard

regarding what makes a personal care product ‘organic’ may

constitute an exercise of its right of free speech on a matter of

public concern,” the court rejected the association’s implicit

assertion that “certification of commercial products—the

activities that [the plaintiff] seeks to enjoin—are in furtherance

of that speech.” (Id. at p. 1203.) In reaching this conclusion, the

court observed that the protected conduct—the articulation of an

“organic” standard—would “necessarily be complete before [the

association] certifie[d] any member product.” (Id. at p. 1203.)

Thus, the court reasoned the challenged conduct—authorizing

members to use its “ ‘OASIS Organic’ seal”—was unnecessary to

the act of articulating the standard and, therefore, was not in

14

furtherance of the association’s exercise of free speech in

connection with a public issue. (Id. at p. 1204.)

OASIS does not support FilmOn’s contention. In OASIS,

the association’s act of placing its seal on a member product

communicated nothing about what standards should be used to

judge whether a personal care product is organic. (OASIS, supra,

183 Cal.App.4th at p. 1204.) In this case, FilmOn’s business tort

and trade libel claims are based entirely upon the message

communicated by DoubleVerify’s “tags.” Indeed, it is only

because advertisers understand the message within

DoubleVerify’s tags that FilmOn can claim the tags caused

“advertising partners to pull advertising from FilmOn’s

websites.” And, it is only because advertisers understand that

the public is interested in whether adult content or copyright

infringing material appears on a website that these companies

would modify their advertising strategies based on

DoubleVerify’s tags. Unlike the unfair business practice claims

in OASIS, FilmOn’s allegations are directly based on the content

of DoubleVerify’s communications. The trial court correctly

found the claims were based upon conduct in furtherance of

DoubleVerify’s right of free speech.

We also agree with the court’s finding that the conduct

concerned issues of interest to the public. Apart from the

advertisers’ apparent view of whether the public has an interest

in these issues, DoubleVerify’s evidence demonstrated that the

presence of adult content on the Internet generally, as well as

copyright infringing content on FilmOn’s websites specifically,

has been the subject of numerous press reports, regulatory

actions, and federal lawsuits. Among the publications that

reported specifically about FilmOn’s legal entanglements were

readily recognizable press outlets such as Fortune, Business

Insider, and Hollywood Reporter. Matters receiving extensive

15

media coverage through widely distributed news or

entertainment outlets are, by definition, matters of which the

public has an interest. (See, e.g., Annette F. v. Sharon S., supra,

119 Cal.App.4th at p. 1162 [press coverage of court decision

concerning second-parent adoption by lesbian couple was a

matter of public interest]; Church of Scientology, supra,

42 Cal.App.4th at p. 651 [“media coverage” established “Church

[of Scientology] is a matter of public interest”].) Likewise, the

public debate over legislation to curb children’s exposure to adult

and sexually explicit media content demonstrates DoubleVerify’s

reports identifying such content on FilmOn’s websites concerned

an issue of public interest. (See, e.g., fn. 3, ante.)

Common sense and experience also support the trial court’s

conclusion that these reports addressed matters of interest to the

public. As noted, some courts have observed that there is no need

to expressly define “public interest” under the anti-SLAPP

statute, because courts applying their common sense and

experience “ ‘ “will, or should, know a public concern when they

see it.” ’ ” (Briggs, supra, 19 Cal.4th at p. 1122, fn. 9.) The trial

court did so here. As the court pointed out, the Motion Picture

Association of America (MPAA) engages in conduct quite similar

to DoubleVerify’s activities by rating movies concerning their

level of adult content; and the MPAA does so, because the public

cares about the issue. Similarly, the court reasonably recognized

that federal district courts have entered injunctions against

FilmOn’s business because the public has an interest in the

prevention of copyright infringement.

The trial court did not err in concluding FilmOn sued

DoubleVerify for engaging in conduct in furtherance its right of

free speech in connection with an issue of public interest.

16

4. DoubleVerify’s Confidential Reports Are Entitled to

Anti-SLAPP Protection

Alternatively, FilmOn argues DoubleVerify’s reports could

not have concerned an issue of public interest because they “were

made entirely in private, to individual companies that subscribed

to its services.” FilmOn acknowledges that “preventing copyright

infringement and children’s access to adult content are issues of

public concern,” but argues DoubleVerify’s conduct does not

embrace these issues because its “reports are private statements

made in a commercial context.” We disagree.

FilmOn’s argument rests on the flawed premise that to

qualify as speech in connection with an issue of public interest,

“the statement must itself contribute to the public debate.”

Though the public interest requirement “means that in many

cases the statement or conduct will be a part of a public debate”

(Wilbanks, supra, 121 Cal.App.4th at p. 898, italics added), an

ongoing public debate is not a sine qua non for protection under

the anti-SLAPP statute where the statement concerns an issue of

widespread public interest. (See Cross, supra, 197 Cal.App.4th at

p. 381, fn. 15.) To judicially impose such a requirement would

impermissibly “narrow[ ] the meaning of ‘public interest’ despite

the Legislature’s mandate to interpret the anti-SLAPP statute

broadly.” (Ibid; see § 425.16, subd. (a); Nygård, supra, 159

Cal.App.4th at p. 1039.)

In Cross, the court rejected the proposition, first articulated

in Wilbanks, that “even statements directly concerning issues of

widespread public interest—i.e., the Rivero third category—do

not qualify for protection unless there is some existing ongoing

controversy, dispute, debate, or discussion about those issues and

the statements contribute to that debate.” (Cross, supra,

197 Cal.App.4th at p. 381, fn. 15, citing Wilbanks, supra,

121 Cal.App.4th at p. 898.) The Wilbanks court ruled that “it is

17

not enough that the statement refer to a subject of widespread

public interest; the statement must in some manner itself

contribute to the public debate.” (Wilbanks, at p. 898.) But, as

the Cross court explained, “the Wilbanks court provided no

analysis” for this ruling, and “simply cited, without further

discussion,” three cases that neither involved statements

concerning issues of widespread public interest, nor suggested

that this category should be further restricted. (Cross, at p. 381,

fn. 15 [discussing, Du Charme, Consumer Justice Center v.

Trimedica International, Inc. (2003) 107 Cal.App.4th 595

(Consumer Justice Center), and Rivero.)5

5 In Du Charme, a union local posted a notice on its website

informing members that a former business manager had

previously been removed for mismanagement. (Du Charme,

supra, 110 Cal.App.4th at pp. 113–114.) The Du Charme court

ruled that “to satisfy the public issue/issue of public interest

requirement . . . , in cases where the issue is not of interest to the

public at large, but rather to a limited, but definable portion of

the public (a private group, organization, or community), the

constitutionally protected activity must, at a minimum, occur in

the context of an ongoing controversy, dispute or discussion, such

that it warrants protection by a statute that embodies the public

policy of encouraging participation in matters of public

significance.” (Id. at p. 119, first italics added.) In Consumer

Justice Center, the subject false advertising claim did not concern

the general topic of herbal supplement efficacy, but rather

alleged that the defendant “misrepresented the specific

properties and benefits” of its particular herbal supplement.

(Consumer Justice Center, supra, 107 Cal.App.4th at p. 601.)

And, in Rivero, the subject defamation claim was based upon a

union’s statements about the supervision of eight custodians, not

the issue of unlawful workplace activity generally. (Rivero,

supra, 105 Cal.App.4th at p. 924.)

18

Moreover, FilmOn’s insistence that statements concerning

issues of widespread interest must also contribute to a public

debate is contrary to the legislative mandate to broadly construe

the anti-SLAPP statute in favor of protection. As the Cross court

observed, the Wilbanks rule is “akin to the rule promulgated in

[Zhao v. Wong] that narrowed ‘public issue’ to statements

‘occupying “the highest rung of the hierarchy [sic] of First

Amendment values,” that is, to speech pertaining to the exercise

of democratic self-government.’ ” (Cross, supra, 197 Cal.App.4th

at pp. 381-382, fn. 15; Zhao v. Wong (1996) 48 Cal.App.4th 1114,

1129, disapproved in Briggs, supra, 19 Cal.4th at p. 1123, fn. 10.)

This narrow interpretation, the Cross court explained, was

rejected by the Legislature when it “amended the anti-SLAPP

statute to require that it be broadly construed in response to

Zhao.” (Cross, at pp. 381-382, fn. 15, citing Nygård, supra,

159 Cal.App.4th at p. 1039; see also Briggs, at p. 1120 [“The

Assembly Judiciary Committee’s analysis of the amendatory

legislation confirms the amendment was intended specifically to

overrule Zhao v. Wong”].) In view of the mandate for broad

construction, we agree with the Cross court that, where a

statement concerns an issue of widespread public interest, it need

not also contribute in some manner to a public debate. (See

Cross, at pp. 381-382, fn. 15; see also Tamkin v. CBS

Broadcasting, Inc. (2011) 193 Cal.App.4th 133, 143 [where public

was “demonstrably interested in the creation and broadcasting of

[a television] episode,” act of using plaintiffs’ names in early draft

of episode script qualified for anti-SLAPP protection, even in

absence of a public debate].)

In any event, FilmOn’s implicit contention that the

challenged activity must occur in public view, and thus advance a

public debate, cannot be squared with the rule that the anti-

SLAPP statute “applies to private communications concerning

19

issues of public interest.” (Terry, supra, 131 Cal.App.4th at

p. 1546.) Whether a statement concerns an issue of public

interest depends on the content of the statement, not the

statement’s speaker or audience. Thus, in Terry, the court held

statements alleging the plaintiffs had an inappropriate sexual

relationship with a minor church member were entitled to anti-

SLAPP protection, notwithstanding that the statements were

made in an internal investigation report disseminated in closed

meetings with the parents of youth group members. (Id., at

pp. 1543, 1545-1547.) Likewise, in Hecimovich v. Encinal School

Parent Teacher Organization (2012) 203 Cal.App.4th 450, the

court held that statements made privately by parents to the

coordinator of a youth basketball program about a volunteer

coach were protected by the anti-SLAPP statute because the

statements concerned issues of public interest, such as “safety in

youth sports” and “problem coaches/problem parents in youth

sports.” (Id. at pp. 465, 468.)

So too here; it is irrelevant that DoubleVerify made its

reports confidentially to its subscribers, because the contents of

those reports concerned issues of widespread interest to the

public. Thus, for example, if an “R” rating for adult content is a

matter of “public interest” when communicated by the MPAA to

the public at large, it remains a matter of public interest when

communicated by DoubleVerify in confidential reports to its

clients. Likewise, if FilmOn’s alleged copyright infringement is

an issue of public interest when reported by the press, it remains

so when included in DoubleVerify’s confidential reports. Neither

the identity of the speaker nor the identity of the audience affects

the content of the communication, or whether that content

concerns an issue of public interest. The trial court correctly

found that DoubleVerify made a threshold showing that the

challenged causes of action arose from protected activity.

20

DISPOSITION

The order is affirmed. DoubleVerify is entitled to its costs.

JOHNSON (MICHAEL), J.*

We concur:

EDMON, P. J.

ALDRICH, J.

* Judge of the Los Angeles Superior Court, assigned by the

Chief Justice pursuant to article VI, section 6 of the California

Constitution.

21

Filed 7/25/17

CERTIFIED FOR PUBLICATION

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION THREE

FILMON.COM, B264074

Plaintiff and Appellant, (Los Angeles County

Super. Ct. No. BC561987)

v.

ORDER CERTIFYING

DOUBLEVERIFY, INC. OPINION FOR PUBLICATION

[NO CHANGE IN JUDGMENT]

Defendant and Respondent.

THE COURT:

The opinion in the above-entitled matter filed on June 29, 2017, was

not certified for publication in the Official Reports. For good cause, it now

appears that the opinion should be published in the Official Reports.

[There is no change in the judgment.]

__________________________________________________________________

JOHNSON (MICHAEL), J.* EDMON, P. J. ALDRICH, J.

* Judge of the Los Angeles Superior Court, assigned by the Chief Justice

pursuant to article VI, section 6 of the California Constitution.

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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