Petition for Writ of Certiorari — Ault v. Hustler Magazine, Inc.

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82. .

1215 Ol a cant US

3 B

JAN 23. 1989

. Ol, JR.

i

IN THE j

SUPREME COURT OF THE UNITED STATES

October Term, 1988

PEGGY AULT,

Petitioner,

v.

HUSTLER MAGAZINE, INC., a Cali-

fornia corporation; LARRY FLYNT,

a citizen of California; FLYNT

DISTRIBUTING COMPANY, INC., a

California corporation; FLYNT

SUBSCRIPTION COMPANY, INC.,

a Nevada corporation; L.F.P., INC.,

a California corporation; BAY NEWS, '

INC., dba Fred N. Bay News Company,

an Oregon corporation; BAY NEWS INC.,

an Oregon corporation,

Respondents.

Petition for Writ of Certiorari to the United

States Court of Appeals for the Ninth Circuit

G.L. SPENCE

GARY L. SHOCKEY

SPENCE, MORIARITY & SCHUSTER

265 W. Pearl Street

Jackson, Wyoming 83001

Counsel for Petitioner.

isostatic nae Race aaae aaa

?

QUESTIONS PRESENTED

Is a pornographic verbal depiction of Peggy Ault in

Hustler Magazine, which the United States Court of

Appeals for the Ninth Circuit recognized as "initially

defamatory," coupled with a photograph of Peggy

Ault obtained by fraudulent means published in the

naked rear end of a bent-over man, entitled to be

classified as protected opinion?

. Does the classification as protected opinion of a

pornographic verbal depiction of Peggy Ault in

Hustler Magazine, which the United States Court of

Appeals for the Ninth Circuit recognized as “initially

defamatory," coupled with a photograph of Peggy

Ault obtained by fraudulent means published in the

naked rear end of a bent-over man, exceed the

scope of protected opinion contemplated by Gertz v.

Welch?

. Should this Court review the decision of the United

States Court of Appeals for the Ninth Circuit in order

to delineate the parameters of what is _ protected

Opinion in order to guide future decisions

concerning pornographic attacks such as Hustler

directed at Peggy Ault?

. Should this Court resolve a conflict in the tests for

what is protected opinion between the United States

Courts of Appeal for the Second and Ninth Circuits?

5.

I]

Is it an unlawful intrusion, misappropriation of

image, or a public disclosure of private facts for a

pornographic publication like Hustler Magazine to

obtain a photograph by illegal means and false

pretense, superimpose it over the rear end of a bent

over naked man, and accompany it with a malicious

attack on Peggy Ault?

III

TABLE OF CONTENTS

QUESTIONS PRESENTED ........... I

TABLE OF AUTHORITIES .......... III

eo 6 ee 2

a 2

CONSTITUTIONAL PROVISIONS

ee ae 2

STATEMENT OF THE CASE ......... ;

REASON FOR GRANTING THE WRIT.. . 10

The decision below is an_ unjustified

extension of Gertz v. Welch, 418 U.S. 323

(1974) and Hustler Magazine, Inc., v.

Falwell, 108 S.Ct. 876 (1988).

nS re 28

APPENDIX

Opinion Of The Court Of Appeals For

ee ree . A-l

Mesroauction Of Article ............. A-B

IV

TABLE OF AUTHORITIES

Cases Page

Anderson v. Fisher Broadcasting

Companies, Inc., 300 Ore. 452, 712 P.2d

SUE Sa a ores he ko a eo we ea aed 22

Beecher v. Montgomery Ward & Co., Inc.,

517 P.2d 667, (Ore. App. 1973) ........ 12

Bock v. Zittenfield, 672 P.2d 1237

ME a a rag a bcaa a oo 0 89 12

Brown v. Darcy, 783 F.2d 1389

i Ce ch bes ee ee eee aoe 12

Buckley v. Littell, 539 F.2d 882

ee | PS PELE eT ee Te Tee ee Tee 13

Capra v. Thoroughbred Racing Association

of North America, Inc., 787 F.2d 463

ae SP ae 22

Church of Scientology of California

v. Flynn, 744 F.2d 694 (9th Cir. 1984)... .

Verret ey rer oT ee ere Ter eer re Te ee 12,13,14

Conley v. Gibson, 355 U.S. 41, 45-46

ESE OS rat ne ae aA Lar ad wren a ee 24

Dun & Bradstreet v. Greenmoss Builders,

ee ee ED oe a bk wae eee ke ees 26

Gertz v. Welch, 418 U.S. 323

42, See eer eee ne 10,11,12,13,14,15,16

Greenbelt Cooperative Publishing

Association, Inc., v. Bressler, 398 U.S. 6

(2 PPP errr errr rs over err ee rr 15

Herceg v. Hustler Magazine, Inc., 814 F.2d

G57, HGS Coe CA, TGF) 2k ae ee ewe ue 26

Hinish v. Meier & Frank Co., 166 Ore. 482,

SED Fae Se Cees 6 0 en 84s a 22

Humphers v. First Interstate Bank,

68 Ore. App. 573, 684 P.2d 581, 588

te er rer ry ren 24

Hustler Magazine, Inc., v. Falwell,

108, S.Ct. 876 (1988). ....... 10,18,19,20,21

Information Control Corporation v.

Genesis One Computer Corporation,

GUS Fc Fe) Ge Oe. Te 6c a i ee oe 14

Kelly v. Schmidberger, 806 F.2d 44

Coe Oe. TS 6 6 oe ee ee 13,16

King v. Menolascino, 276 Ore. 501,

TaD Coat Ge CE or so Oe ee ee ee 12

Koch v. Goldway, 817 F.2d 507,

CR CO Pt sae eee ee eee eee ene 14

Vi

Letter Carriers v. Austin, 418 U.S. 264

CUOPEE 6 00200 cebake tet 15,16

Lewis v. Time Incorporated, 710 F.2d

an Cre Oe. Te os oe ks Gace 14

Mr. Chow of New York v. Ste. Jour

Azur, S.A.,739 F.2d 219

i A: | re GO Na ner. 16

New York Times v. Sullivan, 376 U.S.

BOT 656808 ieciisit hie ee 20

Tollefson v. Price, 430 P.2d 990

OND. TOT) ig sce wee cncseseeixckeevtee 22

Virgil v. Time, Inc., 527 F.2d 1122

(9th Cir. 1975), cert. den. 425 U.S.

DOP ncn 4 ee beasts suaresedbdink 21,22,23,25

Yagman v. Baden, 796 F.2d 1165,

(9th Cir. 1986)... 2... ee ee ee eee ee 14

Statutes

28 U.S.C. Section 1254(1).. 2... ...0..22... 2

28 U.S.C. Sections 1331(a) and

lt)

Vil

Other Authorities

Restatement, Second, Torts, Sec. 652D .. . 23

United States Constitution,

I ae eee 2

United States Constitution,

FourteenthAmendment................- 2

IN THE

SUPREME COURT of the UNITED STATES

October Term, 1988

PEGGY AULT,

Petitioner,

HUSTLER MAGAZINE INC., et al.,

}

Respondents.

Petition for Writ of Certiorari to the United

States Court of Appeals for the Ninth Circuit.

Petitioner Peggy Ault respectfully prays that a

Writ of Certiorari issue to review the judgment and

opinion of the United States Court of Appeals for the

Ninth Circuit filed in this proceeding on October 25,

1988. That decision affords constitutional protection to

defamatory speech to an extent beyond the scope of

protection intended by the Constitution or this

Honorable Court.

OPINION BELOW

The opinion of the United States Court of Appeals

for the Ninth Circuit is reproduced and attached in full

as Appendix A.

JURISDICTION

The opinion of the United States Court of Appeals

for the Ninth Circuit was filed October 25, 1988. No

petition for rehearing or other proceedings were

instituted. This Petition for a Writ of Certiorari is filed

within ninety (90) days of October 25, 1988. This

Court's jurisdiction is invoked pursuant to 28 U.S.C.

Section 1254(1).

CONSTITUTIONAL PROVISIONS INVOLVED

The applicable constitutional provisions involved

are the First Amendment! and the Fourteenth

Amendment2 to the United States Constitution.

1Congress shall make no law respecting an cstablishment

of religion, or prohibiting the free exercise thereof; or

abridging the freedom of speech, or of the press; or the

right of the people peaceably to assemble, and petition

the Government for a redress of grievances.

2Section 1. All persons born or naturalized in the United

States and subject to the jurisdiction thereof, are citizens

of the United States and of the State wherein they reside.

No State shall make or enforce any law which shall

abridge the privileges or immunites of citizens of the

United States; nor shall any State deprive any person of

life, liberty, or property, without due process of law; nor

deny to any person within its jurisdiction the equal

protection of the laws. .

3

STATEMENT OF THE CASE

The claims made by Peggy Ault in this matter all

arose out of the publication of an article titled "Asshole

of the Month: Peggy Ault," by Hustler Magazine. The

article contained numerous defamatory references to

Peggy Ault. Additionally, Hustler had obtained a

photograph of Peggy Ault through false pretenses.

Hustler superimposed her photo on to the rear end of a

bent-over naked man as a heading for the article. A

reproduction of the article is attached as Appendix B.

Its text is stated in full in this Petition, infra.

Peggy Ault originally filed her action for libel,

invasion of privacy, intentional infliction of emotional

distress, and related claims in state court in Oregon.

The case was removed to federal court. The federal

district court took jurisdiction based on the removal

petition and retained federal jurisdiction based on 28

U.S.C. Sections 1331(a) and 1441(a).

Peggy Ault was a private citizen who resided in a

small town on the outskirts of Portland, Oregon. She

opposed opening a _ store dealing in pornographic

materials in her neighborhood.

For reasons yet unknown to Peggy Ault, her

Opposition to pornography caught the gttention of

Huster Magazine. Her efforts had been the subject of a

newspaper article published in the local Willamette

Weekly. But it shocked Peggy Ault that her activities

became the subject of a nationally’ distributed

pornographic publication such as Hustler.

4

Hustler had contacted Peggy Ault and learned

that she did not desire further exposure for her

activities. Under the guise of "Century City Research,"

the research department of Hustler telephoned Peggy

Ault and sought a photograph and other information

from her. Peggy Ault turned Hustler down.

Nevertheless, "Century City Research" obtained

two photographs of Peggy Ault from Cathy Cheney, who

had taken the photos for the Willamette Weekly.

Hustler proceeded to publish its defamatory attack on

Peggy Ault, accompanied by her photograph.

Under her picture, the article began its attack on

Peggy Ault:

Straight feminists and dyke feminists alike

are shoving their tongues up the ass of their new

master, Jerry Falwell, because they believe he'll

help them make pornography go away. So it

seems there wouldn't be much need for another

wacko group to tackle the imagined evils of porn.

Nevertheless, Peggy Ault - who probably

wouldn't know a feminist or a dyke even if one

pissed on her leg - took it upon herself to form

Citizens in Action for Clackamas County (CIA) to

go one-on-one with smut. And we took it upon

ourselves to name her HUSTLER's Asshole of the

Month for April.

Headquartered in Milwaukee, Oregon - a

small town outside Portland - CIA and _ its

offshoot, Citizens for Legislation Against

Decadence (CLAD), exist for the express purpose

of denying Oregonians their constitutional rights

to view or read anything Ault and her self-styled

censors deem pornographic. And Ault knows

porn when she sees it.

5

Up to this point, except for identifying Peggy.

Ault as a member of a "wacko" group and calling her a

"censor," the publication is relatively tame. However,

in typical Hustler style, the article continued in a much

more vindictive manner:

Her imagination is so active, she can't turn

around without being accosted by something she

considers smutty. Would you believe that this

tightassed housewife feels so threatened by sex

that she removes underwear and lingerie ads

from the daily newspaper before allowing her

children to read it?

Clearly she's the sort of person who'd go so

far as to replace Oregon's nickname, the Beaver

State, because of its sexual connotations. But

rather than attempt to solve her problems by

seeking professional help, this deluded busybody

obviously decided that a better course of action

would be to take her frustrations out on the

entire state of Oregon.

Here's how it happened: One day while

reading the local paper (and can't you just hear

her clit throbbing as she crumpled up those

offending undies ads?), Ault saw an article

announcing the opening of an adult-video store

in her town. Normally, people who have no

desire to view a porn film just don't rent one or

buy one. Not Peggy. She was so outraged at the

existence of a store specializing in X-rated fare

that she and some of her pals picketed the

establishment. Thus was born the community-

oriented CIA. (Why do those initials sound so

a ia

menacing?)

In these words, Hustler personalized its attack on

Peggy Ault herself, not just her opposition to

pornography. She is referred to as "tightassed" and

“threatened by sex," both of which are objective

descriptions of character traits, not opinions of her

social views. Twice more she is portrayed as mentally

deficient, as a “deluded busybody" who should have

sought "professional help."

The worst of Hustler's characterizations of Peggy

Ault was its suggestion that she became sexually

aroused by removing advertisements from _ the

newspaper - "can't you just hear her clit throbbing as

she crumpled up those offending undies ads?" This is

Hustler’s technique - to make the person it attacks into

a pornographic object herself. This type of attack on

Peggy Ault, taken with the remainder of the article,

prompted the United States Court of Appeal for the

Ninth Circuit to agree that a reasonable interpretation

of the depiction in words and picture of Peggy Ault is

that they were intended to make Hustler's readers look

at Peggy Ault in the same light that they look at the

naked models in the magazine - as objects, unworthy of

intellectual respect and worthy only of sexual

contempt.

The concluding paragraphs of the article

continued the personal attack on Peggy Ault. They also

continued her objectification:

3Opinion, Appendix A, pp. A-10, A-11.

When her intimidation tactics failed to

force the store to close, she formed CLAD, a

statewide organization for influencing legislators.

Ault, you see, has big plans for Oregon - nothing

less than altering the state constitution to allow

her and her cronies to determine what is suitable

for others to read or view.

Now, it's one thing to “supervise” what

one's children read, but if Ault has her way, she

would wipe out the first amendment rights of

every adult who gets a charge out of x-rated

films.

Although Ault's neighbors don't all appear

to share her fanatacism ("We have a very

apathetic community here," she confided to

HUSTLER’s sources), the forces of repression

rarely give up. And Ault and her ilk have made

it clear that they regard freedom of speech as a

privilege to be awarded to a select few.

Well, we've got news for Peggy Ault:

Freedom of speech is a right guaranteed to every

American from pornographers on down to the

basest money-grubbing, fear-mongering TV

evangelists.

It's tempting to dismiss her as nothing

more than a small-town crackpot, but we believe

that anyone who wants to destroy the rights of

others must be taken seriously - no matter how

big an Asshole she is.

With these words, Hustler again characterized

Peggy Ault as mentally deficient - referring to her

"fanatacism" and to her as a "crackpot." And the

suggestion that she would "confide" in Hustler's sources,

which she did not do except to turn down "Century City

Research's" request for information, was an_ untrue

characterization of Peggy Ault.

The United States Court of Appeals for the Ninth

Circuit found that the publication about Peggy Ault was

defamatory. "First, although we agree with Ault that

the words initially convey a defamatory meaning, when

the facts of publication are considered the words

assume the character of _ protected opinion."4

(Emphasis added.) The Court reasoned that because of

the nature of the publication where the attack

appeared, i.e., Hustler Magazine, the otherwise

defamatory attack on Peggy Ault became

constitutionally protected opinion. Peggy Ault was

harmed by Hustler's “defamatory opinion,” but without

legal remedy.

The decision in the United States Court of

Appeals for the Ninth Circuit culminated a long series

of legal rulings adverse to Peggy Ault. As noted, Peggy

Ault's original complaint had alleged libel, invasion of

privacy, intentional infliction of emotional distress, and

other related causes of action. The trial court, Hon.

Helen J. Frye, dismissed all claims pursuant to various

Rule 12 motions. The libel and intentional infliction of

emotional distress claims were dismissed pursuant to

the trial court's finding that the statute of limitations

had run. Peggy Ault appealed this ruling. The United

States Court of Appeals for the Ninth Circuit did not

reach this issue because the Court ruled that its finding

41d., p. A-7

9

that the article constituted protected opinion disposed

of the matter.

The trial court also dismissed all of Peggy Ault's

claims for invasion of privacy: specifically, claims for

false light invasion of privacy, public disclosure of

private facts, intrusion, and misappropriation of image.

The United States Court of Appeals for the Ninth Circuit

upheld the false light dismissal on the basis that the

article constituted protected opinion.

With respect to public disclosure of private facts,

the trial court had found that Oregon law required such

a claim must plead allegations of the truthfulness of the

facts so published. The United States Court of Appeals

for the Ninth Circuit agreed, and added that the facts

about Peggy Ault appeared to be public facts rather

than private ones. The trial court did not give a reason

for its dismissal of the intrusion claim. The United

States Court of Appeals for the Ninth Circuit found that

republication of the photograph (originally given to

another photographer, with Peggy Ault's understanding

that it would be used only for the local newspaper) was

not an intrusion. The misappropriation findings of both

the trial court and the United States Court of

Appealsfor the United States Court of Appeals for the

Ninth Circuit were to the effect that the article was

"newsworthy" and that it was not published solely for

the commercial benefit of Hustler. Peggy Ault also

made related claims for trespass and conversion, but

10

these are not the subject of or germane to this Petition

for Writ of Certiorari.

In its final decision, the trial court found that the

article as a whole constituted protected opinion. This

rationale, above all, formed the basis for much of the

decision of the United States Court of Appeals for the

Ninth. The finding that the article constitutes protected

Opinion is the primary focus of this Petition for Writ of

Certiorari. The dismissal of the public disclosure of

private facts, intrusion, and misappropriation are

presented as further grounds for granting the writ.

REASONS FOR GRANTING THE WRIT

The decision below is an_ unjustified

extension of Gertz vy, Welch, 418 U.S. 323

(1974) and Hustler Magazine, Inc,, v, Falwell,

108 S.Ct. 876 (1988).

The decision below affords undue constitutional

protection to defamatory statements in claims for libel,

intentional infliction of emotional distress, and false

light invasion of privacy. Appeals courts have, over

the years, seized on the dicta of Gertz that "there is no

such thing as a false idea," to create an overly broad

and unacceptably subjective category of constitutionally

protected opinion. Review of the scope of protected

Opinion is sought.

SGertz_v. Welch, at 418 U.S. 339.

11

Overextension of the Concept of Opinion.

There are constitutional limits on the right to

defame, as this Court has observed:

However, the need to avoid self-censorship

by the news media is, however, not the only

societal value at issue. If it were, this Court

would have embraced long ago the view that

publishers and _ broadcasters enjoy” an

unconditional and undefendable immunity from

liability for defamation. Yet absolute protection

for the communications media requires a total

sacrifice of the competing value served by the

law of defamation. Gertz v. Welch, supra, at 418

U.S. 341.

The absolute right to defame does not exist, but

the United States Court of Appeals for the Ninth Circuit

has extended the concept of protected opinion beyond

the scope contemplated by the First Amendment and

Gertz, supra. This is particularly true when, as in this

case, the United States Court of Appeals for the Ninth

Circuit allows the "context" of the publication, to wit, a

pornographic magazine, to control the determination of

whether defamatory statements are protected opinion.

It is critical to note the result in Gertz - a private

citizen was allowed to pursue a claim for libel despite

of claims by the defendants that their defamatory

statements were constitutionally privileged. Justice

Powell also pointed out that "there is no constitutional

value in false statements of fact. Neither the

intentional lie nor the careless error materially

advances society's interest in ‘uninhibited, robust, and

12

wide-open’ debate on public issues." Gertz, supra, at

418 U.S. 340.

The words used to attack Peggy Ault, even to be

an opinion, must express an_ idea. What idea is

expressed? What public debate is furthered by this

type of assault on her personal dignity? None.

Elevation of such conduct to the pedestal of protected

speech should not be tolerated.

The Ault decision legitimizes a category of

defamation, defamatory opinion, to an extent which

should be constitutionally unacceptable. The words

and depiction of Peggy Ault are clearly defamatory.

"We agree with Ault that the words initially convey a

defamatory meaning. . ." United States Court of Appeal

for the Ninth Circuit opinion, Appendix A, p. A-7. The

words are capable of a defamatory meaning and meet

the test of both Oregon state law and Ninth Circuit

decisions in this regard. They constitute libel, per se.

See, e.g., Beecher v. Montgomery Ward & Co., Inc., 517

P.2d 667, (Ore. App. 1973); King v. Menolascino, 276

Ore. 501, 555 P.2d 442 (1976); Bock v. Zittenfield, 672

P.2d 1237 (Ore. App. 1983); Church of Scientology of

California _v. Flynn, 744 F.2d 694 (9th Cir. 1984); and

Brown v. Darcy, 783 F.2d 1389 (9th Cir. 1986).

But the United States Court of Appeals for the

Ninth Circuit (and other circuits) have extended the

concept of opinion well beyond Gertz, and instituted

tests which defy an objective, uniform application.

Gertz did not authorize the type of attack which was

13

levied against Peggy Ault. Gertz did not contemplate a

convoluted test of what is opinion. Gertz did not

contemplate the illogical results which deny Peggy Ault

a remedy but allow a church group to prevail against a

man who merely suggested that someone may have

tried to kill him (Church of Scientology, supra). Gertz

did not anticipate that William F. Buckley should

prevail against a man who inferred that Buckley may

have libelled others, Buckley v. Littell, 539 F.2d 882

(2d Cir. 1976), while leaving Peggy Ault totally without

a remedy. Gertz did not intend that a statement by a

president of a priestly society which suggested that

some members had placed church property in their

own names would not be classified as opinion, Kelly v.

Schmidberger, 806 F.2d 44 (2d Cir. 1986), while the

vile attack on Peggy Ault by Hustler would be.

The United States Court of Appeals for the Ninth

Circuit test for what is or is not a constitutionally

protected opinion, as stated by the Court in Peggy

Ault's case, is:

1. Whether the words can be understood

in a defamatory sense in light of the facts

surrounding the publication, including the

medium by which, and the audience to which,

the statement is disseminated;

2. Whether the context in which the

statements were made, e.g., public debate or a

labor dispute, would lead the audience to

anticipate persuasive speech such as “epithets,

fiery rhetoric or hyperbole;" and

14

3. Whether the language used is the kind

generated in a "spirited legal dispute." Opinion,

Appendix A, p. A-7.

This test, in the Ninth Circuit, is the product of a line of

cases composed of Information Control Corporation _v.

Genesis One Computer Corporation, 611 F.2d 781 (9th

Cir. 1980); Lewis _v. Time Incorporated, 710 F.2d 549

(9th Cir. 1983); Church of Scientology of California _v.

Flynn, supra; Yagman v. Baden, 796 F.2d 1165, (9th Cir.

1986); and Koch v. Goldway, 817 F.2d 507, (9th Cir.

1987).

There are two primary problems with the test of

the United States Court of Appeals for the Ninth Circuit

for what is constitutionally protected opinion. The first

is that, well beyond the scope and intention of Gertz, it

looks to the context of the publication as a controlling

factor. In Peggy Ault's case, the Court found that the

placement of the attack in Hustler Magazine immunized

words which were otherwise defamatory. What if the

same words about Peggy Ault had been in Time

Magazine or The New York Times? Under the United

States Court of Appeals for the Ninth Circuit resolution

of Peggy Ault's case, since the readership of such

legitimate publications might not ordinarily expect to

see such vituperative attacks, Peggy Ault should

prevail. Time Magazine or the New York Times would

not be entitled to claim that the same words about

Peggy Ault were protected opinion.

The words were just as hurtful to Peggy Ault's

reputation regardless of whether they were printed in

15

Hustler or in Time. The attack was just as damaging to

Peggy Ault emotionally no matter where it was printed.

Peggy Ault's pain deserves protection.

This emphasis on the context of where the words

are printed springs from a misapplication of Gertz,

Supra, coupled with this Court's decision in Letter

Carriers _v. Austin, 418 U.S. 264 (1974).6 In Letter

Carriers, in addition to first amendment considerations,

there were provisions of the Labor Management

Relations Act which encouraged free debate on issues

dividing labor and management. This Court gave

additional emphasis to protect speech in the heated

context of labor disputes, based on the _ First

Amendment and the Labor Management Relations Act.

Unfortunately, the United States Court of Appeals for

the Ninth Circuit has extended this approach to include

acontext feature of the test for constitutionally

protected opinion beyond the scope of Gertz, Letter

Carriers, and Greenbelt Publishing. It is for this reason

that Peggy Ault adamantly argued, and continues to

6One other U.S. Supreme Court decision, Greenbelt

Cooperative Publishing Association, Inc., v. Bressler, 398

U.S. 6 (1970), is commonly cited by the appeals courts in

their discussions of what is constitutionally protected

opinion. It involved newspaper coverage of a city

council mecting at which some citizens characterized the

negotiating position of an applicant for a _ zoning

variance as "blackmail." It is from this decision that

courts have allowed "rhetorical hyperbole" and _ the

"vigorous epithet" in a "heated public debate" to qualify

as protected opinion. Peggy Ault asserts that the nature

of Hustler's assault on her is of a completely different

character and degree.

16

maintain, that a deliberate, calculated attack on her

which was the product of a lengthy editorial process is

not entitled to the same "contextual" considerations as

name-calling at a city council confrontation. The

rejection by the United States Court of Appeals for the

Ninth Circuit of Ault's arguments in this regard? is an

Overextension of the concepts embodied in decisions

from this Court.

The second principal problem with the United

States Court of Appeals for the Ninth Circuit test for

what is constitutionally protected opinion is that the

Ninth Circuit is inconsistent with other circuits. A

discussion of the rule in the Second Circuit illustrates

that point. Both Mr. Chow of New York v. Ste. Jour

Azur, S.A., 739 F.2d 219 (2d Cir. 1985), and Kelly v.

Schmidberger, supra, at 806 F.2d 47, outline the test as

follows:

1. Examine both the context in which the

Statements are made and the circumstances

Surrounding the statements.

2. Look at the language itself to determine

if it is used in a precise, literal manner or in a

loose, figurative or hyperbolic sense.

3. Examine the statements to determine if

they are objectively capable of being proved true

or false. (If so, it is not opinion.)

4. Even if the above analysis indicates that

the statement is opinion, determine if it implies

7"We must reject Ault's effort to limit the meaning of

‘public debate’ to an oral, contemporaneous exchange of

ideas." Opinion, Appendix A, p. A-8.

17

the allegation of undisclosed defamatory facts as

the basis for the opinion. (If so, it is not opinion.)

Parts 1 and 2 of the United States Court of

Appeals for the Second Circuit test resemble aspects of

the United States Court of Appeals for the Ninth Circuit

test for opinion. However, parts 3 and 4 of the United

States Court of Appeals for the Second Circuit test differ

radically, and in ways which might have made a

difference if they were applied to the statements about

Peggy Ault.

If a statement objectively provable as true or

false cannot be an opinion, then many of the

Statements made about Peggy Ault should be

considered as false statements of fact rather than

protected opinion. It is objectively demonstrable that

Peggy Ault (not her ideas about pornography) is not

crazy, psychotic, or otherwise clinically mentally

deficient. It is objectively provable that she is not

sexually aroused ("can't you just hear her clit

throbbing") by reading a newspaper or cutting

advertisements from it. It is objectively provable that

she does not feel "threatened by sex." It is objectively

provable that she did not "confide" in Huslter’s sources.

Under this test, Peggy Ault would have prevailed.

Falwell Should Not Control The Opinion Analysis; The

Pr ions Affor nder_ Falwell Ar fficien

Without a Blanket Extension of Opinion Protection To

Claims For Intentional Infliction Of Emotional Distress

The United States Court of Appeals for the Ninth

Circuit relied strongly on the recent decision of this

18

Court in Hustler_v. Falwell, supra. In rejecting Peggy

Ault's claims, the United States Court of Appeals for the

Ninth Circuit observed as follows: (Opinion, Appendix

A, pp. A-5 and A-6)

Nor can privileged opinion support a claim

for intentional infliction of emotional distress.

Hustler Magazine, Inc., v. Falwell, 108 S.Ct. 876

(1988). Falwell holds "that public figures and

public officials may not recover for the tort of

intentional infliction of emotional distress by

reason of publications such as the one here at

issue without showing in addition that the

publication contains a false statement fact which

was made with ‘actual malice,’ i.e., with

knowledge that the statement was false or with

reckless disregard as to whether or not it was

true." Jd. at 882.

The primary distinguishing factor between Peggy

Ault's case and the Falwell case is that there was a

specific jury finding that the publication about the Rev.

Falwell made no false statement of fact about him. To

the jury and to the courts, the Falwell publication was

parody--and the publication explicitly stated this. But

there has been no jury finding that there was no false

statement of fact about Peggy Ault. On the contrary,

the United States Court of Appeals for the Ninth Circuit

Observed that the words "initially convey a defamatory

meaning. . ." (Opinion, Appendix A, p. A-7.) Thus, the

words "initially" are false statements of fact about

Peggy Ault - but they somehow are magically

converted to protected opinion by virtue of their

19

placement in Hustler Magazine. This is in spite of the .

fact that, unlike Falwell, the "Asshole of the Month"

publication about Peggy Ault did nothing to identify

itself as opinion or editorial. It appeared as a report by

the editors of Hustler that Peggy Ault was, based on

facts known to them, a figure of contempt, a sexual

object subject to sexual arousal from underwear ads in

the newspaper, and certifiably mentally ill.

It is true that Falwell, supra, requires a false

statement of fact. Peggy Ault alleged that there were

false statements of fact about her. The appellate court

found the words "initially defamatory." For a claim of

intentional infliction of emotional distress, this should

be sufficient--coupled with the actual malice

requirement.

Even if all the statements about Peggy Ault

would be construed as opinion, they should be judged

sufficient for a claim of intentional infliction of

emotional distress. To this extent, Peggy Ault seeks

Clarification or a review of the result in Falwell, supra.

The requirement that a public figure prove

actual malice in a claim for intentional infliction of

emotional distress is sufficient protection for the

"breathing space" for free expression which Hustler

Magazine, Inc., v. Falwell, supra, establishes. It is

enough of a burden for a plaintiff, like Peggy Ault, to

20

prove such actual malice.8 And requiring proof of

actual malice in an intentional infliction of emotional

distress case is precisely the protection which this

Court has endeavored to offer publishers in New_York

Times _v. Sullivan, 376 U.S. 254 (1964), and its progeny.

In the context of an intentional infliction of

emotional injury claim, the gravamen of the claim is a

direct injury to the person's emotional status. Falwell

recognizes this, and recognizes the interest of the state

and individuals to protect people from unjustified

assaults. "Generally speaking the law does not regard

the intent to inflict emotional distress as one which

should receive much solicitude, and it is quite

understandable that most if not all jurisdictions have

chosen to make it civilly culpable where the conduct in

question is sufficiently ‘outrageous.'" Hustler Magazine,

Inc., v. Falwell, supra, at 108 S.Ct. 880.

A defamatory statement, whether it is a libel or

an opinion, can hurt an individual. Extension of the

cloak of Falwell to immunize all purported statements

of opinion from claims for intentional infliction of

8Peggy Ault has never admitted that she is a_ public

figure. The trial court ruled that she was a public figure

for issues related to the pornography controversy. The

Ninth Circuit decided that it was not critical to categorize

her either as a private person or a public figure, given

its finding that the publications were protected opinion.

"Thus we conclude that the opinion. privilege bars

recovery for intentional infliction of emotional distress

whether Ault is a public figure or a private person for

first amendment purposes and do not decide her status."

Opinion, Appendix A, p. A-6.

21

emotional distress gives the publisher unfettered.

power to hurt and leaves the victim without remedy.

The requirement of proof of actual malice is sufficient

protection for the publisher and it need not be

supplemented with convoluted, inconsistent extensions

of the doctrine of protected opinion.

The Court Should Review the Dismissal of Peggy Ault's

Other Claims for Invasion of Privacy

Public Disclosure of Private Facts

Both the trial court and the United States Court

of Appeals for the Ninth Circuit rejected Peggy Ault's

claims that Hustler’s treatment of her image and

Hustler’s statements about her amounted to a_ public

disclosure of private facts. The trial court's reasoning

was based on a purported failure of Peggy Ault to

allege that any of the facts stated about her were true.

The appeals court agreed and added that the

publication must be of private, not public facts. In

doing so, the United States Court of Appeals for the

Ninth Circuit erroneously’ interpreted Oregon

substantive law and ignored its own decision in Virgil

v. Time, Inc., 527 F.2d 1122 (9th Cir. 1975), cert. den.

425 U.S. 998.

The presentation of Peggy Ault's picture in the

naked rear end of a bent over man was a public

disclosure of her image to which she did not consent.

It was a humiliating presentation of her real image.

Although Peggy Ault had consented to the use of her

photograph by her local paper, the Willamette Weekly,

be

she believed that her photograph would be used solely

for that paper. These matters were pled and called to

the attention of the trial court. Peggy Ault's intent was

to have her image as private as possible, with the

single exception of a small town newspaper article

about her.

A line of decisions in Oregon and the Ninth

Circuit establishes a cause of action there for public

disclosure of private facts. Hinish v. Meier & Frank Co.,

166 Ore. 482, 113 P.2d 438 (1941); Tollefson v. Price,

430 P.2d 990 (Ore. 1967); Anderson _v. Fisher

Broadcasting Companies, Inc., 300 Ore. 452, 712 P.2d

803 (1986); and Capra _v. Thouroughbred Racing

Association of North America, Inc., 787 F.2d 463 (9th

Cir. 1986). Both Anderson, supra, and Tollefson, supra,

recognized that the words constituting the invasion of

privacy need not be alleged as true. In Tollefson, the

complaint specifically alleged that the statements in the

publication were untrue. Anderson, at 712 P.2d 814,

explicitly said that "the distressing report of

presentation of a person's private affairs might not be

truthful."

In Virgil v. Time, Inc., supra, the plaintiff had

first disclosed much _ personal information about

himself. He later had a change of heart and made it

Clear he did not want the information published. The

United States Court of Appeals for the Ninth Circuit

upheld his claims against Time _ for subsequent

publication of the information--observing that Virgil's

alla

23

cause of action most closely resembled a claim for.

public disclosure of private facts. The United States

Court of Appeals for the Ninth Circuit allowed a

withdrawal of Virgil's consent to make the information

public: “If consent is withdrawn prior to the act of

publicizing, the consequent publicity is without

consent." Virgil, supra, at 527 F.2d 1127.

In Virgil, the United States Court of Appeals for

the Ninth Circuit adopted the Restatement, Second,

Torts, Section 652D description of the tort, which,

among other things, does not require the allegation of

truthful disclosures or the disclosure of purely private

facts:

One who gives publicity to a matter

concerning the private life of another is subject

to liability to the other for unreasonable invasion

of his privacy if the matter publicized is of a kind

which:

(a) would be highly offensive to a

reasonable person, and

(b) is not of legitimate concern to

the public.

To Peggy Ault, even her image was private.

Otherwise, she would not have harbored the belief that

its use would be limited. The best indication of this

was her refusal to provide personal information to

"Century City Research," Hustler’s ruse research

organization. The use of her image, coupled with the

defamatory words against her, could be construed as

highly offensive to a reasonable person, and was not of

legitimate concern to the public.

24

Intrusion

Peggy Ault alleged that Hustler obtained a

private photograph of her through illegal means and

through fraudulent misrepresentation. An affidavit of

the photographer/reporter, Cathy Cheney, established

that Hustler had not truthfully represented itself when

she provided the photographs of Peggy Ault to

"Century City Research." Peggy Ault informed the trial

court, in argument, that she would demonstrate her

refusals to provide information to Hustler ("Century

City Research") herself.

This Court has acknowledged that "[A] complaint

should not be dismissed for failure to state a claim

unless it appears beyond doubt that the plaintiff can

prove not set of facts in support of his claim which

would entitle him to relief." Conley _v. Gibson, 355 U.S.

41, 45-46 (1957). Oregon has implicitly recognized the

Restatement, Second, Torts formulation of all the torts

of invasion of privacy in Humphers_ v. First Interstate

Bank, 68 Ore. App. 573, 684 P.2d 581, 588 (1984).

The Restatement version of Intrusion is:

One who intentionally intrudes, physically or

otherwise, upon the solitude or seclusion of

another or his private affairs or concerns, is

subject to liability to the other for invasion of

his privacy, if the intrusion would be highly

offensive to a reasonable person.

Hustler's illegal and fraudulent conduct to obtain

Peggy Ault's photograph was highly offensive to her. It

should also be highly offensive to any other person

|

25

who believes that an essentially private person who .

explicitly refused to cooperate with Hustler ought to

have a right not to have her picture show up in a

nationally circulated pornographic magazine

Superimposed onto the naked rear end of a bent over

man.

The justification of the appeallate court for

disallowing the intrusion claim was that once Peggy

Ault consented to her photograph in the _ local

newspaper, it forever became public. "[W]hen a person

agrees to be photographed for a newspaper, the

photograph is not a_ private concern and _ its

republication does not create ground for liability."

Opinion, Appendix A. p. A-11. But this totally ignored

Peggy Ault's contentions that the photograph was

obtained illegally and fraudulently--as well as Peggy

Ault's representations that she would prove she

explicitly refused to give Hustler access to her

photographic image. It also ignored the Ninth Circuit's

own ruling in Virgil v. Time, Inc., supra, to the effect

that an individual may, at any time, withdraw his

consent for the public use of private information about

him.

Misappropriation of Image

The United States Court of Appeals for the Ninth

Circuit upheld the dismissal of Peggy Ault's claim for

misappropriation of image on the basis that Hustler's

use of her image was not solely for its commercial gain,

but rather to accompany a newsworthy article about

26

her. Peggy Ault asserts that pornography such as

Hustler should be treated strictly as commercial speech.

The dissenting comments of Judge Edith H. Jones in

Herceg v. Hustler Magazine, Inc., 814 F.2d 1017, 1028

(Sth Cir. 1987) are particularly germane to this issue.

Judge Jones was discussing the decision of this Court in

Dun & Bradstreet _v. Greenmoss Builders, 472 U.S. 749

(1085), in which it was recognized that commercial

speech is not entitled to the same_ constitutional

protection as other speech:

Measured by this standard, both Hustler in

general and "Orgasm of Death" in particular

deserve limited only first amendment protection.

Hustler is a _ profitable commercial enterprise

trading on its prurient appeal to a small portion

of the population. It deliberately borders on

technical obscenity, which would be_ wholly

unprotected, to achieve its purposes, and its

appeal is not based on cognitive or intellectual

appreciation. Because of the solely commercial

and pandering nature of the magazine, neither

Hustler nor any other pornographic publication is

likely to be deterred by incidental state

regulation. No sensitive first amendment genius

is required to see that, as the Court concluded in

Dun & Bradstreet, "[t]here is simply no credible

argument that this type of [speech] requires

special protection to insure that ‘debate on public

issues [will] be uninhibited, robust and wide-

open. (Cites Dun & Bradstreet, supra.) Herceg v.

Hustler Magazine, Inc., 814 F.2d 1017, 1028 (Sth

Cir. 1987)

rere

27

Peggy Ault argued this concept to the United

States Court of Appeals for the Ninth Circuit, which

agreed in part. "While Hustler's objectives may well

have commercial overtones. . .". Opinion, Appendix A, p.

A-12. Peggy Ault pointed out that an attack on her

was a commercial assault, since she (and other

opponents of pornography) represented a threat to

Hustler's circulation.

Hustler should not receive’ special

treatment and a greater license to harm than other

publications. As argued above, the magical

transformation of the words about Peggy Ault--from

defamation to protected opinion--by their placement in

Hustler gives Hustler an unfair right to attack and

preferred constitutional treatment compared to _ the

legitimate press. Treatment of Hustler for what it is--

which is commercial speech for the sole purpose of

purveying its pornographic images of its models and its

enemies--would give some strength to the _ injured

person. It would also pierce the fiction that Hustler

misappropriated Peggy Ault's image for anything other

than a commercial purpose.

28

CONCLUSION

For the reasons above stated, Peggy Ault

respectfully requests this Court to issue a writ of

certiorari to review the decision of the United States

Court of Appeals for the Ninth Circuit.

Respectfully submitted,

G. L. Spence

Gary L. Shockey

SPENCE, MORIARITY & SCHUSTER

Counsel for Petitioner

APPENDIX - A

FOR PUBLICATION

UNITED STATES COURT OF APPEALS

FOR THE NINTH CIRCUIT

PEGGY AULT,

Plaintiff-Appellant,

Vs

No. 87-3684

HUSTLER MAGAZINE, INC.; FLYNT :

DisTRIBUTING Co., INC.; FLYNT _ D.C. No.

SUBSCRIPTION COMPANY, INC.; CITY CV-86-381-FR

OF ROSES NEWSPAPER CoO.; OPINION

WILLAMETTE WEEKLY; CATHY

CHENEY,

Defendants-Appellees.

—

Appeal from the United States Listr:. t Court

for the District of Oregc::

Helen J. Frye, District Judge, ) :cs:ting

Argued and Submiitec

April 7, 1988—Pasadena, Ca ‘ornia

Filed October 25, 198:

Before: Thomas Tang, Betty B. Fictch sr and

Harry Pregerson, Circuit Juczes

Opinion by Judge Tan.

13350 AULT V. HUSTLER MAGAZINE, INC.

SUMMARY

Affirming a judgment and reversing a judgment imposing

sanctions and attorney’s fees, the court held that a Hustler

Magazine article about appellant’s anti-pornography position

was constitutionally protected opinion.

Appellant Peggy Ault appeals the district court’s dismissal

of her invasion of privacy, libel, intentional infliction of emo-

tional distress, and trespass and conversion claims against

appellee Hustler Magazine, Inc. arising from the magazine's

depiction of her in its regular “Asshole of the Month” feature.

Ault organized opposition to an adult video-store and lobbies

the legislature to enact anti-pornography measures. When

Hustler Magazine featured Ault as “Asshole of the Month,”

the article was accompanied by Ault’s photograph superim-

posed over the rear-end of a bent-over naked man. The article

also discussed Ault’s anti-pornography activities and charac-

terized her organization as a “wacko group” engaging in cen-

sorship. Ultimately, as a result of Ault’s third amended

complaint, the court imposed sanctions on Ault and her attor-

ney for filing frivolous claims and awarded attorney fees to

Hustler. :

[1] If the challenged statement constitutes the expression of

an opinion rather than fact, then under the first amendment

it cannot give rise to a defamation claim. Nor can an opinion

form the basis of a claim for invasion of privacy by placing a

person in a false light. Nor can privileged opinion support a’

claim for intentional infliction of emotional distress. [2] A

three-prong test is used to determine whether the substance of

a publication is fact or opinion. [3] The article states an opin-

ion. Publication in Hustler creates a context which robs the

statements of defamatory meaning because the statements

will be taken as statements of Hustler’s opinion of Ault. Sec-

A-2

AULT V. HUSTLER MAGAZINE. INC. 13351

ond, there is a heated and spirited debate on pornography of

which this article is a part, and in which epithets, fiery rheto-

ric and hyperbole are expected. Third, the offending phrases

in the article are representative of the type of language gener-

ated in a dispute over such a subject. [4] The Hustler article

about Ault is constitutionally protected opinion and as such

forecloses Ault’s claims. [S$] Ault unsuccessfully alleged the

public disclosure of any true private facts. [6] The district

court properly dismissea the claim of intrusion because Ault

did not allege any facts to support it. [7] The district court

properly dismissed the claim of misappropriation because

Hustler did not use the photograph jor its Gwn commercial

gain. but to accompany a newsworthy article about Ault.

COUNSEL

Gary L. Shockey, Spence, Moriarity & Schuster, Jackson,

Wyoming, for the plaintiff-appellant.

David O. Carson, Beverly Hills, California, for the

defendants-appellees.

OPINION

TANG, Circuit Judge:

In this diversity action, Ault appeals the district court’s dis-

missal of her invasion of privacy, libel, intentional infliction

of emotional distress, and trespass and conversion claims

against Hustler Magazine, Inc. arising from the magazine’s

depiction of her in its regular “Asshole of the Month” feature.

Ault also appeals the court’s dismissal of Larry Flynt and

L.F.P., Inc. for lack of personal jurisdiction, and the award of

sanctions against Ault and her attorney. We affirm in part and

reverse in part.

13352 AULT V. HUSTLER MAGAZINE, INC.

BACKGROUND

Peggy Ault founded the Citizens in Action for Clackamas

County, Oregon, headquartered in Milwaukie, Oregon, to

organize opposition to an adult video-store. As a member of

this organization, Ault has participated in picketing adult

stores. She is apparently also involved in Citizens for Legisla-

tion Against Decadence through which she lobbies the legisla-

ture to enact anti-pornography measures. In recognition of

her activities Ault was interviewed by the newspaper, Wil-

lamette Week, and her photograph accompanied the resulting

article.

In its April 1985 issue, Hustler Magazine published an arti-

cle featuring Peggy Ault as “Asshole of the Month.” The arti-

cle is accompanied by a small photograph of Ault

superimposed over the rear-end of a bent-over naked man.

The article discusses Ault’s anti-pornography activities and

characterizes her organization as a “wacko group” engaging

in censorship and intimidation tactics with plans to under-

mine first amendment freedoms. The article portrays Ault as

a “tightassed housewife,” “frustrated,” “threatened by sex,” a

“fanatic,” a “crackpot” and a “deluded busybody” in need of

“professional help.”

Ault initially sued in state court and the Hustler defendants

removed to federal court. The original complaint included

claims for intentional infliction of emotional distress, inva-

sion of privacy, libel, outrage, trespass, conversion, interfer-

ence with first amendment rights, obscenity and joint and

several liability. After Ault filed a second amended complaint

correcting a clerical error (i.e., the inadvertent inclusion of

claims from another complaint), the district court dismissed

the claims for libel and intentional infliction of emotional dis-

tress as barred by the statute of limitations, and the claims for

trespass and conversion for failure to state a claim. It dis-

missed defendants Larry Flynt and L.F.P., Inc. for lack of

personal jurisdiction. In her third amended complaint Ault

AULT VY. HUSTLER MAGAZINE, INc. Vea 13353

re-alleged all four forms of invasion of privacy and the dis-

trict court dismissed the complaint. The court also imposed

sanctions on Ault and her attorney for filing frivolous claims

and awarded attorney fees to Hustler for time spent respond-

ing to the erroneous first amended complaint.

The court entered a final judgment dismissing the action on

March 9, 1987. Ault timely appeals challenging all rulings of

the district court.

DISCUSSION

I. Libel, False Light, and Intentional Infliction of Emotional

Distress

{1} As a threshold matter we must determine whether the

Hustler article constitutes the expression of an opinion rather

than of factual statements. The distinction is crucial because

if a challenged statement is one of opinion rather than fact,

then under the first amendment it cannot give rise to a defa-

mation claim. Greenbelt Cooperative Publishing Ass’n Inc. v.

Bresler, 398 U.S. 6, 14 (1970). Opinions are constitutionally

privileged because, in the Supreme Court’s oft-reiterated

view, under the first amendment there is no such thing as a

false idea. Gertz v. Robert Welch, Inc., 418 U.S. 323, 339-40

(1974). We have explained that “[b]ecause a statement must

be false to be actionable defamation, Restatement (Second) of

Torts § 558(a)(1977), an opinion is simply not actionable

defamation.” Lewis v. Time Inc., 710 F.2d 549, 553 (9th Cir.

1983). It is likewise clear that a constitutionally privileged

statement of opinion cannot form the basis of a claim for

invasion of privacy by placing a person in a false light. Time,

Inc. v. Hill, 385 U.S. 374, 387-88 (1967). Nor can privileged

opinion support a claim for intentional infliction of emo-

tional distress. Hustler Magazine, Inc. v. Falwell, 108 S. Ct.

876 (1988). Falwell holds “that public figures and public offi-

cials may not recover for the tort of intentional infliction of

emotional distress by reason of publications such as the one

Ww

A-

13354 AULT V. HUSTLER MAGAZINE, INC.

here at issue without showing in addition that the publication

contains a false statement of fact which was made with ‘actual

malice,’ /.e., with knowledge that the statement was false or

with reckless disregard as to whether or not it was true.” /d.

at 882.

Falwell clearly holds that the opinion privilege applies by

barring an emotional distress action brought by a public fig-

ure. We have sa’. that the privilege also applies by barring a

defamation actio” Srought by a private person. Lewis, 710

F.2d at 553.' Thus we conclude that the opinion privilege

bars recovery for intentional infliction of emotional distress

whether Ault is a public figure or a private person for first

amendment purposes and we do not decide her status.

It is our usual practice to apply the constitutional defense

of privileged opinion without first analyzing whether the

statements in question are actionable under state law. See

Koch v. Goldway, 817 F.2d 507, 508 (9th Cir. 1987)

(indicating that California courts conflate common law prin-

ciples and constitutional doctrine on the definition of opin-

ion). It is well settled in this Circuit that the fact or opinion

distinction in diversity cases is to be decided as a question of

federal law. Jd. at 509 (citing Lewis, 710 F.2d at 555). Accord

Fudge v. Penthouse Int'l, Ltd., 840 F.2d 1012, 1016 (1st Cir.

1988). petition for cert. filed, May 26, 1988: Ollman v. Evans,

750 F.2d 970, 978 (D.C. Cir. 1984)(en banc)(whether a

printed statement is protected opinion or an unprotected fac-

tual assertion is a matter of law for the court), cert. denied,

471 U.S. 1127 (1985).

[2] In general “[s]tatements not themselves factual, and

which do not suggest that a conclusion is being drawn from

1There 1s no independent cause of action for intentional infliction of

emotional distress based on the very same acts which are insufficient to sup-

port an action for defamation. F/ynn v. Higham, 149 Cal. App. 3d 677, 681,

197 Cal. Rptr. 145. 147 (1983).

cea ieialiaeaaialuaianiddaaleaueaaiia

AULT V. HUSTLER MAGaZINE, INC. 13355

facts not disclosed in the statement, are commonly state-

ments of opinion, not fact.” Koch, 817 F.2d at 509. The three-

prong test of whether the substance of a publication is fact or

opinion is: (1) whether the words can be understood in a

defamatory sense in light of the facts surrounding the publica-

tion, including the medium by which and the audience to

which the statement is disseminated; (2) whether the context

in which the statements were made, e.g., public debate or a

labor dispute, would lead the audience to anticipate persua-

sive speech such as “epithets, fiery rhetoric or hyperbole”;

and (3) whether the language used is the kind generated in a

“spirited legal dispute.” Lewis, 710 F.2d at 553 (citing

Information Control Corp. v. Genesis One Computer Corp.,

611 F.2d 781, 783-84 (9th Cir. 1980)).

Ault argues that under this test: (1) it is clear that any rea-

sonable person would infer a defamatory meaning in these

words; (2) the article is not part of a public debate in which a

participant can be excused for intemperate language: and (3)

nothing in the language of the article gives any indication that

this is an editorial or opinion piece.

[3] We agree with the district court’s application of the test

finding that the article states an opinion. First, although we

agree with Ault that the words initially convey a defamatory

meaning, when the facts of publication are considered the

words assume the character of protected opinion. Publication

in Hustler, a magazine known for its pornographic content

and directed to an audience sympathetic to pornography,

creates a context which robs the statements of defamatory

meaning because the statements will be taken as statements of

Hustler’s opinion of Ault, not as facts about her personal rea-

sons for opposing pornography. We are particularly per-

suaded to this view because the article appeared in a regular

monthly feature routinely devoted to lampooning opponents

of pornography and critics of Hustler Magazine. See Fudge,

840 F.2d at 1017 (certain genres of magazine features are so

familiar to the audience that a reader reasonably knows they

A= 7.

13356 an AULT V. HUSTLER MAGAZINE, INC.

express opinions not facts). Second, we must reject Ault’s

effort to limit the meaning of “public debate” to an oral, con-

temporaneous exchange of ideas. We think it is clear that

there is a heated and spirited debate on pornography of which

this article is a part, and in which epithets, fiery rhetoric and

hyperbole are expected. Third, although it is true that the

Hustler feature did not include a disclaimer overtly identify-

ing it as opinion, this misses the point of the third prong of the

test of opinion. The offending phrases in this article are,

unfortunately, representative of the type of language gener-

ated in a dispute over such a subject. See Koch, 817 F.2d at

510 (It is unfortunate that the legal category of opinion must

be used to describe a statement that is no more than “a

vicious slur” but “[b]ase and malignant speech is not neces-

sarily actionable.”).

[4] Our holding that the Hustler article about Ault is consti-

tutionally protected opinion forecloses her claims for libel,

for invasion of privacy by placing her in a false light and for

intentional infliction of emotional distress. We affirm the dis-

trict court’s dismissal of these claims on grounds other than

those employed by the district court. See Golden Nugget, Inc.

v. American Stock Exchange, Inc., 828 F.2d 586, 590 (9th Cir.

1987)(we may affirm the judgment of the district court on any

basis finding support in the record). For this reason we do not

reach the court’s rulings that the libel action is barred by the

statute of limitations or that the intentional infliction of emo-

tional distress claim must be dismissed because it is based on

the same facts as the libel claim.

II. Other Tort Claims

A. Public disclosure of private facts

A dismissal for failure to state a claim pursuant to Fed. R.

Civ. P. 12(b)(6) is a legal rpling reviewed de novo. Church of

Scientology v. Flynn, 744 F.2d 694, 695 (9th Cir. 1984). “[A]

complaint should not be dismissed for failure to state a claim

A-8

ee

AULT V, HUSTLER MAGAZINE, INC. 13357

unless it appears beyond doubt that the plaintiff can prove no

set of facts in support of his claim which would entitle him to

relief.” Conley v. Gibson, 355 U.S. 41, 45-46 (1957). All alle-

gations in the complaint must be treated as true. Flynn, 744

F.2d at 696.

[5] Ault’s claim of public disclosure of private facts is the

only claim that survived the district court’s October 20, 1986

dismissal. The district court ultimately dismissed this claim

because Ault did not successfully allege the publication of any

true private facts. We agree with the district court’s finding.

The factual statements about Ault’s involvement in anti-

pornography organizations are not statements of private

facts, nor are the facts that Ault reads the newspaper and

removes ads for lingerie before letting her children read the

paper. In a claim for invasion of privacy by publication of

facts, the facts disclosed must be private, not public. Tollefson

v. Price, 247 Or. 398, 401, 430 P.2d 990, 992 (1967); Trout v.

Umatilla Co. School Dist., 77 Or. App. 95, 712 P.2d 814, 817

(1985), review denied, 300 Or. 704, 716 P.2d 758 (1986).

Ault argues that a true picture of her was published and that

a true statement (that she reads the newspaper and cuts out

certain ads) was linked with a false and derogatory inference

that she was sexually aroused “as she cruimpled up those

offending undies ads” to create the impression that a private

fact was being revealed. Further, Ault argues that the truth of

the statements need not be pleaded under Oregon law, citing

Hinish v. Meier & Frank Co., 166 Or. 482, 113 P.2d 438

(1941), Hamilton v. Crown Life Ins. Co., 246 Or. 1, 423 P.2d

771 (1967), Tollefson v. Price, 247 Or. 398, 430 P.2d 990

(1967), and Anderson vy. Fisher Broadcasting Co., 300 Or. 452,

712 P.2d 803 (1986). But, as Anderson clearly states, the ear-

lier cases did not involve the truthful publicizing of private

facts. 712 P.2d at 806. Anderson holds that in Oregon there is

no common-law tort liability for truthful presentation of pri-

vate facts unless the defendant’s conduct in obtaining or pub-

A-9S

13358 AicitT Vv. HUSTLER MAGAZINE. INC.

lishing the information is wrongful in some other respect. /d.

at 814.

Ault construes a portion of Anderson to hold that there is a

cognizable claim for public disclosure of private facts and

that such disclosure of “private affairs might not be truthful.”

Id. This is a misreading of Anderson. The Oregon Supreme

Court held there is no recovery for truthful publication and

then went on to enumerate the other types of wrongdoing that

could lead to recovery for the emotional injury resulting from

a publication. /d. As a final note it indicated that there could

be recovery for publication of false information, as in Hinish

or Tollefson, but these claims would not be denominated

“public disclosure of private facts.”

B. IJntrusion

6] The district court properly dismissed the claim of intru-

sion because Ault did not allege any tacts to support it. Ault

relies on Restatement (Second) Torts § 652B (1977), which

says

One who intentionally intrudes, physically or other-

wise, upon the solitude or seclusion of another or his

private affairs or concerns, is subject to liability to

the other for invasion of his privacy, ifthe intrusion

would be highly offensive to a reasonable person.

See Trout, 77 Or. App. at 99, 712 P.2d at 817 (Oregon court

cites this section as the law in Oregon).

Ault contends that the Hustler defendants intruded on her

“by fraudulently misrepresenting who they were to get a non-

public picture of her,” and also by prying into her life and per-

sonal affairs. The depiction in the picture and words was

intended to make “its readers look at Peggy Ault in the same

light that they look at the naked models in the magazine - as

objects, unworthy of intellectual respect and worthy only of

A-10

SF

AULT V. HUSTLER MAGAZINE, INC. 13359

sexual contempt.” While this may be a reasonable interpreta-

tion of the purpose of the article, the facts do not fit the ele-

ments of the tort of intrusion. The means Hustler used to

obtain the photograph is not actionable as an intrusion into

Ault’s privacy because when a person agrees to be photo-

graphed for a newspaper, the photograph is not a private con-

cern and its republication does not create ground for liability.

Brewer v. Hustler Magazine, Inc., 749 F.2d 527, 530 (9th Cir.

1984): Gill v. Hearst Publishing Co., 40 Cal. 2d 224, 253 P.2d

441, 444-45 (1953).?

C. Misappropriation

[7] The district court properly dismissed the claim of mis-

appropriation because Hustler did not use the photograph for

its own commercial gain, but to accompany a newsworthy

article about Ault. The tort of wrongful appropriation

requires that the defendant appropriate the plaintiff's likeness

to his own use or benefit. Restatement (Second) Torts § 652C.

It has generally been held that this tort is “not applicable

when a person’s picture is used to illustrate a non-

commercial, newsworthy article.” Martinez v. Democrat-

Herald Pub. Co., 64 Or. App. 690, 693, 669 P.2d 818, 820,

review denied, 296 Or. 120, 672 P.2d 1193 (1983); also see

Anderson, 300 Or. 452, 712 P.2d at 813 (“Publication of...

[a] photograph is not appropriation for commercial use sim-

ply because the medium itself is operated for profit.”)

Anderson holds that using a picture without consent is action-

able only when it injures the economic interests of the plain-

tiff due to commercial exploitation, or when the “picture was

either obtained or broadcast in a manner or for a purpose

wrongful beyond the unconsented publication itself.” 712

P.2d at 813.

It makes no difference to this analysis that the photo Hustler used was

not the same one used by the Willamette Weck, since both photos were in

the photographer's possession and were very similar.

A-11

13360 AULT V. HUSTLER MAGAZINE, INC.

Ault argues that there is a commercial purpose here

because Hustler wants to destroy the anti-pornography move-

ment to enhance its profits, and lampooning Ault is one

means to that end. While Hustler’s objectives may well! have

commercial undertones, the article, as an expression of con-

stitutionally protected opinion on a matter of public interest,

is “newsworthy.”

D. Trespass and Conversion

The district court properly found that Ault failed to state a

claim for trespass upon her personal right to her photograph

or for conversion of her personal property right in her photo-

graphic image. Trespass is an invasion of a possessor’s inter-

est in land. Frady v. Portland General Elec. Co., 55 Or. App.

344, 637 P.2d 1345, 1349 (1981). Conversion requires the

intentional exercise of dominion and control over a chattel.

B & L Furniture Co. v. Transamerica Ins. Co., 257 Or. 548,

480 P.2d 711, 712 (1971). While the photograph might be

viewed as a chattel, it was the property of the photographer,

not of Ault, so there was no conversion of Ault’s chattels.’

Ill. Sanctions

Awards of sanctions and attorney fees are reviewed for an

abuse of discretion. Zaldivar v. City of Los Angeles, 780 F.2d

823, 828 (9th Cir. 1986); Beaudry Motor Co. v. ABKO Proper-

ties, Inc., 780 F.2d 751, 756 (9th Cir. 1986), cert. denied, 107

S. Ct. 100 (1986). However, the legal conclusion that facts

constitute a violation of Rule I1 is reviewed de novo.

Zaldivar, 780 F.2d at 828.

The district court awarded Rule 11 sanctions based on

Ault’s allegedly frivolous claims of (1) interference with con-

3Because we find the district court properly dismissed all of Ault’s claims,

we need not consider the issue of the court’s personal jurisdiction over

Larry Flynt.

A-12

AULT V. HUSTLER MAGAZINE. INC. 13361

stitutional rights; (2) a civil claim based upon violation of

obscenity statutes; and (3) joint and several liability against a

local distributor. Ault argues that all of these liability theories

were legally reasonable.

Under the standards of Za/divar, 780 F.2d at 828, Golden

Eagle Distrib. Corp. v. Burroughs Corp., 801 F.2d 1531, 1542

(9th Cir. 1986), and Hurd v. Ralphs Grocery Co., 824 F.2d 806

(9th Cir. 1987) we do not agree that sanctions are appropriate

for the filing of these claims. Although counsel failed to

defend these claims in the memorandum filed in response to

Hustler’s motion to dismiss, the inquiry into the propriety of

Rule 11 sanctions for filing frivolous claims is whether a rea-

sonably competent attorney would believe at the time of the

filing that the plaintiff had a legal right under “existing law”

or a “good faith argument for the extension, modification, or

reversal of existing law.” Za/divar, 780 F.2d at 830. The fail-

ure to cite authority for certain claims is not dispositive of

whether the claims had a legal foundation. In a case of this

sort, where the plaintiff has clearly suffered a grievous assault

to her human dignity we do not wish to endorse sanctions

which can only serve to chill zealous advocacy. See Hurd, 824

F.2d at 810-11. That the law does not offer protection from

such disgusting and distasteful abuse is not to say that argu-

ments for its extension are wholly unreasonable. /d. at 811.

The court also imposed Rule |! sanctions because Ault’s

counsel filed an erroneous First Amended Complaint without

reading it. Although we do not condone carelessness, the

error was Clearly clerical in nature, resulting from a wrong sig-

nal to a word-processer that caused extraneous material to be

included in the First Amended Complaint. We do not think

it the type of error for which Rule 11 sanctions were intended.

The Hustler attorneys could have avoided expending time

answering the complaint and preparing a motion to dismiss

if they had simply notified Ault’s counsel of the obvious error.

A-13

aes «oo 2.”

13362 AULT Vv. HUSTLER MAGAZINE, INC.

CONCLUSION

The dismissal of the claims is AFFIRMED and the imposi-

tion of sanctions and attorney fees is REVERSED.

>

14

APPENDIX - B

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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