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DONALD C. SMITH et al., Plaintiffs and Appellants,
v.
RON MALDONADO et al., Defendants and Respondents.
No. A080411
In the Court of Appeal of the State of California
First Appellate District
Division Three
(San Mateo County Super. Ct. No. 397586, Honorable George
A. Miram)
COUNSEL
Albert E. Polonsky, Esq., for Appellants
Franchetti & Rystsrom, Michael Franchetti, Tiffany
Rystrom, for Respondents
Filed May 26, 1999
Can a defamatory innuendo be created by the act of "highlighting"
or visibly emphasizing certain selected passages in a concededly
truthful and accurate newspaper article? May an action for defamation
lie against persons who copy and disseminate such a truthful
newspaper article, after having themselves highlighted one portion
of the article that mentions other individuals in a context or
manner that inferentially associates those individuals with alleged
criminal activity? The issue is apparently one of first impression.
In this case, appellants Donald C. Smith and Thomas G. Atwood
contend they were libeled when respondents Ron and Helen Maldonado
distributed copies of an entirely truthful newspaper article
describing the indictment of appellants' former attorney on charges
of attempting to bribe a state legislator on appellants' behalf,
with the single paragraph referring to appellants by name intentionally
highlighted by respondents. We affirm the trial court' s grant
of summary judgment in respondents' favor.
Factual and Procedural Background
In February 1993, the voters of Colma narrowly approved a
proposed ordinance to permit the operation of a card room, pursuant
to Business and Professions Code sections 19819 and 19819.5.[FOOTNOTE
1] Despite the voter approval given to the proposal, the card
room remained a controversial issue in Colma. After the Colma
Town Council (Town Council) adopted an ordinance establishing
the procedures for authorizing and regulating card rooms, four
groups, including appellants, applied for a card room permit.
Appellants were represented in their permit application by Attorney
Michael Montgomery. They pursued their goal of obtaining a permit
by appearing before the Town Council and other forums. The decision
on which of the contending vendors would be selected generated
considerable public interest and debate in Colma.
In March 1994, Colma awarded the permit to operate a card
room to a group called "Lucky Chances," selecting it
over appellants and the other applicants. Appellants were designated
the second-ranked applicants, who would succeed to the opportunity
to be awarded the permit if the Lucky Chances group failed to
meet specified deadlines for obtaining a conditional use permit
and state gaming registration. When Lucky Chances failed to obtain
the required state gaming registration by December 31, 1994,
appellants asserted their claim to apply for the permit. At public
meetings of the Town Council, Attorney Montgomery argued on appellants'
behalf that the Town Council should rescind its award of the
permit to the Lucky Chances card club and grant the permit to
appellants. These efforts were reported in the local news media.
When appellants were not given the permit, they filed a lawsuit
against Colma in January 1995.
Respondents were residents of Colma who participated in Colma
local governmental issues, supported the enactment of the card
room ordinance, and closely followed the permit application process
with great interest. They joined the Colma Citizens' Advisory
Council, a group of Colma residents interested in the card club
who supported Lucky Chances' attempt to secure the Colma card
room franchise. In December 1995, a different group of local
citizens qualified an initiative for the ballot to repeal the
card room ordinance. Because of their strong support for the
card room and Lucky Chances' application, respondents took an
active role in opposing the initiative. After much public debate,
the initiative was defeated in May 1995.
Appellants continued to oppose Lucky Chances' application
for the necessary permits, and regularly appeared at Town Council
meetings to contend they were entitled to the card room permit
themselves. Respondents publicly opposed appellants' contentions.
After Colma granted a use permit to Lucky Chances, appellants
filed two further lawsuits against Colma opposing the Town Council'
s action. In these lawsuits, they were represented by their current
counsel, who succeeded Montgomery in representing appellants
in July 1995.
In July 1996, Montgomery was indicted on criminal charges
of illegally attempting to influence a California legislator
on behalf of appellants in their attempt to gain an exclusive
card room franchise in Colma, by allegedly seeking the legislator'
s assistance in preventing Lucky Chances from obtaining the requisite
state gaming registration. A newspaper article accurately reporting
these facts was published by the Los Angeles Times on July 6,
1996.
On July 7, 1996, respondents obtained a copy of the Los Angeles
Times article. They made copies of the article and sent them
to 35 other Colma residents. Respondents did not rearrange, edit,
or change any words in the article, and did not add any written
comments of their own. Instead, they "highlighted"
a single paragraph mentioning appellants by name and distributed
the entire article otherwise unchanged.[FOOTNOTE 2] Referring
to the Attorney General' s investigation of and "carefully
orchestrated sting operation" against attorney Montgomery,
the entire highlighted paragraph read: "' The target was
Montgomery, a politically connected attorney representing restaurateur
Don Smith and golf course owner Thomas Atwood. The men were seeking
a potentially lucrative franchise to operate a card room in Colma,
a tiny community south of San Francisco.' "
On July 25, 1996, appellants' attorney sent respondents a
letter stating that their highlighting of the newspaper article
had insinuated that appellants themselves were involved in the
allegedly illegal activities of Montgomery, and demanding an
apology and public retraction. Because they believed the newspaper
article was true and they had done no wrong in simply redistributing
it, respondents refused appellants' demand for a retraction.
On August 14, 1996, appellants filed their libel complaint,
alleging that by circulating the newspaper clipping with the
paragraph mentioning appellants highlighted, respondents had
insinuated that appellants were involved in the alleged illegal
activities of attorney Montgomery discussed in the article. After
the trial court sustained respondents' demurrer with leave to
amend, appellants filed a first amended complaint that contained
a somewhat more detailed statement of facts, again alleged that
respondents had intentionally and maliciously insinuated that
appellants were involved in Montgomery' s alleged bribery attempt,
and added an allegation that at the time of the allegedly defamatory
insinuations, the subject of the article was no longer a matter
of public concern to the citizens of Colma. Respondents immediately
filed a second demurrer. The trial court overruled the demurrer.
After discovery, respondents moved for summary judgment on
May 30, 1997. They argued that the newspaper article was completely
truthful, and respondents had done nothing more than redistribute
a truthful publication with one paragraph highlighted but without
any commentary, changes or editing. Thus, respondents had only
published true facts, and appellants could not state a claim
for libel or defamation. In addition, respondents argued that
because appellants had voluntarily undertaken action seeking
to influence the resolution of a public controversy, they were
limited-purpose public figures. As such, appellants could not
meet the higher burden of proving by clear and convincing evidence
that the allegedly libelous dissemination was made with knowledge
of its falsity or in reckless disregard of its truth or falsity,
as required by New York Times Co. v. Sullivan (1964) 376
U.S. 254, 296. In opposition, appellants admitted the Los Angeles
Times newspaper article was true, but argued that respondents'
highlighting of the one paragraph mentioning appellants "created
the impression that [appellants] were involved in the allegedly
illegal activities of Montgomery."
The trial court granted the motion for summary judgment, setting
out its reasons in a lengthy statement of decision. Agreeing
with respondents' arguments, the trial court determined on the
basis of undisputed material facts that the highlighting of one
paragraph of the otherwise completely true and accurate newspaper
article did not change the truthfulness of the article or constitute
an independent editorial comment; any allegedly libelous innuendo
was based entirely on an accurate statement of true facts and
was therefore not defamatory; appellants were limited-purpose
public figures; the subject issue involved in the alleged libel
was one of public controversy; and appellants could not carry
their burden of proving by clear and convincing evidence that
respondents disseminated the newspaper article with knowledge
of its falsity or reckless disregard for its truth or falsity.
This appeal followed.
Standard of Review
Any party may move for summary judgment in any action or proceeding
by contending that the action has no merit, or there is no defense
to the action. (Code Civ. Proc., § 437c, subd. (a).) Code
of Civil Procedure section 437c, subdivision (c), requires
a trial court to grant summary judgment if all the papers and
affidavits submitted, together with "all inferences reasonably
deducible from the evidence" and uncontradicted by other
inferences or evidence, show that "there is no triable issue
as to any material fact and that the moving party is entitled
to a judgment as a matter of law. . . ." (Code Civ. Proc.,
§ 437c, subd. (c); 6 Witkin, Cal. Procedure (4th ed. 1997)
Proceedings Without Trial, § 217, p. 629.)
A moving defendant may meet the burden of showing that a cause
of action has no merit by proving either that (1) one or more
elements of the cause of action cannot be established, or (2)
there is a complete defense to that cause of action. Once that
burden is met, the burden shifts to the plaintiff to show
the existence of a triable issue of one or more material facts
with respect to that cause of action or defense. (Code Civ. Proc.,
§ 437c, subd. (o)(2); Sangster v. Paetkau (1998)
68 Cal.App.4th 151, 161-163; Saldana v. Globe Weis Systems
Co. (1991) 233 Cal.App.3d 1505, 1513-1515.) Because summary judgment
is a drastic procedure that deprives the losing party of a trial
on the merits, a defendant moving for summary judgment must conclusively
negate the necessary elements of the plaintiff' s case or demonstrate
that under no hypothesis is there a material issue of fact. (Miller
v. Bechtel Corp. (1983) 33 Cal.3d 868, 874; Kulesa v.
Castleberry (1996) 47 Cal.App.4th 103, 112; WYDA Associates
v. Merner (1996) 42 Cal.App.4th 1702, 1709; Shively v.
Dye Creek Cattle Co. (1994) 29 Cal.App.4th 1620, 1627;
Gigax v. Ralston Purina Co. (1982) 136 Cal.App.3d 591,
596-597.)
On appeal, we review the trial court' s decision to grant
summary judgment de novo, on the basis of our independent examination
of the evidence and determination of its effect as a matter of
law. (Sangster v. Paetkau, supra, 68 Cal.App.4th at p.
163; Villa v. McFerren (1995) 35 Cal.App.4th 733, 741;
Union Bank v. Superior Court (1995) 31 Cal.App.4th 573,
579; Jambazian v. Borden (1994) 25 Cal.App.4th 836,
843-844; 6 Witkin, Cal. Procedure, supra, Proceedings
Without Trial, § 235, pp. 646-647.) We are not bound by
the trial court' s stated reasons or rationale, and review the
summary judgment without deference to its determination of questions
of law. (Sangster v. Paetkau, supra, 68 Cal.App.4th at
p. 163; Transamerica Ins. Co. v. Superior Court (1994)
29 Cal.App.4th 1705, 1713-1714.)
Discussion
The threshold and, indeed, dispositive question on this
appeal is whether any defamatory communication was made by respondents
when they sent copies of the Los Angeles Times newspaper article
to individual members of the public after highlighting the single
paragraph mentioning appellants in connection with Montgomery'
s alleged bribery. In order to answer this question, we must
decide whether a defamatory innuendo can be created by the action
of highlighting or visibly emphasizing certain selected passages
in a concededly truthful newspaper article, without otherwise
editing, adding to or subtracting from the original content or
substance of the article. As mentioned in the introduction to
this opinion, this appears to be a question of first impression.
Under the facts presented, we conclude that the highlighting
of the otherwise entirely truthful paragraph did not create a
defamatory innuendo.
Elements of Defamation
Defamation is an invasion of the interest in reputation.
The tort involves the intentional publication of a statement
of fact that is false, unprivileged, and has a natural tendency
to injure or which causes special damage. (Civ. Code, §
§ 45, 46; 5 Witkin, Summary of Cal. Law (9th ed. 1988) Torts
§ 471, pp. 557-558.)[FOOTNOTE 3] Publication means communication
to some third person who understands the defamatory meaning of
the statement and its application to the person to whom reference
is made. Publication need not be to the "public" at
large; communication to a single individual is sufficient. (Cunningham
v. Simpson (1969) 1 Cal.3d 301, 306; 5 Witkin, Summary of
Cal. Law, supra, Torts, § § 471, 476, pp. 557-558,
560-561.) Reprinting or recirculating a libelous writing has
the same effect as an original publication. (Gilman v. McClatchy
(1896) 111 Cal. 606, 612; Rest.2d Torts, § § 576, 578;
5 Witkin, Summary of Cal. Law, supra, Torts, § 478,
pp. 562-563.)
Where the words or other matters which are the subject of
a defamation action are of ambiguous meaning, or innocent on
their face and defamatory only in the light of extrinsic circumstances,
the plaintiff must plead and prove that as used, the words had
a particular meaning, or "innuendo," which makes them
defamatory. (Washer v. Bank of America (1943) 21 Cal.2d
822, 828-829, overruled on other grounds, MacLeod v. Tribune
Publishing Co. (1959) 52 Cal.2d 536, 551; Rest.2d Torts,
§ 563, com. f; 5 Witkin, Summary of Cal. Law, supra,
Torts, § 493, p. 580.)[FOOTNOTE 4] Where the language at
issue is ambiguous, the plaintiff must also allege the extrinsic
circumstances which show the third person reasonably understood
it in its derogatory sense (the "inducement" ). (Grand
v. Dreyfus (1898) 122 Cal. 58, 62; Peabody v. Barham
(1942) 52 Cal.App.2d 581, 585, overruled on other grounds, MacLeod
v. Tribune Publishing Co., supra, 52 Cal.2d at p. 551; Rest.2d
Torts, § 563, com. f; 5 Witkin, Summary of Cal. Law, supra,
Torts, § 493, pp. 580-581.)
In all cases of alleged defamation, whether libel or slander,
the truth of the offensive statements or communication is a complete
defense against civil liability, regardless of bad faith or malicious
purpose. (Campanelli v. Regents of University of California
(1996) 44 Cal.App.4th 572, 581-582; Schmidt v. Foundation
Health (1995) 35 Cal.App.4th 1702, 1715; Ellenberger v.
Espinosa (1994) 30 Cal.App.4th 943, 953; Francis v. Dun
& Bradstreet, Inc. (1992) 3 Cal.App.4th 535, 540;
Gill v. Hughes (1991) 227 Cal.App.3d 1299, 1309; Swaffield
v. Universal Ecsco Corp. (1969) 271 Cal.App.2d 147, 164;
5 Witkin, Summary of Cal. Law, supra, Torts, § 494,
p. 583.) The defendant must "justify," or show the
truth of the statements.[FOOTNOTE 5] If the statements are not
defamatory on their face but capable of a defamatory meaning
imputed by innuendo, the defendant must demonstrate the truth
of the statements in that sense in which the plaintiff' s innuendo
explains them. However, the defendant need not justify the literal
truth of every word of the allegedly defamatory matter. It is
sufficient if the defendant proves true the substance
of the charge, irrespective of slight inaccuracy in the details,
"so long as the imputation is substantially true so as to
justify the ' gist or sting' of the remark." (Campanelli
v. Regents of University of California, supra, 44 Cal.App.4th
at pp. 581-582; Gantry Const. Co. v. American Pipe & Const.
Co. (1975) 49 Cal.App.3d 186, 194; Swaffield v. Universal
Ecsco Corp., supra, 271 Cal.App.2d 147, 164; Pyper v.
Jennings (1920) 47 Cal.App. 623, 628; Rest.2d Torts, §
581A, com. f; 5 Witkin, Summary of Cal. Law, supra, Torts,
§ 495, pp. 583-584.)
The question whether a statement is reasonably susceptible
to a defamatory interpretation is a question of law for the trial
court. Only once the court has determined that a statement is
reasonably susceptible to such a defamatory interpretation does
it become a question for the trier of fact whether or not it
was so understood. (Maidman v. Jewish Publications, Inc.
(1960) 54 Cal.2d 643, 651, overruled on other grounds, Brown
v. Kelly Broadcasting Co. (1989) 48 Cal.3d 711, 733; Kahn
v. Bower (1991) 232 Cal.App.3d 1599, 1609.)
Can Emphasis Alone Create a Defamatory Innuendo?
In this case, appellants do not contend that respondents republished
defamatory material. They concede that the Los Angeles Times
newspaper article was truthful as a whole, the specific information
in the highlighted paragraph was itself accurate, and respondents
disseminated the entire article without cutting any part or separating
the highlighted section from the whole. Neither do appellants
contend that respondents added any words or written commentary
to the article, or in any way edited, altered or rearranged its
content. Instead, they argue that simply by highlighting the
concededly truthful paragraph in the factually accurate news
article, respondents created a defamatory innuendo that appellants
were involved in the allegedly illegal activities of their attorney
as described in the article.[FOOTNOTE 6]
Thus, this is not a case where an originally accurate and
truthful statement of fact has been edited or revised to create
a false impression. Respondents did not edit, rearrange or revise
the article in any way before disseminating it. Neither did they
add their own words to provide a suggestive commentary to the
otherwise accurate facts set out in the newspaper account. By
itself, highlighting is nothing more nor less than emphasis.
It does not add any commentary, analysis, rhetoric, opinion,
or anything else of substance to the statement that is highlighted;
it merely emphasizes all or part of that statement. For our purposes,
moreover, there was no difference between the specific means
respondents used in this case to highlight the subject statements
and any other simple mode of emphasis. Respondents could as easily
have underlined the paragraph with a pencil or a red pen; the
effect would have been exactly the same. In either case, the
intention and the result would simply have been to draw attention
to the emphasized text.[FOOTNOTE 7] In effect, appellants would
have us hold that simply by emphasizing or stressing a
truthful statement of fact in republishing or recommunicating
that statement, a person may expose himself or herself to liability
for defamation if some third person may conceivably understand
such emphasis as having a defamatory innuendo.
We are not prepared to extend the reach of the tort of defamation
to such an extent. Truth is, of course, an absolute defense
to any libel action. (Campanelli v. Regents of University of
California, supra, 44 Cal.App.4th at p. 581; Gill v. Hughes,
supra, 227 Cal.App.3d at p. 1309.) The truth of a fact is
not altered by stating it forcefully. By the same token, a truthful
and accurate statement of fact is not rendered defamatory simply
by repeating it with greater emphasis. If a statement
is true, shouting it from the rooftops or publishing it everywhere
on giant billboards cannot change its essential truth, as long
as the statement itself remains unchanged. In short, no matter
how emphatically it is stated or repeated, the truth is still
the truth.[FOOTNOTE 8]
The record shows the only thing respondents did in this case
was to emphasize the truth. Any conceivable implication that
appellants were involved in their attorney' s alleged criminality
was necessarily drawn from the true facts stated in the entire
newspaper article. Respondents' mere highlighting of one part
of that article did not add to or detract from the substance
of the newspaper article, which they disseminated in its entirety
without any editing or added verbal commentary. If the newspaper
article itself cannot be interpreted as creating a defamatory
innuendo-and appellants do not contend that it can be-then it
necessarily follows that the highlighting of a single paragraph
out of that article could not result in such an innuendo. (Washer
v. Bank of America, supra, 21 Cal.2d at pp. 828-829.)
Any other result would have a deleterious impact on all forms
of written and oral speech. If we were to accept appellants'
contention, the unavoidable effect would be to discourage the
dissemination of accurate news reports. This result would raise
obvious First Amendment concerns. We need not confine our consideration
to the republication of newspaper articles, moreover. Writers
and public speakers in general would have to take care they did
not place the "wrong" emphasis on truthful, accurate
statements of fact. The resulting chilling effect on the free
flow of ideas and information would be substantial.
Moreover, if a plaintiff could plead defamation based on an
alleged innuendo derived solely from highlighting a true statement
of fact, the door would be open to all kinds of subjective considerations
of what does or does not constitute undue emphasis. Thus, in
any defamation case the court would be forced to consider the
particular type of emphasis used, and its effect on the person
or persons to whom the material was published. Courts in libel
cases would have to consider the distinctive effects of underlining,
italicization, typeface, and the size, style or color of print
used; courts in slander cases would be compelled to analyze the
effects of variations in vocal tone, inflection, timbre, volume
and pitch. If highlighting or emphasis alone could be
found to create a defamatory innuendo as a matter of law, courts
would also have to analyze the subjective intent of the person
doing the highlighting. Otherwise, the highlighter could be liable
if a person to whom the highlighted material was published misinterpreted
it by giving the highlighting a falsely defamatory meaning, even
if the highlighter had no such defamatory intent. What was he
or she trying to communicate by highlighting or emphasizing and
then publishing the material? If the added emphasis simply communicates
"importance," how or why was the emphasized material
"important" ? The substantive and procedural difficulties
posed to courts and litigants by such subjective analysis would
be daunting. Even without considering the manifest constitutional
ramifications of expanding the tort of defamation to include
emphasis or highlighting of otherwise truthful material, strong
considerations of public policy would preclude such an outcome.
Appellants have not cited any case authority holding that
highlighting or emphasizing one portion of an otherwise accurate
and truthful newspaper article can create a defamatory innuendo,
and we have not found any authority for this position in our
own research. To the contrary, the defamation cases discussing
innuendo hold that where the words of the published statement
at issue "under no circumstances could convey a defamatory
meaning, then no innuendo can make them defamatory. . . ."
(Washer v. Bank of America, supra, 21 Cal.2d at p. 828.)
Because, by definition, an accurate and unambiguous statement
of true facts cannot under any circumstances convey a defamatory
meaning, no innuendo can make such a statement defamatory as
a matter of law. (Ibid.)
The cases which appellants do cite are of no assistance to
their position. In Kapellas v. Kofman (1969) 1 Cal.3d
20, a newspaper published editorials opposing the plaintiff'
s candidacy for city council, citing the fact three of her six
minor children had been charged with various juvenile offenses
and arguing her time would be better spent with her children.
In reversing a judgment of dismissal entered on a demurrer, the
Supreme Court held that the true facts reported in the editorial,
in combination with the conclusions and recommendations drawn
by the editorial from those facts, were "reasonably susceptible"
to the innuendo that the plaintiff "was an unsuitable mother
and unqualified for city office." (Id. at pp. 26-27,
33-34.)[FOOTNOTE 9]
Kapellas is completely distinguishable from this case.
The editorial at issue in Kapellas did not simply report
true facts on the public record; it used the facts to
draw arguably defamatory inferences and implications about the
plaintiff. The defendant editor, who was solely responsible for
the written editorial at issue, rearranged and rephrased the
facts for the purpose of supporting the editorial argument. Thus,
the defamatory innuendo in Kapellas arose from explicit
editorial comment and rhetoric based on reported facts. By contrast,
in this case respondents simply disseminated an already-published
newspaper article which appellants concede was accurate, truthful,
and therefore not defamatory. Respondents did not comment on
the facts reported in the newspaper article; they simply republished
the entire article unedited aside from the addition of visual
emphasis to one concededly accurate and truthful paragraph. Respondents
were not responsible for any written statement or comment
themselves, nor did they did rearrange, restate or rephrase the
concededly truthful statements in the newspaper article in such
a way as to create a false inference or implication. In other
words, respondents did no more than republish true facts with
emphasis added.
Similarly distinguishable is Maidman v. Jewish Publications,
Inc., supra, 54 Cal.2d 643, in which the Supreme Court reversed
another judgment of dismissal in a libel case. Maidman, like
Kapellas, concerned the editorial use of true facts in the
context of a published rhetorical argument critical of a particular
individual. The editorial, which appeared in a Jewish newspaper,
accurately reported certain statements made in court by the plaintiff,
a Jewish attorney, about the nature of the Jewish holiday Rosh
Hashanah. The editorial expressly disagreed with the plaintiff'
s interpretation of the holiday, and made explicitly disparaging
remarks about the plaintiff. The Supreme Court concluded that
the editorial was libelous per se without the resort to
extrinsic material because it exposed the plaintiff to contempt
and ridicule on its face. (Id. at pp. 646-651.) The court
noted in passing that the editorial could also reasonably be
interpreted to insinuate defamatory comments about plaintiff
in his professional capacity as a lawyer, by implication injuring
him in his occupation as an attorney. (Id. at p. 651.)[FOOTNOTE
10]
Maidman is distinguishable from this case for the same
reasons as Kapellas. Key to Maidman was the Supreme Court'
s holding that "[c]omments, opinions and criticisms may
be defamatory even though based upon true or privileged statements
of fact. The publisher is liable unless the comments themselves
are privileged." (Id. at p. 649.) Here, there were
no comments, opinions or criticisms in either the original concededly
accurate and truthful newspaper article, or in respondents' republication
of that article, complete and unedited. Respondents were not
the authors of the original article, and they added no comments,
opinions or criticisms to it. The undisputed evidence shows their
only conduct was to republish and circulate the truthful article
without any written comment or change other than added emphasis.
Emphasis of true facts does not, by itself, create a defamatory
innuendo.
More on point is the case of Francis v. Dun & Bradstreet,
Inc., supra, 3 Cal.App.4th 535. In that case, the plaintiffs
brought an action for defamation against a credit reporting company,
arguing that because a concededly true and accurate credit report
could be interpreted to imply they were not creditworthy, the
credit report was therefore defamatory by innuendo. The court
of appeal held the action barred by the defense of truth. "A
credit report, even one that causes harm, is not defamatory if
it is true. . . . [A] report containing facts adverse to the
business can well cause problems securing credit. But one cannot
sue the credit reporting agency just because the business (or
people involved with the business) has had financial problems
in the past. Plaintiffs' brief goes on at length about ' innuendo,'
' implication,' and ' reading the report as a whole,' but all
of this discussion is irrelevant. There can be no defamation
without a false statement of fact, and plaintiffs admit all the
statements are true. As one court held recently (and succinctly),
' Plaintiff' s admission of truth bars his defamation cause of
action.' [Citation.] We wonder how plaintiffs (or their attorneys)
could have ever thought they had a cause of action for defamation."
(Id. at p. 540.) The same could well be said in this case.
Appellants insist that Francis v. Dun & Bradstreet "would
have turned out differently" if certain true but inferentially
damaging facts stated in the credit report about the plaintiff
had been highlighted, because it "would suggest that the
person doing the highlighting was implying" the plaintiff
was personally responsible for the financial problems of the
company that were discussed in the credit report.[FOOTNOTE 11]
Appellants are wrong. Such highlighting would constitute no more
than giving extra emphasis to true facts. Emphasis of the truth,
by itself, cannot create a false innuendo.
We hold that the mere addition of simple emphasis to an otherwise
completely accurate and truthful statement of fact cannot, by
itself, create a defamatory innuendo. Only if an originally
truthful statement of fact is substantively changed by
(a) editing or rearranging the words of the statement, (b) removing
language from the original text, (c) adding new language not
found in the original text, or (d) repeating or reproducing the
statement in a different surrounding context in such a way as
to render it reasonably susceptible of a different meaning or
interpretation than it had in its original context, may the truthful
statement of fact be rendered capable of a defamatory innuendo
for purposes of an action in defamation. On the basis of the
undisputed evidence in the record in this case, we conclude that
respondents' republication and dissemination of the concededly
truthful and accurate Los Angeles Times newspaper article, unedited
and unchanged aside from the addition of highlighting to one
paragraph for purposes of emphasis, was not defamatory as a matter
of law. The trial court was correct in granting summary judgment
in favor of respondents on this basis.[FOOTNOTE 12]
Disposition
The judgment is affirmed. Appellants shall pay respondents'
costs on appeal.
McGuiness, P.J.
We concur: Corrigan, J., and Walker, J.
::::::::::::::::::::::::::::: FOOTNOTE(S):::::::::::::::::::::::::::::
FN1. Colma is a tiny town just south of San Francisco.
The vote on the card room proposition was 122 to 114.
FN2. Both parties describe respondents' act as "highlighting"
the subject paragraph of the newspaper article. The parties have
not defined the words "highlight" or "highlighting"
in their briefs. Webster' s Third New International Dictionary
defines the verb "to highlight" as, among other things,
"to illuminate with vivid distinctness" or "throw
a strong light upon" ; "to center attention upon"
or "cause to loom large in importance or urgency" ;
or to "emphasize" or "stress." The dictionary
defines the noun "highlighting" as "the act or
effect of casting a highlight upon or giving prominence to something."
(Webster' s Third New Internat. Dict. (1970) p. 1068.)
The record does not include a precise description of
the form or manner in which respondents "highlighted"
the subject newspaper article in this case. From statements made
by appellants' counsel at oral argument, we gather respondents
used a yellow-colored marking pen to mark or color over the printed
words in the subject paragraph of the newspaper article in order
to draw the readers' attention to that passage. This is the sense
in which we will interpret the parties' use of the term "highlight"
in this case.
FN3. The statutory definition of libel is found in
Civil Code section 45: "Libel is a false and unprivileged
publication by writing, printing, picture, effigy, or other fixed
representation to the eye, which exposes any person to hatred,
contempt, ridicule, or obloquy, or which causes him to be shunned
or avoided, or which has a tendency to injure him in his occupation."
FN4. "The office of an innuendo is to declare
what the words meant to those to whom they were published. When
the words themselves, under any circumstances, would convey to
those who read or hear them a meaning within the statutory definitions
[of libel and slander], there is no occasion for the pleading
of an innuendo. Conversely, if the words under no circumstances
could convey a defamatory meaning, then no innuendo can make
them defamatory. An innuendo, however, is necessary where the
words used are susceptible of either a defamatory or an innocent
interpretation. [Citations.] And when the offending language
is susceptible of an innocent interpretation, it is not actionable
per se, but, in addition to an innuendo, it is necessary
for the plaintiff to allege special damages by reason of the
meaning gained from the publication. [Citation.]" (Washer
v. Bank of America, supra, 21 Cal.2d at p. 828.)
FN5. The burden of pleading and proving truth is generally
on the defendant. (Lipman v. Brisbane Elementary School
Dist. (1961) 55 Cal.2d 224, 233.) However, in an action initiated
by a private person on a matter of public concern, the First
Amendment requires that the plaintiff bear the burden of proving
falsity. (Philadelphia Newspapers v. Hepps (1986) 475
U.S. 767; Rest.2d Torts, § 613, com. j; 5 Witkin, Summary
of Cal. Law, supra, Torts, § 496, p. 584.) In this
case, appellants admit that the facts reported in the Los Angeles
Times article were true, and do not contend that the article
itself contained any defamatory innuendo.
FN6. As appellants state in their opening brief on
appeal: "This is a matter of first impression. No appellate
court has determined whether the highlighting of otherwise true
facts in a newspaper article and the distribution of the highlighted
article can create a false insinuation that would support a claim
for libel."
FN7. By analogy, if this were a case of alleged slander,
the same effect could have been achieved by speaking the subject
statement with increased vocal emphasis, more slowly and distinctly,
or more loudly. In the case of any of these examples, assuming
no other comments were added, the statement would simply amount
to a republication of an otherwise truthful statement with
added emphasis.
FN8. Of course, we are not dealing here with a case
of alleged invasion of privacy. Issues of the constitutional
right to privacy are very different from those addressed by the
tort of defamation. (Cal. Const., art. I, § 1; White
v. Davis (1975) 13 Cal.3d 757, 766-776; Loder v. Municipal
Court (1976) 17 Cal.3d 859, 868-877; Central Valley Chap.
7th Step Foundation v. Younger (1979) 95 Cal.App.3d 212,
234-236.)
FN9. The Supreme Court stated: "We have long recognized
that false inferences or implications raised by the arrangement
and phrasing of apparently non-libelous statements can be as
injurious as explicit epithets; we have upheld libel actions
founded on such implications. [Citations.] When the basis of
a claim of libel lies in an implication flowing from the rhetoric
of a publication, the allegedly damaging implication frequently
cannot be connected to any one statement, or to even a few specific
statements, but rather emanates from the tone of the article
as a whole. In such an instance, . . . [t]he mere withdrawal
of specific statements may not be adequate to purge the original
implication . . . ." (Kapellas v. Kofman, supra,
1 Cal.3d at p. 33.)
FN10. The Supreme Court stated: "' A defendant
is liable for what is insinuated, as well as for what is stated
explicitly.' [Citations.] ' The fact that an implied defamatory
charge or insinuation leaves room for an innocent interpretation
as well does not establish that the defamatory meaning does not
appear from the language itself. The language used may give rise
to conflicting inferences as to the meaning intended, but when
it is addressed to the public at large, it is reasonable to assume
that at least some of the readers will take it in its defamatory
sense.' [Citation.] To accuse an attorney of deliberately misleading
a court, whether this be done directly or indirectly, is obviously
to injure the attorney' s reputation, generally, and with
respect to his occupation. Since the article could reasonably
have been understood to make such a charge it is for the trier
of fact to determine if the readers did so understand it. [Citation.]"
(Maidman v. Jewish Publications, Inc., supra, 54
Cal.2d at p. 651, italics in original.)
FN11. In their opening brief on appeal, appellants
"submit that Francis [v. Dun & Bradstreet, supra,
3 Cal.App.4th 535] would have turned out differently if someone
had taken the credit report, highlighted the fact that the plaintiff'
s company had filed for bankruptcy three months after he left,
and then distributed the credit report further. That situation
would suggest that the person doing the highlighting was implying
that the plaintiff caused the bankruptcy of the company. [¶
] Since there was no comment, by highlighting or other means,
on the credit report disseminated in Francis, its ruling
that there can be no defamation without a false statement of
fact does not apply to this case."
FN12. In view of our holding that there was no defamation
as a matter of law, we need not address the issue of whether
appellants were limited-purpose public figures required to prove
that respondents acted with actual malice.
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