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Albert M. MARK, Petitioner,
v.
The SEATTLE TIMES, a corporation, Respondent.
Albert M. MARK, Petitioner,
v.
FISHER'S BLEND STATION, INC., a Washington corporation, d/b/a
KOMO-TV Channel 4, Respondent.
Albert M. MARK, Petitioner,
v.
KING BROADCASTING COMPANY, a corporation, Respondent.
Albert M. MARK, Appellant,
v.
KIRO, INC., Respondent.
Albert M. MARK, Petitioner,
v.
Gerald ROBINSON, and Jane Doe Robinson, his wife; Robinson
Newspapers, Inc., a
Washington corporation; the West Seattle Herald, a Washington
newspaper; the
White Center News, a Washington newspaper; the Highline Times,
a Washington
newspaper; the Des Moines News, a Washington newspaper; the
Federal Way News, a
Washington newspaper, Respondents.
635 P.2d 1081
Supreme Court of Washington, En Banc.
Nov. 12, 1981.
WILLIAMS, JUSTICE.
In these consolidated defamation cases, petitioner Albert
M. Mark seeks reversal of summary judgments granted against him
in five separate actions in King County Superior Court. The Court
of Appeals upheld the trial courts in four of the cases. Mark
v. Seattle Times, 27 Wash.App. 1014 (1980) (unpublished); Mark
v. Fisher's Blend Station, 27 Wash.App. 916, 621 P.2d 159 (1980);
Mark v. KING Broadcasting Co., 27 Wash.App. 344, 618 P.2d 512
(1980); Mark v. Robinson, 28 Wash.App. 1028 (1981) (unpublished).
The fifth case, Mark v. KIRO, Inc., King County Cause No. 856092,
comes to us on direct review from the trial court. For the reasons
discussed below, we affirm the decisions in both the Court of
Appeals and the Superior Court.
These cases stem from news coverage of Medicaid fraud charges
filed against Albert M. Mark, a Seattle pharmacist, by the fraud
division of the King County
Prosecuting Attorney's Office. On December 29, 1976, a deputy
prosecutor in the division apparently informed several members
of the news media in a press briefing that charges were soon
to be filed against Mark and that this was the largest Medicaid
fraud case ever filed in the state. At this same time, the prosecutor
distributed copies of the information which the prosecutor planned
to file, and of the affidavit of probable cause and suspect information
report, which were to be filed in support of the State's motion
for an order directing issuance of a warrant for Mark's arrest.
CrR 2.2(a); LCrR 2.2(g)(2) (King County).
The affidavit of probable cause read, in relevant part: The
instances collected by the Department of Social and Health Services
investigators ... reflects false claims and payments substantially
in excess of $75. Further, in that regard an audit was begun
on or about October 12, 1976.... Only medicaid prescriptions
were picked and the sample taken after being verified resulted
in a 63% invalid figure or over $200,000 in fraud billing for
the 22/3 years.... A second audit to verify the first with a
larger sample (300) was planned.... The results of the first
audit were communicated to Mark through his attorney and the
need for verification using a larger sample was stressed.
Seattle Times Clerk's Papers, at 36. The information, which
was filed on December 30, 1976, charged Mark with grand larceny,
10 counts of forgery, and tampering with physical evidence. The
information did not specify the exact amount of money involved.
Instead, it stated that Mark had defrauded the State in an amount
greater than $75, the statutory requirement, and that he had
submitted "voluminous amounts" of forged and false
prescription forms. Seattle Times Clerk's Papers, at 40. Subsequently,
the State amended the information dropping five of the forgery
counts and the tampering-with-evidence charge.
In June 1977, Mark was found guilty on the larceny and the
remaining forgery charges. At trial, the State established invalid
claims totaling only about $2500. The court imposed a 5-year
deferred sentence and a 1-year county jail term with work release
and also ordered Mark to pay full restitution, but determination
of that amount was deferred until a later hearing. To date, no
determination has been made. The Court of Appeals affirmed by
unpublished opinion in State v. Mark, 23 Wash.App. 1050 (1979),
but this court reversed the forgery counts of the conviction.
State v. Mark, 94 Wash.2d 520, 618 P.2d 73 (1980).
Publication of these events by the various respondents was
as follows:
The Seattle Times publications. On December 30, 1976, The
Seattle Times ran a banner-type headline that read: "PHONEY
PRESCRIPTIONS-$200,000 MEDICAID FRAUD CHARGED". Clerk's
Papers, at 145. The article explained that Mark, the owner
of two West Seattle pharmacies, had been charged with grand
larceny, tampering with evidence, and 10 counts of forgery. The
article quoted the chief deputy prosecutor's statement that Mark
had submitted "voluminous amounts" of forged and false
prescription forms for payment to the Department of Social and
Health Services (DSHS). The article further quoted the deputy
prosecutor and a DSHS investigator as stating that a preliminary
audit indicated a loss of $200,000 by government agencies over
a 32-month period, that this was the State's largest Medicaid
fraud case "to date", and that a preliminary audit
indicated that 63 percent of the claims submitted to DSHS by
Mark were invalid. The Times also reported that when investigators
returned to Mark's pharmacy, they found that the files had been
"substantially stripped" of the prescription forms
needed for a further audit. Clerk's Papers, at 40.
In December 1977, approximately 1 year after the original
story was published, the Times printed a report of a prosecution
for Medicaid prescription fraud against another pharmacist. One
paragraph in that story read:
The case was the second brought this year by the prosecutor's
office against a local pharmacist. Earlier this year, a West
Seattle pharmacist, Albert M. Mark, was found guilty of grand
larceny and forgery in a case involving about $200,000 in Medicaid
claims.
Clerk's Papers, at 142. This later story was written by the
same reporter who
wrote the original article. The reporter testified in his
deposition that he
was unsure whether he had referred to news reports of Mark's
trial or to the court files when he prepared the second story.
Mark sued The Seattle Times for defamation. The Times moved for
either dismissal, CR 41(b), or summary judgment, CR 56. The trial
court granted the motion for summary judgment.
The KOMO-TV broadcasts. Mark complains of five broadcasts
made by KOMO-TV. The reports contained some information identical
to that in the stories published by The Seattle Times, although
there were also some factual dissimilarities. Newscasters quoted
the prosecutor as stating that this was the largest case of Medicaid
fraud in memory, rather than in this state. The reports also
stated that the estimated total fraud was $350,000 (or $300,000
in at least one report), rather than $200,000, and that investigators
had found 65 percent of the Medicaid prescriptions billed to
the State were invalid, rather than 63 percent as stated in the
affidavit. There was no mention of the preliminary nature of
the survey. The reports quoted the deputy prosecutor as stating
that Mark forged prescriptions for "patients that didn't
exist". Clerk's Papers, at 451. One broadcast depicted a
large stack of dollars blowing away in the wind, and another
report stated that Mark's willingness to fill prescriptions without
first determining whether the State would pay for the medicine
might have provided a motive to cheat the government elsewhere
to recover the amounts DSHS refused to pay on legitimate claims.
After Mark was sentenced and ordered to pay restitution, KOMO-TV
reported:
The restitution will be determined in later hearings because
the state has never been able to establish how much money Mark
actually stole, partially because he destroyed some of the evidence
says the prosecutor. Clerk's Papers, at 456.
Mark sued Fisher's Blend Station, Inc. (d/b/a KOMO-TV), for
defamation. The trial court granted the station's motion for
summary judgment and the Court of Appeals affirmed. Mark v. Fisher's
Blend Station, 27 Wash.App. 916, 621 P.2d 159 (1980).
The KING-TV broadcasts. KING-TV also reported the filing of
charges against Mark. The broadcasts contained only the material
that was provided in the affidavit of probable cause and information,
with two exceptions. On the basis of the deputy prosecutor's
statements, KING-TV reported that this was the largest Medicaid
fraud suit ever filed in the state and that "Mark filed
claims using names of doctors and patients who are eligible for
Medicaid, but those doctors and those patients never wrote or
received the prescriptions." Clerk's Papers, at 96.
During its January 7, 1977 news broadcast, KING-TV also showed
a film clip of Mark talking on the telephone inside one of his
pharmacies. This film was taken by a KING-TV camera operator
who had arrived at the pharmacy after it was closed and had walked
up a drive leased to tenants. He apparently placed
the camera against the window and used spotlights to illuminate
the interior of the pharmacy. The telecast of the interior scene
took approximately 13 seconds, the remainder of the 53-second
film clip consisting of exterior shots.
Mark sued KING-TV for defamation and invasion of privacy.
The trial court granted KING-TV's motions for summary judgment
on both issues. The Court of Appeals affirmed, with one judge
dissenting on the invasion-of-privacy question. Mark v. KING
Broadcasting Co., 27 Wash.App. 344, 618 P.2d 512 (1980). Robinson
Newspapers publications. The West Seattle Herald, apparently
not a daily paper, published its first story on January 5, 1977,
a week after charges were filed against Mark. The story stated
that Mark had been "charged with defrauding the state of
$200,000 in bogus Medicaid drug prescriptions" and that
"state officials call (this) the largest Medicaid fraud
case the state has ever found." Clerk's Papers, at 80. The
story also quoted the deputy prosecutor's statement, published
by several of the other respondents, that Mark had submitted
"voluminous amounts" of "forged and false prescriptions".
Clerk's Papers, at 80. The remainder of the article printed information
contained in either the information or the affidavit of probable
cause.
In several articles published from January to September 1977,
the Herald and The Federal Way News, another Robinson newspaper,
covered the details of Mark's arraignment, trial, and sentencing.[FN1]
Some of these stories recounted some
of the material printed in the January 5 story. They added
nothing new, however, except that the June 12, 1977 story in
the News reported that the jury had convicted Mark of "about
$2,500", but added that a DSHS investigator stated that
"he still believes Mark may have gotten away with 'a quarter
of a million dollars' in phoney billings." Clerk's Papers,
at 94.
FN1. In her affidavit, the reporter who wrote all the Herald
and News stories stated that Robinson Newspapers covered the
trial in detail, because "Mr. Mark represented a public
figure of interest to the geographic area served by defendant's
newspapers." Clerk's Papers, at 79.
Mark sued Robinson Newspapers for defamation. In a 1-page
per curiam opinion, the Court of Appeals affirmed the trial court's
order granting respondents a summary judgment, explaining that
the recent published decisions in Mark v. KING Broadcasting Co.,
supra, and Mark v. Fisher's Blend Station, supra, were controlling.
The KIRO-TV broadcasts. KIRO-TV also reported the filing of
charges against Mark, telling its listeners that Mark was "accused
of the defrauding of the state of an estimated $200,000 in Medicaid
funds." Clerk's Papers, at 125. In all, at least 14 newscasts
over a 9-month period repeated the statement that Mark had been
charged with fraud amounting to $200,000. At the conclusion of
the trial, KIRO-TV reported that the jury had found Mark "guilty
of forging some $200,000 worth of Medicaid prescriptions."
Clerk's Papers, at 134. Several of the newscasts also repeated
the statement, attributed to the deputy prosecutor, that the
case was "the biggest Medicaid fraud ever uncovered in Washington
State." Clerk's Papers, at 126. Mark brought an action for
defamation against KIRO, Inc.
KIRO's motion for summary judgment was granted on the ground
that the court found no evidence of either malice or negligence
on KIRO's part and that all telecasts and broadcasts were "substantially
true and accurate reports of official court proceedings."
Clerk's Papers, at 5. We granted KIRO's motion to transfer Mark's
appeal to this court and ordered the case consolidated with the
other four cases.
The sole issue with respect to Mark's claim of defamation
is whether, in each of the cases, the trial court erred in granting
the respective respondents' motions for summary judgment.
At common law, strict liability existed for defamation so
long as the plaintiff demonstrated that the statements complained
of were (1) false, (2) defamatory, and (3) published. The defendant,
however, could raise two affirmative defenses: truth or privilege.
See W. Prosser, Torts ch. 19 (4th ed. 1971). The burden was on
the defendant to establish truth, but if proved, it was a complete
defense. The common law recognized several types of absolute
and conditional or qualified privileges to publish fair and accurate
reports of proceedings of public interest and to make fair comment
on facts relating to public figures or public issues. Under the
common law, a qualified privilege could be defeated only by proving
the publisher either published maliciously or abused the privilege.
See generally Taskett v. KING Broadcasting Co., 86 Wash.2d 439,
456-59, 546 P.2d 81 (1976) (Horowitz, J., dissenting); W. Prosser,
at 785-96.
Since 1964, however, the United States Constitution has been
interpreted to restrict the states' ability to define and impose
damages on defamatory speech. In New York Times Co. v. Sullivan,
376 U.S. 254, 84 S.Ct. 710, 11 L.Ed.2d 686, 95 A.L.R.2d 1412
(1964), the Supreme Court held that the first amendment to the
United States Constitution prohibits a public official from recovering
damages for defamation unless "actual malice"-knowledge
or reckless disregard of falsity-is established. This rule was
extended to any public figure in Curtis Publishing Co. v. Butts,
388 U.S. 130, 87 S.Ct. 1975, 18 L.Ed.2d 1094 (1967). In Gertz
v. Robert Welch, Inc., 418 U.S. 323, 94 S.Ct. 2997, 41 L.Ed.2d
789 (1974), the Court concluded that the New York Times' "actual
malice" rule, while still applicable to public figures,
did not apply to news coverage pertaining to private individuals
even though that coverage addressed matters of public interest.
The Court reasoned that a malice requirement would inadequately
serve the competing values of vigorous news coverage versus the
private citizen's right to recover for injury to reputation.
Gertz, at 348, 94 S.Ct. at 3011. See also Hutchinson v. Proxmire,
443 U.S. 111, 99 S.Ct. 2675, 61 L.Ed.2d 411 (1979); Comment,
The Evolution of the Public Figure Doctrine in Defamation Actions,
41 Ohio St.L.J. 1009, 1018-27 (1980).
In Taskett, we relied on Gertz in announcing a new rule in
defamation actions:
(A) private individual, who is neither a public figure nor
official, may recover actual damages for a defamatory falsehood,
concerning a subject of general or public interest, where the
substance makes substantial dangers to reputation apparent, on
a showing that in publishing the statement, the defendant knew
or, in the exercise of reasonable care, should have known that
the statement was false, or would create a false impression in
some material respect. Taskett, 186 Wash.2d at 445, 546 P.2d
81. In effect, the court created a negligence standard for defamation
actions involving private citizens in matters concerning the
public interest.
After the decision in Gertz, in Cox Broadcasting Corp. v.
Cohn, 420 U.S. 469, 493-95, 95 S.Ct. 1029, 1045, 1046, 43 L.Ed.2d
328 (1975), the Supreme Court held that the First Amendment prohibits
a state from imposing sanctions based on the accurate publication
of information obtained from judicial records that are open to
public inspection. In effect, the Court recognized at least a
conditional privilege to report such information. The next year,
however, the Court made it clear that the "public figure-actual
malice" rule does not automatically extend to an individual
merely because of his involvement in civil judicial proceedings.
Time, Inc. v. Firestone, 424 U.S. 448, 96 S.Ct. 958, 47 L.Ed.2d
154 (1976).
Summary Judgment Standards. In his several petitions, Mark
contends repeatedly that summary judgment was improper because
of the following alleged unresolved issues of material fact:
(1) whether the facts alleged in the affidavit and information
were false and defamatory; (2) whether the statements made by
the deputy prosecutor and DSHS investigator were false and defamatory;
(3) whether the published reports concerning the affidavit, the
information, and the officials' statements created substantially
inaccurate impressions; (4) whether any false impressions that
may have occurred were defamatory; (5) whether subsequent reports
that Mark was convicted of fraud totaling more than $200,000,
rather than fraud involving an undetermined amount in excess
of $75, were defamatory; (6) whether it was either an abuse of
the conditional privilege, if one exists, or otherwise negligent
for the defendants not to have attempted to verify their stories
before publication; and (7) whether, assuming a conditional privilege
exists, it extends to statements made by officials and to court
papers which are not pleadings.
Although the Court of Appeals rejected these contentions,
none of the four opinions clearly addresses the threshold question
of what standard for summary judgment is appropriate in a defamation
case brought by a private individual not required to prove actual
malice. See Taskett v. KING Broadcasting Co., supra.[FN2]
FN2. Several respondents argued below that because of the
criminal charge brought against him, Mark is a "public figure"
who must prove actual malice. Curtis Publishing Co. v. Butts,
388 U.S. 130, 87 S.Ct. 1975, 18 L.Ed.2d 1094 (1967); Gertz v.
Robert Welch, Inc., 418 U.S. 323, 94 S.Ct. 2997, 41 L.Ed.2d 789
(1974). Since he failed to allege malice in any of his complaints
against the various respondents, they argue summary judgment
was proper on that basis.
We need not decide if Mark became a public figure once criminal
charges were filed against him, or even if he attained that status
once convicted. Assuming that Mark is only required to prove
negligence on the part of the respondents, as in Taskett v. KING
Broadcasting Co., 86 Wash.2d 439, 546 P.2d 81 (1976), the question
is whether he has done so with sufficient evidence to resist
a summary judgment. If he has not done so with respect to negligence,
then it follows that he likewise cannot have shown malice.
The function of summary procedures in defamation actions has
been described as follows: Summary judgment serves important
functions which would be left undone if courts too restrictively
viewed their power. Chief among these are avoidance of long and
expensive litigation productive of nothing, and curbing the danger
that the threat of such litigation will be used to harass or
to coerce a settlement.
In the First Amendment area, summary procedures are even more
essential. For the stake here, if harassment succeeds, is free
debate. Unless persons, including newspapers, desiring to exercise
their First Amendment rights are assured freedom from the harassment
of lawsuits, they will tend to become self-censors. And to this
extent debate on public issues and the conduct of public officials
will become less uninhibited, less robust, and less wide-open,
for self-censorship affecting the whole public is "hardly
less virulent for being privately administered." Smith v.
People of State of California, 361 U.S. 147, 154, 80 S.Ct. 215,
219, 4 L.Ed.2d 205 (1959). Washington Post Co. v. Keogh, 365
F.2d 965, 968 (D.C.Cir.1966), cert. denied, 385 U.S. 1011, 87
S.Ct. 708, 17 L.Ed.2d 548 (1967). See generally Note, The Role
of Summary Judgment in Political Libel Cases, 52 S.Cal.L.Rev.
1783 (1979). Similarly, in affirming a summary judgment of dismissal
in a defamation case, our Court of Appeals has explained: Serious
problems regarding the exercise of free speech and free press
guaranteed by the First Amendment are raised if unwarranted lawsuits
are allowed to proceed to trial. The chilling effect of the pendency
of such litigation can itself be sufficient to curtail the exercise
of these freedoms. Tait v. KING Broadcasting Co., 1 Wash.App.
250, 255, 460 P.2d 307 (1969).
In a defamation case brought by a public official, this court
explained the test for granting a defendant's motion for summary
judgment as follows:
As to summary judgment procedure in run-of-the-mill lawsuits,
it is well established that the function of the trial court in
ruling upon a motion for summary judgment is not to resolve the
basic factual issues, with the ultimate finality which is expected
and is appropriate at the final or "full-blown" trial
stage of a lawsuit. Rather, the trial court's function is to
determine whether a genuine issue as to any material fact exists.
In defamation actions by public officials, although the summary
judgment procedure is basically the same, we are convinced the
decisions of the United States Supreme Court have added a new
facet, ... which must now be considered and resolved by the trial
courts. In other words, in such defamation actions, if the trial
judge at the summary judgment stage determines that the plaintiff
has offered evidence of a sufficient quantum to establish a prima
facie case, and the offered evidence can be equated with the
standard or test of "convincing clarity" prescribed
by United States Supreme Court decisions, the motion for summary
judgment should be denied. Chase v. Daily Record, Inc., 83 Wash.2d
37, 43, 515 P.2d 154 (1973).
The Court of Appeals has succinctly restated this rule in
a recent case:
(T)he function of the trial court in ruling on a defense motion
for summary judgment in a defamation action is to determine if
the plaintiff's proffered evidence is of a sufficient quantum
to establish a prima facie case with convincing clarity. Unless
the plaintiff has done so, the motion must be granted. Chase
v. Daily Record, Inc., 83 Wash.2d 37, 515 P.2d 154 (1973); Exner
v. American Medical Ass'n, 12 Wash.App. 215, 224, 529 P.2d 863,
75 A.L.R.3d 603 (1974). Sims v. KIRO, Inc., 20 Wash.App. 229,
237, 580 P.2d 642 (1978).[FN3]
FN3. Where "actual malice", that is, a defendant's
state of mind is at issue, the United States Supreme Court in
dicta has recently called into question the frequent state practice
of summary disposition in such cases. Hutchinson v. Proxmire,
443 U.S. 111, 120 n.9, 99 S.Ct. 2675, 2680 n.9, 61 L.Ed.2d 411
(1979). Nonetheless, the general rule appears to require that
plaintiff must produce some affirmative evidence to indicate
that malice existed, or the court will grant summary judgment.
10 C. Wright and A. Miller, Federal Practice and Procedure s
2730 at 590-92 (1973), and cases cited therein. Since malice
is not alleged in the present case, Hutchinson is inapposite
on this issue.
(1, 2) Under our cases, a defamation plaintiff must show four
essential elements: falsity, an unprivileged communication, fault,
and damages. Sims, at 233, 580 P.2d 642; Restatement (Second)
of Torts s 558 (1977). To make out a prima facie case for purposes
of avoiding a summary judgment in favor of respondents, Mark
would have to allege as to each element facts which would raise
a genuine issue of fact for the jury.
Mark contends that Taskett, in establishing a negligence burden
for private persons alleging defamation, requires only that a
plaintiff meet a preponderance of the evidence standard and thus
that the convincing clarity standard is not approved by this
court. Taskett did not discuss the standard of proof, however,
but only the standard of liability (negligence rather than malice).
Taskett v. KING Broadcasting Co., 86 Wash.2d 439, 447, 546 P.2d
81 (1976).
Furthermore, the policy reasons, rooted in the First Amendment,
for an early testing of plaintiff's evidence by a convincing
clarity * burden continue to be persuasive. Chase v. Daily Record,
Inc., supra; Washington Post Co. v. Keogh, supra; see also Tait
v. KING Broadcasting Co., supra. Accordingly, we do not retreat
from the rule announced in Chase and followed in Sims, and we
adhere to the requirement that a defamation plaintiff resisting
a defense motion for summary judgment must establish a prima
facie case by evidence of convincing clarity.
1. Conditional Privilege. Each of the opinions below held
as a matter of law that the publications were privileged to some
degree. Mark v. Fisher's Blend Station, 27 Wash.App. 916, 919-20,
621 P.2d 159 (1980); Mark v. KING Broadcasting Co., 27 Wash.App.
344, 348-49, 618 P.2d 512 (1980); Mark v. Robinson, 28 Wash.App.
1028 (1981) (unpublished). In Mark v. Seattle Times, 27 Wash.App.
1014 (1980) (unpublished), the court noted that under the Restatement
(Second) of Torts s 611 (1977), (t)he publication of defamatory
matter concerning another in a report of an official action or
proceeding or of a meeting open to the public that deals with
a matter of public concern is privileged if the report is accurate
and complete or a fair abridgement of the occurrence reported.
This statement of the rule is consistent with Cox Broadcasting
Corp. v. Cohn, 420 U.S. 469, 95 S.Ct. 1029, 43 L.Ed.2d 328 (1975),
in which the Supreme Court held that states may not impose sanctions
on the accurate reporting of material from judicial proceedings
open to the public: The commission of crime, prosecutions resulting
from it, and judicial proceedings arising from the prosecutions,
however, are without question events of legitimate concern to
the public and consequently fall within the responsibility of
the press to report the operations of government. Cox Broadcasting
Corp., at 492, 95 S.Ct. at 1045. Accord Twelker v. Shannon &
Wilson, Inc., 88 Wash.2d 473, 478-79, 564 P.2d 1131 (1977); O'Brien
v. Tribune Publishing Co., 7 Wash.App. 107, 499 P.2d 24 (1972),
cert. denied sub nom. O'Brien v. Franich, 411 U.S. 906, 93 S.Ct.
1531, 36 L.Ed.2d 196 (1973); O'Brien v. Franich, 19 Wash.App.
189, 575 P.2d 258 (1978).
a. Scope of the Privilege. Mark appears to concede that accurate
reports of judicial proceedings are privileged, but maintains
that the scope of the privilege does not extend to allegations
contained in the affidavit of probable cause or to the deputy
prosecutor's and DSHS investigator's statements to the press.
The court concluded in each of the cases below that while an
affidavit is not technically a pleading, the distinction is not
relevant in this instance because both the affidavit and the
information are (1) instrumental in the commencement of a criminal
prosecution, (2) matters of public record, and (3) verified by
the prosecutor. See Mark v. KING Broadcasting Co., supra 27 Wash.App.
at 349-50, 618 P.2d 512. The court also implied that a liberal
interpretation must be given to the concept of judicial proceedings
because of the strong public interest involved in the privilege.
Mark v. KING Broadcasting Co., supra.
(3) We agree with the Court of Appeals that for purposes of
the privilege there is no persuasive difference between the information
and the affidavit of probable cause and the suspect information
report, both of which support the allegations contained in the
information and which were required by local court rule. All
are officially filed court documents open to public inspection.
Any information reported by respondents, therefore, that reiterated
material of record in the proceedings was privileged. O'Brien
v. Tribune Publishing Co., supra 7 Wash.App. at 117, 499 P.2d
24; Campbell v. New York Evening Post, 245 N.Y. 320, 328, 157
N.E. 153, 52 A.L.R. 1432 (1927); see also L. Eldredge, The Law
of Defamation 427-31 (1978).
Even assuming publication of facts from the above documents
is privileged, Mark further maintains, however, that the scope
of the privilege does not extend to publication of the statements
of the deputy prosecutor and DSHS investigator that do not appear
in the record. The Court of Appeals concluded that it was not
required to decide * whether those statements were privileged,
because they "merely reiterated the material already of
record in the proceedings." Mark v. KING Broadcasting Co.,
supra 27 Wash.App. at 353, 618 P.2d 512.
The court's conclusion was incorrect on this point, since
the media reported at least two statements which do not appear
in the court documents - specifically, the deputy prosecutor's
statement that this was the largest Medicaid fraud case in the
state, and KOMO's report that Mark had submitted prescription
payment forms based on "nonexistent" patients. On the
other hand, in the present posture of this case, we need not
decide whether publication of those statements is beyond the
scope of the privilege to report judicial proceedings, unless
Mark has alleged facts sufficient to show with convincing clarity
that the statements are false. Chase v. Daily Record, Inc., 83
Wash.2d 37, 515 P.2d 154 (1973); Sims v. KIRO, Inc., supra.[FN4]
For example, if Mark had alleged facts showing that other Medicaid
fraud cases in Washington had involved sums larger than $200,000,
and the press had negligently failed to discover this information,
then he would have placed the truth of the publications in issue
with enough clarity to resist the summary judgment.
FN4. This conclusion should in no way be taken to mean we
approve of the deputy prosecutor's conduct in discussing the
case with members of the news media. See CPR DR 7-107(A), (B).
Moreover, as we said in State v. Mark, 94 Wash.2d 520, 618 P.2d
73 (1980), these actions were open to criticism under principle
No. 7, Bench-Bar-Press Principles and Guidelines (see West's
Washington Court Rules 1980).
(4) Applying this principle in the several cases, we note
that in Mark v. KIRO, Inc., King County Cause No. 856092, Mark
alleges in his affidavit that other Medicaid fraud cases in Washington
have exceeded $200,000. He does not, however, provide us with
relevant facts about or citations to those cases, nor does he
allege that KIRO negligently failed to discover them. The bare
assertion that such cases exist is insufficient to show the falsity
of the statement with convincing clarity. A mere conclusory statement
not supported by facts admissible in evidence cannot be considered
on a motion for summary judgment. CR 56(e); Henry v. St. Regis
Paper Co., 55 Wash.2d 148, 151, 346 P.2d 692 (1959); Gunnar v.
Brice, 17 Wash.App. 819, 565 P.2d 1212 (1977).
In Mark v. KING Broadcasting Co., supra, Mark alleged that
"this was not the largest Medicaid fraud case ever filed
in the state." Clerk's Papers, at 109. But other than this
bare allegation of untruth, Mark provides no facts to controvert
the published statement. In Mark v. Robinson, supra, and Mark
v. Seattle Times, supra, Mark similarly alleges that the statement
characterizing this prosecution as the largest Medicaid fraud
case ever was untrue. Again, this conclusion is not supported
by any factual allegations anywhere in the records which were
considered by the trial judges in granting the respective respondents'
motions for summary judgment.
In Mark v. Fisher's Blend Station, supra, Mark likewise alleged
the above statement was not true. The record reveals that the
fraud division of the King County Prosecutor's Office had dealt
with cases involving Medicaid funds which exceeded $2500, approximately
the amount proved in Mark's trial. Mark referred to those cases
in his Supplemental Memorandum Resisting Defendant's Motion for
Reconsideration, and his reply affidavit dated May 23, 1979.
It is plain, however, that the characterization of Mark's case
as "the largest" refers to the $200,000 figure which
was alleged in the affidavit of probable cause and the suspect
information report. There has never been any dispute that cases
involving more than $2500 have been investigated by the fraud
division.
We conclude that Mark has not in any of these five actions
alleged facts to establish with convincing clarity that the challenged
statement was not true. As to KOMO-TV's report that Mark had
submitted names of "patients that didn't exist" (Clerk's
Papers, at 124), Mark has not * provided any facts tending to
show the allegation is not true. In his deposition, however,
the deputy prosecutor could not recall having made such a statement,
although he expressed his opinion that it would not be possible
to use noneligible recipients "because the computer would
kick out a non-eligible." Clerk's Papers, at 116. There
is nothing in the record showing that the challenged statement
was either contained in the official documents or made by the
deputy prosecutor or DSHS investigator. It appears that Mark's
conviction for grand larceny rested in part on the jury's finding
that he submitted prescription billing forms (for drugs never
dispensed) which contained, among other entries, the names of
patients. State v. Mark, 23 Wash.App. 1050 (1979) (unpublished).
There is no suggestion that the patients did not exist, but only
that the patients named never received the prescriptions for
which reimbursement was claimed.
(5) We think that Mark has made a sufficient showing of nonprivilege
and falsity to resist a motion for summary judgment as to this
one statement and these two elements. Whether he has sustained
his claim for negligence and damage will be discussed below.
b. Abuse of Privilege. Even assuming all of the publications
were privileged, including those based on interviews with the
deputy prosecutor and DSHS investigator, Mark argues (1) that
respondents failed to make a reasonable effort to verify their
facts by independently investigating the truth of the statements
and (2) that their failure to do so was an abuse of the conditional
privilege. Moreover, he contends that abuse of the privilege
is a question of fact which should have been decided by a jury.
In Mark v. KING Broadcasting Co., 27 Wash.App. 344, 352, 618
P.2d 512 (1980), the Court of Appeals rejected this claim: The
record here is without any evidence or inference that the three
news reports were broadcast without reasonable grounds for belief
in the truth of their content.... Under the circumstances, the
television station was not under an obligation to independently
investigate the validity of criminal charges made by the prosecutor
.... Such an obligation would constitute a serious impediment
to the dissemination of news and information guaranteed by the
First and Fourteenth Amendments. See Tilton v. Cowles Publishing
Co., 76 Wash.2d 707, 723, 459 P.2d 8 (1969), cert. denied, 399
U.S. 927, 90 S.Ct. 2238, 26 L.Ed.2d 792 (1970); Mellor v. Scott
Publishing Co., 10 Wash.App. 645, 660, 519 P.2d 1010 (1974).
(6) Under the rules established by this court in Gem Trading
Co. v. Cudahy Corp., 92 Wash.2d 956, 603 P.2d 828 (1979), the
plaintiff has the burden of proving abuse, and proof of falsity
alone cannot overcome the privilege. Instead, the plaintiff must
"prove by affidavit or otherwise that the statement was
published without fair and impartial investigation or without
reasonable grounds for belief in its truth." (Footnote omitted.)
Gem Trading Co., at 962,[FN5] 603 P.2d 828.
FN5. While we adhere to the negligence standard enunciated
in Gem Trading Co. v. Cudahy Corp., 92 Wash.2d 956, 603 P.2d
828 (1979), we note that the most recent revision to Restatement
(Second) of Torts s 600 at 288 (1977) discusses abuse of the
conditional privilege as follows: s 600. Knowledge of Falsity
or Reckless Disregard as to Truth Except as stated in s 602,
one who upon an occasion giving rise to a conditional privilege
publishes false and defamatory matter concerning another abuses
the privilege if he
(a) knows the matter to be false, or
(b) acts in reckless disregard as to its truth or falsity.
Comment b to s 600 states: b. One consequence of the holding
(Gertz v. Robert Welch, Inc., 418 U.S. 323, 94 S.Ct. 2997, 41
L.Ed.2d 789 (1974)) is that mere negligence as to falsity, being
required for all actions of defamation, is no longer treated
as sufficient to amount to abuse of a conditional privilege.
Instead, knowledge or reckless disregard as to falsity is necessary
for this purpose.
Thus, the Restatement would require a defamation plaintiff
alleging abuse to show reckless disregard as to falsity. Since
we hold Mark has not shown negligent abuse of the privilege,
we need not address this question, which awaits another case.
As to all statements attributed to the court documents, however,
the press is not required to independently verify the allegations
contained therein. Tilton v. Cowles Publishing Co., 76 Wash.2d
707, 722-23, 459 P.2d 8 (1969), cert. denied, 399 U.S. 927, 90
S.Ct. 2238, 26 L.Ed.2d 792 (1970). Mark has failed to show that
respondents knew or should have known that the statements in
the official papers were false. Since we do not decide on this
occasion whether a conditional privilege attaches to statements
made by the deputy prosecutor, no question of abuse can yet arise
as to publication of those statements.
2. Falsity. As we have made clear, Mark cannot complain of
the accurate reporting of statements contained in the several
official documents at issue in this case. There is no doubt,
however, that some of the reported statements were inaccurate,
and may have left false impressions. Cox Broadcasting Corp. v.
Cohn, 420 U.S. 469, 495, 95 S.Ct. 1029, 1046, 43 L.Ed.2d 328
(1975).
The Supreme Court has held that "inaccurate and defamatory
reports of facts" drawn from judicial proceedings are not
deserving of First Amendment protection. Time, Inc. v. Firestone,
424 U.S. 448, 457, 96 S.Ct. 958, 966, 47 L.Ed.2d 154 (1976).
It is not the law, however, that every misstatement of fact,
however insignificant, is actionable as defamation. Indeed, state
law requires not only that there be fault on the part of the
defamation defendant, but that "the substance of the statement
' "makes substantial danger to reputation apparent."
' " (Italics ours.) Taskett v. KING Broadcasting Co., 86
Wash.2d 439, 443, 546 P.2d 81 (1976), quoting from, Gertz v.
Robert Welch, Inc., 418 U.S. 323, 348, 94 S.Ct. 2997, 3011, 41
L.Ed.2d 789 (1974), and Curtis Publishing Co. v. Butts, 388 U.S.
130, 155, 87 S.Ct. 1975, 1991, 18 L.Ed.2d 1094 (1967).
Several statements broadcast by KOMO-TV and KIRO-TV diverged
most widely from the facts contained in the information, affidavit
of probable cause, and suspect information report. As noted above,
KOMO-TV broadcast the figures "$300,000" and "$350,000"
when it reported on the alleged false claims. Clerk's Papers,
at 451. In several broadcasts KIRO-TV reported that Mark had
been charged with defrauding the State of $200,000, when, in
fact, Mark was officially charged with larceny in excess of $75.
3. Damage. Mark does not dispute the following facts: (1)
that he was charged and convicted of grand larceny and forgery
for submitting false Medicaid prescriptions for payment by the
State and that his larceny conviction was upheld on appeal. State
v. Mark, 94 Wash.2d 520, 618 P.2d 73 (1980); (2) that the prosecutor's
sworn affidavit of probable cause estimated the amount of money
involved in the Medicaid fraud to be over $200,000 and that the
suspect information report filed with the criminal action estimated
the amount at $231,000; and (3) that the sworn affidavit gave
a 63 percent invalid figure derived from the audit sample.
It is now generally agreed that a defamation defendant need
not prove the literal truth of every claimed defamatory statement.
W. Prosser, Torts 798 (4th ed. 1971). A defendant need only show
that the statement is substantially true or that the gist of
the story, the portion that carries the "sting", is
true. W. Prosser, supra.
Courts in other jurisdictions have addressed an issue like
the present one, where the media correctly reported an arrest
or criminal charge, but exaggerated the dollar amount resulting
from the impropriety. In Turnbull v. Herald Co., 459 S.W.2d 516
(Mo.Ct.App.1970), a newspaper accurately reported that plaintiff
had been arrested and that police had found stolen jewelry in
his home at the time of the arrest. The headline read: "
'RAID ON HOUSE FINDS THOUSANDS IN JEWELRY' ". Turnbull,
at 518. The plaintiff was eventually released, and no criminal
charges were filed. In dismissing plaintiff's claim that the
headline was defamatory (plaintiff alleged the jewelry found
in his residence was valued at only $500), the court wrote: The
test then to be applied to the newspaper account of the arrest
of the plaintiff was whether it was substantially accurate. There
is here no doubt that the arrest was made. Plaintiff was held
suspected of burglary. He admitted the arrest in his testimony.
The gist of the article was the account of the arrest. This was
the part that carried the sting and would have been defamatory
if untrue. But plaintiff himself admits this to be true. His
concern and admitted theory of his counsel is defamation by publication
of the value of jewelry found in the raid at "thousands
of dollars" and the recitation of the opinion or belief
of the police officers that some of the items were taken in a
burglary of the Mueller jewelry store.
As to the value of the jewelry, preliminary estimates of value
by persons who are not expert are frequently inaccurate and apparently
were inaccurate in this instance. But the plaintiff testified
the items had a value of five hundred dollars, which, although
much less than the amount reported, is nevertheless a substantial
sum. As a matter of fact, in an arrest for burglary it would
make no great difference what value the items bore. The sting
of the article is the arrest of plaintiff suspected of burglary.
Turnbull, at 519. Accord McCracken v. Evening News Ass'n, 3 Mich.App.
32, 141 N.W.2d 694 (1966).
In Dudley v. Farmers Branch Daily Times, 550 S.W.2d 99 (Tex.Civ.Ct.App.1977),
a newspaper published in bold headlines that appellant had been
charged with a $168,000 theft. The article explained that an
estimated $168,000 worth of polyethylene resin material had disappeared,
and the plaintiff was charged with its theft. The criminal complaint
against plaintiff charged him with unlawfully and fraudulently
taking 62,660 pounds of polyethylene at a value of $6,655.50.
The plaintiff was indicted for this offense, but all criminal
charges were subsequently dropped. In the ensuing defamation
suit, the appellate court affirmed the trial court's summary
judgment for defendant. Accord Downer v. Amalgamated Meatcutters
and Butcher Workmen of North America, 550 S.W.2d 744, 747 (Tex.Civ.Ct.App.1977).
Applying the reasoning of these cases to Mark's claim, we
think it apparent that the gist of the KIRO-TV and KOMO-TV reports
was the arrest for Medicaid fraud involving large amounts of
funds. No significantly greater opprobrium attaches to a statement
that a person "bilked the state out of at least $300,000"
(KOMO-TV Clerk's Papers, at 451) than to one that he was charged
with larceny based on an audit sample revealing "over $200,000
in fraud billing". KOMO-TV Clerk's Papers, at 420. The inaccuracy,
if any, does not alter the "sting" of the publication
as a whole and does not have a materially different effect on
a viewer, listener, or reader than that which the literal truth
would produce. See Orr v. Argus-Press Co., 586 F.2d 1108, 1112-13
(6th Cir. 1978).
Moreover, Mark has provided no evidence that the inaccurate
statements caused him any further damage than has resulted from
the conviction and sentence on a grand larceny charge.[FN6] While
we have considerable sympathy with Mark's wish to protect his
reputation, we are of the opinion that the errors here under
review did not materially add to the damage suffered by Mark
by reason of the truthful publication of matters relating to
the charge and conviction for grand larceny.
FN6. At this stage of the proceedings, we cannot know whether
the various figures as reported are accurate or not. The record
reveals that the State has failed so far in its efforts to audit
Mark's pharmacies in order to set an amount for restitution,
as ordered by the trial court and affirmed in State v. Mark,
23 Wash.App. 392, 597 P.2d 406 (1979).
Since Mark has failed in any of these cases to show the above
elements of a prima facie case of defamation with convincing
clarity, as required by Chase v. Daily Record, Inc., 83 Wash.2d
37, 515 P.2d 154 (1973), and Sims v. KIRO, Inc., 20 Wash.App.
229, 237, 580 P.2d 642 (1978), it is not necessary to determine
whether he has alleged negligence with convincing clarity. We
hold, therefore, that the trial courts were correct in granting
the respective respondents' motions for summary judgment.
In addition to his defamation action, Mark also sued KING-TV
for invasion of privacy arising from the January 7, 1977 telecast
of interior and exterior shots of one of Mark's pharmacies. Mark
maintains that KING-TV unreasonably intruded upon his seclusion
and into his private affairs.
The protectable interest in privacy is generally held to involve
at least four distinct types of invasion: intrusion, disclosure,
false light, and appropriation. Restatement (Second) of Torts
s 652A (1977); W. Prosser, Torts 804-14 (4th ed. 1971); W. Prosser,
Privacy, 48 Cal.L.Rev. 383 (1960). Tort liability for intrusion,
the only interest which Mark on appeal claims was violated, has
been described as follows: 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. Restatement (Second) of Torts
s 652B at 378 (1977). The interference with a plaintiff's seclusion
must be a substantial one resulting from conduct of a kind that
would be offensive and objectionable to the ordinary person.
Restatement (Second) of Torts s 652B, comment d at 380 (1977);
W. Prosser, Torts 808 (4th ed. 1971).
It is clear also that the thing into which there is intrusion
or prying must be, and be entitled to be, private.... On the
public street, or in any other public place, the plaintiff has
no legal right to be alone; and it is no invasion of his privacy
to do no more than follow him about and watch him there. Neither
is it such an invasion to take his photograph in such a place,
since this amounts to nothing more than making a record, not
differing essentially from a full written description, of a public
sight which anyone would be free to see. W. Prosser, Torts 808-09
(4th ed. 1971).
A court has found an actionable intrusion where the press
gained entrance by subterfuge to the home of an accused and photographed
him there, publishing the
photographs without his consent. Dietemann v. TIME, Inc.,
449 F.2d 245 (9th Cir. 1971). A similar result occurred where
a news photographer published a picture taken surreptitiously
of a patient in her hospital bed. Barber v. TIME, Inc., 348 Mo.
1199, 159 S.W.2d 291 (1942).
In McLain v. Boise Cascade Corp., 271 Or. 549, 533 P.2d 343
(1975), a plaintiff brought an intrusion action against his employer
and a private investigator, whom the employer had hired to investigate
plaintiff's suspected fraudulent workers' compensation claims.
The investigator crossed plaintiff's property line on a number
of occasions to photograph plaintiff in various activities around
his residence. In affirming the trial court's granting of an
involuntary nonsuit, the Oregon Supreme Court said:
(P)laintiff conceded that his activities which were filmed
could have been observed by his neighbors or passersby on the
road running in front of his property. Undoubtedly the investigators
trespassed on plaintiff's land while watching and taking pictures
of him, but it is also clear that the trespass was on the periphery
of plaintiff's property and did not constitute an unreasonable
surveillance "highly offensive to a reasonable man".
McLain, at 556, 533 P.2d 343. See also Annot., Taking Unauthorized
Photographs as Invasion of Privacy, 86 A.L.R.3d 374 (1978).
Here, the affidavits and other material submitted with KING
Broadcasting Company's motion for summary judgment, construed
most favorably to Mark,
establish that Mark, his wife, and a friend were * inside
one of Mark's pharmacies in the early evening. The store was
closed and the door was locked. The KING-TV cameraman walked
up a driveway leased to tenants of the building, placed his camera
against the window of the store, and photographed the interior,
including Mark, who was on the telephone. The film clip, as shown
on the air, was 53 seconds long, with Mark visible for 13 seconds.
There was a factual dispute over whether the cameraman was
on public or private property at the time he shot the film. Even
if Mark's version were true (that the property was private),
however, the place from which the film was shot was open to the
public and thus any passerby could have viewed the scene recorded
by the camera. McLain, at 556, 533 P.2d 343.[FN7] Moreover, a
person accused of a crime loses some of his or her claims to
privacy. Hodgeman v. Olsen, 86 Wash. 615, 150 P. 1122 (1915);
Frith v. Associated Press, 176 F.Supp. 671 (E.D.S.C.1959). See
generally Annot., Waiver or Loss of Right of Privacy, 57 A.L.R.3d
16 (1974). Since the intrusion in the present case was a minimal
one, publication lasted only 13 seconds, Mark was not shown in
any embarrassing positions, and his facial features were not
recognizable, we hold there could be no actionable claim in these
circumstances.
FN7. The present case differs factually from McLain v. Boise
Cascade Co., 271 Or. 549, 533 P.2d 343 (1975), where defendant's
employees went uninvited onto private property in order to photograph
plaintiff. We express no opinion as to the publication of photographs
taken by a trespasser, but note that in the present case it is
undisputed that the public had an implied invitation to come
upon that portion of Mark's property from which the KING-TV cameraman
shot his film.
The Court of Appeals is affirmed in Mark v. Seattle Times,
27 Wash.App. 1014 (1980) (unpublished); Mark v. Fisher's Blend
Station, 27 Wash.App. 916, 621 P.2d 159 (1980); Mark v. KING
Broadcasting Co., 27 Wash.App. 344, 618 P.2d 512 (1980); and
Mark v. Robinson, 28 Wash.App. 1028 (1981) (unpublished). The
trial court is affirmed in Mark v. KIRO, Inc., King County Cause
No. 856092.
BRACHTENBACH, C. J., ROSELLINI, STAFFORD, UTTER, DOLLIVER,
HICKS and DIMMICK, JJ., and HUNTER, J. Pro Tem., concur.
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