J. RANDAL HALL, Chief District Judge.
Plaintiffs began this litigation in May 2016 when they filed their 124-page, 318-paragraph complaint, alleging that Defendants illegally criticized Plaintiffs' forestry practices. Since then, the parties have filed over 300 pages of argument, raising various issues. After a thorough review of the record, the Court
Plaintiffs are in the forest-products industry. (Compl. ¶ 24.) They plant and harvest trees and make, among other things, different types of paper. (
In 2013, Defendants began the "Resolute: Forest Destroyer" campaign against Plaintiffs. (
In response to the Resolute: Forest Destroyer campaign, Plaintiffs filed this lawsuit, alleging, among other things, federal and state Racketeer Influenced and Corrupt Organizations Act ("RICO") claims. Plaintiffs contend that Defendants have set out to illegally destroy Plaintiffs' business. Defendants now move to transfer this case to the Northern District of California.
Under 28 U.S.C. § 1391(b)(2), venue is proper in "a judicial district in which a substantial part of the events or omissions giving rise to the claim occurred. . . ." Thus, "[o]nly the events that directly give rise to a claim are relevant[,] [a]nd of the places where the events have taken place, only those locations hosting a `substantial part' of the events are to be considered."
Defendants argue that venue is improper in this district because no events giving rise to Plaintiffs' claims occurred here. Plaintiffs contend that venue is proper here because (1) the Resolute: Forest Destroyer campaign caused Plaintiffs to lose a number of Georgia-affiliated customers and (2) Defendants traveled to Augusta to spread false information about Plaintiffs.
Plaintiffs allege that Defendants and other Greenpeace associates "made false and misleading statements" about Plaintiffs to five Georgia-affiliated companies, causing some of the companies to cut ties with Plaintiffs. (Compl. ¶¶ 198-207.) They allege, for example, that Richard Brooks, a nonparty Greenpeace employee, held a conference call with YP, a customer of Plaintiffs, during which Brooks "made false and misleading statements about Resolute's operations in the Boreal Forest." (
Plaintiffs argue that these contacts are connected to Georgia because (1) YP participated in the conference call from its headquarters in Tucker, Georgia, (2) The Home Depot is headquartered in Atlanta, Georgia, (3) Defendants communicated with Kimberly-Clark executives working from the company's offices in Roswell, Georgia, (4) Plaintiffs supplied paper to P&G's plant in Albany, Georgia, and (5) Georgia Pacific is based in Atlanta, Georgia. But Plaintiffs do not allege any connection to this district: Tucker, Roswell, and Atlanta are located in the Northern District of Georgia, and Albany is located in the Middle District of Georgia. Thus, even if Defendants' communications with these customers are actionable, Plaintiffs have failed to establish that a substantial part of the events giving rise to the claims occurred in this district.
Plaintiffs allege that Daggett, Skar, and Brooks traveled to Augusta and "employed on-the-ground tactics aimed at harming Resolute's relationships with key constituents." (
Under 18 U.S.C. § 1962(c), the relevant RICO statute, it is "unlawful for any person employed by or associated with any enterprise . . . to conduct or participate, directly or indirectly, in the conduct of such enterprise's affairs through a pattern of racketeering activity. . . ." "Racketeering activity" includes, among other things, mail fraud under 18 U.S.C. § 1341, wire fraud under 18 U.S.C. § 1343, and extortion under 18 U.S.C. § 1951. 18 U.S.C. § 1961(1). Plaintiffs contend that Defendants' Resolute: Forest Destroyer campaign was an enterprise through which Defendants committed fraud and extortion.
"Mail or wire fraud occurs when a person (1) intentionally participates in a scheme to defraud another of money or property and (2) uses the mails or wires in furtherance of that scheme."
In the sections of their brief addressing their claims of fraud and extortion, Plaintiffs cite Defendants' trip to Augusta. But they fail to explain how the events of the trip support these claims. According to the complaint, Daggett, Skar, and Brooks visited Augusta to "communicate falsehoods." (Compl. ¶ 208.) Before the trip, Defendants circulated an email declaring the event in Augusta their "opportunity to ask Resolute to make protecting the Boreal Forest a key priority" and inviting people to support the event on Facebook and Twitter. (
Defendants ask the Court to transfer this case to the Northern District of California under 28 U.S.C. § 1406(a), which allows a court to transfer a case brought in the wrong district to any district "in which it could have been brought." This case, Defendants argue, could have been brought in the Northern District of California. And although they oppose transferring the case, Plaintiffs do not argue that the Northern District of California is an improper venue.
According to Defendants, Skar and Brindis are "integral to Greenpeace, Inc.'s forestry campaign efforts in the United States." (Doc. 62-1 ¶ 4.) Indeed, Brindis, Skar, and Moas made the majority of the allegedly improper statements that were made in the United States. And Brindis and Skar both work from Greenpeace, Inc.'s San Francisco office and live in the San Francisco area.
In sum, because Plaintiffs' alleged loss of Georgia-affiliated customers did not occur in this district, and because Plaintiffs have failed to plead that Defendants' trip to Augusta gives rise to any of Plaintiffs' claims, Plaintiffs have failed to establish that a substantial part of the events giving rise to their claims occurred in this district. Venue is thus improper in this district under § 1391(b)(2), and the Court
The Court