CORRIGAN, J. —
California's anti-SLAPP statute provides that "[a] cause of action against a person arising from any act of that person in furtherance of the person's right of petition or free speech ... shall be subject to a special motion to strike, unless the court determines ... there is a probability that the plaintiff will prevail on the claim." (Code Civ. Proc., § 425.16, subd. (b)(1).)
The difficulty arises from the statute's use of the term "cause of action," which has various meanings. It may refer to distinct claims for relief as pleaded in a complaint. These are usually set out as "first cause of action," "second cause of action," and so forth. But the term may also refer generally to a legal claim possessed by an injured person, without reference to any pleading. A person may have a cause of action for defamation or breach of contract even if no suit has been filed. In theory, the right of an injured party to seek legal relief may be analyzed in terms of the plaintiff's "`primary right,'" the defendant's "`primary duty,'" and a breach of that duty entitling the plaintiff to a remedy. (4 Witkin, Cal. Procedure (5th ed. 2008) Pleading, § 34, p. 98.)
Typically, a pleaded cause of action states a legal ground for recovery supported by specific allegations of conduct by the defendant on which the plaintiff relies to establish a right to relief. If the supporting allegations
Viewing the term in its statutory context, we conclude that the Legislature used "cause of action" in a particular way in section 425.16(b)(1), targeting only claims that are based on the conduct protected by the statute. Section 425.16 is not concerned with how a complaint is framed, or how the primary right theory might define a cause of action. While an anti-SLAPP motion may challenge any claim for relief founded on allegations of protected activity, it does not reach claims based on unprotected activity.
It follows that "mixed cause of action," the term frequently used to designate a count alleging both protected and unprotected activity, is not strictly accurate. Section 425.16(b)(1) applies only to "causes of action" that arise from allegations of protected speech or petitioning. However, "mixed cause of action" is a term in common usage, and we sometimes employ it for its customary purpose. We also sometimes use "cause of action" in its ordinary sense, to mean a count as pleaded. To avoid confusion, we refer to the proper subject of a special motion to strike as a "claim," a term that also appears in section 425.16(b)(1).
The Court of Appeal below held that an anti-SLAPP motion must be brought against a mixed cause of action in its entirety. It affirmed the denial of defendant's motion because plaintiff established a probability of succeeding on claims based on allegations of activity not protected by section 425.16. This application of the anti-SLAPP statute unduly limits the relief contemplated by the Legislature. Accordingly, we reverse.
We summarize the Court of Appeal's account of the litigation below, which is essentially undisputed. Robert C. Baral and David Schnitt owned and
Schnitt filed an anti-SLAPP motion. The court struck the defamation counts. It concluded that, because those claims were based on communications in a prelitigation fraud investigation, they were protected by the litigation privilege. Baral filed a notice of appeal and a first amended complaint. Schnitt responded with another motion to strike. At this point, Baral retained new counsel and abandoned his appeal. By stipulation, the pending anti-SLAPP motion was withdrawn and a second amended complaint was filed.
The second amended complaint is the pleading at issue here. It pleads four causes of action: breach of fiduciary duty, constructive fraud, negligent misrepresentation, and a claim for declaratory relief. In support of those counts, Baral alleges as follows: Schnitt violated his fiduciary duties by usurping Baral's ownership and management interests so that Schnitt could benefit from the sale of IQ to LiveIt Investments, Ltd. (LiveIt). Schnitt sold a 72.6 percent interest in IQ based on his representation that he was its sole member and manager, and negotiated an employment position and ownership interest for himself without Baral's knowledge or consent. Schnitt also excluded Baral from the Moss Adams investigation in an effort to coerce his cooperation in the sale of the business.
On Schnitt's appeal, the Court of Appeal affirmed. It held that the allegations concerning the Moss Adams audit arose from protected activity. Because Schnitt commissioned the audit with litigation in mind, he was acting "in furtherance of [his] right of petition." (§ 425.16(b)(1).) Even so, the court agreed with the trial judge that Schnitt's motion improperly sought to excise allegations from "mixed" causes of action. Schnitt conceded that Baral could make a prima facie case supporting his claims based on the sale of IQ to LiveIt, and that only the Moss Adams claims were vulnerable to the motion to strike. The court concluded that anti-SLAPP relief was not available because no cause of action enumerated in the second amended complaint would be eliminated if the allegations of protected activity were stricken.
The court recognized a split of authority in Court of Appeal cases dealing with mixed causes of action. It sided with those holding that section 425.16 applies to such causes of action in their entirety, and may not be used to strike particular allegations within them.
The question here arises at the second step of the analysis: What showing is required of a plaintiff with respect to a pleaded cause of action that includes allegations of both protected and unprotected activity?
The question was first squarely addressed in Mann v. Quality Old Time Service, Inc. (2004) 120 Cal.App.4th 90 [15 Cal.Rptr.3d 215] (Mann). The complaint in Mann included causes of action for defamation and trade libel. Some of the factual allegations supporting those counts involved protected activity, and some did not. (Id. at p. 105.) The Mann court declared: "Where a cause of action refers to both protected and unprotected activity and a plaintiff can show a probability of prevailing on any part of its claim, the cause of action is not meritless and will not be subject to the anti-SLAPP procedure. [¶] Stated differently, the anti-SLAPP procedure may not be used like a motion to strike under section 436, eliminating those parts of a cause of action that a plaintiff cannot substantiate. Rather, once a plaintiff shows a probability of prevailing on any part of its claim, the plaintiff has established that its cause of action has some merit and the entire cause of action stands. Thus, a court need not engage in the time-consuming task of determining whether the plaintiff can substantiate all theories presented within a single cause of action and need not parse the cause of action so as to leave only those portions it has determined have merit." (Id. at p. 106.)
It is clear the Mann court thought an anti-SLAPP motion must defeat an entire cause of action as it is pleaded in the complaint. It noted that a defendant has other options for challenging allegations within a count. "For example, a defendant can file a motion to strike a particular claim under section 436 concurrently with its anti-SLAPP motion, or it can move for summary adjudication of any distinct claim within a cause of action." (Mann, supra, 120 Cal.App.4th at p. 106.) The court concluded that the defamation count before it survived the special motion to strike because, the plaintiff showed a probability of prevailing based solely on its allegations of unprotected activity. (Id. at p. 107.) Thus, the "Mann rule" encompasses the propositions that an anti-SLAPP motion may not be used to attack particular claims within a cause of action as framed by the plaintiff, and that the
A series of early opinions referred to the Mann rule with approbation but did not fully apply it, because the courts did not reach the second anti-SLAPP step and thus did not assess the plaintiffs' probability of success. (A.F. Brown Electrical Contractor, Inc. v. Rhino Electric Supply, Inc. (2006) 137 Cal.App.4th 1118, 1124-1125 [41 Cal.Rptr.3d 1]; Platypus Wear, Inc. v. Goldberg (2008) 166 Cal.App.4th 772, 786 [83 Cal.Rptr.3d 95]; Haight Ashbury Free Clinics, Inc. v. Happening House Ventures (2010) 184 Cal.App.4th 1539 [110 Cal.Rptr.3d 129] (Haight Ashbury).) In Haight Ashbury, however, one justice wrote separately, taking strong exception to the Mann rule. (Haight Ashbury, at pp. 1556-1557 (conc. & dis. opn. of Needham, J.).)
Subsequently, the author of the separate opinion in Haight Ashbury gained a majority and criticized Mann at length, in Wallace v. McCubbin (2011) 196 Cal.App.4th 1169, 1196-1212 [128 Cal.Rptr.3d 205] (Wallace). The Wallace majority made clear its view that a plaintiff responding to an anti-SLAPP motion "must show the probability of prevailing on alleged claims of protected activity, and only those claims." (Id. at p. 1203.) However, it ultimately followed the Mann rule, after reviewing two decisions from this court: Taus, supra, 40 Cal.4th 683, and Oasis, supra, 51 Cal.4th 811. It is important to note that neither Taus nor Oasis involved a mixed cause of action. However, both include discussions bearing tangentially on whether an anti-SLAPP motion may challenge particular allegations within causes of action as framed in the complaint.
The Wallace majority found Mann inconsistent with Taus, supra, 40 Cal.4th 683. There, we held that meritless assertions of liability should be stricken "even though they comprised a part of what the plaintiff had called a `cause of action.'" (Wallace, supra, 196 Cal.App.4th at p. 1210; see Taus, at p. 742.) However, the majority reluctantly concluded that we had subsequently approved Mann in Oasis, supra, 51 Cal.4th 811. Oasis quoted the passages in Mann stating that if "a plaintiff can show a probability of prevailing on any part of its claim, the cause of action is not meritless," and that "once a plaintiff shows a probability of prevailing on any part of its claim, the plaintiff has established that its cause of action has some merit and the entire cause of action stands." (Mann, supra, 120 Cal.App.4th at p. 106; see Oasis, at p. 820; Wallace, at p. 1212.) The concurring justice in Wallace declined to join the majority's criticism of the Mann rule, considering it
There was another split of opinion in City of Colton v. Singletary (2012) 206 Cal.App.4th 751 [142 Cal.Rptr.3d 74] (Colton). The majority relied on Taus and Wallace to hold that allegations of protected activity may be stricken from a mixed cause of action without affecting the allegations of unprotected activity. (Colton, at pp. 772-774.) The dissenting justice argued that section 425.16 only authorizes courts to strike an entire "cause of action," not particular supporting allegations. (Colton, at p. 792 (conc. & dis. opn. of Richli, Acting P. J.).) The dissent did not find Taus on point. In any event, it noted, Wallace concluded that Taus had been implicitly overruled by Oasis. (Colton, at pp. 793-794.)
In M.F. Farming Co. v. Couch Distributing Co., Inc. (2012) 207 Cal.App.4th 180, 198 [143 Cal.Rptr.3d 160], the court referred to the Oasis quotation of the Mann rule. It held that the plaintiff had established a probability of succeeding on a mixed cause of action for injunctive relief, evidently basing its conclusion on the allegations as a whole. (M.F. Farming, at pp. 197, 201-202.) In Burrill v. Nair (2013) 217 Cal.App.4th 357, 379 [158 Cal.Rptr.3d 332], the court also relied on the passage in Oasis restating the Mann rule.
In Cho v. Chang (2013) 219 Cal.App.4th 521 [161 Cal.Rptr.3d 846] (Cho), the court observed that "[a]ppellate courts have wrestled with the application of the anti-SLAPP law" when allegations of protected and unprotected activity are combined. (Id. at p. 526.) After surveying the divergent case law, the court pointed out that neither Taus nor Oasis involved a mixed cause of action. It declined to read Oasis as broadly endorsing the Mann rule. "Instead, the guiding principle in applying the anti-SLAPP statute to a mixed cause of action case is that `a plaintiff cannot frustrate the purposes of the SLAPP statute through a pleading tactic of combining allegations of protected and nonprotected activity under the label of one "cause of action."' (Fox Searchlight Pictures, Inc. v. Paladino (2001) 89 Cal.App.4th 294, 308 [106 Cal.Rptr.2d 906]." (Cho, at p. 527.)
In the case now before us, the Court of Appeal acknowledged Cho but "[came] out on the side of those cases holding that, if the nonmoving party demonstrates a prima facie case of prevailing on any part of a mixed cause of action, the anti-SLAPP motion fails." The court reasoned that (1) section 425.16(b)(1) expressly refers to a "cause of action," and the Legislature has not altered that terminology; (2) the core purpose of the anti-SLAPP statute is to dispose of meritless litigation, not to strike particular allegations, however small a part of the case they may be; and (3) the benefits of striking mere allegations do not justify the significant effects of an anti-SLAPP motion, which include a stay of discovery, a bar against amendment of the complaint, an early test of the plaintiff's proof without the ordinary benefits of discovery, an award of attorney fees if the moving party prevails, and an appeal if the motion is denied.
The court concluded: "For a defendant to get the benefit of these extraordinary consequences merely by filing a motion aimed at some allegations would encourage ... an anti-SLAPP motion to excise allegations — no matter how minimal in relation to the remainder of the cause of action — merely to stop discovery and force plaintiff to show plaintiff's evidentiary hand early on, with further delay if the motion is denied and there is an appeal. Trial courts, moreover, would be burdened with more prolix motions with little commensurate savings in trial time."
Clearly, our decisions in Taus and Oasis have occasioned some confusion in the Courts of Appeal. We briefly review and clarify those opinions before turning to the merits here. The plaintiff in Taus was the subject of a scholarly article on repressed memories of child abuse. She sued the authors and
The Taus Court of Appeal held that all the claims arose from protected acts in furtherance of the defendants' right of free speech. (Taus, supra, 40 Cal.4th at p. 704.) Regarding the plaintiff's probability of success, the court analyzed the invasion of privacy claim in terms of two distinct potential torts: improper disclosure of private facts and improper intrusion into private matters, each of which was supported by allegations detailing three different incidents. (Id. at pp. 705-706.) With respect to the defamation cause of action, the court examined five alleged statements by defendants. (Id. at p. 708.) It concluded that the action could go forward on two claims for improper disclosure of private facts, two for improper intrusion into private matters, and one for defamation. (Id. at p. 711.)
Again, only the defendants sought review. We noted, "the only issues before us are whether the Court of Appeal properly concluded that dismissal under the anti-SLAPP statute was improper" with regard to the surviving claims. (Taus, supra, 40 Cal.4th at p. 711.) The alleged conduct underlying these claims "plainly fell within the scope of the anti-SLAPP statute." (Id. at p. 713.) We stated that "in order to avoid dismissal of each claim under section 425.16, plaintiff bore the burden of demonstrating a probability that she would prevail on the particular claim." (Ibid.) We closely examined the allegations, evidence, and controlling law as to each claim. (Id. at pp. 717-741.)
Taus held that the Court of Appeal erred by finding the plaintiff's showing sufficient as to three alleged incidents, but that one claim of improper intrusion into private matters could properly proceed based on another alleged incident. (Taus, supra, 40 Cal.4th at p. 742.) We concluded, "defendants' motion to strike the complaint pursuant to the anti-SLAPP statute properly was denied as to one facet of one of the numerous causes of action alleged in the complaint." (Ibid.) However, "the overwhelming majority of plaintiff's claims properly should have been struck in the trial court." (Ibid.)
The approach we took in Taus does not conform with the Mann rule. (See Wallace, supra, 196 Cal.App.4th at p. 1210; Colton, supra, 206 Cal.App.4th at p. 774.) Far from searching for "a probability of prevailing on any part" of
It is true, as the dissenting justice in Colton observed, that we were not asked in Taus to consider the propriety of striking particular allegations within the various causes of action pleaded in the complaint. (Colton, supra, 206 Cal.App.4th at p. 793 (conc. & dis. opn.).) However, we would not have undertaken such an exhaustive analysis of alternate theories of liability, and their application to particular instances of alleged tortious behavior, if we thought the anti-SLAPP statute operates as described in Mann.
Nevertheless, we quoted from Mann in Oasis. There, a real estate development company sued its former attorney and his firm. After his representation of the plaintiff ended, the attorney campaigned to stop the same development project he had been retained to promote. He joined a citizens' group opposing it and solicited signatures for a petition to abrogate its approval. The complaint stated causes of action for breach of fiduciary duty, professional negligence, and breach of contract. (Oasis, supra, 51 Cal.4th at pp. 816-818.) The Court of Appeal reversed the denial of the defendants' anti-SLAPP motion. (Id. at p. 819.)
This court noted that at the second step of the anti-SLAPP analysis, the plaintiff's burden is to state and substantiate a legally sufficient claim. (Oasis, supra, 51 Cal.4th at p. 820.) We then quoted from Mann, but significantly omitted its reference to a mixed cause of action: "If the plaintiff `can show a probability of prevailing on any part of its claim, the cause of action is not meritless' and will not be stricken; `once a plaintiff shows a probability of prevailing on any part of its claim, the plaintiff has established that its cause of action has some merit and the entire cause of action stands.'" (Ibid., quoting Mann, supra, 120 Cal.App.4th at p. 106, with Mann's italics.)
We considered "the causes of action for breach of fiduciary duty, professional negligence, and breach of contract together, [because] all three claims are based on [the attorney's] alleged breach of his duties as former counsel." (Oasis, supra, 51 Cal.4th at p. 820.) We reasoned that "[t]he complaint identifies a number of acts of alleged misconduct and theories of recovery,
Responding to the defendants' assertion that a categorical bar on attorney speech would have dire consequences, we explained: "we are not announcing a broad categorical bar here.... Our task is solely to determine whether any portion of [the plaintiff's] causes of action has even minimal merit within the meaning of the anti-SLAPP statute. A claim that [the attorney] used confidential information acquired during his representation of [the plaintiff] in active and overt support of a referendum to overturn the city council's approval of the ... project, where the council's approval of the project was the explicit objective of the prior representation, meets that low standard." (Oasis, supra, 51 Cal.4th at p. 825.)
It is wrong to suggest, as have some Courts of Appeal, that Oasis amounts to an implicit disapproval of Taus. (See Colton, supra, 206 Cal.App.4th at p. 794 (conc. & dis. opn.); Burrill v. Nair, supra, 217 Cal.App.4th at p. 380; Wallace, supra, 196 Cal.App.4th at p. 1212.) Oasis did not mention Taus, and no holding in Taus is affected by anything we said in Oasis. The second-step analyses in the two opinions are certainly quite different. However, the differences flow from the way the parties framed the issues. In Taus, the defendants disputed the Court of Appeal's rulings on the viability of claims arising from discrete allegations of wrongdoing. In Oasis, the defendants made no such particular arguments. In the trial court, they sought to strike the entire complaint based on the assertion that the attorney defendant had breached no duty owed to his former client. In this court, they sought to preserve their victory in the Court of Appeal on the same broad theory, arguing that the plaintiff had failed to show any breach. In that context, it was sufficient to determine whether any of the attorney's alleged acts could be said to violate his fiduciary obligations.
Several Courts of Appeal have pointed out that the Mann rule permits artful pleading to evade the reach of the anti-SLAPP statute. By mixing allegations of protected and unprotected activity, the pleader may avoid scrutiny of the claims involving protected activity, as happened in Mann. (Mann, supra, 120 Cal.App.4th at p. 107; see Cho, supra, 219 Cal.App.4th at p. 527; Colton, supra, 206 Cal.App.4th at p. 774; Wallace, supra, 196 Cal.App.4th at p. 1202.) We agree that the application of section 425.16 cannot reasonably turn on how the challenged pleading is organized. Had the Mann complaint stated its defamation claim in two counts, one based on the protected statements and another on the unprotected statements, the plaintiff would have been required to establish a probability of prevailing on the claim arising from the protected speech. (See Mann, at p. 105; Shively v. Bozanich (2003) 31 Cal.4th 1230, 1242 [7 Cal.Rptr.3d 576, 80 P.3d 676] [each separate defamatory statement gives rise to a new cause of action].) It is arbitrary to hold that the same claim, supported by allegations of protected and unprotected activity in a single cause of action, escapes review if the plaintiff
The anti-SLAPP procedures are designed to shield a defendant's constitutionally protected conduct from the undue burden of frivolous litigation. It follows, then, that courts may rule on plaintiffs' specific claims of protected activity, rather than reward artful pleading by ignoring such claims if they are mixed with assertions of unprotected activity.
The Court of Appeal below was concerned about allowing defendants to target fragmentary allegations, no matter how insignificant. The concern was misplaced. Assertions that are "merely incidental" or "collateral" are not subject to section 425.16. (Wallace, supra, 196 Cal.App.4th at p. 1187; Peregrine Funding, Inc. v. Sheppard Mullin Richter & Hampton LLP (2005) 133 Cal.App.4th 658, 672-673 [35 Cal.Rptr.3d 31]; see Episcopal Church Cases (2009) 45 Cal.4th 467, 477-478 [87 Cal.Rptr.3d 275, 198 P.3d 66].) Allegations of protected activity that merely provide context, without supporting a claim for recovery, cannot be stricken under the anti-SLAPP statute.
Restricting anti-SLAPP motions to indivisible "causes of action" as determined by primary right theory would be inconsistent with the Legislature's use of the term "special motion to strike." (§ 425.16(b)(1).) As noted, the conventional motion to strike, which long preceded the anti-SLAPP statute, is well understood as a way to challenge particular allegations. Schnitt's suggested approach would also distort the anti-SLAPP statute's focus on claims of protected speech or petitioning activity. A single cause of action defined in terms of the plaintiff's primary right may include more than one instance of alleged wrongdoing. (See, e.g., Bay Cities Paving & Grading, Inc. v. Lawyers' Mutual Ins. Co. (1993) 5 Cal.4th 854, 860-861 [21 Cal.Rptr.2d 691, 855 P.2d 1263].) Thus, the "mixed cause of action" problem would remain, because the same primary right may be violated by both protected and unprotected activity.
For all the reasons stated above, we disapprove the Mann rule.
We reverse the Court of Appeal's judgment and remand for further proceedings consistent with this opinion.
Cantil-Sakauye, C. J., Werdegar, J., Chin, J., Liu, J., Cuéllar, J., and Kruger, J., concurred.
As we have observed on other occasions, despite the imprecision that may result from the various connotations of the term "cause of action," its meaning is generally evident in context. (Slater v. Blackwood (1975) 15 Cal.3d 791, 795-796 [126 Cal.Rptr. 225, 543 P.2d 593]; Eichler Homes of San Mateo, Inc. v. Superior Court (1961) 55 Cal.2d 845, 847-848 [13 Cal.Rptr. 194, 361 P.2d 914].)