Clarity Co. Consulting v. Gabriel ( 2022 )


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  • Filed 4/12/22
    CERTIFIED FOR PUBLICATION
    IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA
    SECOND APPELLATE DISTRICT
    DIVISION SIX
    CLARITY CO. CONSULTING,                 2d Civil No. B311823
    LLC,                                  (Super. Ct. No. 56-2020-
    00547889-CU-BC-VTA)
    Plaintiff and Respondent,            (Ventura County)
    v.
    LARRY GABRIEL,
    Defendant and Appellant.
    This appeal illustrates an attorney’s misuse of the anti-
    SLAPP statute. (Code of Civ. Proc. § 425.16.)1 “[H]owever
    efficacious the anti-SLAPP procedure may be in the right case, it
    can be badly abused in the wrong one, resulting in substantial
    cost—and prejudicial delay.” (Grewal v. Jammu (2011) 
    191 Cal.App.4th 977
    , 981.) This is the wrong case. Appellant was
    given more than adequate notice in the trial court that his anti-
    SLAPP motion was not designed for this contractual dispute. He
    has been given the same notice on appeal. The warnings should
    have given him pause. They did not.
    All statutory references are to the Code of Civil
    1
    Procedure.
    What we said over twenty years ago is as true today as it
    was then: “[w]e . . . observe that trial attorneys who prosecute
    their own appeals, such as appellant [and his law firm], may have
    ‘tunnel vision.’ Having tried the case themselves, they become
    convinced of the merits of their cause. They may lose objectivity
    and would be well served by consulting and taking the advice of
    disinterested members of the bar, schooled in appellate practice.”
    (Estate of Gilkison (1998) 
    65 Cal.App.4th 1446
    , 1449-1450.)
    Respondent Clarity Co. Consulting, LLC, and ONclick
    Healthcare, Inc. (ONclick), entered into a written contract
    whereby respondent agreed to provide services to ONclick on an
    hourly basis. ONclick “is a start-up health care company that
    was formed in 2019.” Appellant Larry Gabriel, a licensed
    California attorney, is the General Counsel of ONclick.
    ONclick did not pay for the services rendered. So
    respondent filed a complaint alleging an ordinary breach of
    contract action and related causes of action against ONclick,
    appellant, and other persons associated with ONclick. Acting in
    his individual capacity, appellant filed a special motion to strike
    the complaint as a strategic lawsuit against public participation
    (SLAPP). The other defendants did not join in the motion. The
    motion was denied. This appeal is from the trial court’s orders
    denying the motion and awarding respondent its attorney fees as
    a sanction for making a frivolous anti-SLAPP motion. (§ 425.16,
    subd. (c)(1).)
    Appellant contends that the trial court erroneously
    determined that he had failed to satisfy the first step of the anti-
    SLAPP statute, i.e., he had not made a prima facie showing that
    respondent’s causes of action were based on protected activity.
    He also claims that the trial court abused its discretion in
    2
    awarding attorney fees incurred by respondent in opposing the
    anti-SLAPP motion.2
    We affirm. We grant respondent’s motion for sanctions for
    taking a frivolous appeal. We order appellant and his counsel to
    pay sanctions of $12,798.50 to respondent and $8,500 to the clerk
    of this court.
    Respondent’s Complaint
    The complaint alleged: “Defendants breached the contract
    [the contract between respondent and ONclick] . . . by failing and
    refusing to pay for the services contemplated by Defendants and
    completed by [respondent]. Multiple demands for payment have
    been made. To date, no payment in any amount has been
    provided.” Respondent claimed that it had “sustained damages
    in the minimum amount of $63,500.00.” The prayer for relief
    requested both compensatory and punitive damages.
    The complaint consisted of the following six causes of
    action, each of which was against all defendants: (1) breach of a
    written contract, (2) breach of an oral agreement, (3) unjust
    enrichment, (4) breach of a covenant of good faith and fair
    dealing, (5) intentional misrepresentation, and (6) concealment.
    In his opening brief, appellant claims that his motion to
    strike was directed at only the fifth cause of action for intentional
    misrepresentation and the sixth cause of action for concealment.
    “[T]he [m]otion was not addressed to the breach of contract
    action.” But appellant’s motion to strike expressly recited that it
    2 “An attorney fee award in connection with the denial of a
    special motion to strike is sufficiently interrelated with the denial
    that the fee award is reviewable on appeal from the order
    denying the special motion to strike.” (Chitsazzadeh v. Kramer &
    Kaslow (2011) 
    199 Cal.App.4th 676
    , 680, fn. 2.)
    3
    was directed at respondent’s “complaint in its entirety.” Since
    appellant’s briefs discuss only the fifth and sixth causes of action,
    we limit our analysis to these causes of action.
    The fifth cause of action alleged that respondent had
    detrimentally relied on defendants’ misrepresentations
    concerning ONclick’s financial health and “Defendants’ ability to
    pay for services . . . provided by [respondent] pursuant to the
    Contracts.” Defendants intentionally misrepresented that they
    “were not in financial jeopardy and that ONclick . . . was
    financially sound and had secured significant investor financing
    to operate its business.” Respondent was “deceived into believing
    that compliance with the terms of the Contracts would and could
    occur.” “In furtherance of the fraudulent misconduct and in an
    attempt to secure the services of [respondent] . . . , Defendants
    engaged in overt attempts to hire Jennifer McCoy, the President
    and Chief Executive Officer of [respondent], as full-time Chief
    Operating Office[r] of ONclick Healthcare, Inc. . . . [T]he . . .
    [proposed] employment contract [was] valued in excess of
    $1,000,000 annually. All of these negotiations . . . occurred while
    Defendants all knew, but failed to represent . . . that Defendants
    had no ability to finance such a contract since there were no
    funds with which to do so. . . . [I]n reliance on the good faith and
    fair dealings which [respondent] assumed were occurring, [it]
    continued to perform work on behalf of Defendants despite never
    having been paid to date.” Respondent “declined other
    opportunities from existing and potential clients which resulted
    in a loss of income . . . .”
    The sixth cause of action alleged: “Defendants concealed
    from [respondent] certain information regarding the financial
    soundness and ability to pay for services which Defendants
    4
    sought [respondent] to perform.” The concealment was “a ruse
    designed to secure the services of [respondent] under false
    pretenses because Defendants could not operate without the work
    product created by and the services performed by [respondent].”
    Had respondent been aware that ONclick was in financial
    jeopardy, it “would not have engaged in the Contracts and/or
    would have taken additional safeguards to ensure payment for
    services contemplated and performed, such as advance payment
    for services.”
    Appellant’s Motion to Strike
    Appellant alleged that at all times he had acted “solely in
    his role as the general counsel of ONclick.” “[H]e was not
    involved in the negotiations of the [service] contract with
    [respondent], is not a party to [that] contract and only became
    involved in negotiations with [respondent] as counsel for ONclick
    in an attempt to work out a long-term employment relationship
    between ONclick and [respondent’s] CEO [Jennifer McCoy] . . . by
    and through [respondent’s] attorney, Stephen Fishback.” “When
    the negotiations broke down, and Mr. Fishback was unhappy that
    ONclick refused to immediately pay [respondent] on its alleged
    invoices, Mr. Fishback threatened to sue [appellant] personally,
    without any factual basis for the claim whatsoever.” “Mr
    Fishback . . . also threatened to file a complaint with the State
    Bar against [appellant].” “The parties then engaged in
    settlement negotiations. Those negotiations failed. . . . In
    engaging in the [employment] contract negotiations and the
    5
    settlement discussion, [appellant] was exercising his
    constitutionally protected rights.”3
    Trial Court’s Ruling
    In a minute order the trial court ruled: “The motion is
    denied. This is a breach of contract action based on the
    agreement [between respondent and ONclick]. [Appellant] is
    clearly annoyed at being sued, but his remedy is a demurrer
    and/or a motion for summary judgment. . . . Based on what was
    pleaded, this [SLAPP motion] should not have been filed. There
    may have been actionable words exchanged between counsel, but
    none of that has been pleaded. What is at issue is what is in the
    complaint, and that is nothing more than a breach of contract
    along with some related causes of action. Sanctions in the
    amount of $3,300 are awarded in favor of [respondent] . . . .”
    The Anti-SLAPP Statute
    “A SLAPP suit . . . seeks to chill or punish a party’s exercise
    of constitutional rights to free speech and to petition the
    government for redress of grievances. [Citation.] The
    Legislature enacted Code of Civil Procedure section 425.16—
    known as the anti-SLAPP statute—to provide a procedural
    remedy to dispose of lawsuits that are brought to chill the valid
    exercise of constitutional rights.” (Rusheen v. Cohen (2006) 
    37 Cal.4th 1048
    , 1055-1056.)
    “A court evaluates an anti-SLAPP motion in two steps. . . .
    [¶] . . . The defendant’s first-step burden is to identify the activity
    each challenged claim rests on and demonstrate that that activity
    is protected by the anti-SLAPP statute.” (Wilson v. Cable News
    3 As we explain below, these allegations are at variance
    with the complaint. They have nothing to do with the fifth and
    sixth causes of action.
    6
    Network, Inc. (2019) 
    7 Cal.5th 871
    , 884 (Wilson).) “A defendant
    satisfies the first step of the analysis by demonstrating that the
    ‘conduct by which plaintiff claims to have been injured falls
    within one of the four categories described in subdivision (e)
    [of section 425.16]’ [citation], and that the plaintiff's claims in
    fact arise from that conduct [citation]. The four categories in
    subdivision (e) describe conduct ‘“in furtherance of a person’s
    right of petition or free speech under the United States or
    California Constitution in connection with a public issue.”’ (§
    425.16, subd. (e).)” (Rand Resources, LLC v. City of Carson
    (2019) 
    6 Cal.5th 610
    , 619-620.) “At this stage, the question is
    only whether a defendant has made out a prima facie case that
    activity underlying a plaintiff's claims is statutorily
    protected . . . .” (Wilson, supra, at p. 888.)
    “‘If the defendant carries its [first-step] burden, the
    plaintiff must then demonstrate its claims have at least “minimal
    merit.”’ [Citation.] If the plaintiff fails to meet that burden,
    the court will strike the claim. . . . [¶] Because the [trial court]
    determined [appellant] had failed to carry its initial burden, we
    are here concerned only with the first step of the analysis.”
    (Wilson, supra, 7 Cal.5th at p. 884.)
    Standard of Review
    “A ruling on a section 425.16 motion is reviewed de novo.
    [Citation.] We review the record independently to determine
    whether the asserted cause[s] of action arise[] from activity
    protected under the statute . . . .” (Stewart v. Rolling Stone LLC
    (2010) 
    181 Cal.App.4th 664
    , 675.) “‘We consider “the pleadings,
    and supporting and opposing affidavits . . . upon which the
    liability or defense is based.” . . .’” (Flatley v. Mauro (2006) 
    39 Cal.4th 299
    , 326.)
    7
    Appellant’s Theory on the First Step of
    the Anti-SLAPP Statute
    Appellant argues: Respondent’s fifth cause of action for
    intentional misrepresentation and sixth cause of action for
    concealment “addressed [his] freedom of speech in representing
    his client, ONclick, regarding a potential contract with
    [respondent’s] owner [Jennifer McCoy], and thereafter in
    engaging in settlement discussions. As such, these allegations
    invaded [his] ability to advise his client and attacked his efforts
    at settlement, which are all protected speech.” “The Motion [to
    strike] . . . addressed ‘speech’ in the context of negotiations
    regarding a[n] [employment] contract, and then a settlement, all
    under the threat of litigation by [respondent’s] counsel [Stephen
    Fishback].” “Given the factual scenario, . . . [appellant] has
    satisfied the first [step] required for an Anti-SLAPP motion, to
    wit: the activity is a protected activity under the anti-SLAPP
    statute.” “It is unassailable that ‘[s]ettlement discussions made
    in connection with or in anticipation of litigation are protected
    activities under the anti-SLAPP statute. . . .’” Although such
    settlement discussions constitute protected activity, the fifth and
    sixth causes of action have nothing to do with settlement
    discussions. Nor do they arise out of protected free speech.
    Protected Activity – Free Speech
    Section 425.16, subdivision (b) provides, “(1) A cause of
    action against a person arising from any act of that person in
    furtherance of the person's right of . . . free speech under the
    United States Constitution or the California Constitution in
    connection with a public issue shall be subject to a special motion
    to strike . . . .” Section 425.16, subdivision (e) provides, “‘[A]ct in
    furtherance of a person’s right of . . . free speech . . . in connection
    8
    with a public issue’ includes: . . . (3) any written or oral
    statement . . . made in a place open to the public or a public
    forum in connection with an issue of public interest, or (4) any
    other conduct in furtherance of the exercise of the constitutional
    right of . . . free speech in connection with a public issue or an
    issue of public interest.” “[B]oth the third and fourth categories
    of conduct that fall within section 425.16[, subdivision (e)] are
    subject to the limitation that the conduct must be in connection
    with an issue of public interest. The Legislature intended this
    requirement to have a limiting effect on the types of conduct that
    come within the third and fourth categories of the statute.”
    (Weinberg v. Feisel (2003) 
    110 Cal.App.4th 1122
    , 1132
    (Weinberg).)
    Section 425.16 “does not provide a definition for ‘an issue of
    public interest,’ and it is doubtful an all-encompassing definition
    could be provided. However, the statute requires that there be
    some attributes of the issue which make it one of public, rather
    than merely private, interest.” (Weinberg, supra, 110
    Cal.App.4th at p. 1132.) Appellant’s negotiations and settlement
    discussions with respondent were “simply part of a private
    transaction, unconnected to any ‘public issue’ or ‘issue of public
    interest.’ (§ 425.16, subd. (e), clauses (3), (4).) Therefore, . . .
    clauses (3) and (4) of section 425.16, subdivision (e) . . . are
    unavailing to [him].” (Moore v. Shaw (2004) 
    116 Cal.App.4th 182
    ,
    200 (Moore); see also Workman v. Colichman (2019) 
    33 Cal.App.5th 1039
    , 1048 (Workman) [“To be considered an issue of
    public interest, the communication must ‘go beyond the parochial
    particulars of the given parties’”].)
    9
    Protected Activity – Litigation-Related Activity
    Litigation-related activity may be protected under the first
    two clauses of section 425.16, subdivision (e). The clauses apply
    to “(1) any written or oral statement or writing made before a . . .
    judicial proceeding, or . . . (2) any written or oral statement or
    writing made in connection with an issue under consideration or
    review by a . . . judicial body . . . .” (§ 425.16, subd. (e), clauses (1)
    & (2).) Unlike the third and fourth clauses of section 425.16,
    subdivision (e), the first two clauses “do not have an ‘issue of
    public interest’ limitation. . . . ” (Moore, supra, 116 Cal.App.4th
    at p. 196.)
    “Numerous cases have held that the SLAPP statute
    protects lawyers sued for litigation-related speech and activity.
    [Citations.] Put otherwise, legal advice and settlement made in
    connection with litigation are within section 425.16, and may
    protect defendant attorneys from suits brought by third parties
    on any legal theory or cause of action ‘arising from’ those
    protected activities.” (Thayer v. Kabateck Brown Kellner LLP
    (2012) 
    207 Cal.App.4th 141
    , 154.) “The protection of the anti-
    SLAPP statute applies ‘even against allegations of fraudulent
    promises made during the settlement process.’ [Citation.]”
    (Optional Capital, Inc. v. Akin Gump Strauss, Hauer & Feld LLP
    (2017) 
    18 Cal.App.5th 95
    , 114.)
    As alleged in the fifth cause of action, the injury-producing
    conduct was appellant’s intentional misrepresentations that (1)
    ONclick was financially healthy, (2) it would be able to pay for
    respondent’s services, and (3) it had the means to finance an
    employment contract with respondent’s CEO that was “valued in
    excess of $1,000,000 annually.” As alleged in the sixth cause of
    action, the injury-producing conduct was appellant’s concealment
    10
    of ONclick’s poor financial condition and inability to pay for
    respondent’s services or to finance the proposed employment
    contract. The purpose of the misrepresentations and
    concealment was to induce respondent to enter into the service
    agreement with ONclick and provide its services on credit instead
    of requiring payment in advance.
    The injury-producing conduct, which both causes of action
    characterize as “fraudulent misconduct,” does not qualify as
    litigation-related protected activity. Appellant’s
    misrepresentations and acts of concealment were not made in
    contemplation or anticipation of future litigation. When they
    were made, there was no claim or dispute to be litigated or
    settled.
    Appellant’s litigation-related activity did not commence
    until the employment-contract negotiations “broke down” and
    ONclick refused respondent’s request that it immediately pay
    respondent’s invoices. As appellant stated in his points and
    authorities filed in the trial court, “The parties then engaged in
    settlement negotiations” that “failed.”
    Respondent aptly observes: “[Appellant] ignor[es] . . . that
    all the allegations of [the fifth and sixth causes of action] arise
    solely out of the defendants’ failure to pay the amount [they]
    owed [respondent] for the services provided and the defendants’
    misrepresentation and/or concealment of material information
    during the negotiation of the services contracts and/or the . . .
    employment contract. . . . [T]hose negotiations in no way
    involved any attempt at settlement of anything . . . .”
    Accordingly, appellant failed to carry his first-step burden
    of establishing “a prima facie case that activity underlying
    [respondent’s] claims [in the fifth and sixth causes of action] is
    11
    statutorily protected . . . .” (Wilson, supra, 7 Cal.5th at p. 888.)
    The fifth and sixth causes of action focus on appellant’s
    unprotected activity before the commencement of protected
    settlement discussions on respondent’s breach of contract claim.
    Sanctions for Making Frivolous Motion to Strike
    “If the court finds that a special motion to strike is frivolous
    or is solely intended to cause unnecessary delay, the court shall
    award costs and reasonable attorney’s fees to a plaintiff
    prevailing on the motion, pursuant to Section 128.5.” (§ 425.16,
    subd. (c)(1).) The trial court ruled that appellant’s motion to
    strike was frivolous. “Frivolous in this context means that any
    reasonable attorney would agree the motion was totally devoid of
    merit. [Citation.] An order awarding attorneys’ fees pursuant to
    section 128.5, as incorporated in section 425.16, subdivision (c), is
    reviewed under the abuse of discretion test. [Citation.] A ruling
    amounts to an abuse of discretion when it exceeds the bounds of
    reason, and the burden is on the party complaining to establish
    that discretion was abused.” (Gerbosi v. Gaims, Weil, West &
    Epstein, LLP (2011) 
    193 Cal.App.4th 435
    , 450 (Gerbosi); see also
    Estate of Gilkison, supra, 
    65 Cal.App.4th 1443
    , 1448-1449
    [collecting cases and describing the standard of review].)
    Any reasonable attorney would agree that appellant’s
    special motion to strike was “totally and completely without
    merit.” (§ 128.5, subd. (b)(2).) Appellant has not made, and could
    not make, a prima facie showing that his acts underlying the fifth
    and sixth causes of action were in furtherance of his
    constitutional right of free speech in connection with a public
    issue or an issue of public interest. Appellant’s acts related to
    matters that were of purely private concern. Appellant should
    12
    have considered the component words of the SLAPP acronym –
    “strategic lawsuit against public participation.” (Italics added.)
    Nor could appellant make a prima facie showing that his
    allegedly wrongful, injury-producing conduct constituted
    litigation-related protected activity. Any reasonable attorney
    would know that “‘it is the principal thrust or gravamen of the
    plaintiff’s cause of action that determines whether the anti-
    SLAPP statute applies . . . .’” (Robles v. Chalilpoyil (2010) 
    181 Cal.App.4th 566
    , 575.) In addition, any reasonable attorney
    would realize that the principal thrust or gravamen of the fifth
    and sixth causes of action was defendants’ allegedly fraudulent
    misconduct during the negotiations of the service and
    employment contracts. These negotiations preceded the
    litigation-related settlement discussions that occurred after
    respondent’s attorney had demanded immediate payment of
    respondent’s overdue invoices.
    “In 2003, concerned about the ‘disturbing abuse’ of the anti-
    SLAPP statute, the Legislature enacted section 425.17 to exempt
    certain actions from it. (§ 425.17, subd. (a).)” (Simpson Strong-
    Tie Co., Inc. v. Gore (2010) 
    49 Cal.4th 12
    , 21-22.) Respondent’s
    fifth and sixth causes of action are not exempt under section
    425.17. But appellant’s special motion to strike these causes of
    action is an example of the “disturbing abuse” of the anti-SLAPP
    statute. “Whatever defenses [appellant] may have, those
    defenses could not be established by way of an anti-SLAPP
    motion.” (Gerbosi, supra, 193 Cal.App.4th at p. 450.)
    Sanctions for Taking Frivolous Appeal
    After the filing of appellant’s reply brief, respondent timely
    filed a motion to impose sanctions against appellant pursuant to
    section 907, which provides, “When it appears to the reviewing
    13
    court that the appeal was frivolous or taken solely for delay, it
    may add to the costs on appeal such damages as may be just.”
    “‘Courts have struggled to apply . . . section 907. [Citation.] On
    the one hand, the statute should be used to compensate for a
    party's egregious behavior, and to deter abuse of the court system
    and the appellate process. [Citations.] On the other hand,
    sanctions should not be awarded simply because an appeal is
    without merit. Indiscriminate application of section 907 could
    deter attorneys from vigorously representing their clients, and
    deter parties from pursuing legitimate appeals.’” (Malek Media
    Group, LLC v. AXQG Corp. (2020) 
    58 Cal.App.5th 817
    , 834.)
    Sanctions for taking a frivolous appeal “should be used
    most sparingly to deter only the most egregious conduct.” (In re
    Marriage of Flaherty (1982) 
    31 Cal.3d 637
    , 651 (Flaherty).)
    “Further, ‘[a]n appeal, though unsuccessful, should not be
    penalized as frivolous if it presents a unique issue which is not
    indisputably without merit, or involves facts which are not
    amenable to easy analysis in terms of existing law, or makes a
    reasoned argument for the extension, modification, or reversal of
    existing law. [Citation.]’” (Dodge, Warren & Peters Ins. Services,
    Inc. v. Riley (2003) 
    105 Cal.App.4th 1414
    , 1422 (Dodge).)
    The taking of the present appeal falls within “the most
    egregious conduct” referred to in Flaherty, supra, 31 Cal.3d at p.
    651. The appeal does not involve a unique issue. It involves a
    “garden-variety” issue under the anti-SLAPP law. Appellant
    does not make “‘a reasoned argument for the extension,
    modification, or reversal of existing law. . . .’” (Dodge, supra, 105
    Cal.App.4th at p. 1422.) The facts “‘are . . . amenable to easy
    analysis in terms of existing law . . . .’” (Ibid.) Appellant needed
    only to determine “‘[t]he allegedly wrongful and injury-producing
    14
    conduct . . . that provides the foundation for the claim[s]’” in the
    fifth and sixth causes of action. (Hylton v. Frank E. Rogozienski,
    Inc. (2009) 
    177 Cal.App.4th 1264
    , 1272.) These causes of action
    are not complex. They are simple and straightforward. Any
    reasonable attorney would have understood that the allegedly
    injury-producing conduct involved a matter of private concern
    and was not in furtherance of appellant’s constitutional right of
    free speech in connection with a public issue or an issue of public
    interest. Any reasonable attorney would also have understood
    that the allegedly injury-producing conduct was defendants’
    fraudulent, unprotected misrepresentations (fifth cause of action)
    and concealment (sixth cause of action) that preceded litigation-
    related settlement discussions over respondents’ unpaid invoices.
    “This case is simply ‘[a]nother appeal in an anti-SLAPP
    case. Another appeal by a defendant whose anti-SLAPP motion
    failed below. Another appeal [with] no merit, [which] will result
    in an inordinate delay of the plaintiff's case and cause [it] to incur
    more unnecessary attorney fees.’ [Citation.] Thus, we find an
    award of sanctions to be appropriate, and grant [respondent’s]
    motion.” (Workman, supra, 33 Cal.App.5th at p. 1064.)
    Respondent has submitted declarations showing that its
    reasonable appellate attorney fees and costs total $12,798.50.
    This amount is a reasonable and appropriate sanction.
    “‘Courts, with increasing frequency, have imposed
    additional sanctions, payable to the clerk of the court, to
    compensate the state for the cost to the taxpayers of processing a
    frivolous appeal. [Citation.] The cost of processing an appeal
    that results in an opinion has been estimated to be approximately
    $ 8,500.’ [Citations.] We find that additional sanctions in the
    15
    amount of $ 8,500.00 are appropriate.” (Workman, supra, 33
    Cal.App.5th at pp. 1064-1065, fn. omitted.)
    “‘Sanctions may be ordered against a litigant [citation]
    and/or against the lawyer. . . .’ [Citation.] Sanctions are
    warranted against a lawyer ‘who, because the appeal was so
    totally lacking in merit, had a professional obligation not to
    pursue it.’ [Citation.] We find that sanctions are appropriate
    against both [appellant] and [his] counsel of record: [Daniel J.
    Mulligan of Jenkins Mulligan & Gabriel LLP]. We therefore
    sanction appellant and [his] attorneys, jointly and severally, in
    the amount of $12,798.50, payable to [respondent], and in the
    amount of $ 8,500.00, payable to the clerk of this court. [¶] This
    opinion constitutes a written statement of our reasons for
    imposing sanctions. [Citations.]” (Workman, supra, 33
    Cal.App.5th at p. 1065.)
    Disposition
    The trial court’s orders denying appellant’s special motion
    to strike and imposing sanctions of $3,300 for making a frivolous
    motion are affirmed. For taking a frivolous appeal, sanctions are
    imposed upon appellant Larry Gabriel as well as his counsel of
    record, Daniel J. Mulligan and Jenkins Mulligan & Gabriel LLP,
    jointly and severally, in the amount of $12,798.50 to be paid to
    respondent, and $8,500.00 to be paid to the clerk of this court.
    Upon issuance of the remittitur, the clerk of this court is ordered
    to forward a copy of this opinion to the State Bar. (Bus. & Prof.
    Code, §§ 6086.7, subd. (a)(3), 6068, subd. (o)(3).) All sanctions
    shall be paid no later than 30 days after the date the remittitur is
    issued. Respondent shall recover from appellant any additional
    costs on appeal to which it is entitled pursuant to rule 8.278(d) of
    the California Rules of Court.
    16
    CERTIFIED FOR PUBLICATION.
    YEGAN, J.
    We concur:
    GILBERT, P. J.
    PERREN, J.
    17
    Henry Walsh, Judge
    Superior Court County of Ventura
    ______________________________
    Jenkins Mulligan & Gabriel and Daniel J. Mulligan, for
    Defendant and Appellant.
    Keller, Fishback & Jackson and Stephen M. Fishback, Dan
    C. Bolton; The Arkin Law Firm and Sharon J. Arkin, for Plaintiff
    and Respondent.
    

Document Info

Docket Number: B311823

Filed Date: 4/12/2022

Precedential Status: Precedential

Modified Date: 4/13/2022