Bernson v. Browning-Ferris Industries

Opinion

 [*928]  [**614]  [***441]    May the authors of an allegedly defamatory writing who conceal their identities be equitably estopped from pleading the statute of limitations in a libel action? We conclude that equitable considerations may justify an estoppel where the libeled individual neither knew, nor through the exercise of reasonable diligence should have discovered, the identity of the authors.  [****2]  In light of our conclusion, we shall remand the matter for a determination of the question of plaintiff's diligence and related issues.

I. FACTS

The trial court in this matter sustained a demurrer and granted a summary judgment on the same ground, to wit, that the action was barred by the  [*929]  statute of limitations. ] In reviewing the demurrer, we accept as true all material allegations of the complaint. (Shoemaker v. Myers (1990) 52 Cal.3d 1, 7 [276 Cal.Rptr. 303, 801 P.2d 1054, 20 A.L.R.5th 1016].) ] In reviewing the summary judgment, we independently examine the supporting and opposing papers to determine whether they reveal any material issue of fact and whether the moving party was entitled to judgment as a matter of law. (Code Civ. Proc., § 437c, subd. (c); Molko v. Holy Spirit Assn. (1988) 46 Cal.3d 1092, 1107 [252 Cal.Rptr. 122, 762 P.2d 46].)

During the latter half of 1988, Hal Bernson, a member of the Los Angeles City Council, became aware that he was the subject of a highly critical dossier circulating among the Los Angeles media.  [****3]  The 36-page document, entitled "Los Angeles Councilman Hal Bernson--An Analysis of City/Campaign Financial Travel 1983-1988," stated that Bernson had used campaign funds and charged the City of Los Angeles for expenses, including "extensive personal travel" in Europe and Asia, which were "unusual" and "legally questionable." Nothing in the document identified its author, sponsor or distributor.

As explained in his opposition papers, although Bernson managed to obtain a copy of the report, he had no information as to the identity of the parties behind it until February 6, 1990. On that date, two reporters for the Los Angeles Times informed Bernson during the course of an interview that they understood the report had been prepared by defendant Browning-Ferris Industries, Inc. (BFI). Bernson immediately contacted H. Randall Stoke, legal counsel to BFI, to confirm the reporters' statements. Stoke, however, denied any knowledge of the report or its source. Several days later, Attorney Stoke sent a letter to the Los Angeles Times (copy to Bernson) in which Stoke emphatically denied that his client, BFI, had any responsibility "direct or indirect" for the preparation of the report. Further,  [****4]  Stoke demanded that the Times retract its attribution of authorship to BFI and "advise councilman Bernson that BFI was not . . . involved in any such matter."

Full case includes Shepard's, Headnotes, Legal Analytics from Lex Machina, and more.