Monster Energy Co. v. Schechter, No. E066267 (D4d2 Aug. 13, 2108)
A settlement agreement at issue in this case obliged "the parties and their attorneys” to keep the settlement confidential. Plaintiff’s attorney signed the agreement, but only “approved as to form and content.” He then proceeded to tell a shady media outlet (which might have been controlled by his firm) about the settlement. Defendant sued the attorney. But the Court of Appeal held that the agreement didn’t actually bind the attorney. The client couldn't bind the attorney, just by adding them into the agreement. And the attorney's signing under "approved as to form and content” language was not an assent by the attorney to be bound. Which means a SLAPP motion prevailed because the claim couldn't succeed.
The lesson here is clear: If you are facing an Avenatti, he needs to actually agree to be a party to the confi, or else your only remedy is going to be against Stormy.
Reversed.
A settlement agreement at issue in this case obliged "the parties and their attorneys” to keep the settlement confidential. Plaintiff’s attorney signed the agreement, but only “approved as to form and content.” He then proceeded to tell a shady media outlet (which might have been controlled by his firm) about the settlement. Defendant sued the attorney. But the Court of Appeal held that the agreement didn’t actually bind the attorney. The client couldn't bind the attorney, just by adding them into the agreement. And the attorney's signing under "approved as to form and content” language was not an assent by the attorney to be bound. Which means a SLAPP motion prevailed because the claim couldn't succeed.
The lesson here is clear: If you are facing an Avenatti, he needs to actually agree to be a party to the confi, or else your only remedy is going to be against Stormy.
Reversed.