OT: In Need of Legal Advice: First Ammendment

[sterlingcomics]

I've been targeted by a company with eleven others as a party of interest on a board dedicated to discussing company stocks. Long story short they want my identity to start some legal proceedings that violate my first ammendment. They have issued a subpoena to the web site and I have a short time to try and quash it.

 

I suspect they are using the following tactic:

 

http://en.wikipedia.org/wiki/Strategic_lawsuit_against_public_participation

 

Since I like to spend money on comics rather than litigation or defense, I'm soliciting any of you legal types here for advice on folks that may be able to help me...I'm currently looking at http://www.eff.org as well.

 

Thanks!

[bronze_rules]

Although I don't know much about the legal nature of discussing stocks, I am pretty familiar with stock forums. Look at this way, 50c pumped his stock the other day to everyone on twitter and it soared; nothing's happening. They've gone after some penny stock pump and dumpers in the past, but I rarely see it happening today.

 

Of course, you know I'm going to want to know the name of the forum. Feel free to PM me the name, I might be a participant. I also may know a good forum to ask. Either way, I wish you luck; I would've never figured you for a stock forum participant. Also, let us know the results, as I'm interested to know as well.

 

"A lot depends on knowledge and intent. If you know that the nosedive is coming (say, if you are an executive at ABC with knowledge not known to the markets), you have been a Very Bad Person. You are guilty of insider trading (even if you yourself do not trade), and each and every person whom you have tipped is also guilty (in their cases, if they trade or pass on the tip to someone who does). Not only that, the people who learn it second hand (the people you tip off tell their bone-head brothers-in-law) are also guilty, even if they don’t know why they made the trade. A recent case in New York had people four tips away from the original source paying fines and agreeing to findings. The technical term for such a person (which term I invented for this very forum a few months ago) is Poor Sap.

 

OTOH, if you don’t actually have any knowledge, we go to intent. If you are just a drunk spouting off at a party, you are not guilty even if your fellow partygoers are dumb enough to believe you. But if you are saying it for the purpose of driving down the stock’s price (for personal gain, as a prank, to help out someone else matters not), you are guilty of stock fraud. You can appreciate here that unless you personally have gained, intent is difficult to establish here, so the regulators tend to go mostly after those who have a position in the stock. Before the internet chat rooms, this kind of fraud was rare among large, liquid stocks because it took a lot of work to get the selling momentum going. The work involved itself formed the intent. Most stock price manipulation occurred in little piece-of- stocks that normal people had no business owning anyway.

 

The rules covering people in the securities industry are pretty much the same as for others. The main differences are that those people are often more likely to have either inside knowledge or a financial stake that would establish the requisite intent for fraud. And yes, in addition to the law all reputable firms in the securities industry have codes of conduct to proscribe exactly the situation you describe.

 

And lord, yes, stock brokers can talk shop off the job. In fact, you can’t get them to shut the hell up. But here’s the thing. As long as their talk is opinion, based on their firms’ published research, and not contrary to their own positions in a stock, they’re usually OK.

"

 

http://boards.straightdope.com/sdmb/showthread.php?t=14286

[sterlingcomics]

I'm neither a pumper nor a basher...I simply reported my opinion...like here other sites have a sense of community to them. Others named in the complaint simply doesn't make sense, and imo I think I'm one of them. I'm well aware of the games people play and frankly it's an education. People unfortunately get tied up in all of the chit-chat...I choose to be more of an outsider communicating my opinion. The company is in area of personal interest to me because of the technology.

 

My persona here is all about comics, and I choose not to spell out the "complete me" on any one site. My fascination with stocks peaked when the market crashed in 2006 and wanted to take ownership of my financial future.

 

No one listed in the suit except for maybe two were very dogmatic in their negative posting and spewing information. I on the other hand simply tried to communicate how the company was doing relative to goals set earlier in the year. Unfortunately, they were slipping and they were dilluting, which created the negative sentiment.

 

My goal here and reason for posting is to garner any information (especially from resident lawyers) on approaches and next steps. I have a limited time to act, and law isn't my bag. What I do know is that I believe I have a right to privacy and a right to free speach and that I did nothing wrong, and I want to protect myself and get this resolved quickly.

[bronze_rules]

Have a look at this document:

http://webcache.googleusercontent.com/search?q=cache:7xwAzEZf12MJ:www.abanet.org/litigation/committees/corporate/docs/2010-cle-materials/07-tweet-dreams-cocial/07a%2520Anonymous%2520Internet%2520Free%2520Speech.pdf+free+speech+rights+stock+forum&cd=35&hl=en&ct=clnk&gl=us&client=firefox-a

 

particularly, "Individuals Have A Fundamental, First Amendment Right To Speak Anonymously On The Internet.

It is well settled that the First Amendment protects the right to engage in anonymous speech. See McIntyre v. Ohio Elections Comm’n"

 

You might want to start capturing screens of all the dialogue that transpired (and dates), before the forum moderators remove it.

 

disclaimer: I have no legal background, just sharing public research.

[Transplant]

It's not a First Amendment issue, unless the government is the one restricting the speech.

[tth2]

Sterling, with so little information, it`s impossible to even point you in the right direction.

[sterlingcomics]

1. The company has filed a subpoena requesting that the identies of certain individuals (of which I was named) to give out names, email addresses, phone nubmers etc. to the web site hosting company. This is pending.

 

2. The company has also filed a complaint requesting a trial for financial relief indicating that the statements have caused injury to the company.

 

Not sure what else that I can tell, that's all I know. We are looking at quashing this as a general strategy...another strategy could be to do nothing b/c imo I don't think this will ever see the light of day.

 

Of particular interest is if I can participate in attempting to quash it even though the subpoena has been given to the hosting company? Is there anything that can be done to get the complaint removed even though parties are listed as "John Doe 1" etc?

[rockman2008]

Sterling, sorry to hear you're about to be SLAPPed. It's getting more common these days. Check out the website below. Although it's written to help Californians, there may be enough leads to help you if you're from another state. G/L.

 

anti-SLAPP

[PokerKid]

The anti-SLAPP laws in California are wonderful. They are very effective at preventing the SLAPP suits and can effectively punish the insufficiently_thoughtful_persons who go ahead with them.

[Designer Toast]

Hi Sterling,

 

Make no mistake about it - the core issue here is speech and is indeed a First Amendment issue. I was hit with a million dollar SLAPP suit by a California resident, so when it comes to this sort of thing I have some experience and some expertise.

 

Check this site out for more on SLAPPS and a help directory.

 

I found an attorney to take my case and was originally going to be represented by Gary Bostwick (renowned media attorney), but his case load was too great at the time. He put me in touch with Carol Sobel.

 

Carol Sobel is a fantastic attorney and has handled many SLAPP suits. Carol did a fantastic job representing me and defending my case. In the end, I came out on top and the dirtball who tried to sue me had to pay sixteen-thousand dollars to my attorney. Carol earned every penny as far as I was concerned, she was just tenacious, articulate, and savvy throughout it. I'll send you her contact info.

[blazingbob]

So now that you've been identified as a shortseller here's my slap.

 

What are you selling to pay for your legal fees?

 

 

 

 

[Designer Toast]

So now that you've been identified as a shortseller here's my slap.

 

What are you selling to pay for your legal fees?

 

I know Bob is kidding (sort of), and most attorneys will take on a good SLAPP case on contingency because the prevailing party is entitled to their legal fees paid by the loser.

[sterlingcomics]

Thanks for everyone's responses and PMs...not worried as this is ridiculous as a middle-aged man collecting comics....

 

For the record, I don't short (unlimited risk? that's why I collect comics) and I don't bash...but I do call out on misleading events, which is the case here.

[dupont2005]

Shouldn't matter even if you did bash. As long as you aren't involved in corporate espionage or bound by a non disclosure contract you should be allowed to say whatever you want about whatever company you want. :censored:corporations have more rights than (and at the expense of) real human beings

[the blob]

one basis to quash, perhaps, is that you said nothing actionable. there have, however, been decisions requiring the disclosure of this info under the right circumstances though, it is not per se protected. i'd be concerned about doing nothing as the judge may take silence as a non-objection and the website host may not be interested in spending money fighting this on your behalf.

 

I won a $20K attorney fee award in an anti-SLAPP counterclaim in New York in a harassment lawsuit brought against a pro bono client. New York also has an anti-SLAPP law too, though I don't know how that would work in federal court. I suppose you raise it as a counterclaim in the lawsuit. i don't know if SLAPP kicks in until there's an actual lawsuit as opposed to a subpoena.

 

if i had my own practice i'd be more than happy to take on your case as this sort of stuff pizzes me off, but alas, my employer would fire my arse for any sort of legal moonlighting.

 

disclaimer: none of the above should be taken as legal advice from me to you or relied upon in any way.

[Foolkiller]

one basis to quash, perhaps, is that you said nothing actionable. there have, however, been decisions requiring the disclosure of this info under the right circumstances though, it is not per se protected. i'd be concerned about doing nothing as the judge may take silence as a non-objection and the website host may not be interested in spending money fighting this on your behalf.

 

I won a $20K attorney fee award in an anti-SLAPP counterclaim in New York in a harassment lawsuit brought against a pro bono client. New York also has an anti-SLAPP law too, though I don't know how that would work in federal court. I suppose you raise it as a counterclaim in the lawsuit. i don't know if SLAPP kicks in until there's an actual lawsuit as opposed to a subpoena.

 

if i had my own practice i'd be more than happy to take on your case as this sort of stuff pizzes me off, but alas, my employer would fire my arse for any sort of legal moonlighting.

 

disclaimer: none of the above should be taken as legal advice from me to you or relied upon in any way.

 

Couple of things:

 

1) Don't do nothing. Best piece of advice is above. I'd move to quash the subpoena, even if I didn't think I'd win, and in your case, I think you have some real foundation.

 

2) I think there does have to be a counterclaim as a cause of action, meaning you must be a party, unless you want to institute your own suit (which would sort of fly in the face of your motion to quash, though they are two separate issues).

 

My firm wouldn't fire me for representing you, but frankly this is not my area of expertise and I would say that you certainly need someone who is probably a) local and b) has more extensive knowledge.

 

Good luck to you!

[Transplant]

disclaimer: none of the above should be taken as legal advice from me to you or relied upon in any way.

In many jurisdictions, this does not have the effect you are intending. That's why I don't really give out legal advice here.

[Flee-Marquette]

disclaimer: none of the above should be taken as legal advice from me to you or relied upon in any way.

In many jurisdictions, this does not have the effect you are intending. That's why I don't really give out legal advice here.

You just did.

[passion4comics]

It's not a First Amendment issue, unless the government is the one restricting the speech.

 

Bingo!

[sterlingcomics]

BTW, I'm not planning on doing "nothing" although I listed it as an available option We are getting as many of the "John Does" together for representation. We are looking for both a quash and a dismissal...

 

I would like to find a pro-bono lawyer on this...initiated communication with the website above to see what can happen although currently pursuing it as a group with a law firm that will charge.

 

The adventure continues...