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Private Shopping Malls –
The “Not-So-Private” Private Property
Agenda

General Overview of the Issues
Relevant Case Law
Common Legal Challenges to Rules
Key Elements of Allen Matkins’ Rules
Litigation and Enforcement Tips
Protesters have become increasingly
active at private shopping centers

                                  Unions
                                  Organizations
                                  supporting specific
                                  rights (i.e., pro-life,
                                  animal rights)
                                  Religious groups
                                  Solicitation of funds
                                  Political
                                  organizations &
                                  causes
Protest activities at shopping centers can be
disruptive to business

Picketing
Shouting
Chanting
Displaying disturbing
images
Using inflatable
objects
Approaching
shoppers
Passing out fliers
Seeking signatures
Free-speech rights in the U.S. Constitution




 “Congress shall make no law
 …abridging the freedom of speech…”
Free-speech rights in the California Constitution




 “Every person may freely speak, write and
 publish his or her sentiments on all
 subjects, being responsible for the abuse
 of this right. A law may not restrain or
 abridge liberty of speech or press.”
Free speech rights under California Constitution
have been broadly interpreted, at the expense
of private property rights

U.S. Constitution: right of free speech has limited applicability
to private shopping centers

State Constitutions: may grant broader free speech rights than
the US Constitution

 California courts have expanded free speech rights at
  private shopping centers
Free speech rights may trump private property rights if
the property can be characterized as a “public space”
Legal Arguments
Owner invites public onto property and
surrenders a level of control
Shopping centers serve a role
tantamount to public space




                                         Public Policy Arguments
                                         Suburban growth has changed how we
                                         organize cities and create public spaces
                                         Private shopping centers have replaced
                                         downtowns as the public gathering places
General Overview of California Case Law

Over the past 30 years, California courts have significantly expanded
free speech rights at the expense of private property rights

Cases can be broken into three periods:
    – Early cases before Robins v. Pruneyard (1979)
    – Cases after Robins v. Pruneyard
    – Cases after Fashion Valley (2007)


 This expansion is contrary to almost every other state
Early Cases Before Robins v. Pruneyard

Marsh v. State of Alabama, 326 U.S. 501 (1945)
   – Company town served as a public forum
   – Free speech rights trumped private property rights


Lloyd Corp v. Tanner, 407 U.S. 551 (1972)
   – War protesters not allowed to leaflet within an indoor mall
Significance of Robins v. Pruneyard
23 Cal.3d 899 (1979)


Free speech rights may trump private property rights

Reasonable time, place and manner restrictions may be
imposed by shopping center owners



 First sea change in California law related to free
  speech rights at private shopping centers
Levels of judicial scrutiny depend upon type of
speech
For any content-based speech restriction, it's subject to strict
scrutiny, requiring that it be:
       i. narrowly drawn, and
       ii. necessary to serve a compelling interest

For any content-neutral speech restriction, it must satisfy
intermediate scrutiny, requiring that it be:
       i. narrowly tailored
       ii. serve a significant government interest, and
       iii. leave open ample alternative avenues of communication
Cases after Robins v. Pruneyard
H-CHH Associates v. Citizens for Representative
Government, 193 Cal.App.3d 1193 (1987)
   – Case highlights what shopping center rules should not do
   – Court held in favor of petitioners, detailing specific reasons as
     to why the mall’s rules were and were not constitutional

Needletrades Union v. Superior Court, 56 Cal.App. 4th 996 (1997)
   – High-water mark for shopping center owners
   – Court held that rules are constitutional, specifically those for (1)
     application requirement, (2) protest materials restriction, and (3)
     time and place restrictions on activities
Fashion Valley Mall v. NLRB                42 Cal. 4th 850 (2007)


Mall rule prohibited any leafleting targeting its tenants
The Court ruled in favor of union leafletters, holding that the
mall’s rule was illegal because it was a content-based
restriction that did not survive strict scrutiny


 Second sea change in California law related to free
  speech rights at private shopping centers
Cases After Fashion Valley
United Brotherhood of Carpenters v. National Labor Relations Board,
540 F.3d 957 (2008)
     – Court ruled in favor of union leafleters
     – Limited six standard types of rules used at shopping centers

Matthew Snatchko v. Westfield, 187 Cal.App.4th 469 (2010)
     – Court ruled in favor of a pastor discussing religion with strangers
     – No content-based restrictions

Best Friends Animal Society v. Macerich, 193 Cal.App.4th 168 (2011)
     – Court ruled in favor of protesters opposing a pet store
     – Shopping center rules cannot expressly favor certain types of speech
Common legal challenges to rules
Content: restriction based on content of speech
 Avoid any type of content-based restriction (strict scrutiny)

Location: activities limited to certain areas
 Allow protesters to locate within a safe distance of their target

Display type: restrictions on types of displays
 Use restrictions tied to violations of law

Time: access restricted on certain days of the year
 Avoid complete bans
Landlords may end up fighting a two-front
battle…
Protesters vs. Owners                 Tenants vs. Owners
Protesters may file suit against      Tenants may file suit against
owners alleging violations of their   landlords for failing to protect their
free speech rights                    leasehold rights by allowing
                                      protests
Courts and law enforcement have
sided with free speech                Owners, as landlords, have
                                      contractual obligations to tenants,
                                      such as the covenant of quiet
                                      enjoyment
SOLUTION:
   ALLEN MATKINS MODEL
TIME/PLACE/MANNER POLICY
What is the
Allen Matkins Model Time/Place/Manner Policy?
Model rules that landlords can use to impose reasonable
restrictions on the time, place and manner of non-
commercial expressive activity

Rules have been crafted to
comport with California law

Designed to provide the
greatest level of protection to
shopping center owners

Rules must be customized for
the particular site/circumstances
Disruptive or non-conforming protests may be
legally restricted
• Blocking entrances or exits
• Harassing customers – Physical not permitted, verbal statements have wide
   latitude, except imminent threats
• Property damage
• Disorderly conduct
      Fights
      Weapons
      Excessive capacity/hazards
      Potter Stewart Test
• Offensive verbal statements
  are likely permitted
The law is tilted in favor of speech rights but the
landlord has some remedies
Injunction                             Temporary Restraining Order (TRO)
Most common remedy, yet difficult to   Can be obtained on emergency basis
obtain given First Amendment           if necessary
protections                            Followed by preliminary and/or
Court will balance likelihood of       permanent injunction
success with likelihood of harm
Must be no more restrictive than
necessary to ensure conformance
with law or proper TPM restrictions
Must be content neutral
“Damages” is another legal
option for landlords
Theories
  – Trespass Theory – Beyond allowed purpose
  – Nuisance Theory
  – Intentional Torts
Can be pursued after, in lieu of, or in conjunction
with injunction remedy
Collectability will be a concern
  – Association can be sued but assets may be limited
  – Individual protesters may not be identifiable
   Expect strong resistance
Anti-SLAPP law creates numerous obstacles
Practical considerations
Use judgment
    – No “one size fits all” remedy
Identify and discuss with group leader
    – Look for resolution that satisfies immediate needs
Contact police
    – Especially for disruptive or dangerous situations
Consider legal options
    – Legal options are slower, even “emergency”
      relief may take several days to obtain
    – Police will enforce injunction if necessary
Closely document improper activity
    – Photos, videos may be necessary evidence
We recommend that the
landlord post signs at
shopping centers
We recommend that the
landlord post signs at
shopping centers
Contact
Matthew Marino                        Sean Southard
Partner                               Partner
Allen Matkins Leck Gamble Mallory &   Allen Matkins Leck Gamble Mallory &
Natsis LLP                            Natsis LLP
mmarino@allenmatkins.com              ssouthard@allenmatkins.com


Jonathan Lorenzen
Associate
Allen Matkins Leck Gamble Mallory &
Natsis LLP
jlorenzen@allenmatkins.com

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Private Mall Protests - Navigating Free Speech vs Property Rights

  • 1. Private Shopping Malls – The “Not-So-Private” Private Property
  • 2. Agenda General Overview of the Issues Relevant Case Law Common Legal Challenges to Rules Key Elements of Allen Matkins’ Rules Litigation and Enforcement Tips
  • 3. Protesters have become increasingly active at private shopping centers Unions Organizations supporting specific rights (i.e., pro-life, animal rights) Religious groups Solicitation of funds Political organizations & causes
  • 4. Protest activities at shopping centers can be disruptive to business Picketing Shouting Chanting Displaying disturbing images Using inflatable objects Approaching shoppers Passing out fliers Seeking signatures
  • 5. Free-speech rights in the U.S. Constitution “Congress shall make no law …abridging the freedom of speech…”
  • 6. Free-speech rights in the California Constitution “Every person may freely speak, write and publish his or her sentiments on all subjects, being responsible for the abuse of this right. A law may not restrain or abridge liberty of speech or press.”
  • 7. Free speech rights under California Constitution have been broadly interpreted, at the expense of private property rights U.S. Constitution: right of free speech has limited applicability to private shopping centers State Constitutions: may grant broader free speech rights than the US Constitution  California courts have expanded free speech rights at private shopping centers
  • 8. Free speech rights may trump private property rights if the property can be characterized as a “public space” Legal Arguments Owner invites public onto property and surrenders a level of control Shopping centers serve a role tantamount to public space Public Policy Arguments Suburban growth has changed how we organize cities and create public spaces Private shopping centers have replaced downtowns as the public gathering places
  • 9. General Overview of California Case Law Over the past 30 years, California courts have significantly expanded free speech rights at the expense of private property rights Cases can be broken into three periods: – Early cases before Robins v. Pruneyard (1979) – Cases after Robins v. Pruneyard – Cases after Fashion Valley (2007)  This expansion is contrary to almost every other state
  • 10. Early Cases Before Robins v. Pruneyard Marsh v. State of Alabama, 326 U.S. 501 (1945) – Company town served as a public forum – Free speech rights trumped private property rights Lloyd Corp v. Tanner, 407 U.S. 551 (1972) – War protesters not allowed to leaflet within an indoor mall
  • 11. Significance of Robins v. Pruneyard 23 Cal.3d 899 (1979) Free speech rights may trump private property rights Reasonable time, place and manner restrictions may be imposed by shopping center owners  First sea change in California law related to free speech rights at private shopping centers
  • 12. Levels of judicial scrutiny depend upon type of speech For any content-based speech restriction, it's subject to strict scrutiny, requiring that it be: i. narrowly drawn, and ii. necessary to serve a compelling interest For any content-neutral speech restriction, it must satisfy intermediate scrutiny, requiring that it be: i. narrowly tailored ii. serve a significant government interest, and iii. leave open ample alternative avenues of communication
  • 13. Cases after Robins v. Pruneyard H-CHH Associates v. Citizens for Representative Government, 193 Cal.App.3d 1193 (1987) – Case highlights what shopping center rules should not do – Court held in favor of petitioners, detailing specific reasons as to why the mall’s rules were and were not constitutional Needletrades Union v. Superior Court, 56 Cal.App. 4th 996 (1997) – High-water mark for shopping center owners – Court held that rules are constitutional, specifically those for (1) application requirement, (2) protest materials restriction, and (3) time and place restrictions on activities
  • 14. Fashion Valley Mall v. NLRB 42 Cal. 4th 850 (2007) Mall rule prohibited any leafleting targeting its tenants The Court ruled in favor of union leafletters, holding that the mall’s rule was illegal because it was a content-based restriction that did not survive strict scrutiny  Second sea change in California law related to free speech rights at private shopping centers
  • 15. Cases After Fashion Valley United Brotherhood of Carpenters v. National Labor Relations Board, 540 F.3d 957 (2008) – Court ruled in favor of union leafleters – Limited six standard types of rules used at shopping centers Matthew Snatchko v. Westfield, 187 Cal.App.4th 469 (2010) – Court ruled in favor of a pastor discussing religion with strangers – No content-based restrictions Best Friends Animal Society v. Macerich, 193 Cal.App.4th 168 (2011) – Court ruled in favor of protesters opposing a pet store – Shopping center rules cannot expressly favor certain types of speech
  • 16. Common legal challenges to rules Content: restriction based on content of speech  Avoid any type of content-based restriction (strict scrutiny) Location: activities limited to certain areas  Allow protesters to locate within a safe distance of their target Display type: restrictions on types of displays  Use restrictions tied to violations of law Time: access restricted on certain days of the year  Avoid complete bans
  • 17. Landlords may end up fighting a two-front battle… Protesters vs. Owners Tenants vs. Owners Protesters may file suit against Tenants may file suit against owners alleging violations of their landlords for failing to protect their free speech rights leasehold rights by allowing protests Courts and law enforcement have sided with free speech Owners, as landlords, have contractual obligations to tenants, such as the covenant of quiet enjoyment
  • 18. SOLUTION: ALLEN MATKINS MODEL TIME/PLACE/MANNER POLICY
  • 19. What is the Allen Matkins Model Time/Place/Manner Policy? Model rules that landlords can use to impose reasonable restrictions on the time, place and manner of non- commercial expressive activity Rules have been crafted to comport with California law Designed to provide the greatest level of protection to shopping center owners Rules must be customized for the particular site/circumstances
  • 20. Disruptive or non-conforming protests may be legally restricted • Blocking entrances or exits • Harassing customers – Physical not permitted, verbal statements have wide latitude, except imminent threats • Property damage • Disorderly conduct Fights Weapons Excessive capacity/hazards Potter Stewart Test • Offensive verbal statements are likely permitted
  • 21. The law is tilted in favor of speech rights but the landlord has some remedies Injunction Temporary Restraining Order (TRO) Most common remedy, yet difficult to Can be obtained on emergency basis obtain given First Amendment if necessary protections Followed by preliminary and/or Court will balance likelihood of permanent injunction success with likelihood of harm Must be no more restrictive than necessary to ensure conformance with law or proper TPM restrictions Must be content neutral
  • 22. “Damages” is another legal option for landlords Theories – Trespass Theory – Beyond allowed purpose – Nuisance Theory – Intentional Torts Can be pursued after, in lieu of, or in conjunction with injunction remedy Collectability will be a concern – Association can be sued but assets may be limited – Individual protesters may not be identifiable  Expect strong resistance Anti-SLAPP law creates numerous obstacles
  • 23. Practical considerations Use judgment – No “one size fits all” remedy Identify and discuss with group leader – Look for resolution that satisfies immediate needs Contact police – Especially for disruptive or dangerous situations Consider legal options – Legal options are slower, even “emergency” relief may take several days to obtain – Police will enforce injunction if necessary Closely document improper activity – Photos, videos may be necessary evidence
  • 24. We recommend that the landlord post signs at shopping centers
  • 25. We recommend that the landlord post signs at shopping centers
  • 26. Contact Matthew Marino Sean Southard Partner Partner Allen Matkins Leck Gamble Mallory & Allen Matkins Leck Gamble Mallory & Natsis LLP Natsis LLP mmarino@allenmatkins.com ssouthard@allenmatkins.com Jonathan Lorenzen Associate Allen Matkins Leck Gamble Mallory & Natsis LLP jlorenzen@allenmatkins.com