Judge: Peter A. Hernandez, Case: 20STCV35842, Date: 2024-09-03 Tentative Ruling

Case Number: 20STCV35842    Hearing Date: September 3, 2024    Dept: 34

Kaplan v. NBCUniversal Media, LLC, et al. (20STCV35842)

       

The Motion for Judgment on the Pleadings is DENIED.

BACKGROUND

On September 18, 2020, Plaintiff Ben Kaplan filed his Complaint against Defendants NBCUniversal Media, LLC; Working Title Group, LLC; Focus Features LLC; Gary Oldman; Douglas Urbanski; and Jim Osborne. The causes of action in the Complaint arise from the alleged wrongful appropriation of Plaintiff’s movie script.

 

On October 13, 2020, Plaintiff amended his Complaint to substitute Does 11 and 12 with Douglas Management, Ltd. and Douglas Management Group LLC, respectively.

 

On March 12, 2021, all of the Defendants filed their “Answer to Plaintiff’s First Amended Complaint.” (Plaintiff’s First Amended Complaint had not yet been filed with the Court.)

 

On April 13, 2021, Plaintiff filed his First Amended Complaint (FAC).

 

On February 6, 2024, the court dismissed without prejudice Defendant Douglas Management Group, LLC from the FAC.

 

On April 24, 2024, Defendants Working Title Group LLC, Gary Oldman, Douglas Urbanski, Douglas Management, Ltd., and Jim Osborne (“Moving Defendants”) filed their Motion for Judgment on the Pleadings (“MJOP”). In support of their MJOP, Moving Defendants concurrently filed: (1) Declaration of David Grossman; (2) Request for Judicial Notice; and (3) Proposed Order.

 

On May 10, 2024, Plaintiff filed his Opposition to the MJOP. In support of his Opposition, Plaintiff concurrently filed his Declaration.

 

On May 16, 2024, Moving Defendants filed their Reply in support of the MJOP. Moving Defendants concurrently filed their Supplemental Request for Judicial Notice. 

I.               Request for Judicial Notice

In the original Request for Judicial Notice and the Supplemental Request for Judicial Notice, Moving Defendants request that the court take judicial notice of:

 

(1)             various filings in this matter, including orders by this Court and the Court of Appeal;

 

(2)             the reporter’s transcript of the June 18, 2021 hearing; and

 

(3)             Norman v. Ross (2024) 101 Cal.App.5th 617, which was issued on April 23, 2024.

 

The court GRANTS judicial notice as to Items Nos. 1-2, and DENIES judicial notice as to Item No. 3.

II.             Legal Standard

“A party may move for judgment on the pleadings.” (Code Civ. Proc., § 438, subd. (b)(1).)

 

“The motion provided for in this section may only be made on one of the following grounds: . . . (B) If the moving party is a defendant, that either of the following conditions exist: (i) The court has no jurisdiction of the subject of the cause of action alleged in the complaint. (ii) The complaint does not state facts sufficient to constitute a cause of action against that defendant.” (Code Civ. Proc., § 438, subd. (c)(1)(B).)

 

“A motion for judgment on the pleadings performs the same function as a general demurrer, and hence attacks only defects disclosed on the face of the pleadings or by matters that can be judicially noticed.” (Cloud v. Northrop Grumman Corp. (1998) 67 Cal.App.4th 995, 999, citations omitted.)

 

“In deciding or reviewing a judgment on the pleadings, all properly pleaded material facts are deemed to be true, as well as all facts that may be implied or inferred from those expressly alleged.” (Fire Ins. Exch. v. Super. Ct. (2004) 116 Cal.App.4th 446, 452.)

III.           Discussion

A.          The Parties’ Arguments

              Moving Defendants move for judgment on the pleadings regarding all of Plaintiff’s causes of action (except for the second cause of action). (MJOP, p. 21:15–17.)

 

Moving Defendants argue: (1) that the failure to pay Plaintiff for the use of his ideas cannot serve as the basis for his joint venture claims; (2) that Plaintiff is judicially estopped from arguing that his injuries arose after March 2015, when the “loss of Oldman” occurred; and (3) that Plaintiff’s joint venture claims are time-barred. (MJOP, pp. 14:21–22, 17:3–4, 20:8.)

 

Plaintiff disagrees, arguing: (1) that the challenged claims arise, in part, from the misappropriation of Plaintiff’s ideas; (2) that the judicial estoppel argument has no basis and misrepresents Plaintiff’s claims; (3) that the delayed discovery rule applies here; (4) that true damages from the breach of the joint venture only arose once it became clear that Churchill would not be the first Winston Churchill movie to market; and (5) that to the extent additional facts are needed, amendment should be permitted. (Opposition, pp. 8:2, 10:10–11, 12:7, 14:16–17, 15:6.)

 

In their Reply, Moving Defendants: (1) reiterate their argument that the joint venture claims are time-barred; (2) reiterate their argument that Plaintiff is precluded from arguing that his joint venture claims arose upon the film’s 2017 release; (3) argue that the recent case of Norman v. Ross (2024) 101 Cal.App.5th 617 stands for the proposition that the Court must dismiss Plaintiff’s claims if the Court accepts Plaintiff’s new arguments; (4) reiterate their judicial estoppel argument; and (5) argue that “delayed discovery” does not apply to Plaintiff’s claims. (Reply, pp. 4:2, 5:7–8, 6:18–19, 7:14, 8:24.)

 

B.          The Discovery Rule

 

1.           Legal Standard

“The statute of limitations usually commences when a cause of action accrues, and it is generally said that an action accrues on the date of injury. Alternatively, it is often stated that the statute commences upon the occurrence of the last element essential to the cause of action. These general principles have been significantly modified by the common law ‘discovery rule,’ which provides that the accrual date may be delayed until the plaintiff is aware of her injury and its negligent cause.” (Bernson v. Browning-Ferris Indus. (1994) 7 Cal.4th 926, 931, cleaned up.)

 

A close cousin of the discovery rule is the well accepted principle of fraudulent concealment. It has long been established that the defendant's fraud in concealing a cause of action against him tolls the applicable statute of limitations, but only for that period during which the claim is undiscovered by plaintiff or until such time as plaintiff, by the exercise of reasonable diligence, should have discovered it. Like the discovery rule, the rule of fraudulent concealment is an equitable principle designed to effect substantial justice between the parties; its rationale is that the culpable defendant should be estopped from profiting by his own wrong to the extent that it hindered an otherwise diligent plaintiff in discovering his cause of action.” (Bernson, supra, at p. 931, cleaned up.)

“While ignorance of the existence of an injury or cause of action may delay the running of the statute of limitations until the date of discovery, the general rule in California has been that ignorance of the identity of the defendant is not essential to a claim and therefore will not toll the statute. As we have observed, the statute of limitations begins to run when the plaintiff suspects or should suspect that her injury was caused by wrongdoing, that someone has done something wrong to her. Aggrieved parties generally need not know the exact manner in which their injuries were effected, nor the identities of all parties who may have played a role therein.” (Bernson, supra, at p. 932, cleaned up.)

 

2.           Discussion

 

Here, the crux of the Parties’ current disagreement is whether most of the alleged conduct was beyond the various applicable statutes of limitations at the time Plaintiff filed his Complaint on September 18, 2020 and his FAC on April 13, 2021.

 

Among other things, Plaintiff alleges in the pleading: (1) that “[o]n March 10, 2015, Mr. Oldman abruptly pulled out of Churchill”; (2) that “[d]espite repeated requests for an explanation for this sudden about-face, Mr. Oldman’s representatives gave no reason to Mr. Lamb and Mr. Kaplan for the decision”; (3) that “[i]t was later announced that Mr. Oldman was in talks, and then engaged, to play the role of Winston Churchill in Working Title’s motion picture Darkest Hour”; (4) that “Mr. Urbanski and Mr. English were also engaged by Working Title to perform the very same services on Darkest Hour that they would have performed for Churchill”; and (5) that “Darkest Hour premiered at film festivals starting in September 2017 to great critical acclaim.” (FAC, ¶¶ 42–43.)

 

            Contrary to Moving Defendants’ arguments, the statute of limitations issues here are not purely questions of law. Rather, due to possible issues with discovering the alleged misconduct—issues that are consistent with the allegations made in the FAC—these are mixed questions of law and fact.

 

            If a trier of fact finds facts that would support a determination that the applicable statutes of limitations were tolled until September 2017, then there should be no issue with the causes of action that have four-year statutes of limitations given that the FAC was filed on April 13, 2021.

 

As to the two-year statutes of limitations, Plaintiff submits three “tolling agreements” that appear to have tolled “[t]he running of all periods of limitation” from August 12, 2019 to August 31, 2020. (Decl. Kaplan, Exhs. 1–3.) Furthermore, Plaintiff accurately notes that Emergency Rule 9 tolled statutes of limitations from April 6, 2020 until October 1, 2020. (Opposition, p. 9:16–21.) Given that the Complaint was filed on September 18, 2020 and Moving Defendants have not disputed that the alleged conduct in the FAC relates back to alleged conduct in the Complaint, it would similarly appear a later determination by a trier of fact that applicable statutes of limitations were tolled until September 2017 would mean there are no issues with the two-year statutes of limitations.

 

C.          The Allegations at Issues

 

The Parties disagree about exactly what conduct is at issue in the pleadings.

 

Because the statutes of limitations involve discovery-related questions of fact that are unrelated to this question (and obviate granting judgment on the pleadings due to the statutes of limitations), the court need not, and does not, resolve this issue at this time.

 

D.          Judicial Estoppel

 

1.           Legal Standard

 

“Judicial estoppel is an equitable doctrine that applies when ‘(1) the same party has taken two positions; (2) the positions were taken in judicial or quasi-judicial administrative proceedings; (3) the party was successful in asserting the first position (i.e., the tribunal adopted the position or accepted it as true); (4) the two positions are totally inconsistent; and (5) the first position was not taken as a result of ignorance, fraud, or mistake.’ The application of judicial estoppel, even when all necessary elements are present, is discretionary.” (Brown v. Ralphs Grocery Co. (2018) 28 Cal.App.5th 824, 842, quoting Aguilar v. Lerner (2004) 32 Cal.4th 974, 986–987, also citing MW Erectors, Inc. v. Niederhauser Ornamental & Metal Works Co., Inc. (2005) 36 Cal.4th 412, 422.)

 

2.           Discussion

 

For the same reason stated above in Section III.C., the court does not reach the question of whether Plaintiff is judicially estopped.

 

IV.           Conclusion

 

The Motion for Judgment on the Pleadings is DENIED.