Court Deems Lumber Liquidators’ Case a “SLAPP” Suit

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Court Throws Out Lumber Liquidators’ Lawsuit Against Environmental Group

Orders Flooring Giant to Pay Attorneys’ Fees and Costs

Yesterday a California environmental advocacy group won a resounding Court judgment against flooring giant Lumber Liquidators’ claims of defamation. In a 21-page decision, a judge ruled that Lumber Liquidators’ lawsuit against Global Community Monitor (GCM) was a strategic lawsuit against public participation and a clear violation of California’s anti-SLAPP law.

The court battle stemmed from a Proposition 65 lawsuit GCM filed last year against the company for high levels of cancer-causing formaldehyde found in Chinese-made laminate flooring sold by the company. Lumber Liquidators responded with a defamation suit, which was struck down yesterday.

“Lumber Liquidators tried to silence us and the court saw through it,” stated Denny Larson, Executive Director of Global Community Monitor. “The court recognized that we have a constitutional right to free speech. The public likewise has a right to know if any product they buy may be harmful to their families’ health.”

California’s anti-SLAPP statute provides for the “early dismissal of unmeritorious claims filed to interfere with the valid exercise of the constitutional rights of freedom of speech and petition for the redress of grievances.” As Judge Carvill noted in his decision, “The anti-SLAPP statute is ‘construed broadly’ to achieve its goal of ensuring that ‘participation in matters of public significance’ is not ‘chilled through abuse of the judicial process.’” The judge goes on to conclude that Lumber Liquidators did not present sufficient evidence to show that its defamation-based claims against GCM “have any likelihood of success.”

In addition, the Court found that GCM is entitled to recover attorneys’ fees and costs incurred in defending the meritless SLAPP suit. GCM’s attorney, Richard Drury of Lozeau Drury LLP stated, “This is a good day for free speech and for the consumers of the State of California who are concerned that Chinese-made laminate flooring sold by Lumber Liquidators contains cancer-causing formaldehyde far above levels allowed by law.”

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