• by Wendy Davis  @wendyndavis, July 5, 2017

Online monitoring company DoubleVerify has prevailed in a libel lawsuit brought by streaming video distributor FilmOn, which alleged it was the subject of "false and disparaging" reports by DoubleVerify.

In a ruling issued late last week, an appellate court in California held that DoubleVerify's reports are protected by California's anti-SLAPP (strategic litigation against public participation) law -- which aims to preserve people's right to discuss matters of public interest.

"The statements contained in DoubleVerify’s reports ... did concern issues of public interest, and the trial court properly found the threshold requirement for anti-SLAPP protection was met," wrote Judge Michael Johnson of the California Court of Appeal, 2nd Appellate District. The ruling upheld a decision by a trial judge in favor of DoubleVerify.

FilmOn plans to appeal, according to lawyer Ryan Baker. He called the ruling "an unprecedented and improper extension of California’s anti-SLAPP law."

The battle between the companies dates to 2014, when FilmOn alleged that it was wrongly classified by DoubleVerify as a copyright infringer and adult content distributor. The video company argued that the reports harmed its relationships with advertisers. FilmOn's claims against DoubleVerify included trade libel, interference with contracts, unfair competition and false advertising.

DoubleVerify offers reports that aim to advise agencies and advertisers about the type of material residing on publishers' sites. When the lawsuit was first filed, CEO Wayne Gattinella said the company stood by reports concluding that FilmOn was a "copyright infringement site."

FilmOn argued in court that DoubleVerify's reports were commercial and confidential, and therefore weren't covered by California's law regarding lawsuits against public participation. "DoubleVerify’s sale of confidential reports concerning how to best maximize advertising revenue does not raise an issue of public concern to a definable group or portion of the public such that the communications merit anti-SLAPP protection," the company argued in its appellate papers.

The appellate court disagreed, noting that questions about copyright infringement and adult content online have drawn significant public attention. "DoubleVerify’s evidence demonstrated that the presence of adult content on the Internet generally, as well as copyright infringing content on FilmOn’s websites specifically, has been the subject of numerous press reports, regulatory actions, and federal lawsuits," the appellate court wrote.

When FilmOn initially sued, the company was fighting several cases brought by TV broadcasters, which argued that FilmOn infringed copyright by streaming programs without licenses. In May of this year, FilmOn settled those lawsuits on confidential terms.