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Torts
Defamation
Trade Libel

ZL Technologies Inc. v. Gartner Group Inc., Carolyn DiCenzo

Published: Aug. 7, 2010 | Result Date: May 3, 2010 | Filing Date: Jan. 1, 1900 |

Case number: 5:09-CV-02393-RS Bench Decision –  Dismissal

Court

USDC Northern


Attorneys

Plaintiff

Perry J. Narancic

Michael Kai Ng

James M. Wagstaffe
(Adamski Moroski Madden Cumberland & Green LLP)


Defendant

Robert P. Feldman
(Quinn, Emanuel, Urquhart & Sullivan LLP)


Facts

ZL Technologies, a producer of e-mail archiving software, filed a defamation suit against defendant Gartner Inc., a technology research and advisory company, for ranking ZL as a "niche player" in Gartner's "Magic Quadrant" report.

Contentions

PLAINTIFF'S CONTENTIONS:
ZL claimed that the report constituted defamation, trade libel, and related torts. ZL contended that Gartner's ranking lacked a factual basis and was influenced by Gartner's biased preference for larger, more established companies. Moreover, ZL claimed that the rankings were not presented as subjective because they were supposedly arrived at by mathematical calculations, thereby being presented as statements of fact.

Damages

ZL sought $130 million in compensatory damages, $1.3 billion in punitive damages, and an injunction requiring the cessation of disparaging remarks toward ZL.

Result

The court dismissed ZL's claims, finding that Magic Quadrant was entitled to First Amendment protection as subjective views and opinions.

Other Information

FILING DATE: May 29, 2009.


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