Kavanaugh

I. INTRODUCTION

Ryan Kavanaugh (Kavanaugh) brought an action against Ethan Klein (Klein) and Ted Entertainment, Inc. (TEI) (defendants) for defamation and defamation by implication alleging they falsely accused him of running a Ponzi scheme.1 The trial court denied defendants’ anti-SLAPP2 motion to strike Kavanaugh’s complaint. We affirm.

II. BACKGROUND

A. The Parties

Kavanaugh’s complaint alleges Kavanaugh is a film and television producer, entertainment executive, and entrepreneur.

“‘A Ponzi scheme is a fraudulent investment scheme where “[m]oney from the new investors is used directly to repay or pay interest to old investors, [usually] without any operation or revenue-producing activity other than the continual raising of new funds.”’” (Peregrine Funding, Inc. v. Sheppard Mullin Richter & Hampton LLP (2005) 133 Cal.App.4th 658, 666, fn. 1 (Peregrine Funding).)

“A ‘SLAPP’ is a ‘“strategic lawsuit against public participation”’ [citation], and special motions to strike under [Code of Civil Procedure] section 425.16 [(section 425.16)] are commonly referred to as ‘[a]nti-SLAPP motions’ [citation].” (Bonni v. St. Joseph Health System (2021) 11 Cal.5th…