Boris Levitt v. Yelp! Inc.

Today, individuals can share their opinions with the entire world courtesy of a few taps on the keyboard. The appellee in this case, Yelp! Inc. (“Yelp”), provides an online forum on which its users express opinions as to services ranging from dog walkers to taco trucks.

The appellees, Boris Levitt, Cats and Dogs Animal Hospital, Inc. (“Cats and Dogs”), John Mercurio, and Dr. Tracy Chan, are small business owners (collectively, “the business owners”) who allege that Yelp extorted or attempted to extort advertising payments from them by manipulating user reviews and penning negative reviews of their businesses. The business owners filed a class-action lawsuit against Yelp for violations of California’s Unfair Competition Law (“UCL”), California Business & Professions Code § 17200 et seq., civil extortion, and attempted civil extortion.

The district court dismissed the lawsuit for failure to state a claim. We review the dismissal de novo, see Wilson v. Hewlett-Packard, Co., 668 F.3d 1136, 1140 (9th Cir.2012), and, holding that the facts and legal theories alleged in the business owners’ complaint are insufficient to make out a prima facie case of unlawful or unfair…