Opinion ID: 3013373
Heading Depth: 3
Heading Rank: 3

Heading: Commercial Disparagement

Text: McNulty also claims commercial disparagement. In Pennsylvania, a claim for commercial disparagement requires proof that: 1) the statement is false; 2) the publisher either intends the publication to cause pecuniary loss or reasonably should recognize that publication will result in pecuniary loss; 3) pecuniary loss does in fact result; and 4) the publisher either knows that the statement is false or acts in reckless disregard of its truth or falsity. Neurotron Inc. v. Medical Serv. Assoc. of Pa., Inc., 254 F.3d 444, (3d Cir. 2001). In Neurotron, we examined Pennsylvania’s rule regarding commercial disparagement. At the time, the Pennsylvania Supreme Court had not decided a trade libel case for over 25 years. The most recent case, Menefee v. Columbia Broadcasting Sys., Inc., 329 A.2d 216 (Pa. 1974), had been decided under the Restatement (First) of Torts, and did not require the 18 fourth falsity element. Since then, the Restatement (Second) of Torts has added the requirement. In Neurotron, we held that the Pennsylvania Supreme Court would follow the Restatement (Second), not Menefee, and would require evidence that the publisher was reckless with regard to the falsity of its statement. Neurotron, 254 F.3d at 449. McNulty relies heavily on Menefee because the facts in that case are strikingly similar, involving a radio broadcaster fired because of low ratings, suing over press accounts of his departure. Menefee, 329 A.2d at 217. Although we decided Neurotron a year after the District Court’s summary judgment decision, the District Court’s decision was based on simply interpreting what Pennsylvania law was at the time, and the Superior Court had already predicted that the Pennsylvania Supreme Court would follow the Restatement (Second), as had several other federal district courts. See Neurotron, 254 F.3d at 448-49. McNulty’s reliance on Menefee now is therefore misplaced. McNulty has not even addressed, let alone proven, that Citadel either knew or was reckless to the possibility that the statements it made were false. Furthermore, as with the previous two claims, he has not proven any pecuniary loss arising from the statements. Therefore, we will affirm summary judgment.