Techdirt: Tenth Circuit Issues A Troubling Ruling Limiting New Mexico's Anti-SLAPP Statute In Federal Court

Last week the Tenth Circuit refused to let New Mexico's anti-SLAPP statute be used in federal court in diversity cases. The relatively good news about the decision is that it is premised heavily on the specific language of New Mexico's statute and may not be easily extensible to other states' anti-SLAPP laws. This focus on the specific language is also why, as the decision acknowledges, it is inconsistent with holdings in other circuits, such as the Ninth. But the bad news is that the decision still takes the teeth out of New Mexico's statute and will invite those who would abuse judicial process in order to chill speech to bring actions that can get into the New Mexico federal courts.

In this case, there had been litigation pending in New Mexico state court. That litigation was then removed to federal court on the basis of "diversity jurisdiction." Diversity jurisdiction arises when the parties in the litigation are from separate states and the amount in controversy is more than $75,000 and the issue in dispute is solely a question of state law. Federal courts ordinarily can't hear cases that only involve state law, but because of the concern that it could be unfair for an out-of-state litigant to have to be heard in a foreign state court, diversity jurisdiction can allow a case that would have been heard in state court to be heard by the federal one for the area instead.

At the same time, we don't want it to be unfair for the other party to now have to litigate in federal court if being there means it would lose some of the protection of local state law. We also don't want litigants to be too eager to get into federal court if being there could confer an advantage they would not have had if the case were instead being heard in state court. These two policy goals underpin what is commonly known as the "Erie doctrine," named after a 1938 US Supreme Court case that is still followed today.