Nike v. Kasky

2003

Venue: SCOTUS

Facts: Nike responds to allegations of sweatshops with some PR. CA law says that false statements by a corporation are false advertising.

Posture: Suit in CA court. Nike demurs: this is barred by 1A. CA SC finds that this is commercial speech.

Issue: Two:
  1. When a corporation participates in public debate, may it be subjected to liability for factual inaccuracies on the theory that this is commercial speech?
  2. If it is commercial speech, does 1A preclude liability?

Holding: Dismissed-- we should not have taken cert.

Rule: None announced.

Reasoning: We will ot anticipate a question of constitutional law in advance of the necessity of deciding it. This debate is ongoing.

Dicta: Breyer, dissenting: we've had 34 briefs (including 31 from amici, and we've had oral arguments. Continuing this lawsuit means continued expense.