People v. McGraw-Hill Co., Inc.
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The defendants were charged with violations of the California False Claims Act (CFCA) arising out of their alleged business practice of inflating the credit ratings of various structured finance securities. Defendants moved to strike the CFCA causes of action under section 425.16, subdivision (b) of the Code of Civil Procedure, the anti-SLAPP (Strategic Lawsuit Against Public Participation) statute. The superior court denied the motion, holding that the enforcement action was exempt from the special motion to strike procedure pursuant to section 425.16, subdivision (d), which provides that “This section shall not apply to any enforcement action brought in the name of the people of the State of California by the Attorney General, district attorney, or city attorney, acting as a public prosecutor.” The court of appeal dismissed, concluding that the order is not appealable.
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