MOSK, J.
We granted review in this cause to clarify the law that courts must apply in ruling on motions for summary judgment, both in actions generally and specifically in antitrust actions for unlawful conspiracy.
I
This is an antitrust action arising from a complaint filed by Theresa Aguilar on behalf of herself and all of the other, by her estimate, 24 million retail consumers of California Air Resources Board, or CARB, gasoline—collectively, Aguilar—against Atlantic Richfield Company, Chevron Corporation, Exxon Corporation, Mobil Oil Corporation, Union Oil Company of California (later succeeded by 76 Products Company), Shell Oil Company, Texaco Refining and Marketing, Inc., Tosco Corporation, and Ultramar Inc.—collectively, the petroleum companies.
In conducting our review, we have scrutinized facts that are many and complex. The motions for summary judgment with which we are concerned produced a voluminous record, which fills more than 18,400 pages. They arose out of extensive discovery, which yielded, according to one tally, more than 100 depositions, 1,500 interrogatories, 135 requests for admissions, 900 requests for the production of documents, and 500,000 pages of documents in response to such requests.
But because our review focuses on the law that courts must apply in ruling on motions for summary judgment in all actions including the present, and not on the application of such law in this particular one, we need not state the facts in detail and at length. For our purposes, the following synopsis will suffice.
The Legislature has found and declared that the "petroleum industry is an essential element of the California economy and is therefore of vital importance to the health and welfare of all Californians." (Pub. Resources Code, § 25350, subd. (a).)
II
On June 7,1996, on behalf of herself and all other retail consumers of CARB gasoline, Aguilar filed an unverified complaint, with a demand for trial by jury, against the petroleum companies in the Superior Court of San Diego County. In the complaint, as subsequently amended into its operative form, she alleged facts for a primary cause of action for violation of section 1 of the Cartwright Act (Stats. 1907, ch. 530, § 1, pp. 984-985, as amended, Bus. & Prof.Code, § 16720 et seq.), which is analogous to section 1 of the Sherman Act (Act of July 2, 1890, ch. 647, § 1, 26 Stat. 209, as amended, 15 U.S.C. § 1), asserting in substance that the petroleum companies had entered into an unlawful conspiracy to restrict the output of CARB gasoline and to raise its price— specifically, a conspiracy among competitors that is unlawful per se without regard to any of its effects. She also alleged facts for a derivative cause of action for violation of the unfair competition law (Bus. & Prof. Code, § 17200 et seq.), asserting in substance that the conspiracy in question, even if not unlawful under the Cartwright Act, was unlawful at least under the unfair competition law itself.
The petroleum companies each answered, denying all of the allegations referred to above.
Later, the petroleum companies each moved the superior court for summary judgment. In support, they each presented evidence including declarations by officers or managers or similar employees with responsibility in the premises, generally stating on personal knowledge how the company made its capacity, production, and pricing decisions about CARB gasoline, asserting that it did so independently, and denying that it did so collusively with any of the others. Aguilar opposed the motions. In support, she presented evidence including the companies' gathering and dissemination of capacity, production, and pricing information, through the independently owned and operated Oil Price Information Service, or OPIS, and otherwise; their use of common consultants;
After a hearing, the superior court issued an order granting the petroleum companies summary judgment. It caused entry thereof. It specified its reasons at length and in detail, filling 24 pages, to the following effect:
The petroleum companies carried their burden of persuasion to show that there was no triable issue of material fact and that they were entitled to judgment as a matter of law.
Particularly, as to Aguilar's Cartwright Act cause of action, which was primary, the petroleum companies carried an initial burden of production to make a prima facie showing of the absence of any conspiracy through the declarations that they presented from their officers and managers and similar employees in light of Biljac Associates v. First Interstate Bank (1990) 218 Cal.App.3d 1410, 267 Cal.Rptr. 819 (hereafter sometimes Biljac), which dealt with the force and effect of similar declarations as to a similar cause of action by certain commercial borrowers against certain banks and bank trade associations. Aguilar did not carry a burden of production, which had shifted onto her shoulders, to make a prima facie showing of her own of the presence of an unlawful conspiracy through any of the evidence that she presented, including that of capacity, production, and pricing information, common consultants, or exchange agreements, or her own experts' opinion. "[T]he only logical inference which can be drawn" from Aguilar's evidence, even after it has been "examin[ed] ... in its entirety and without compartmentalization," is that the "actions" of the petroleum companies "were a pro-competitive response to a regulatory requirement which forced members of an oligopoly to restructure their product mix and incur substantial additional capital expenditures." (Italics added in place of underscoring in original.) Aguilar had "attempted to weave" a "complex, tangled web" of unlawful conspiracy. Her evidence, however, "suggest[ed]" only individual companies "using all available information sources to determine capacity, supply, and pricing decisions which would maximize their own individual profits—without regard to the profits of their competitors"—and did "not support even the inference of such a conspiracy.
As to Aguilar's unfair competition law cause of action, which was derivative, the petroleum companies, as indicated, carried their initial burden of production to make a prima facie showing of the absence of any conspiracy; Aguilar, as also indicated, did not carry her shifted burden of production to make a prima facie showing of the presence of an unlawful one.
The superior court rendered judgment in accordance with its order granting the petroleum companies summary judgment, and caused entry thereof.
Aguilar moved the superior court for a new trial. In so doing, she challenged its judgment by challenging as erroneous its order granting the petroleum companies summary judgment. Specifically, among her grounds for a new trial was a claim that, in granting summary judgment as to her Cartwright Act cause of action, it
After a hearing, the superior court issued an order granting a new trial. In so doing, it recognized that Aguilar had challenged its judgment by challenging as erroneous its order granting the petroleum companies summary judgment. It granted a new trial on the sole ground that, in granting summary judgment as to her Cartwright Act cause of action, it did indeed make an "error in law." In specifying its reasons, it stated that it did in fact misread and misapply Biljac to allow the petroleum companies to carry their initial burden of production to make a prima facie showing of the absence of any conspiracy as to her Cartwright Act cause of action by presenting evidence other than through declarations by each person responsible within each company for its capacity, production, and pricing decisions about CARB gasoline: it now read and applied Biljac to require declarations by each such person. Its order granting a new trial effectively vacated its judgment. Hence, it operated like an order denying summary judgment.
The petroleum companies each filed a notice of appeal in the superior court from its order granting a new trial. For her part, Aguilar filed a notice of cross-appeal from the judgment rendered and entered following the order granting the petroleum companies summary judgment.
The petroleum companies' appeals and Aguilar's cross-appeal were docketed in the Court of Appeal for the Fourth Appellate District under the same number, and were assigned as a single matter to Division One.
Aguilar moved the Court of Appeal to dismiss the petroleum companies' appeals. She claimed, inter alia, that it had not been presented with any appealable judgment or order over which it could assert jurisdiction. It issued an order denying her motion in summary fashion.
In a unanimous opinion, the Court of Appeal reversed the superior court's order granting a new trial, and remanded the cause to the superior court with directions to issue an order granting the petroleum companies summary judgment and, impliedly, to render judgment accordingly and cause entry thereof.
The Court of Appeal's opinion is lengthy and detailed, even more so than the superior court's specification of reasons for its order granting the petroleum companies summary judgment. The opinion proper fills 118 pages, plus seven appendices themselves filling 18 pages.
The Court of Appeal applied the independent standard of review to the superior court's order granting a new trial, which the superior court predicated on the asserted erroneousness of its order granting the petroleum companies summary judgment.
Applying the independent standard of review, the Court of Appeal concluded that the superior court's order granting a new trial was erroneous because it concluded that the superior court's order granting the petroleum companies summary judgment was not.
The Court of Appeal concluded that the petroleum companies carried their burden of persuasion to show that there was no triable issue of material fact and that they were entitled to judgment as a matter of law.
The Court of Appeal determined that, as to Aguilar's unfair competition law cause of action, the petroleum companies, as indicated, carried their burden of production to make a prima facie showing of the absence of any conspiracy, but Aguilar, as also indicated, did not carry her shifted burden of production to make a prima facie showing of the presence of an unlawful one.
Aguilar petitioned for review. We granted her application. We now affirm.
III
Our task in this cause is to clarify the law that courts must apply in ruling on motions for summary judgment, both in actions generally and specifically in antitrust actions for unlawful conspiracy.
The purpose of the law of summary judgment is to provide courts with a mechanism to cut through the parties' pleadings in order to determine whether, despite their allegations, trial is in fact necessary to resolve their dispute. (E.g., Molko v. Holy Spirit Assn. (1988) 46 Cal.3d 1092, 1107, 252 Cal.Rptr. 122, 762 P.2d 46.)
Under summary judgment law, any party to an action, whether plaintiff or defendant, "may move" the court "for summary judgment" in his favor on a cause of action (i.e., claim) or defense (Code Civ. Proc., § 437c, subd. (a))—a plaintiff "contending] ... that there is no defense to the action," a defendant "contend[ing] that the action has no merit" (ibid.). The court must "grant[ ]" the "motion" "if all the papers submitted show" that "there is no triable issue as to any material fact" (id., § 437c, subd. (c))—that is, there is no issue requiring a trial as to any fact that is necessary under the pleadings and, ultimately,
In 1986, the United States Supreme Court handed down a trio of decisions dealing with the law of summary judgment in the federal courts: Matsushita Elec. Industrial Co. v. Zenith Radio (1986) 475 U.S. 574, 106 S.Ct. 1348, 89 L.Ed.2d 538 (hereafter sometimes Matsushita); Anderson v. Liberty Lobby, Inc. (1986) 477 U.S. 242, 106 S.Ct. 2505, 91 L.Ed.2d 202 (hereafter sometimes Anderson); and Celotex Corp. v. Catrett (1986) 477 U.S. 317, 106 S.Ct. 2548, 91 L.Ed.2d 265 (hereafter sometimes Celotex).
The purpose of federal summary judgment law, which is identical to the purpose of ours, is to provide courts with a mechanism to cut through the parties' pleadings in order to determine whether, despite their allegations, trial is in fact necessary to resolve their dispute. (Fed. Rules Civ.Proc., rule 56, 28 U.S.C.; Advisory Com. Notes, 1963 amend, to rule 56(e), reprinted at 28 U.S.C.A, Fed. Rules Civ.Proc. (1992) foil, rule 56, p. 298.)
Under federal summary judgment law, which is similar to ours, any party to an action, whether plaintiff or defendant, "may., move" the court "for a summary judgment in [his] favor" on a claim (i.e., cause of action) or defense. (Fed. Rules Civ.Proc., rule 56(a) [plaintiff], 28 U.S.C.; id., rule 56(b) [defendant].) The court must "render[ ]" the "judgment sought" "forthwith" "if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show" that "there is no genuine issue as to any material fact" (id., rule 56(c))—that is, there is no issue requiring a trial as to any fact that is necessary under the pleadings and, ultimately, the law (see Anderson v. Liberty Lobby, Inc., supra, 477 U.S. at pp. 248-249, 106 S.Ct. 2505)—and that the "moving party is entitled to a judgment as a matter of law" (Fed. Rules Civ.Proc., rule 56(c), 28 U.S.C.). The moving party may "support[ ]" the motion with evidence in the form of "affidavits" (id., rule 56(a) [plaintiff]; id., rule 56(b) [defendant]) and also with the "pleadings, depositions, answers to interrogatories, and admissions on file" (id., rule 56(c); see id., rule 56(e)).
In Celotex, Anderson, and Matsushita, the Supreme Court clarified federal summary judgment law, and liberalized the granting of such motions.
Together, Celotex, Anderson, and Matsushita operate generally, to the following effect: From commencement to conclusion, the moving party bears the burden of persuasion that there is no genuine issue of material fact and that he is entitled to judgment as a matter of law.
For itself, Matsushita operates within the specific context of an antitrust action for unlawful conspiracy under provisions including section 1 of the Sherman Act, which makes a conspiracy among competitors to restrict output and/or raise prices unlawful per se (see, e.g., U.S. v. Socony-Vacuum Oil Co. (1940) 310 U.S. 150, 218, 60 S.Ct. 811, 84 L.Ed. 1129).
Matsushita's scenario is this: A plaintiffs antitrust claim asserts an unlawful conspiracy on the part of the defendants. The defendants move for summary judgment on the ground that there is no genuine issue of the material fact of the existence of an unlawful conspiracy. At trial, the plaintiff would bear the burden of proof by a preponderance of the evidence on the unlawful-conspiracy issue. The defendants carry their burden of production to make a prima facie showing that the unlawful-conspiracy issue is not genuine. The plaintiff is then subjected to a burden of production of his own to make a prima facie showing that it is. In order to carry his burden of production, the plaintiff must present evidence that would allow a reasonable trier of fact to find in his favor on the unlawful-conspiracy issue by a preponderance of the evidence, that is, to find an unlawful conspiracy more likely than not.
According to Matsushita, "ambiguous evidence" showing "conduct" that is "as consistent with permissible competition" by independent actors "as with illegal conspiracy" by colluding ones is insufficient. (Matsushita Elec. Industrial Co. v. Zenith Radio, supra, 475 U.S. at p. 588, 106 S.Ct. 1348; accord, id. at p. 597, fn. 21, 106 S.Ct. 1348.) Similarly insufficient are "inference[s]" drawn from ambiguous evidence implying as much: "conduct that is as consistent with permissible competition as with illegal conspiracy does not, without more, support even an inference of conspiracy." (Id. at p. 597, fn. 21, 106 S.Ct. 1348; accord, id. at p. 588, 106 S.Ct. 1348.) The court would indeed have to view inferences in the light most favorable to the plaintiff. (Id. at p. 587, 106 S.Ct. 1348.) "But antitrust law," including the Sherman Act, "limits the range of permissible inferences from ambiguous evidence" and, evidently, limits the force of ambiguous evidence itself. (Matsushita Elec. Industrial Co. v. Zenith Radio, supra, 475 U.S. at p. 588, 106 S.Ct. 1348.) Specifically, such law renders ambiguous evidence or inferences insufficient. If it did not, it might effectively "chill" "procompetitive conduct" in the world at large, the very thing that it is "designed to protect," by subjecting it to undue costs in the judicial sphere. (Id. at pp. 593-594, 106 S.Ct. 1348.)
Therefore, concludes Matsushita, in addition to ambiguous evidence or inferences, the plaintiff "must present evidence `that tends to exclude'"—although it need not actually exclude—"`the possibility' that the alleged conspirators acted independently" rather than collusively. (Matsushita Elec. Industrial Co. v. Zenith Radio, supra, 475 U.S. at p. 588, 106 S.Ct. 1348, italics added.) Even though the defendants' "state of mind is at issue" and a trier of fact "might disbelieve" their "denial of a conspiracy," the plaintiff may not make it to trial "by merely asserting" that a reasonable trier of fact "might, and legally could, disbelieve" their denial "without offering any concrete evidence from which" such a trier of fact could find in his favor: "`[Discredited testimony is not [normally] considered a sufficient basis for drawing a contrary conclusion.'" (Anderson v. Liberty Lobby, Inc., supra, 477 U.S. at pp. 256-257, 106 S.Ct. 2505; see id. at p. 250, fn. 4, 106 S.Ct. 2505.)
At the time of Celotex, Anderson, and Matsushita, summary judgment law in this state differed from its federal counterpart in various particulars, and was more restrictive of the granting of such motions as a result. For example, a plaintiff moving for summary judgment had to disprove any defense asserted by the defendant as well as prove each element of his own cause of action. (E.g., Hayward Union etc. School Dist. v. Madrid (1965) 234 Cal.App.2d 100, 120, 44 Cal.Rptr. 268.) For his part, a defendant moving for summary judgment had to "conclusively negate"—to quote the potentially misleading phrase— an element of the plaintiffs cause of action. (E.g., Molko v. Holy Spirit Assn., supra, 46 Cal.3d at p. 1107, 252 Cal.Rptr. 122, 762 P.2d 46.) To do so, the defendant had to present evidence, and not simply point out that the plaintiff did not possess, and could not reasonably obtain, needed evidence. (See Code Civ. Proc., § 437c, subd. (b), as amended by Stats.1984, ch. 171, § 1, p. 545.)
In the wake of Celotex, Anderson, and Matsushita, as we recently noted in Guz v. Bechtel National, Inc. (2000) 24 Cal.4th 317, 335, footnote 7, 100 Cal.Rptr.2d 352, 8 P.3d 1089 (hereafter sometimes Guz), summary judgment law has been amended, most significantly in 1992 and 1993, through Assembly Bill No. 2616 (1991-1992 Reg. Sess.) and Assembly Bill No. 498 (1993-1994 Reg. Sess.), respectively.
The purpose of the 1992 amendment was "to move summary judgment law" in this state "closer" to its "federal" counterpart as clarified in Celotex, Anderson, and Matsushita, in order to liberalize the granting of such motions. (Sen. Com. on Judiciary, Analysis of Assem. Bill No. 498 (1993-1994 Reg. Sess.) as amended June 11, 1993, p. 4.)
Together, the 1992 and 1993 amendments, which continue in effect to this day, have "`changed'"summary judgment law" `dramatically.'" (Saelzler v. Advanced Group 400 (2001) 25 Cal.4th 763, 768, 107 Cal.Rptr.2d 617, 23 P.3d 1143, quoting Scheiding v. Dinwiddie Construction Co. (1999) 69 Cal.App.4th 64, 70, 81 Cal.Rptr.2d 360; accord, Certain Underwriters at Lloyd's of London v. Superior Court (1997) 56 Cal.App.4th 952, 959, 65 Cal.Rptr.2d 821 [speaking specifically of the 1993 amendment]; see, e.g., Villa v. McFerren (1995) 35 Cal.App.4th 733, 752, fn. 8, 41 Cal.Rptr.2d 719 [referring specifically to the 1992 amendment].) As follows:
In moving for summary judgment, a "plaintiff ... has met" his "burden of showing that there is no defense to a cause of action if he "has proved each element of the cause of action entitling" him "to judgment on that cause of action. Once the plaintiff ... has met that burden, the burden shifts to the defendant ... to show that a triable issue of one or more material facts exists as to that cause of action or a defense thereto. The defendant ... may not rely upon the mere allegations or denials" of his "pleadings to show that a triable issue of material fact exists but, instead," must "set forth the specific facts showing that a triable issue of material fact exists as to that cause of action or a defense thereto." (Code Civ. Proc., § 437c, subd. (o)(D.)
Similarly, in moving for summary judgment, a "defendant ... has met" his "burden of showing that a cause of action has no merit if he "has shown that one or more elements of the cause of action ... cannot be established, or that there is a complete defense to that cause of action. Once the defendant ... has met that burden, the burden shifts to the plaintiff ... to show that a triable issue of one or more material facts exists as to that cause of action or a defense thereto. The plaintiff ... may not rely upon the mere allegations or denials" of his "pleadings to show that a triable issue of material fact exists but, instead," must "set forth the specific facts showing that a triable issue of material fact exists as to that cause of action or a defense thereto." (Code Civ. Proc., § 437c, subd. (o)(2).)
In light of the foregoing, we believe that summary judgment law in this state now conforms, largely but not completely, to its federal counterpart as clarified and liberalized in Celotex, Anderson,
First, and generally, from commencement to conclusion, the party moving for summary judgment bears the burden of persuasion that there is no triable issue of material fact and that he is entitled to judgment as a matter of law.
Second, and generally, the party moving for summary judgment bears an initial burden of production to make a prima facie showing of the nonexistence of any triable issue of material fact; if he carries his burden of production, he causes a shift, and the opposing party is then subjected to a burden of production of his own to make a prima
Third, and generally, how the parties moving for, and opposing, summary judgment may each carry their burden of persuasion and/or production depends on which would bear what burden of proof at trial. Again, in Reader's Digest, we held to the effect that the placement and quantum of the burden of proof at trial were crucial for purposes of summary judgment. (Reader's Digest Assn. v. Superior Court, supra, 37 Cal.3d at p. 252, 208 Cal.Rptr. 137, 690 P.2d 610.) In the legislative history, if not the quoted language, of the 1992 and 1993 amendments, there is support for such a proposition; in neither is there anything contrary.
Fourth, and specifically as to an antitrust action for unlawful conspiracy
It follows that summary judgment law in this state now conforms, largely but not completely, to its federal counterpart as clarified and liberalized in Celotex, Anderson, and Matsushita.
Neither does summary judgment law in this state any longer require a defendant moving for summary judgment to conclusively negate an element of the plaintiffs cause of action.
Summary judgment law in this state, however, continues to require a defendant moving for summary judgment to present evidence, and not simply point out
To speak broadly, all of the foregoing discussion of summary judgment law in this state, like that of its federal counterpart, may be reduced to, and justified by, a single proposition: If a party moving for summary judgment in any action, including an antitrust action for unlawful conspiracy, would prevail at trial without submission of any issue of material fact to a trier of fact for determination, then he should prevail on summary judgment. In such a Justice Chin stated in his concurring opinion in Guz, the "court should grant" the motion "and avoid a ... trial" rendered "useless" by nonsuit or directed verdict or similar device. (Guz v. Bechtel National, Inc., supra, 24 Cal.4th 317, 374, 100 Cal.Rptr.2d 352, 8 P.3d 1089 (conc. opn. of Chin, J.); see Saelzkr v. Advanced Group 400, supra, 25 Cal.4th at pp. 768-769, 107 Cal.Rptr.2d 617, 23 P.3d 1143.)
Aguilar concedes that, on the defendants' motion for summary judgment in an antitrust action for unlawful conspiracy under provisions including section 1 of the Cartwright Act, a plaintiff must present evidence that tends to exclude the possibility that the defendants acted independently rather than collusively, in order to carry a burden of production to make a prima facie showing that there is a triable issue of the material fact of the existence of an unlawful conspiracy.
Aguilar also concedes that ambiguous evidence or inferences showing or implying conduct that is as consistent with permissible competition by independent actors as with unlawful conspiracy by colluding ones
But Aguilar claims that the court must consider all of the evidence and all of the inferences drawn therefrom. We agree. (Code Civ. Proc., § 437c, subd. (c).)
Aguilar also claims that the court may not weigh the plaintiffs evidence or inferences against the defendants' as though it were sitting as the trier of fact. We agree here as well. The court may not "grant[ ]" the defendants' motion for summary judgment "based on inferences ..., if contradicted by other inferences or evidence, which raise a triable issue as to any material fact." (Code Civ. Proc., § 437c, subd. (c).) Neither, apparently, may the court grant their motion based on any evidence from which such inferences are drawn, if so contradicted. That means that, if the court concludes that the plaintiffs evidence or inferences raise a triable issue of material fact, it must conclude its consideration and deny the defendants' motion.
But, even though the court may not weigh the plaintiffs evidence or inferences against the defendants' as though it were sitting as the trier of fact, it must nevertheless determine what any evidence or inference could show or imply to a reasonable trier of fact. Aguilar effectively admits as much.
Thus, if the court determines that any evidence or inference presented or drawn by the plaintiff indeed shows or implies unlawful conspiracy more likely than permissible competition, it must then deny the defendants' motion for summary judgment, even in the face of contradictory evidence or inference presented or drawn by the defendants, because a reasonable trier of fact could find for the plaintiff. Under such circumstances, the unlawful-conspiracy issue is triable—that is, it must be submitted to a trier of fact for determination in favor of either the plaintiff or the defendants, and may not be taken from the trier of fact and resolved by the court itself in the defendants' favor and against the plaintiff.
But if the court determines that all of the evidence presented by the plaintiff, and all of the inferences drawn therefrom, show and imply unlawful conspiracy only as likely as permissible competition or even less likely, it must then grant the defendants' motion for summary judgment, even apart from any evidence presented by the defendants or any inferences drawn therefrom, because a reasonable trier of fact could not find for the plaintiff.
We acknowledge that a plaintiff like Aguilar must often rely on inference rather than evidence since, usually, unlawful conspiracy is conceived in secrecy and lives its life in the shadows. (See Quelimane Co. v. Stewart Title Guaranty Co. (1998) 19 Cal.4th 26, 48, 77 Cal.Rptr.2d 709, 960 P.2d 513; Saxer v. Philip Morris, Inc. (1975) 54 Cal.App.3d 7, 27, 126 Cal.Rptr. 327.) But, when he does so, he must all the same rely on an inference implying unlawful conspiracy more likely than permissible competition, either in itself or together with other inferences or evidence. Aguilar claims that the inference need only be reasonable. True.
IV
We have before us the decision of the Court of Appeal reversing the order of the superior court granting a new trial on Aguilar's motion and directing it to grant summary judgment on the petroleum companies' motions.
Prior to turning to the Court of Appeal's decision itself, we address an issue at the threshold.
As noted, the Court of Appeal denied Aguilar's motion to dismiss the petroleum companies' appeals.
We believe that the Court of Appeal was right to do so.
In support of her motion to dismiss the petroleum companies' appeals, Aguilar claimed, inter alia, that the Court of Appeal had not been presented with any appealable judgment or order over which it could assert jurisdiction. Unpersuasively so.
Aguilar moved the superior court for a new trial following its order granting the petroleum companies summary judgment. A motion for a new trial is appropriate following an order granting summary judgment. (Kohan v. Cohan (1988) 204 Cal.App.3d 915, 919, fn. 4, 251 Cal.Rptr. 570; Scott v. Farrar (1983) 139 Cal.App.3d 462, 467, 188 Cal.Rptr. 823; Green v. Del-Camp Investments, Inc. (1961) 193 Cal.App.2d 479, 481, 14 Cal.Rptr. 420; see Waschek v. Department of Motor Vehicles (1997) 59 Cal.App.4th 640, 643-644, fn. 4, 69 Cal.Rptr.2d 296; Malo v. Willis (1981) 126 Cal.App.3d 543, 546, fn. 2, 178 Cal.Rptr. 774; cf. Carney v. Simmonds (1957) 49 Cal.2d 84, 87-91, 315 P.2d 305 [holding that a motion for a new trial is appropriate following an order granting judgment on the pleadings].) This is so, even though, strictly speaking, "summary judgment ... is a determination that there shall be no trial at all." (Green v. Del-Camp Investments, Inc., supra, 193 Cal. App.2d at p. 481,14 Cal.Rptr. 420.)
On Aguilar's motion, the superior court granted a new trial following its order granting the petroleum companies
Unable to avoid the force of our analysis, Aguilar suggests that, in arguing that the Court of Appeal properly denied her motion to dismiss their appeals, the petroleum companies have relied on law that is lacking in vitality, and have done so in an attempt to "manufacture appealability" (Malo v. Willis, supra, 126 Cal.App.3d at p. 546, fn. 2, 178 Cal.Rptr. 774). Their law, however, is not lacking in vitality. Neither have they made any attempt to manufacture appealability. Indeed, it is rather Aguilar who has attempted to manufacture non appealability. On the petroleum companies' motions, the superior court caused entry of an appealable (Code Civ. Proc., § 437c, subd. (l)) summary judgment. On Aguilar's motion, the superior court issued an appealable order granting a new trial. Aguilar would transform the appealable order granting a new trial into a nonappealable order denying summary judgment. She may not do so. And since she may not, she may not complain that the petroleum companies failed to "petition" the Court of Appeal "for a peremptory writ" against the superior court for its nonexistent nonappealable order denying summary judgment. (Ibid.)
Turning to the Court of Appeal's decision, we believe that the Court of Appeal was right to apply the independent standard of review to the superior court's order granting a new trial.
It is true, as Aguilar argues, that, as a general matter, orders granting a new trial are examined for abuse of discretion. (See, e.g., Schelbauer v. Butler Manufacturing Co. (1984) 35 Cal.3d 442, 452, 198 Cal.Rptr. 155, 673 P.2d 743; Jiminez v. Sears, Roebuck & Co. (1971) 4 Cal.3d 379, 387, 93 Cal.Rptr. 769, 482 P.2d 681.)
But it is also true that any determination underlying any order is scrutinized under the test appropriate to such determination. (See, e.g., People v. Waidla (2000) 22 Cal.4th 690, 730, 94 Cal.Rptr.2d 396, 996 P.2d 46; People v. Alvarez (1996) 14 Cal.4th 155, 188, 58 Cal.Rptr.2d 385, 926 P.2d 365.)
We recognize that the superior court's order granting a new trial was predicated, specifically, on its determination that, in granting the petroleum companies summary judgment, it made an error in law in its reading and application of Biljac.
But such a determination is itself scrutinized de novo. (See Parker v. Womack (1951) 37 Cal.2d 116, 123, 230 P.2d 823, overruled on another point by Butigan v. Yellow Cab Co. (1958) 49 Cal.2d 652, 660, 320 P.2d 500; Stoddard v. Rheem (1961) 192 Cal.App.2d 49, 53-54, 13 Cal.Rptr. 496.)
To be precise: To adopt a reading of decisional law, as the superior court did with regard to Biljac, entails the resolution of a pure question of law, inasmuch as it "relate[s] to the selection of a rule." (Crocker National Bank v. City and County of San Francisco (1989) 49 Cal.3d 881, 888, 264 Cal.Rptr. 139, 782 P.2d 278.) And to make an application of decisional law, as the superior court also did with regard to Biljac, entails the resolution of a mixed question of law and fact that is predominantly one of law, inasmuch as it "requires a critical consideration, in a factual context, of legal principles and their underlying values" rather than merely "experience with human affairs." (Crocker National Bank v. City and County of San Francisco, supra, 49 Cal.3d at p. 888, 264 Cal.Rptr. 139, 782 P.2d 278.) The former is scrutinized de novo. (Ibid.) So too the latter. (Ibid.) There is no discretion to adopt a reading, or make an application, of decisional law that is inconsistent with the law itself. (See City of Sacramento v. Drew (1989) 207 Cal.App.3d 1287, 1297-1298, 255 Cal.Rptr. 704.) Any such reading or application must necessarily be deemed an abuse. (See ibid.)
The Court of Appeal soundly concluded that the superior court's order granting a new trial was erroneous because the Court of Appeal soundly concluded—in substantial anticipation of our analysis of summary judgment law—that the superior court's underlying order granting the petroleum companies summary judgment was not erroneous.
In arriving at our determination, we do not ignore the fact that this is, primarily, a complex antitrust action for unlawful conspiracy under section 1 of the Cartwright Act, indeed, a very complex one. We could not do so even if we would, confronting as we do the Court of Appeal's lengthy and detailed opinion. But neither can we ignore the fact that summary judgment is available, and always remains available, even in complex cases. (See First State Ins. Co. v. Superior Court (2000) 79 Cal.App.4th 324, 329-331, 94 Cal.Rptr.2d 104.)
To proceed, the superior court's order granting the petroleum companies summary judgment was not erroneous as to Aguilar's primary cause of action, which was for an unlawful conspiracy under section 1 of the Cartwright Act to restrict the output of CARB gasoline and to raise its price.
At trial, Aguilar as plaintiff would have borne the burden of proof by a preponderance
The petroleum companies carried their burden of persuasion to show that there was no triable issue of material fact and that they were entitled to judgment as a matter of law as to Aguilar's Cartwright Act cause of action.
At the outset, the petroleum companies carried their initial burden of production to make a prima facie showing of the absence of any conspiracy. Through the declarations by their officers and managers and similar employees—and through material from others including third parties—they presented evidence that would require a reasonable jury not to find any conspiracy more likely than not.
It is impossible to summarize the petroleum companies' evidence within a scope that would be appropriate to this opinion. The Court of Appeal's recounting itself fills 38 pages. With that said, the petroleum companies' evidence showed independence rather than collusion as to their most fundamental strategies with respect to CARB gasoline. For example, at one end of the range, there was Chevron's altogether active plan, which was to "gain an advantage over its competitors by becoming the largest producer of CARB gasoline in the world." At the other end, there was Union Oil's relatively passive stance, which would put it at a disadvantage vis-à-vis its competitors in this regard, and would lead it to exit the market completely.
By contrast, Aguilar did not carry the burden of production shifted onto her shoulders to make a prima facie showing of the presence of an unlawful conspiracy. She did not present evidence that would allow a reasonable jury to find a conspiracy more likely than not—her "evidence," as the Court of Appeal noted, often being less than it was claimed to be.
Specifically, the evidence that Aguilar did present was at best ambiguous, as were the inferences that she drew therefrom, showing or implying conduct that was at least as consistent with permissible competition by the petroleum companies as independent actors, as with unlawful conspiracy by them as colluding ones. Evidence of this sort, however, was insufficient. So too were related inferences.
Therefore, in addition, Aguilar had to present evidence that tended to exclude the possibility that the petroleum companies acted independently rather than collusively. This she did not do.
Neither does Aguilar's evidence going to the use of common consultants by the petroleum companies even imply collusive, rather than independent, action. For decisions of the magnitude and difficulty that the companies each faced with respect to CARB gasoline capacity, production, and pricing, they had available few consultants who possessed the requisite expertise to assure their competence. Hence, practically speaking, they had to utilize the same ones if they were to utilize any. Each company required confidentiality of each consultant. There is no indication that any company got anything less from any consultant. It is true that common consultants can be misused as a "conduit" for an unlawful conspiracy. (In re Potash Antitrust Litigation (D.Minn.1997) 954 F.Supp. 1334, 1360 [dismissing any suggestion that certain foreign governmental officials were so misused], affd. sub nom. Blomkest Fertilizer, Inc. v. Potash Corp. of Saskatchewan (8th Cir.2000) 203 F.3d 1028.) But, again, the evidence here does not suggest such misuse.
For its part, Aguilar's evidence relating to the exchange agreements entered into by the petroleum companies, including any consequent activity, or lack of activity, in the spot market, does not even imply collusive, rather than independent, action. Exchange agreements have long been common in the petroleum industry. (See Laketon Asphalt Ref. v. U.S. Dept. of Int. (7th Cir.1980) 624 F.2d 784, 797; Blue Bell Co. v. Frontier Refining Co. (10th Cir. 1954) 213 F.2d 354, 359; Marathon Oil Co. v. Mobil Corp. (N.D.Ohio 1981) 530 F.Supp. 315, 321, fn. 9 [quoting expert testimony that exchange agreements "number[ ] in the `zillions ..."'], affd. (6th Cir.) 669 F.2d 378; Ritchie, Petroleum Dismemberment (1976) 29 Vand. L.Rev. 1131, 1144-1145.) More important, exchange agreements have long been recognized as procompetitive in purpose and effect, enabling or facilitating companies to compete in product and/or geographical and/or temporal markets in which they otherwise could not or would not compete as efficiently or at all. (See generally Blue Bell Co. v. Frontier Refining Co., supra, 213 F.2d at p. 359; see also Laketon Asphalt Ref. v. U.S. Dept. of Int., supra, 624
Lastly, Aguilar's related evidence of the opinion of her experts, which was itself based at least in part on evidence such as that described above, proved to be of no marginal value. Expert opinion may indeed be "useful as a guide to interpreting market facts...." (Brooke Group Ltd. v. Brown & Williamson Tobacco Corp. (1993) 509 U.S. 209, 242, 113 S.Ct. 2578, 125 L.Ed.2d 168.) But "it is" simply "not a substitute" therefor. (Ibid.) In our view, the expert opinion here was more a "substitute" than a "guide." In effect, it conjectured that there must have been collusive, rather than independent, action. It did so, at bottom, because it discerned interdependent action. But, in an oligopoly, such as obtains here, interdependence is altogether consistent with independence, and is not necessarily indicative of collusion. "[I]n a market served by" a few "large firms," like the market for CARB gasoline served by the petroleum companies, "each firm must know that if it reduces its price and increases its sales at the expense of its rivals, they will notice the sales loss, identify the cause, and probably respond. In short, each firm is aware of its impact upon the others. Though each may independently decide upon its own course of action, any rational decision must take into account the anticipated reaction of the other[s].... Because of their mutual awareness," their "decisions may be interdependent although arrived at independently." (6 Areeda, Antitrust Law, supra, ¶ 1429a, p. 175.) In such a market, like that here, prices may move generally upward across all of the firms more or less together, rising quickly and falling slowly, and may do so interdependently but nevertheless independently. (See id., ¶ 1429b, pp. 175-177.) For collusion, there must be more than interdependence. The expert opinion here, however, does not supply what is lacking.
We recognize that Aguilar did indeed present evidence that the petroleum companies may have possessed the motive, opportunity, and means to enter into an unlawful conspiracy. But that is all. And that is not enough. Such evidence merely allows speculation about an unlawful conspiracy. Speculation, however, is not evidence. As a result, Aguilar's evidence of the petroleum companies' possible motive, opportunity, and means for entry into an unlawful conspiracy does not amount to evidence showing such a conspiracy more likely than not. Neither does it even support an inference implying as much.
To the extent that the superior court may have erred as to Aguilar's Cartwright Act cause of action, Aguilar cannot raise any complaint, for any such error could have benefited her alone. The superior court appears to have concluded that, in order to carry their initial burden of production, the petroleum companies had to present evidence that conclusively negated an unlawful conspiracy.
At trial, Aguilar as plaintiff would have borne the burden of proof by a preponderance of the evidence as to her unfair competition law cause of action. Again, as a general rule, the party desiring relief bears the burden of proof by a preponderance of the evidence. So it is here.
The petroleum companies carried their burden of persuasion to show that there was no triable issue of material fact and that they were entitled to judgment as a matter of law as to Aguilar's unfair competition law cause of action. They did so by doing so as to her Cartwright Act cause of action. Again, they carried their burden of production to make a prima facie showing of the absence of any conspiracy, but she did not carry her shifted burden of production to make a prima facie showing of the presence of an unlawful one.
It is true, as Aguilar argues, that her unfair competition law cause of action is not based on allegations asserting a conspiracy unlawful under the Cartwright Act. But it is indeed based on allegations asserting a conspiracy, specifically, one unlawful at least under the unfair competition law itself. As stated, the petroleum companies showed that there was no triable issue of the material fact of conspiracy. Aguilar claims that conspiracy is not an element of an unfair competition law cause of action in the abstract as a matter of law. Correctly so. (See Bus. & Prof. Code, § 17200.) But she simply cannot deny that conspiracy is indeed a component of the unfair competition law cause of action in this case as a matter of fact.
V
For the reasons stated above, we conclude that we must affirm the judgment of the Court of Appeal.
It is so ordered.
WE CONCUR: GEORGE, C.J., KENNARD, J., CHIN, J., BROWN, J., HOLLENHORST, J.,
FootNotes
Language in certain decisions purportedly requiring a defendant moving for summary judgment to conclusively negate an element of the plaintiff's cause of action (see, e.g., Sharon P. v. Arman, Ltd. (1999) 21 Cal.4th 1181, 1188, 91 Cal.Rptr.2d 35, 989 P.2d 121; Calvillo-Silva v. Home Grocery (1998) 19 Cal.4th 714, 735-736, 80 Cal.Rptr.2d 506, 968 P.2d 65; Kovatch v. California Casualty Management Co. (1998) 65 Cal.App.4th 1256, 1266, 77 Cal.Rptr.2d 217) derives from summary judgment law as it stood prior to the 1992 and 1993 amendments, does not reflect such law as it stands now, and is accordingly disapproved. Similarly, the holding of certain decisions recognizing such a requirement under summary judgment law as it stood prior to the 1992 and 1993 amendments (see, e.g., Molko v. Holy Spirit Assn., supra, 46 Cal.3d at p. 1107, 252 Cal.Rptr. 122, 762 P.2d 46) is no longer vital inasmuch as such law as it stands now is materially different.
Language in certain decisions purportedly allowing a defendant moving for summary judgment simply to "point[ ]" out "an absence of evidence to support" an element of the plaintiff's cause of action (e.g., Hunter v. Pacific Mechanical Corp., supra, 37 Cal.App.4th at p. 1288, 44 Cal.Rptr.2d 335, italics in original) does not reflect summary judgment law as it has ever stood, and is accordingly disapproved.
We need not, and do not, consider whether summary judgment law in this state now conforms to its federal counterpart as clarified and liberalized in Matsushita with respect to a plaintiff's "implausible" antitrust cause of action asserting an unlawful conspiracy under section 1 of the Cartwright Act. See, ante, 107 Cal.Rptr.2d at page 858, footnote 5, 24 P.3d at page 508, footnote 5. That is because, as even the petroleum companies themselves admit, Aguilar's claim, whatever its merits, is far from implausible.
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