BFAM Asian Opportunities Master Fund, LP v. Glory Health Indus. Ltd

2024 NY Slip Op 34395(U)

• Court: New York Supreme Court, New York County
• Decided: December 16, 2024
• Docket: Index No. 651863/2023
• Status: Unpublished

Opinion

BFAM Asian Opportunities Master Fund, LP v Glory Health Indus. Ltd 2024 NY Slip Op 34395(U) December 16, 2024 Supreme Court, New York County Docket Number: Index No. 651863/2023 Judge: Joel M. Cohen Cases posted with a "30000" identifier, i.e., 2013 NY Slip Op 30001(U), are republished from various New York State and local government sources, including the New York State Unified Court System's eCourts Service. This opinion is uncorrected and not selected for official publication. INDEX NO. 651863/2023 NYSCEF DOC. NO. 123 RECEIVED NYSCEF: 12/16/2024

SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF NEW YORK: COMMERCIAL DIVISION PART 03M -----------------------------------------------------------------------------------X BFAM ASIAN OPPORTUNITIES MASTER FUND, LP, INDEX NO. 651863/2023 BURLINGTON LOAN MANAGEMENT DAC, PARTNER REINSURANCE ASIA PTE LTD, PARTNER REINSURANCE COMPANY LTD, PINNACLE SMART MOTION DATE 09/16/2024 LIMITED, QUANTUM EXPRESS HOLDINGS LIMITED, MOTION SEQ. NO. 004 Plaintiffs,

-v- DECISION + ORDER ON MOTION GLORY HEALTH INDUSTRY LIMITED, ALL AFFLUENT HOLDINGS LIMITED, ALL AFFLUENT HOLDINGS (HK) LIMITED, GLORY (HK) INVESTMENT LIMITED, STATE WEALTH HOLDINGS LIMITED, STATE WEALTH HOLDINGS (HK) LIMITED, WELL AMPLE HOLDINGS LIMITED, WELL AMPLE HOLDINGS (HK) LIMITED

Defendants. -----------------------------------------------------------------------------------X

HON. JOEL M. COHEN:

The following e-filed documents, listed by NYSCEF document number (Motion 004) 73, 76, 78, 97, 98, 99, 100, 101, 102, 103, 104, 105, 107, 108, 109, 110, 111, 112, 113 were read on this motion to SEAL .

Plaintiffs move for an order sealing and/or redacting certain portions of NYSCEF 73, 76,

and 78 filed in connection with Plaintiffs’ Motion for Summary Judgment. Defendants partially

oppose this motion to the extent it seeks to redact information concerning the prices at which

Plaintiffs purchased their respective holdings in the Notes and subsequent market prices and

performance of those Plaintiffs’ respective holdings in the Notes (NYSCEF 107). For the

following reasons, Plaintiffs’ motion is granted.

Pursuant to § 216.1 (a) of the Uniform Rules for Trial Courts, this Court may seal a filing

“upon a written finding of good cause, which shall specify the grounds thereof. In determining

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whether good cause has been shown, the court shall consider the interests of the public as well as

of the parties” (22 NYCRR § 216.1 [a]).

The Appellate Division has emphasized that “there is a broad presumption that the public

is entitled to access to judicial proceedings and court records” (Mosallem v Berenson, 76 AD3d

345, 348 [1st Dept 2010]). “Since the right [of public access to court proceedings] is of

constitutional dimension, any order denying access must be narrowly tailored to serve

compelling objectives, such as a need for secrecy that outweighs the public's right to access”

(Danco Labs., Ltd. v Chemical Works of Gedeon Richter, Ltd., 274 AD2d 1, 6 [1st Dept 2000]

[emphasis added]; see also, e.g. Gryphon Dom. VI, LLC v APP Intern. Fin. Co., B.V., 28 AD3d

322, 324 [1st Dept 2006]). “Furthermore, because confidentiality is the exception and not the

rule, ‘the party seeking to seal court records has the burden to demonstrate compelling

circumstances to justify restricting public access’” (Maxim, Inc. v Feifer, 145 AD3d 516, 517

[1st Dept 2016] [citations omitted]).

The Court has reviewed the proposed redactions for NYSCEF 73, 76, 78 (proposed

redactions filed at NYSCEF 99, 100, and 101; public redacted versions at NYSCEF 74, 77, and

79) and finds that they comport with the applicable sealing standards as laid out in Mosallem, 76

AD3d at 348-50, and its progeny, in that the information proposed to be redacted contains

confidential, commercially-sensitive non-public financial information such as Plaintiffs’

investment objectives, investment performance data, and account numbers, the disclosure of

which could cause competitive harm. Plaintiffs have proposed and justified targeted redactions

that satisfy the requirements of 22 NYCRR § 216.1 (a).

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At this stage, Defendants’ argument that the public interest in the pricing information

outweighs the potential harm to Plaintiffs is unavailing. Defendants have not demonstrated that

this information is relevant, nor have Defendants disputed that Plaintiffs’ businesses involve

trading in notes and other securities in secondary markets or that this information is

commercially sensitive.

This Court reserves the right to revisit this ruling after summary judgment, if necessary.

Accordingly, it is:

ORDERED that the Motion is GRANTED; it is further

ORDERED that the County Clerk shall maintain NYSCEF Document Numbers 74, 77,

and 79 in their current, redacted form; it is further

ORDERED that the County Clerk shall maintain NYSCEF Document Numbers 73, 76,

78, 99, 100, and 101 under seal, so that the documents may only be accessible by the parties,

their counsel, and authorized court personnel; it is further

ORDERED as it related to future submissions, made by any party, that contain subject

matter that the Court has authorized to be sealed by this Order, parties may file a joint

stipulation, to be So Ordered, which will authorize the filing of such future submissions to be

filed in redacted form on NYSCEF, provided that an unredacted copy of any redacted document

is contemporaneously filed under seal; and it is further

ORDERED that the moving party shall serve a copy of this Order with notice of entry

upon the County Clerk’s office; such service upon the County Clerk shall be made in accordance

with the procedures set forth in the Protocol on Courthouse and County Clerk Procedures for

Electronically Filed Cases (accessible at the “E-Filing” page on the court’s website)]; and it is

further

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ORDERED that nothing in this Order shall be construed as authorizing the sealing or

redactions of any documents or evidence to be offered at trial.

12/16/2024 DATE JOEL M. COHEN, J.S.C. CHECK ONE: CASE DISPOSED X NON-FINAL DISPOSITION

□ X GRANTED DENIED GRANTED IN PART OTHER

APPLICATION: SETTLE ORDER SUBMIT ORDER

□ CHECK IF APPROPRIATE: INCLUDES TRANSFER/REASSIGN FIDUCIARY APPOINTMENT REFERENCE

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