Bobrow v. Bobrow

810 N.E.2d 726, 2004 WL 1336733
CourtIndiana Court of Appeals
DecidedJune 16, 2004
Docket29A02-0302-CV-108
StatusPublished
Cited by6 cases

This text of 810 N.E.2d 726 (Bobrow v. Bobrow) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bobrow v. Bobrow, 810 N.E.2d 726, 2004 WL 1336733 (Ind. Ct. App. 2004).

Opinions

OPINION

VAIDIK, Judge.

Case Summary

This appeal stems from the high-profile dissolution proceedings involving Janet L. and Richard S. Bobrow. The issues presented on appeal do not involve the terms of the dissolution decree. In fact, the parties' marriage was ultimately dissolved via a private and confidential settlement agreement, which the trial court approved. Instead, this appeal involves parties who intervened in the dissolution proceedings to address the key issue of whether the Indiana Access to Public Records Act, Indiana Code §§ 5-14-3-1 to -10 ("the Public Records Act" or "the Act"), permits a trial court to seal public records-which fall within a mandatory exception to the public access provisions of the Act-after those records are admitted into evidence at trial. Based on the plain and clear meaning of the Public Records Act, we conclude that the Act permits the trial court to seal public records that fall within a mandatory exeeption to the Act either before or after they are admitted into evidence. We also conclude that this is a right that a party can waive.

Facts and Procedural History

In March 2000, Janet filed a Petition for Dissolution of Marriage against her then-husband Richard before Judge Nation in the Hamilton Superior Court. At the time, Richard was a partner and the global chief executive officer of Ernst & Young ("E & Y"), which is one of the four largest accounting firms in the world.

As part of the dissolution proceedings, Janet served non-party discovery requests on E & Y seeking a wide range of documents relating to Richard's financial inter[729]*729est in E & Y, the internal governance and financial condition of E & Y, and the sale of E & Y's consulting business to Cap Gemini, a French information technology company. Janet also served non-party discovery requests on Cap Gemini seeking information related to its purchase of E & Y's consulting business.

Because E & Y is a privately-held firm and is not required to disclose its financial information to the public (and in fact does not do so), Janet and Richard stipulated to, and the trial court approved, two Protective Orders that would "protect the confidential status of protected information during discovery," one for E & Y and the other for Cap Gemini. Appellants' App. p. 31, 37. The Protective Orders contained similar language1 and provided that protected information, as defined therein, "shall be used only for the conduct of this litigation and for no other purpose whatsoever, and shall not be given, shown, made available, or communicated in any way" exeept to certain designated individuals, such as court personnel, the parties and their attorneys, outside experts, and witnesses or deponents. Id. The Protective Orders, which were to continue in effect even after the dissolution proceedings were concluded, also provided that "[pjro-visions for the use of such information at trial similarly shall be made by agreement or by pre-trial order governing the use and protection of the record, consistent with controlling law relating to public access to judicial documents." Id. at 38-34, 41. Based on its understanding and assurances from Janet's attorney that the documents Janet requested were covered by the Protective Orders and therefore would not be disclosed to the public either during or after the dissolution proceedings, E & Y and Cap Gemini produced the documents.

The trial court conducted the final hearing in the dissolution proceedings in October 2001. Prior to the hearing, which was open to the public, Janet and Richard stipulated to the admissibility of the documents that were produced by E & Y and designated as confidential pursuant to the Protective Orders. During the hearing, Janet-who had not notified E & Y and Cap Gemini either before or after the hearing-admitted the documents into evidence. Richard neither objected to the admission of the exhibits based on their confidentiality nor moved to seal the exhibits. Additionally, Janet and Richard did not enter into an agreement or seek a pretrial order governing the use of the protected information at trial. Nearly a year later, in September 2002, the trial court entered its Decree of Dissolution.2 Because of the sensitive financial information revealed in the decree concerning E -& Y and Cap Gemini, the Decree of Dissolution generated nationwide publicity, See David Cay Johnston, Ernst Finances are Disclosed in Documents in a Divorce, N.Y. Times, Oct. 15, 2002, at C1.

In response to numerous requests for the actual trial exhibits, including one by The New York Times ("The Times"), the trial court conducted a conference with the attorneys for Janet and Richard. Neither attorney opposed the release of the exhib[730]*730its. Three days after the article was published in The Times, E & Y filed a Motion to Seal Certain Trial Exhibits and Trial Testimony, which it later supplemented, on grounds that eighteen of the exhibits3 contained trade secrets and confidential financial information, which are specifically excepted from the public access provisions of the Public Records Act. Because some of the eighteen exhibits also contained trade secrets and confidential financial informa'tion of Cap Gemini, it later joined this motion. Thereafter, The Times filed a Motion to be Heard Prior to Any Determination to Seal Exhibits and Transcripts.4

In November 2002, the trial court conducted a hearing on the Motion to Seal. The Times was present and participated in the hearing. On January 8, 2008, the trial court issued detailed Findings of Fact, "Conclusions of Law and Order denying the Motion to Seal. Specifically, the trial court found that the eighteen exhibits contgined trade secrets and confidential financial information. Despite its acknowledgement that trade secrets and confidential financial information are excepted from the public access provisions of the Public Ree-ords Act, the trial court concluded:

While it is clear that the parties did not comply with the terms of the Protective Orders, there is no statute or case law that permits the Court to seal trade secrets and/or confidential financial information after they have become part of the public record.... Therefore, because [E & Y] and Cap Gemini's trade secrets and confidential financial information were not sealed prior to becoming part of the public record, the confidentiality was lost, and the Court cannot retroactively alter the status of such documents.... While [the eighteen exhibits] qualify as trade secrets and/or confidential [financial] information, at this stage in the proceedings, they cannot be excepted from disclosure under Ind.Code § 5-14-3-4(a)(4)-(5), and [E & Y] and Cap Gemini's MOTIONS TO SEAL should be DENIED.

Appellants' App. p. 101, 102. Shortly thereafter, The Times obtained copies of the exhibits and published an article on January 14, 2008.5 See David Cay Johnston & Jonathan D. Glater, Ernst & Young Financial Details are Disclosed in Divoree Case, N.Y. Times, Jan. 14, 2008, at [731]*731C1. A stay on the Order denying the Motion to Seal was obtained before the public or other members of the media were able to obtain the exhibits.

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Bobrow v. Bobrow
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Bluebook (online)
810 N.E.2d 726, 2004 WL 1336733, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bobrow-v-bobrow-indctapp-2004.