HF Sinclair Refining & Marketing LLC v. NextEra Energy Marketing LLC

CourtDistrict Court, N.D. Texas
DecidedFebruary 26, 2025
Docket3:23-cv-01798
StatusUnknown

This text of HF Sinclair Refining & Marketing LLC v. NextEra Energy Marketing LLC (HF Sinclair Refining & Marketing LLC v. NextEra Energy Marketing LLC) is published on Counsel Stack Legal Research, covering District Court, N.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
HF Sinclair Refining & Marketing LLC v. NextEra Energy Marketing LLC, (N.D. Tex. 2025).

Opinion

UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF TEXAS DALLAS DIVISION

HF SINCLAIR REFINING & § MARKETING LLC (F/K/A § HOLLYFRONTIER REFINING & § MARKETING LLC), § § Plaintiff, § § Civil Action No. 3:23-CV-1798-X § v. § § NEXTERA ENERGY MARKETING, § LLC, § § Defendant. §

MEMORANDUM OPINION AND ORDER

Before the Court are six motions for leave to file under seal. The Court has analyzed the proposed sealed documents line-by-line and page-by-page, weighing the public’s right of access against the interests favoring nondisclosure. Upon review, the Court FINDS AS MOOT the motion for leave to file under seal at Doc. 127. The Court further GRANTS IN PART, CONDITIONALLY GRANTS IN PART, and DENIES WITHOUT PREJUDICE IN PART the motions for leave to file under seal at Docs. 132, 136, and 137. The Court CONDITIONALLY GRANTS IN PART and DENIES WITHOUT PREJUDICE IN PART the motions for leave to file under seal at Docs. 138 and 139. The Court INSTRUCTS the Clerk to maintain provisional sealing of all documents currently under seal, except the Court’s order at Doc. 122, which the Clerk shall unseal. Lastly, the Court ORDERS the parties to comply with the instructions contained in this order within seven days of the issuance of this order. I. Legal Standards

The Court takes very seriously its duty to protect the public’s access to judicial records.1 Transparency in judicial proceedings is a fundamental element of the rule of law—so fundamental that sealing and unsealing orders are immediately appealable under the collateral-order doctrine.2 The public’s right to access judicial records is independent from—and sometimes even adverse to—the parties’ interest.3 That’s why the judge must serve as the representative of the people and, indeed, the

First Amendment, in scrutinizing requests to seal. Litigants may very well have a legitimate interest in confidential discovery secured by a protective order under Federal Rule of Civil Procedure 26(c). However, “[t]hat a document qualifies for a protective order under Rule 26(c) for discovery says nothing about whether it should be sealed once it is placed in the judicial record.”4 Here, the parties conducted discovery under a Rule 26(c) protective order and marked various documents “confidential.” Now that a party wishes to file some of those

documents under seal on the judicial record, a much more strenuous standard kicks in.

1 See Binh Hoa Le v. Exeter Fin. Corp., 990 F.3d 410, 418 (5th Cir. 2021). 2 June Med. Servs. v. Phillips, 22 F.4th 512, 519 (5th Cir. 2022). 3 Id. 4 Id. at 521 (emphasis in original). “To decide whether something should be sealed, the court must undertake a document-by-document, line-by-line balancing of the public’s common law right of access against the interests favoring nondisclosure.”5 If the Court seals information,

it must give sufficient reasons to allow for appellate review.6 Finally, “[p]ublicly available information cannot be sealed.”7 II. Legal Analysis A. Motion 132 Motion 132 is Sinclair’s latest motion for leave to file under seal, which is a replica of the motion filed at Doc. 127. Therefore, the Court FINDS AS MOOT the

motion at Doc. 127. The Court has reviewed every proposed redaction and document, conducting a page-by-page, line-by-line analysis. From that analysis the Court GRANTS IN PART, CONDITIONALLY GRANTS IN PART, and DENIES WITHOUT PREJUDICE IN PART the motion for leave to file under seal. (Doc. 132). In short, unless otherwise noted, the Court GRANTS the motion to seal because the information contained in the documents is commercially sensitive information or is

under copyright, which could harm an important business relationship for Sinclair. There are only a couple hiccups in the motion to seal that the Court brings to Sinclair’s attention.

5 Id. (cleaned up). 6 Binh Hoa Le, 990 F.3d at 419. 7 June Med. Servs., 22 F.4th at 520. First, Sinclair asked to seal Doc. 86-4 at Ex. 5 because it contains a sensitive portion of Lokay’s deposition at 204:12-15. But that document does not contain those lines of the deposition. Therefore, the Court DENIES WITHOUT PREJUDICE the

motion to seal with respect to Doc. 86-4 at Ex. 5. Second, Sinclair seeks to keep under seal two sets of information: Doc. 89-2 at Exs. 28, 29, 30, 33, 49; Doc. 101-6 at Ex. 10; Doc. 106-4 at Ex. 19; Doc. 106-6 at Exs. 37–38 and Doc. 86-7 at Ex. 15; Doc. 86-8 at Ex. 18; Doc. 86-9 at Ex. 19; Doc. 89-2 at Ex. 35; Doc. 106-3 at Ex. 15; Doc. 106-4 at Ex. 20. These do not appear in redacted form on the docket. Because these are Sinclair records, but appear in NextEra filings,

the Court ORDERS the parties to confer concerning filing redacted versions and for NextEra to file supplemental public appendices that contain properly redacted8 versions within seven days of the date of this order. Accordingly, as to this information, the Court DENIES WITHOUT PREJUDICE the motion. Lastly, Sinclair seeks to seal certain portions of different depositions. First, the Lokay Deposition contains several pieces of information that should be sealed. That information is housed at 61:16–62:3, 65:5–16, 68:16–25, 71:22– 72:7, 112:12–19,

119:23–120:1, 178:22–179:7, 204:12-15; 210:6–212:8, 212:25–213:16, 214:2–215:1. Sinclair also seeks to seal information in the Smedley Deposition at 90:19–21, 93:13–

8 By “properly redacted” the Court refers to weighing the public interest against the private interest. The redactions should be enough to protect the sensitive information, but not more than necessary to protect that information such that the public may still exercise its right to view adjudicative documents. When it comes to transcripts, the only information that should be redacted are the specific redactions that the Court has approved in this order. 22, 95:19–22, 96:21–98:10, 100:1–100:99, 107:22–108:15, 110:21–111:7, 111:19–112:5, 138:3–10, 139:19–22, 140:4–11, 140:21–141:2, 162:13–163:12, 174:4–16, 178:8–179:6, 186:8–188:4; 190:9–12, 190:17–191:1. Sinclair seeks to seal the Dunbar Deposition

at 67:3–8. Sinclair seeks to seal the Lerman Deposition at 305:1–6, 305:17–23, 310:22–311:1, 311:15–312:2, 312:25–313:7, 315:21–316:3. The Court finds that each of these excerpts, wherever appearing in the record, shall be sealed considering their commercially sensitive nature. As a result, the Court ORDERS Sinclair and NextEra to publicly file redacted versions of their previous filings consistent with this order within seven days of this order, if they have not already done so. Therefore, the

Court CONDITIONALLY GRANTS the motion as to the depositions provided that the parties comply with the above order. B. Motions 136, 137, 138, and 139 The Court GRANTS IN PART, CONDITIONALLY GRANTS IN PART, and DENIES WITHOUT PREJUDICE IN PART Docs. 136 and 137. The Court CONDITIONALLY GRANTS IN PART and DENIES WITHOUT PREJUDICE IN PART the motions at Docs. 138 and 139.

As for Exhibit 36 in Doc. 136, a communication with a non-party, NextEra fails to show why this needs to be under seal. In litigation, many statements can be made to non-parties. This simple fact is insufficient to keep a document under seal. This is the same as Exhibit 39 in NextEra’s motion at 137 and the same as Exhibit 7 in

9 It is apparent this should be 100:1-100:8. Accordingly, the Court approves sealing for 100:1- 100:8. Doc. 138. Therefore, the Court DENIES WITHOUT PREJUDICE Docs. 136, 137, and 138 as to those documents. If NextEra wishes to refile justifications for those documents, it may do so within seven days of the date of this order; otherwise, the

Court ORDERS NextEra to file those documents on the public docket in the appropriate appendices.

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Related

June Med Svcs v. Phillips
22 F.4th 512 (Fifth Circuit, 2022)

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Bluebook (online)
HF Sinclair Refining & Marketing LLC v. NextEra Energy Marketing LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hf-sinclair-refining-marketing-llc-v-nextera-energy-marketing-llc-txnd-2025.