HLV, LLC v. Page & Stewart

303 F. Supp. 3d 580
CourtDistrict Court, W.D. Michigan
DecidedMarch 28, 2018
DocketNo. 1:13–cv–1366
StatusPublished

This text of 303 F. Supp. 3d 580 (HLV, LLC v. Page & Stewart) is published on Counsel Stack Legal Research, covering District Court, W.D. Michigan primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
HLV, LLC v. Page & Stewart, 303 F. Supp. 3d 580 (W.D. Mich. 2018).

Opinion

Paul L. Maloney, United States District Judge

Conversations between lawyers and judges within the confines of the judge's chambers are generally afforded the utmost confidentiality. But do participants to inappropriate ex parte communications maintain a reasonable expectation of privacy in their statements? How about when the negligence of one participant exposes the communication to opposing counsel via an open phone line? And what if the judge's office door remains open, within earshot of chambers staff and members of the public who call on the judge? These questions are now before the Court pursuant to Defendant Kelly Page's motion to suppress any recording of an ex parte communication he had with Defendant Stewart and Judge Paul Hamre on May 10, 2013-as well as any fruit stemming from the recordings.1

I.

This is an action under § 1983 based on an alleged conspiracy to deprive Plaintiff, HLV, LLC, of its constitutional right to due process. HLV alleges that Defendants *582Gary Stewart and Kelly Page conspired with former state court judge Paul Hamre in a debt collection action.

As part of the debt collection litigation, the parties had a status conference on May 10, 2013. Kelly Page, and Gary Stewart, Jr. (both representing ELC) participated from Judge Hamre's office. William Donovan (also representing ELC) appeared by telephone.

HLV's representatives (Donovan Visser, Donald Visser, Rebecca Baker, and Robert Baker) also joined by phone. Both Donald Visser and Robert Baker used audio recorders to capture the contents of the hearing. After discussing the status of the case for approximately one hour, Hamre set the matter for a hearing the following Monday and concluded the status conference. The participants in Hamre's office heard a click-William Donovan hanging up. However, the HLV representatives remained on the line, and Hamre took no other action to disconnect the call.

Judge Hamre, Page, and Stewart then engaged in an ex parte conversation that was recorded without their knowledge. They discussed the case, cracked jokes, and described HLV's attorneys with derogatory terms, and Judge Hamre expressed his willingness to revise the settlement and continue the injunction. At some point, Judge Hamre's secretary, Peggy Grote, entered the office with a report HLV submitted, but Judge Hamre instructed her to throw it away.

II.

The instant motion is brought pursuant to the Electronic Communications Privacy Act of 1986 ("Title III") and seeks suppression of all evidence stemming from the recording of the ex parte conversation. (ECF No. 392.) Title III makes it unlawful to "intentionally intercept[ ]... any wire, oral, or electronic communication." 18 U.S.C. § 2511(1)(a). The Act defines "intercept" to mean "the aural or other acquisition of the contents of any wire, electronic, or oral communication through the use of any electronic, mechanical, or other device." Id. § 2510(4). In addition to criminal and civil penalties, Title III mandates that any evidence obtained in violation of the Act may not be used in any legal proceeding. Id. § 2515.

But Title III does not protect all conversations-or even all conversations that are secretly recorded. It covers "oral communications," which are defined as "any oral communication uttered by a person exhibiting an expectation that such communication is not subject to interception under circumstances justifying such expectation." Id. § 2510(2).

The Sixth Circuit has held that a person engages in protected oral communication only if he or she exhibited "an expectation of privacy that is both subjectively and objectively reasonable." Dorris v. Absher , 179 F.3d 420, 425 (6th Cir. 1999). This assessment parallels the reasonable-expectation-of-privacy test articulated by Justice Harlan in Katz v. United States , 389 U.S. 347, 361, 88 S.Ct. 507, 19 L.Ed.2d 576 (1967) (Harlan, J., concurring). The Sixth Circuit recently formulated the question as: "(1) whether a person exhibited an expectation of privacy [in his oral communications] and (2) whether that expectation was reasonable." Huff v. Spaw , 794 F.3d 543, 550 (6th Cir. 2015).

III.

Defendant Page's written brief misses the mark because it focuses exclusively on the definition of intercept and omits any discussion of what is or is not a covered "oral communication" under Title III. At oral argument, Defendants argued that they had an expectation of privacy in their communications because communications in a judge's chambers are confidential and *583because they had no reason to suspect that Judge Hamre failed to hang up his office phone.

The discussion at oral argument largely focused on a Sixth Circuit case identified by HLV, Huff v. Spaw , cited supra. There, a business executive (the "Executive") pocket-dialed another employee of his organization. Executive had two conversations while the pocket-call continued: a forty-minute call with another coworker on a private balcony and a shorter conversation with his wife from the privacy of their hotel room. The recipient of the pocket-dial quickly discerned that Executive had not intended to place a call to her, but instead of hanging up, she listened, took notes, and eventually recorded the last four minutes of the call.

Executive and his wife filed a civil suit against the recipient under the private right of action provided by Title III. The district court granted summary judgment to defendant, finding that neither the Executive nor his wife had an objectively reasonable expectation of privacy in their statements. Instead, the court held that:

it was unreasonable for Plaintiffs to expect that their face-to-face conversations would not be overheard by someone on the other end of a pocket dial phone call. If Plaintiffs expected that their conversations would not be overheard and recorded as they were, they could have done something to prevent it from happening.

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Related

Katz v. United States
389 U.S. 347 (Supreme Court, 1967)
Caro v. Weintraub
618 F.3d 94 (Second Circuit, 2010)
Pamela A. Dorris v. Charles Absher and Della Absher
179 F.3d 420 (Sixth Circuit, 1999)
Bertha Huff v. Carol Spaw
794 F.3d 543 (Sixth Circuit, 2015)
Huff v. Spaw
995 F. Supp. 2d 724 (E.D. Kentucky, 2014)

Cite This Page — Counsel Stack

Bluebook (online)
303 F. Supp. 3d 580, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hlv-llc-v-page-stewart-miwd-2018.