In re Application Pursuant to 28 U.S.C. § 1782 for an Order Permitting Christen Sveaas to Take Discovery from Dominique Levy, L & M Galleries & Other Non-Participants for Use in Actions Pending in the Norway

249 F.R.D. 96, 2008 U.S. Dist. LEXIS 30617, 2008 WL 919707
CourtDistrict Court, S.D. New York
DecidedApril 1, 2008
DocketNo. M19-70
StatusPublished
Cited by9 cases

This text of 249 F.R.D. 96 (In re Application Pursuant to 28 U.S.C. § 1782 for an Order Permitting Christen Sveaas to Take Discovery from Dominique Levy, L & M Galleries & Other Non-Participants for Use in Actions Pending in the Norway) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re Application Pursuant to 28 U.S.C. § 1782 for an Order Permitting Christen Sveaas to Take Discovery from Dominique Levy, L & M Galleries & Other Non-Participants for Use in Actions Pending in the Norway, 249 F.R.D. 96, 2008 U.S. Dist. LEXIS 30617, 2008 WL 919707 (S.D.N.Y. 2008).

Opinion

OPINION & ORDER

JOHN F. KEENAN, District Judge.

BACKGROUND

Petitioner Christen Sveaas seeks an order (i) pursuant to Federal Rule of Civil Procedure 37(a), compelling Respondents Dominique Levy (“Levy”) and L & M Galleries to provide discovery in conformance with an October 1, 2007 stipulation (the “Levy Application”); and (ii) pursuant to 28 U.S.C. § 1728, compelling Respondent David Martinez (“Martinez”) to produce documents and appear at a deposition in aid of discovery for three actions that are pending in Norway and France (the “Martinez Application”). The present applications are before me as the Part One judge.1 For the following reasons, the applications are in part granted and in part denied.

Christen Sveaas (“Sveaas”), a Norwegian art collector, entered into contracts on July 16, 2007 with Alexandra Botez and Cecilia Botez to purchase “Miss Pogany,” a sculpture by the renowned Romanian artist Constantin Brancusi (the “July 16 Agreements”). On August 24, 2007, Alexendru Botez, Avaro Botez, and Rodica Botez entered into an agreement whereby the Botezes sold “Miss Pogany” to Studio Capital, a Belize company, for 10 million euros (the “Studio Capital Agreement”). The Studio Capital Agreement references the July 16 Agreements and states that those agreements are invalid. The Studio Capital Agreement and a related “Side Agreement” also acknowledge the existence of pending litigation initiated by the Romanian government for repatriation of “Miss Pogany” (the “Romanian proceedings”) and contain several different payment options that are exercisable depending on the outcome of the Romanian proceedings.

As a result of being unable to purchase “Miss Pogany” pursuant to the July 16, 2007 Agreements, Sveaas commenced two actions in Norwegian courts and one action in a Parisian court.

First, on August 31, 2007, Sveaas obtained an ex parte order from an Oslo “execution and enforcement” court, enjoining Aexandra and Cecilia Botez from selling “Miss Pogany.” At the time the injunction was issued, however, the Botezes had already sold “Miss Pogany” to Studio Capital.

Second, also on August 31, 2007, Sveaas obtained from a court in Paris an ex parte order directing Avaro Botez (the only member of the Botez family over whom the French court exercised jurisdiction) to deposit “Miss Pogany” in escrow with a Parisian bank. Avaro Botez did not comply with this order because, he claimed, the sculpture had already been sold to Studio Capital and thus was no longer in his possession or control. On September 18, 2007, Sveaas obtained an [99]*99additional order from the Parisian court, pursuant to which Alvaro Botez was fined 5000 euros a day until he complied with the order of August 31, 2007. In November 2007, the Parisian court denied Alvaro Botez’s motion to have the August and September orders retracted. Alvaro Botez appealed the denial of his motion for retraction. On February 15, 2008, while the present applications were pending, the County Court of Paris denied Alvaro Botez’s appeal, ordered Botez to pay Sveaas 560,000 euros plus court costs, and imposed a fine of 8000 euros per day on Botez for three months.

Third, on October 12, 2007, Sveaas commenced a breach-of-contract action against the Botezes in Oslo city court. In that lawsuit, Sveaas sought a declaratory judgment that the July 16 Agreements were valid and binding and sought damages for the Botezes’ breach of those agreements. That ease remains pending.

On September 24, 2007, Sveaas filed an application in the Southern District of New York, pursuant to 28 U.S.C. § 1728, through which he sought discovery from Levy and L & M Galleries, in aid of the pending actions in Norway and France. Levy is an art broker and principal of L & M Galleries who was involved in the Botezes’ sale of “Miss Pogany” to Studio Capital. Levy was originally retained by the Botezes to find a buyer for “Miss Pogany”. Although the parties argue, as discussed below, whether Levy is more aptly characterized as an “agent” or a “broker,” it is clear that her role in the transaction was that of an intermediary who facilitated the transaction between the Botezes and Studio Capital.2

Originally, Sveaas sought broad categories of discovery from Levy. For the sake of efficiency, however, Sveaas and Levy agreed to enter into a stipulation that limited the scope of discovery. On October 1, 2007, Judge Duffy so-ordered the parties’ proposed discovery stipulation (the “Agreed Order”), which provided for Levy to produce “i) the contract of sale, bill of sale of ‘Miss Pogany,’ and any contract documents related thereto, and, ii) all non-privileged documents relating to any negotiations on or after July 1, 2007 between any members of the Botez family and the purchaser of ‘Miss Pogany’ under the contract and bill of sale referenced in the preceding subparagraph. For all documents claimed as privileged, a privilege log shall be provided.” (Aff. Of Donald Kennedy, Ex. 2 HI.) The Agreed Order also provided for Levy to be deposed regarding the “topics set forth” above and the location of “Miss Pogany,” which remains unknown to Sveaas. (Id. H 2.)

On October 25, 2007, pursuant to the Agreed Order, Levy produced documents and attended a deposition. However, Levy refused to disclose and submitted a privilege log that listed certain emails and documents attached thereto which she claimed were protected by attorney client-privilege and the work product doctrine; refused to disclose the invoice of the commission she received from the Botez-Studio Capital transaction, claiming that it was beyond the scope of the Agreed Order; and refused to answer certain questions posed during her deposition as instructed by her counsel. Sveaas claims that Levy’s failure to make full disclosure violates the Agreed Order because (1) neither the attorney-client privilege nor the work product rule applies to the withheld documents; (2) the invoice is within the scope of the Agreed Order; and (3) her attorneys should not have interfered with the deposition. Sveaas seeks an order pursuant to Rule 37(a) to compel Levy to comply fully with the Agreed Order.

On November 20, 2007, Sveaas filed a section 1782 application in the Southern District of New York, seeking discovery from Martinez in aid of the pending lawsuits in Oslo and Paris. On the basis of Levy’s deposition testimony and documents produced by her, Sveaas believes that Martinez acted as an advisor to Studio Capital in connection with its purchase of “Miss Pogany” and worked with Levy to facilitate the transaction. Given Martinez’s likely role in the sale of “Miss Pogany,” Sveaas claims that Martinez may [100]*100have information, regarding the sculpture’s whereabouts and details of the Botez-Studio Capital transaction, that could prove useful to Sveaas’ prosecution of the actions in France and Norway.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Jeanty v. Sciortino
N.D. New York, 2025
Stollman v. Williams
S.D. New York, 2021
Narayanan v. Sutherland Global Holdings Inc.
285 F. Supp. 3d 604 (W.D. New York, 2018)
In Re Application of Alves Braga
789 F. Supp. 2d 1294 (S.D. Florida, 2011)
In Re Veiga
746 F. Supp. 2d 8 (District of Columbia, 2010)
Gucci America, Inc. v. Guess?, Inc.
271 F.R.D. 58 (S.D. New York, 2010)

Cite This Page — Counsel Stack

Bluebook (online)
249 F.R.D. 96, 2008 U.S. Dist. LEXIS 30617, 2008 WL 919707, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-application-pursuant-to-28-usc-1782-for-an-order-permitting-nysd-2008.