MR. DEE'S INC.,et al v. INMAR, INC.

CourtDistrict Court, M.D. North Carolina
DecidedJanuary 28, 2021
Docket1:19-cv-00141
StatusUnknown

This text of MR. DEE'S INC.,et al v. INMAR, INC. (MR. DEE'S INC.,et al v. INMAR, INC.) is published on Counsel Stack Legal Research, covering District Court, M.D. North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
MR. DEE'S INC.,et al v. INMAR, INC., (M.D.N.C. 2021).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE MIDDLE DISTRICT OF NORTH CAROLINA MR. DEE’S INC., et al. ) ) Plaintiffs, ) ) v. ) 1:19cv141 ) INMAR, INC., et al. ) ) Defendants. ) MEMORANDUM OPINION AND ORDER This matter comes before the Court on Plaintiffs’ four motions to seal (Docket Entry 171 (the “First Sealing Motion”); Docket Entry 173 (the “Second Sealing Motion”); Docket Entry 176 (the “Third Sealing Motion”); Docket Entry 181 (the “Fourth Sealing Motion”)) (collectively, the “Sealing Motions”). For the reasons that follow, the Court will (1) deny without prejudice the First Sealing Motion’s request to seal “Defendants’ Coupon Valuation Chart” (Docket Entry 171-1), (2) deny the remainder of the First Sealing Motion and the entirety of the Second and Third Sealing Motions, and (3) grant in part the Fourth Sealing Motion. INTRODUCTION Plaintiffs seek to redact or maintain under seal various exhibits filed in connection with three motions: (1) Plaintiffs’ motion (i) to postpone certain deadlines, (ii) to compel Defendants to produce particular data, and (iii) for a status conference (Docket Entry 166) (the “Discovery Motion”); (2) Plaintiffs’ motion for class certification (Docket Entry 150) (the “Certification Motion”); and (3) Defendants’ motion to exclude one of Plaintiffs’ experts (Docket Entry 160) (the “Expert Motion”). The First and Fourth Sealing Motions reference exhibits attached to Plaintiffs’ memorandum (Docket Entry 167) (the “Discovery Memorandum”) and reply (Docket Entry 179) (the “Discovery Reply”) in support of the Discovery Motion. (See Docket Entry 171 at 1; Docket Entry 181 at 1.) More specifically, the First Sealing Motion addresses the Discovery Memorandum’s Exhibit 10 (Docket Entry 167-10 (“Defendants’ Coupon Valuation Chart”)), Exhibit 11 (Docket Entry 167-11 (“Coupon Strategy and Industry Issues Report”)), and Exhibit 12 (Docket Entry 167-12 (“Coupon Processing Market Pricing Report”)). (See Docket Entry 171 at 1.) The Fourth Sealing Motion, in turn, concerns the following documents filed with the Discovery Reply: Exhibit 21 (Docket Entry 179-3 (“Carolina Services Report”)), Exhibit 23 (Docket Entry 179-5 (“Dr. Grace’s Expert Rebuttal Report”)), and Exhibit 24 (Docket Entry 179-6 (“Excerpts from CCC, CMS, and IOS’s Financial Statements”)). (See Docket Entry 181 at 1–2.) The Second Sealing Motion targets three exhibits accompanying Plaintiffs’ reply (Docket Entry 172) (the “Certification Reply”) in support of the Certification Motion. (See Docket Entry 173 at 1.) In particular, the Second Sealing Motion seeks relief as to Dr. Grace’s Rebuttal Expert Report (Docket Entry 172-1), Defendants’ Coupon Valuation Chart (Docket Entry 172-2),1 and the Carolina 1 Despite bearing the name “Workbook of Coupon Company (continued...) -2- Services Report (Docket Entry 172-3). (See Docket Entry 173 at 2.)2 The Third Sealing Motion pertains to numerous exhibits that Plaintiffs filed alongside their response (Docket Entry 175) (the “Expert Response”) opposing the Expert Motion. (Docket Entry 176 at 1.) Those exhibits consist of Dr. Grace’s Expert Rebuttal Report (Docket Entry 175-1), the Carolina Services Report (Docket Entry 175-7), and Defendants’ Coupon Valuation Chart (Docket Entry 175-12), as well as Exhibit 3 (Docket Entry 175-3 (“CMS Market Share Report”)), Exhibit 6 (Docket Entry 175-6 (“Coupon Processing Marketing Report”)), Exhibit 9 (Docket Entry 175-9 (“Coupon Strategy and Industry Issues Report”)), and Exhibit 11 (Docket Entry 175-11 (“Coupon Strategy Discussion Document”)3). Finally, the Sealing Motions explain that Plaintiffs have redacted portions of the Discovery Memorandum, Discovery Reply, Certification Reply, and Expert Response that quote from or discuss the at-issue exhibits. (See Docket Entries 171 at 1, 173 at 1, 176 at 2, 181 at 1.) 1(...continued) Valuation Charts and Data” in the Second Sealing Motion, that document appears identical to Defendants’ Coupon Valuation Chart in the First Sealing Motion. (Compare Docket Entry 172-2, with Docket Entry 167-10.) 2 Regardless of any differences in naming conventions among the Sealing Motions, the relief sought in the Second Sealing Motion fully overlaps with requests to seal in the First and Fourth Sealing Motions. 3 Exhibit 11, as identified in the Third Sealing Motion, differs from the exhibit so identified in the First Sealing Motion. (Compare Docket Entry 175-11, with Docket Entry 167-11.) -3- Consistent with this Court’s Local Rules, Defendants filed briefs in support of the Sealing Motions (Docket Entry 183 (the “First Sealing Brief”), Docket Entry 184 (the “Second Sealing Brief”), Docket Entry 185 (the “Third Sealing Brief”)) (collectively, the “Sealing Briefs”). See M.D.N.C. LR 5.4(c) (requiring that party claiming confidentiality file brief in support of motion to seal by another party). The First Sealing Brief supports the First and Fourth Sealing Motions. (See Docket Entry 183 (addressing Docket Entries 171, 181).) The Second and Third Sealing Briefs correspond to the Second and Third Sealing Motions, respectively. (See Docket Entry 184 (addressing Docket Entry 173); Docket Entry 185 (addressing Docket Entry 176).) DISCUSSION I. Relevant Standards Under Federal Rule of Civil Procedure 26 (“Rule 26”), “[u]nless otherwise limited by court order, the scope of discovery is as follows: Parties may obtain discovery regarding any nonprivileged matter that is relevant to any party’s claim or defense and proportional to the needs of the case . . . .” Fed. R. Civ. P. 26(b)(1). Rule 26 provides for “[l]iberal discovery . . . for the sole purpose of assisting in the preparation and trial, or the settlement, of litigated disputes.” Seattle Times Co. v. Rhinehart, 467 U.S. 20, 34 (1984). The liberal scope of discovery necessitates that “the trial court . . . have the authority to issue protective orders conferred by Rule 26(c).” Id. Such an order may “limit[] the scope of -4- disclosure or discovery” or require the sealing of certain materials. Fed. R. Civ. P. 26(c). “However, the authority granted to a court under Rule 26(c) to require special handling of information gathered during discovery is constrained by the public’s right of access to judicial records.” Kinetic Concepts, Inc. v. Convatec Inc., No. 1:08CV00918, 2010 WL 1418312, at *7 (M.D.N.C. Apr. 2, 2010).4 “[T]wo independent sources” provide the public with a right of access to such records: “the common law and the First Amendment.” Virginia Dep’t of State Police v. Washington Post, 386 F.3d 567, 575 (4th Cir. 2004). “[Whereas] the common[-]law presumption in favor of access attaches to all ‘judicial records and documents,’ the First Amendment guarantee of access has been extended only to particular judicial records and documents.” Stone v. University of Md. Med. Sys. Corp., 855 F.2d 178, 180 (4th Cir. 1988) (internal citation omitted); see also United States v. Moussaoui, 65 F. App’x 881, 889 (4th Cir. 2003) (“Some . . . documents fall within the common[-]law presumption of access, while others are subject to the greater right of access provided by the First Amendment.”). One or both of those rights of access may apply to discovery materials (even when subject to a Rule 26(c) protective order) if such materials “constitute ‘judicial documents and records.’” 4 “This constraint arises because ‘[t]he operations of the courts and the judicial conduct of judges are matters of utmost public concern.’” Kinetic Concepts, Inc., 2010 WL 1418312, at *7 (quoting Landmark Commc’ns, Inc. v.

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Bluebook (online)
MR. DEE'S INC.,et al v. INMAR, INC., Counsel Stack Legal Research, https://law.counselstack.com/opinion/mr-dees-incet-al-v-inmar-inc-ncmd-2021.