Shukh v. Seagate Technology, LLC

872 F. Supp. 2d 851, 2012 WL 2580300, 2012 U.S. Dist. LEXIS 93854
CourtDistrict Court, D. Minnesota
DecidedJune 29, 2012
DocketCivil No. 10-404 (JRT/JJK)
StatusPublished
Cited by15 cases

This text of 872 F. Supp. 2d 851 (Shukh v. Seagate Technology, LLC) is published on Counsel Stack Legal Research, covering District Court, D. Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Shukh v. Seagate Technology, LLC, 872 F. Supp. 2d 851, 2012 WL 2580300, 2012 U.S. Dist. LEXIS 93854 (mnd 2012).

Opinion

MEMORANDUM OPINION AND ORDER AFFIRMING THE DECEMBER 15, 2011 ORDER OF THE MAGISTRATE JUDGE

JOHN R. TUNHEIM, District Judge.

Shukh objects to the Magistrate Judge’s Order (Docket No. 251) granting in part and denying in part his motion to compel document production. The Court has carefully considered Shukh’s timely objections. Because the Court finds that the Magistrate Judge’s conclusions are neither clearly erroneous nor contrary to law, the Court will overrule Shukh’s objections. See Fed.R.Civ.P. 72(a).

BACKGROUND1

Shukh worked at Seagate from 1997 until 2009. (Am. Compl. ¶¶ 33, 34, Apr. 7, 2010, Docket No. 7.) Following his notice of termination, Shukh made copies of over 49,000 pages of Seagate’s documents. (Hr’g Tr. at 36:10-16, Sept. 28, 2010, Docket No. 64.) Shukh alleges that these documents are proof of his inventorship rights at issue in claims against Seagate. (Am. Compl. ¶ 330.) On November 30, 2011 the Court ordered Shukh to return all of the documents that he had copied and taken from Seagate prior to and following his [854]*854termination notice. (Mem. Op. & Order at 21, Docket No. 242.) In response to discovery requests, Seagate produced documents to Shukh including some that Shukh had taken from Seagate. Among the documents Seagate produced were Shukh’s five invention disclosures over which Sea-gate had previously asserted privilege.

Seagate, however, continued to withhold 575 documents that Shukh requested on the basis of privilege. Shukh moved to compel Seagate to produce the allegedly privileged documents, and the Magistrate Judge granted that motion in part. (Order and Mem., Dec. 15, 2011, Docket No. 251 [hereinafter “Order”].) Specifically, the Magistrate Judge found that — in light of Seagate’s production of Dr. Shukh’s invention disclosures — Seagate had waived privilege over communications related to the subject matter of the invention disclosures. (Id. at 10.) The Magistrate Judge rejected Shukh’s other waiver theories. Shukh now objects.

ANALYSIS

I. STANDARD OF REVIEW

The Court must set aside those portions of the Magistrate Judge’s order that are “clearly erroneous or contrary to law.” Fed.R.Civ.P. 72(a). “A finding is ‘clearly erroneous’ when although there is evidence to support it, the reviewing court on the entire evidence is left with the definite and firm conviction that a mistake has been committed.” Chakales v. Comm’r, 79 F.3d 726, 728 (8th Cir.1996) (quotation marks and citation omitted). “A decision is ‘contrary to law1 when it ‘fails to apply or misapplies relevant statutes, case law or rules of procedure.’ ” Knutson v. Blue Cross and Blue Shield of Minn., 254 F.R.D. 553, 556 (D.Minn.2008).

II. SUBJECT MATTER WAIVER

The Magistrate Judge held that Seagate’s production of the disclosure forms constituted waiver of privilege over the subject matter of those disclosures. Arguing on appeal that the scope of this waiver was too narrow, Shukh continues to seek “all communications regarding inventorship for all inventions,” whether Shukh’s or others’. (Pl.’s Objections at 16-17, Dec. 28, 2011, Docket No. 252.) Shukh, however, offers no legal argument as to why the scope of subject matter waiver articulated by the Magistrate Judge is contrary to law. Rather, Shukh simply states that because the case involves inventorship, waiver should include all communications about inventorship. (PL’s Objections at 17.)

Federal common law governs privilege issues with respect to federal claims. Fed. R.Evid. 501. The proper scope of subject matter waiver is a fact-intensive inquiry. Fort James Corp. v. Solo Cup, 412 F.3d 1340, 1349-50 (Fed.Cir.2005) (“There is no bright line test for determining what constitutes the subject matter of a waiver, rather courts weigh the circumstances of the disclosure, the nature of the legal advice sought and the prejudice to the parties of permitting or prohibiting further disclosures.”). The Magistrate Judge carefully weighed the circumstances and competing interests at stake in concluding that a limited subject-matter waiver was appropriate. (Order at 5-10.) After reviewing the record, the Court is convinced that the Magistrate Judge’s conclusion is neither clearly erroneous nor contrary to law. The invention disclosures that Sea-gate produced describe inventions that Shukh claims he made while at Seagate. It is far from clear why, as Shukh argues, that limited subject matter should be expanded to embrace all inventions. Moreover, Federal Rule of Evidence 502(a) speaks in terms of the subject matter of the disclosed and undisclosed communications, not — as Shukh would have it — the subject matter of the case as a whole. Shukh’s request to expand the scope of [855]*855waiver to include “all communications about inventorship — Plaintiffs or other[s]’,” (PL’s Objections at 17), will therefore be denied.

A. Common Interest Doctrine

The Magistrate Judge found the common interest doctrine and joint representation privilege inapplicable to Shukh’s motion. (Order at 10-11.) Shukh appears to argue that the Magistrate Judge’s observation, in a different part of the Order, that Shukh and Seagate’s interests were “aligned” means that they shared a common legal interest entitling Shukh to the documents he requests.2

Two concepts are at play here. First, in order to implicate the joint representation privilege, two or more clients must consult an attorney on matters of common interest; the communications between the clients and the attorney are privileged as against third parties, but not among the joint clients. Cavallaro v. United States, 284 F.3d 236, 249-50 (1st Cir.2002). This privilege only attaches if an attorney-client relationship is formed. Mass. Eye & Ear Infirmary v. QLT Phototherapeutics, Inc., 167 F.Supp.2d 108, 116 (D.Mass.2001). The “common interest” doctrine, by contrast, is “an exception to the general rule that the attorney-client privilege is waived when privileged information is disclosed to a third party,” Cavallaro, 284 F.3d at 250, and it applies if the privilege-holder discloses privileged documents to a third party with which it shared a common interest. Merck Eprova AG v. ProThera, Inc., 670 F.Supp.2d 201, 211 (S.D.N.Y.2009). The doctrine permits disclosure without waiver as long as the party claiming the exception demonstrates that the parties communicating: “(1) have a common legal, rather than commercial, interest; and (2) the disclosures are made in the course of formulating a common legal strategy.” Merck Eprova AG, 670 F.Supp.2d at 211; see also 24 Charles Alan Wright & Kenneth W. Graham, Jr., Federal Practice and Procedure § 5505 (1st ed.

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872 F. Supp. 2d 851, 2012 WL 2580300, 2012 U.S. Dist. LEXIS 93854, Counsel Stack Legal Research, https://law.counselstack.com/opinion/shukh-v-seagate-technology-llc-mnd-2012.