Tavoulareas v. Washington Post Co.

111 F.R.D. 653, 5 Fed. R. Serv. 3d 1446, 1986 U.S. Dist. LEXIS 21885
CourtDistrict Court, District of Columbia
DecidedAugust 11, 1986
DocketCiv. A. Nos. 80-3032, 80-2387
StatusPublished
Cited by27 cases

This text of 111 F.R.D. 653 (Tavoulareas v. Washington Post Co.) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tavoulareas v. Washington Post Co., 111 F.R.D. 653, 5 Fed. R. Serv. 3d 1446, 1986 U.S. Dist. LEXIS 21885 (D.D.C. 1986).

Opinion

MEMORANDUM

GASCH, District Judge.

This action is before the Court on remand from the Court of Appeals to consider the motion of the Washington Post Company (“the Post”) and intervenor Reporters Committee for Freedom of the Press to unseal some 3,800 pages of deposition transcripts and some 425 accompanying exhibits. See Tavoulareas v. The Washington Post Co., 737 F.2d 1170, 1173 (D.C.Cir. 1984) (en banc). For the reasons stated below, the Court finds that good cause exists to retain the seal on most of the discovery materials.

I. BACKGROUND

The sealed discovery materials were obtained by the Post as defendant in a libel action brought by Peter Tavoulareas and his father, William Tavoulareas, president of Mobil Corporation (“Mobil”). All the depositions, and exhibits (hereinafter “Mobil discovery materials”) concern Mobil, which initially was not a party to this litigation. Only a few of these items were used at trial, though much of the information contained in them was covered in trial testimony.

This motion has a long and complicated history. On November 5, 1981, in response to the Post’s motion to compel discovery and Mobil’s motion for a protective order pursuant to Fed.R.Civ.P. 26(c), this Court issued a blanket protective order sealing all discovery provided by Mobil and its employees. Tavoulareas, et al. v. Piro, 93 F.R.D. 24 (D.D.C.1981). As explained by the Court at that time,

the Court is convinced that the protective order proposed by Mobil constitutes the best means of resolving the conflict between the legitimate need of [the Post] for prompt, thorough disclosure and the . genuine interest of Mobil in preserving the confidentiality of sensitive corporate documents.

Id. at 29.

The Court, relying on a statement submitted by Walter E. MacDonald, a vice president of Mobil, found that Mobil.made a prima facie showing that the discovery requested encompassed sensitive information concerning Mobil’s dealings in Saudi Arabia and the marine transport business, and that public disclosure could cause Nobil competitive harm. Id. However, in order to minimize the role of the Court in passing on the need for confidentiality of each and every deposition and exhibit, the Court issued a blanket order and advised the parties to proceed as follows: Mobil was to use its best efforts to invoke the terms of the protective order only when necessary to protect legitimately confidential matter, id., n. 2; the Post could challenge the need for protection of particular [655]*655documents when it wished, id., at 30 n. 4; and Mobil had the burden of establishing good cause for retaining protection for documents so challenged. Id.1

Following the close of trial, the Post and intervenors moved to unseal all depositions and pretrial pleadings, including the Mobil discovery materials. The Court granted this motion, unsealing, in effect, almost the entire record herein. Tavoulareas v. The Washington Post Co., Order and Memorandum (D.D.C. June 21, 1983) (hereinafter “June 21 Memorandum”). Relying on this Circuit’s holding in In re Halkin, 598 F.2d 176, 187 (D.C.Cir.1979), the Court found that the first amendment required this Court to impose a heavy burden on Mobil to justify retaining the seal. June 21 Memorandum at 3. The Court concluded Mobil had not met this burden. Id. at 4-6.

Mobil appealed that portion of the June 21 Order unsealing the depositions and exhibits not used at trial, and an appeals court panel reversed this Court. Tavoulareas v. The Washington Post Co., 724 F.2d 1010, 1015 (D.C.Cir.1984). On March 15, 1984, the entire Court of Appeals vacated the panel’s judgment and granted the Post’s request for a rehearing en banc. Before the hearing could be held, however, the Supreme Court decided Seattle Times Co. v. Rhinehart, 467 U.S. 20, 104 S.Ct. 2199, 81 L.Ed.2d 17 (1984), which overruled In re Halkin. Id. at 32 & n. 18, 104 S.Ct. at 2207 & n. 18. In Seattle Times, the Supreme Court held that when a protective order is entered on a showing of good cause under Rule 26(c), and that order is limited to the context of pretrial discovery and does not restrict dissemination of information gained from other sources, it does not offend the first amendment. Id. at 37, 104 S.Ct. at 2209.

On the basis of Seattle Times, the Court of Appeals issued a per curiam order on June 25,1984, remanding the matter to this Court for such further action as may be appropriate, including the reconsideration of the justification, “if any, for maintenance of a protective order in light of what the Supreme Court has said about In re Halkin and in light of the good cause requirement of Rule 26(c).” Tavoulareas, supra, 737 F.2d at 1172. The Appeals Court added that, to the extent that this Court relied on In re Halkin, its June 21 Memorandum was at odds with Seattle Times. Id. Thus the only issue now before this Court is whether, in its discretion, good cause exists to retain the Mobil discovery materials under seal. Id. at 1173.

The Post, Mobil and intervenors filed supplemental memoranda addressing this question, and the Court held oral arguments on January 31, 1985. At that time, the Court directed attorneys for Mobil to review the discovery materials and to submit a statement of Mobil’s reasons for wishing to retain the seal. The other parties were given an opportunity to reply to Mobil’s submission in writing. Upon consideration of these submissions and the entire record herein, the Court will deny the motion to unseal the Mobil discovery materials.

II. THE KIEVE STATEMENT

At the direction of the Court, an attorney for Mobil reviewed all the sealed material, held discussions with officers of Mobil, and concluded that “the same considerations that led Mobil to apply for [] a protective order are still present.” Statement of Loren Kieve, April 12, 1985 ¶ 3(a) (“Kieve Statement”). Specifically, Mobil officers advised Kieve that Mobil still procures oil from Saudi Arabia, that it still is engaged [656]*656in the highly competitive international marine transport business, and that it still conducts a number of joint ventures with Saudi Arabian partners, including the government of that kingdom. Id. at If 3(b). These joint venturers have been promised and continue to expect confidentiality. Id. ¶ 3(c). Thus, Kieve concluded, “I have reviewed the confidentially-designated depositions and exhibits thereto, and have determined, applying the considerations outlined above, that the majority of these materials are confidential and should remain so.” Id. at ¶ 4.2

Mr. Kieve reviewed the deposition transcripts and exhibits attached thereto, and page-by-page, supplied one-to-four grounds for maintaining them under seal.

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Bluebook (online)
111 F.R.D. 653, 5 Fed. R. Serv. 3d 1446, 1986 U.S. Dist. LEXIS 21885, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tavoulareas-v-washington-post-co-dcd-1986.