Vineyard Investigations v. E. & J. Gallo Winery

District Court, E.D. California·Decided December 2, 2024·No. 1:19-cv-01482·Unknown

Opinion

3 4 VINEYARD INVESTIGATIONS, Case No. 1:19-cv-01482-JLT-SKO

5 Plaintiff, ORDER DENYING DEFENDANT’S MOTION TO DISQUALIFY VINEYARD 6 v. INVESTIGATIONS’ EXPERT DR. MARK GREENSPAN (Docs. 135 & 137) 8 Defendant.

9 11 On October 11, 2024, Defendant E. & J. Gallo Winery (“Defendant”) filed a “Motion to 12 Disqualify Vineyard Investigations [“Plaintiff”]’s Expert Dr. Mark Greenspan” (“Motion to 13 Disqualify”). (Doc. 135). The parties submitted their “Joint Statement Re: [Defendant’s] Motion 14 to Disqualify [Plaintiff’s] Expert Dr. Mark Greenspan” (the “Joint Statement”) pursuant to this 15 Court’s Local Rule 251 on November 13, 2024. (See Docs. 137, 149).1 On November 21, 2024, 16 the Court ordered the matter submitted pursuant to E.D. Local Rule 230(g). Having considered the 17 Motion, Joint Statement, and supporting exhibits, and for the reasons set forth below, the Court 18 DENIES the Motion to Disqualify. 20 A. Procedural Posture 21 Plaintiff initiated this action in October 2019, asserting that Defendant infringed two patents 22 (the “’834 and ’810 patents”) through its use of certain variable rate drip irrigation (“VRDI”) 23 systems.2 (Doc. 1.) 24 A scheduling conference was held in this case in May 2021. (Doc. 40.) Following the 25 conference, the Court issued a Scheduling Order that set deadlines for, among other things, the 26 1 The unredacted Joint Statement is filed under seal; the redacted version was filed on the docket on November 27, 27 2024. (Doc. 149, see also Doc. 148) 2 Plaintiff later amended its complaint to assert a third patent (“the ’881 patent”) in October 2021 (Doc. 52), but that 28 patent was subsequently construed to be indefinite (see Docs. 94 & 124) and is not relevant to the present motions. 1 deadline to exchange the parties’ respective experts. (Doc. 41.) The Court then entered several 2 orders modifying the case schedule (see Docs. 51, 93, 98, 104, 111, 131), based on an amendment 3 of the complaint (see Doc. 51) multiple stipulations from the parties (see Docs. 92, 97, 103, 110, 4 130). Under the operative case management schedule (Doc. 131), the parties must disclose their 5 respective experts by December 13, 2024. 6 On July 19, 2021, the parties stipulated to a protective order (Doc. 42), which the Court 7 entered on July 21, 2021. The protective order includes a provision that defines an “Expert” as: 8 a person with specialized knowledge or experience in a matter pertinent to the litigation who (1) has been retained by a Party or its Counsel to serve as an expert 9 witness or as a consultant in this action, (2) is not a current employee of a Party or 10 of a Party’s competitor, and (3) at the time of retention, is not anticipated to become an employee of a Party or of a Party’s competitor. 11 (Id. at 5 (“Section 2.8”).) On September 26, 2024, Plaintiff disclosed to Defendant that it intended 12 to use Dr. Mark Greenspan as an expert witness. (Doc. 149 at 4.) Dr. Greenspan worked for 13 14 Defendant for nine years, between 1996 and 2005, as an irrigation specialist and Winegrowing 15 Research and Development Manager. (Doc. 137-3 at 2–3). He now works as an independent 16 consultant to wineries and winegrape growers. (Id. at 2). 17 III. DISCUSSION 18 Defendant seeks to exclude Plaintiff’s witness Dr. Greenspan because he was formerly 19 employed by Defendant—in a role during which he had access to nonpublic information Defendant 20 alleges is relevant to the current action—and because Dr. Greenspan is a current consultant to 21 Defendant’s competitors. There are two relevant bases on which Defendant moves Dr. Greenspan 22 be disqualified: (1) an exercise of a trial court’s inherent discretion and (2) pursuant to Section 2.6 23 of the protective order (Doc. 43). 24 A. Legal Standards 25 A trial court has the inherent power to disqualify expert witnesses, consistent with its broad 26 discretion “to protect the integrity of the adversary process, protect privileges that otherwise may 27 be breached, and promote public confidence in the legal system.” Ziptronix, Inc. v. Omnivision 28 1 Techs., Inc., No. C -10-05525 SBA EDL, 2013 WL 146413, at *1 (N.D. Cal. Jan. 14, 2013); see 2 also Koch Ref. Co. v. Jennifer L. Boudreaux MV, 85 F.3d 1178, 1181 (9th Cir. 1996); Campbell 3 Indus. v. M/V Gemini, 619 F.2d 24, 27 (9th Cir. 1980). However, “disqualification is a drastic 4 measure that courts should use reluctantly and rarely.” United States v. Kernen Constr., No. 5 217CV01424WBSDMC, 2018 WL 5023411, at *1 (E.D. Cal. Oct. 16, 2018) (citing Hewlett- 6 Packard Co. v. EMC Corp., 330 F. Supp. 2d 1087, 1092 (N.D. Cal. 2004)). 7 While there is no brightline rule, Hewlett-Packard Co., 330 F. Supp. 2d at 1092 (citing Koch 8 Ref. Co., 85 F.3d at 1181), courts commonly require the party seeking disqualification to bear the 9 burden of showing that “(1) the adversary had a confidential relationship with the expert and (2) 10 the adversary disclosed confidential information to the expert that is relevant to the current 11 litigation.” Jones v. Toft, No. 2:11-CV-0192 MCE EFB, 2013 WL 2102972, at *2 (E.D. Cal. May 12 14, 2013), report and recommendation adopted, No. 2:11-CV-0192 MCE EFB, 2013 WL 4010315 13 (E.D. Cal. Aug. 5, 2013); see also Est. of Michael Wilson by & through Jackson v. Cnty. of San 14 Diego, No. 320CV00457RBMDEB, 2023 WL 8313230, at *2 (S.D. Cal. Dec. 1, 2023); Chan v. 15 ArcSoft, Inc., No. 19-CV-05836-JSW, 2023 WL 5068495, at *4 (N.D. Cal. Aug. 8, 2023). 16 As to the first factor, the focus of the inquiry is on “whether there was a relationship that 17 would permit the litigant reasonably to expect that any communications would be maintained in 18 confidence.” Hewlett-Packard Co., 330 F. Supp. 2d at 1093. As to the second factor, “confidential 19 information” is that which is “of either particular significance or [that] which can be readily 20 identified as either attorney work product or within the scope of the attorney-client privilege.” 21 Hewlett-Packard, 330 F. Supp. 2d at 1094 (quoting Paul By & Through Paul v. Rawlings Sporting 22 Goods Co., 123 F.R.D. 271, 279 (S.D. Ohio 1988) (alteration in original)). The burden is on the 23 party seeking disqualification to “point to specific and unambiguous disclosures [of litigation- 24 relevant confidential information] that if revealed would prejudice the party.” Id. 25 “Generally, both factors must be present for disqualification to be appropriate.” Chan, 2023 26 WL 5068495 at *4. Additionally, courts take into account “whether disqualification would be fair 27 to the affected party and would promote the integrity of the legal process.” Id. (quoting Hewlett- 28 Packard Co., 330 F. Supp. 2d at 1093). 1 Independent of the court’s broad discretion to disqualify an expert, courts have also 2 disqualified experts based on a determination that a protective order precludes the sharing of 3 confidential information necessary for the formulation of an expert opinion with a parties’ proposed 4 expert. See, e.g., GPNE Corp. v. Apple Inc., No. 512CV2885LHKPSG, 2014 WL 1027948, at *1 5 (N.D. Cal. Mar. 13, 2014); Symantec Corp. v. Acronis Corp., No. 11-5310 EMC JSC, 2012 WL 6 3582974, at *3 (N.D. Cal. Aug. 20, 2012). 7 B. Analysis 8 a. The Court declines to exercise its discretion to disqualify Dr. Greenspan3 9 As to the first factor, the Plaintiff’s primary argument is that Defendant has not 10 carried its burden to establish a confidential relationship between Defendant and Dr. Greenspan 11 because Defendant has not produced an original copy of any confidentiality agreement Defendant 12 claims Dr. Greenspan “would have signed” upon his employ. (Doc. 149 at 19, see also id. at 11). 13 But Plaintiff also acknowledges that “[i]n an abundance of caution and good, ethical practice, 14 [Plaintiff] and its counsel have treated Dr.

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