Dekker v. Vivint Solar, Inc.

Background

Vivint Solar, Inc. sought to seal material in two documents: the plaintiffs’ opposition to Vivint’s motion for judgment on the pleadings, docket number 133-4, and the Bennett declaration supporting that opposition, docket number 133-6. The opinion identifies the requested material as sensitive financial information concerning the average default payment price and the method used to calculate it.

Legal standard

The court emphasized the strong public policy favoring access to court records. Records more than tangentially related to the merits of a case may be sealed only upon a showing of “compelling reasons.” Records only tangentially related to the merits may be sealed under the less demanding “good cause” standard. The court also explained that a sealing request must be narrowly tailored and supported by a declaration explaining specifically why the material is sealable. A confidentiality designation or protective order alone is not enough. Information whose disclosure could harm a litigant’s competitive position may provide a compelling reason for sealing, particularly when the public has little need for the information to understand the case.

Ruling

After reviewing the supporting Makin Declaration, Judge William Alsup found that the material concerned sensitive financial information and that disclosure could cause Vivint competitive harm. At this stage of the litigation, the court granted Vivint’s request to seal the material. The court cautioned that if the information became more relevant later in the proceedings, the public interest might increase and a future sealing request could receive a different decision. The order did not state that the sealing request was granted with or without prejudice.

Disposition

The motion to seal was granted at this stage.