VLSI Technology LLC v. Intel Corporation

Background

VLSI Technology LLC filed an administrative motion asking to file certain information under seal. The motion concerned highlighted portions of excerpts from two expert reports and related briefing. The court noted that VLSI had made a previous sealing request that was denied because it was not narrowly tailored.

VLSI argued that disclosure could cause significant competitive and business harms. The materials included highly confidential licenses, royalty rates, licensing terms, and VLSI’s confidential and proprietary damages analysis.

Legal standard

The court explained that judicial records generally carry a strong presumption of public access. For records more than tangentially related to the underlying claims, a party must show compelling reasons that outweigh that presumption. For records related only weakly or indirectly to the merits, the lower good-cause standard applies, requiring a particularized showing of specific prejudice or harm. Broad, unsupported allegations of harm are insufficient.

Court’s analysis

The court found compelling reasons to seal the highlighted portions. It concluded that the portions reflected confidential business information, including business strategies, highly confidential licenses, royalty rates, licensing terms, and proprietary damages analysis. The court also found that VLSI’s request was narrowly tailored.

Ruling

The court granted VLSI’s administrative motion to file under seal. The ruling covered the specified blue-boxed portions of the excerpts from Mark Chandler’s April 20, 2023 supplemental opening report and Dr. William Mangione-Smith’s May 16, 2023 supplemental report.