Breaking Glass Pictures, LLC v. Sal Franciosa Productions, LLC

Background

Breaking Glass Pictures, LLC petitioned to confirm an arbitration award against Sal Franciosa Productions, LLC. It asked to file under seal Exhibit 2 to the petition, a Distribution Agreement executed by Breaking Glass Pictures, Sal Franciosa Productions, and non-party Fame Tank Productions.

Sealing standard

The court explained that the First Amendment and common law create a strong presumption that judicial documents—documents submitted for the court’s consideration—are accessible to the public. The party seeking to seal such documents must show that stronger interests overcome that presumption. The court determined that exhibits attached to a petition to confirm an arbitration award are judicial documents.

The court also noted that its role in reviewing a petition to confirm an arbitration award is narrow and that arbitration decisions generally receive substantial deference under the Federal Arbitration Act. Although the agreement’s arbitration provision was central to the case, the rest of the Distribution Agreement played a more limited role and therefore received a weaker presumption of public access.

Ruling

Breaking Glass Pictures argued that the Distribution Agreement contained commercially sensitive information and was subject to a confidentiality provision. The court stated that confidentiality alone was not enough to overcome the presumption of public access. It nevertheless agreed that, apart from Section 17.11—the arbitration provision—the remaining terms contained sensitive commercial information and had limited relevance to the petition.

The court concluded that the agreement was relevant at that time only to the extent it showed the parties’ agreement to arbitrate. But the request was not narrowly tailored because it sought to seal more than necessary. The court required Breaking Glass Pictures, no later than June 26, 2020, to submit proposed redactions, and required the arbitration terms to be placed on the public docket. The court stated that it could later require further justification if other provisions became relevant to its analysis. It also ordered Breaking Glass Pictures to serve the order on Sal Franciosa Productions.