Parham v. Aldi Inc.

Nature of the Order

The court entered a stipulated confidentiality agreement and protective order under Federal Rule of Civil Procedure 26(c). Eric Parham and Aldi Inc., through counsel, agreed to the terms. The order applies during the pretrial phase of the action and binds the parties, their representatives, agents, experts, consultants, third parties providing discovery, and other people who have actual or constructive notice of it. Violations may result in contempt.

Protected Information

A producing party may designate only portions of discovery material that it reasonably and in good faith believes contain protected information. The listed categories include previously undisclosed financial information; information about ownership or control of a nonpublic company; business, product-development, or marketing plans; personal or intimate information; product formulations, ingredients, ingredient sources, or manufacturing processes; and other categories the court later approves.

The order creates two designations: “Confidential” and “Confidential – Attorney Eyes Only.” The producing party or its counsel generally must clearly mark the protected material and provide a redacted copy for future public use. Deposition testimony and exhibits may be designated during the deposition or within 30 days afterward. During that 30-day period, the entire deposition transcript must be treated as protected.

Who May Receive the Information

Confidential information may be disclosed to the parties, insurers, counsel and litigation staff, outside vendors working on the case, mediators or arbitrators, certain people identified on the face of a document, potential witnesses, experts and specialized consultants, deposition transcribers, and the court. Attorneys’-eyes-only information may be disclosed to a narrower group, generally excluding the parties and insurers.

Before receiving protected information, certain witnesses, experts, mediators, arbitrators, and consultants must receive the order and sign a nondisclosure agreement. Counsel must keep those agreements and produce them to opposing counsel before the person testifies or when the case ends, whichever comes first.

Court Filings and Challenges

A party filing protected material under seal must also submit a letter brief and supporting declaration explaining specifically why continued sealing is justified. The court retains discretion to deny confidential treatment for material submitted in connection with a motion or other proceeding. Parties must publicly file redacted versions of confidential court submissions and file unredacted versions under seal. The order states that material introduced at trial is unlikely to remain sealed.

A party may object to a confidentiality designation before trial by giving written notice explaining the grounds. The parties must bring unresolved disputes to the court under the judge’s individual practices. A party seeking additional disclosure limits may use a similar procedure.

Use, Compelled Disclosure, and End of the Order

Recipients may use protected discovery only to prosecute or defend this action and any appeals, not for business, commercial, competitive, or other litigation purposes. A party may produce protected material in response to a lawful subpoena or other compulsory process, or when required by law or a government agency, but must give the producing party notice as soon as reasonably possible and, when time permits, at least 10 days before disclosure.

People with access must take reasonable precautions against unauthorized or accidental disclosure. Within 60 days after the final disposition of the action, including appeals, recipients must return or destroy the protected material and certify that they have not kept copies or other reproductions. Counsel retained for this action may keep archival copies of specified case materials, which remain subject to the order. The order survives the end of the litigation, and the court retains jurisdiction to enforce it and impose contempt sanctions. Judge Paul G. Gardephe signed the order on August 20, 2020.