Thales Avionics, Inc. v. L3 Technologies, Inc.

Background

The order concerned documents submitted in connection with Thales Avionics, Inc.’s motion for a preliminary injunction in aid of arbitration. L3 Technologies, Inc., together with its parent L3Harris Technologies, Inc., asked the court to permit redactions in its opposition brief and in the declaration of Daniel Gittsovich.

The request also addressed documents that Thales Avionics had filed under seal. L3Harris did not object to publicly filing several exhibits, but requested that Exhibits 5, 10, and 16 remain sealed. According to the request, those exhibits included a share and asset purchase agreement involving L3Harris and a third-party buyer, a draft membership interest purchase agreement sent to Thales Avionics, and Thales Avionics’s request for arbitration. The request stated that these materials contained confidential terms concerning a business transaction valued at more than $500 million that had not yet closed.

Legal standard described in the application

The application cited the general presumption that the public may inspect judicial records. It also cited decisions stating that the presumption is weaker for materials with little relevance to the court’s judicial function and that business secrecy, privacy interests, and potential competitive harm can support sealing. L3Harris argued that the requested materials contained commercially sensitive information and that disclosure could harm the parties’ competitive positions or their ability to negotiate similar transactions.

Ruling

Judge Robyn F. Tarnofsky granted the defendant’s application. The order stated that L3 Technologies’ opposition and the Gittsovich Declaration could be filed in redacted form. It further ordered that ECF Nos. 32 and 35 remain under seal and directed the Clerk of Court to terminate ECF No. 30. The order did not decide the underlying request for a preliminary injunction or the merits of the parties’ dispute.