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ARTICLE · 07 JULY 2022

Sharing Plaintiff's Confidential Information With Joint Defense Group Does Not Warrant A Contempt Order Or Sanctions

Finnegan, Henderson, Farabow, Garrett & Dunner LLP
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In Static Media LLC v. Leader Accessories LLC, No. 21-2303 (Fed. Cir. Jun. 28, 2022), the Federal Circuit reversed the district court's contempt order against Leader and its attorney...

United StatesLitigation, Mediation & Arbitration
Finnegan, Henderson, Farabow, Garrett & Dunner, LLP
Finnegan, Henderson, Farabow, Garrett & Dunner, LLP
Ji-Hye (Christina) Yang
Ji-Hye (Christina) Yang
Elizabeth Ferrill
Elizabeth Ferrill
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In Static Media LLC v. Leader Accessories LLC, No. 21-2303 (Fed. Cir. Jun. 28, 2022), the Federal Circuit reversed the district court's contempt order against Leader and its attorney, and its grant of sanctions and attorney's fees.

The parties entered a protective order stating that “Confidential” documents could only be disclosed to non-parties who execute a “Written Assurance.” Leader joined a joint defense group with a third-party, OJ Commerce, who was sued in a different court. Leader's attorney sent Static's financial documents to OJ Commerce's attorney, who used the documents for settlement negotiations. The district court found Leader and its attorney in contempt and ordered attorney's fees and sanctions.

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