On October 3, 2016, the U.S. Supreme Court issued an order declining to review an appeals court decision that undermines the ability of companies engaged in litigation to prevent the disclosure of confidential information. The decision was a setback for WLF, which filed a brief urging that review be granted. WLF argued that the appeals court adopted an overly stringent standard for determining when a federal district court may grant a party’s request to seal court records. Litigation rules often require parties to disclose confidential documents to the opposing party, but they generally do so pursuant to protective orders that prevent public disclosure. But the appeals court ruled here that if the confidential documents are then attached to a motion, they are subject to public disclosure unless a party can demonstrate “compelling reasons” for nondisclosure. WLF argued that the appeals court’s stringent standard is unjustified and threatens destruction of valuable trade secrets.
FCA US LLC v. The Center for Auto Safety