ORDER
Plаintiff Infineon Technologies AG (“Infi-neon”) has brought a declaratory judgment
BACKGROUND
At one time, Infineon and GPT considerеd a business partnership to produce factor correction devices, but their relationship ended in litigation. GPT sued Infineon in Germany for alleged unlawful use of GPT business information and Infineon reciprocated with this declaratory judgment action. In the course of this case, the parties stipulated to, and the Court entered, a Protective Order covering the disclosure of documents in discovery. See December 23, 2004 Protective Order (“Protective Order”). During discovery Infineon produced to GPT certain documents that GPT believes would bе relevant to the litigation in Germany. Initially GPT asked Infineon for permission to disclose those documents to GPT’s German counsel, Adv. Christian Harmsen, who could then assess the documents’ relevance to the German litigation. See Def. Mot., Declaration of Michelle Marcus, Ex. A. When Infineon rebuffed those overtures, see id., Ex. B, GPT filed this motion to amend the Protective Order. Simultaneously, GPT has petitioned the German court, according to German rules of procedure, to require production of the same Infineon documents in question here. See PI. Opp’n, Ex. 1.
LEGAL STANDARD
Pursuant to Federаl Rule Civil Procedure 26(c), a court may issue a protective order to protect a party from annoyance, embarrassment, oppression, or undue burden or expense. See Fed.R.Civ.P. 26(c). However, protective orders are not permanent and may be modified to serve important efficiency or fairness goals in the court’s discretion. See E.E.O.C. v. Nat’l Children’s Ctr., Inc.,
Some courts in this district have applied a four factor test for determining when a protective order should be modified. See United States v. Diabetes Treatment Ctrs. of Am.,
GPT seeks modification of the Protective Order so that it can prоvide to its German counsel certain Infineon documents that GPT obtained through discovery in this case. GPT would want the Protective Order further modified so that its German counsel could possibly submit relevant documents to the German court. GPT contends that the documents in question are “highly relevant” to the German proceeding because they show how Infineon used GPT’s know-how “in defiance of the non-disclosure agreements.” See Def. Mot. at 3. GPT also alleges that it may not be able to get these documents in the German litigation because German discovery procedures are much more restrictive than those in the United States, requiring a party to identify the requested documents with specificity. Id. at 5. Finally, GPT contends that confidentiality concerns can be allayed because GPT’s German counsel will agree to bе bound by the terms of the Protective Order and any of these documents provided to the German court can be submitted as confidential. Id. at 4. In response, Infineon expresses concerns about maintaining the confidentiality of these documents. Infineon also contends that § 1782 does not authorize this type of disclosure.
After examining the arguments relevant to this motion, the Court concludes that GPT has sufficiently established good cause for this limited modification of the Protective Order. First, the weight of the Bayer factors counsels in favor of the mоdification. While the Protective Order covers all documents produced in discovery, it does not contain an express mechanism for changing who can have access to the documents. This counsels in favor of a modification. Cf. Diabetes Treatment Ctrs. of Am.,
Beyond application of the Bayer factors, Infineon has also not shown how it would be prejudiced by the proposed modification. Although GPT certainly bears the burden of establishing good cause, see Alexander,
A particularly relevant case here is Jenop-tik AG, where the Federal Circuit denied a petition for a writ of mandamus to compel the vacation of a district court order modifying a protеctive order to permit a confidential deposition to be used in a related action in a foreign court.
The parties also both cite to 28 U.S.C. § 1782(a), which governs discovery for foreign tribunals, to support their respective positions. Although § 1782 is not controlling in this ease, see Jenoptik AG,
(a) whether the person from whom discovery is sought is a participant in the foreign proceeding; (b) the nature of the foreign tribunal, the character of the proceedings underway, and the receptivity of the tribunal to U.S. federal judicial assistance; (c) whether the request is an attempt to circumvent foreign proof gather restrictions; and (d) the intrusiveness or burden imposed by the discovery.
Applying the Intel factors to this case, the weight of the factors in favor of granting the discovery further convinces this Court that modificatiоn is appropriate. GPT and Infi-neon’s participation in the German trial militates against permitting the discovery by § 1782 under the Intel factors because the presumption is that they can obtain whatever discovery they need through the German court. See Advanced Micro Devices, Inc. v. Intel Corp.,
Next, therе is no evidence that GPT is using the modification to circumvent German procedural rules. Although the documents sought here might be obtained through German discovery procedures, GPT’s German counsel would need to identify the documents with specificity in order to obtain them in the
Weighing all the factors identified in Intel, were this a § 1782 request there certainly would be a strong basis to furnish these materials to the German court. Coupling this reasoning with GPT’s showing of good cause, the measures that can be taken to ensure the continuing confidentiality of these documents, and the litigation efficiency gains from sharing the information, the Protective Order should be modified.
Accordingly, it is this 17th day of June, 2005, hereby
ORDERED that GPT’s motion to modify the Protective Order is GRANTED; it is furthеr
ORDERED that the Protective Order is modified in accordance with the changes proposed by GPT; it is further
ORDERED that GPT shall file with the Court an amended protective order incorporating those changes; and it is further
ORDERED that submission of any documents to the German court by the parties shall be done utilizing all applicable local procedures for ensuring the confidentiality of the documents.
