This is a contract and copyright matter arising from work performed by plaintiff Michael Krechmer (“plaintiff’) on Tied Up in Knots (the “Book”), a book officially authored by defendant Andrea Tantaros (“defendant”) and published in 2016. Plaintiff filed this matter under seal “out of an abundance of caution” in light of a confidentiality provision in the parties’ written agreement (“Collaboration Agreement”), but plaintiff has since argued vigorously that the seal should be lifted.
Before the Court is defendant’s motion for a preliminary injunction prohibiting plaintiff from violating the confidentiality provision of the Collaboration Agreement during the pendency of any sealing order in this case. (Def. Motion for Preliminary Injunction, Nov. 21, 2016.) Defendant has also argued for the continued sealing of this matter. For the following reasons, the motion is DENIED, and three business days from the date of this decision, this matter will be unsealed in its entirety. To be clear, all prior sealed filings shall be unsealed at that time. In the future, the caption shall contain the full names of the litigants herein.
I. BACKGROUND
On or about May 4, 2015, both parties entered into a written agreement (the “Collaboration Agreement”) for plaintiff to assist defendant in writing the Book. (Compl. ¶ 11). The Collaboration Agreement included a confidentiality provision that provided as follows:
Client’s [defendant’s] confidentiality is essential to this agreement. Collaborator may not discuss or mention his involvement in the work in any venue without prior approval, in writing, from Client.*465 Collaborator [plaintiff] will ... disclose any Confidential Information as required in response to a valid court order or other legal process, but. only to the extent required by that order or process and only after Collaborator has provided Client with written notice and the opportunity for Client to seek a protective order or confidential treatment of such Confidential Information ....
(Ex. ■ 1 to Compl. ¶ 10). Plaintiff alleges that in July 2015, he and defendant agreed to terminate the Collaboration Agreement and enter into a new, separate, completely oral “Ghostwriting Agreement,” pursuant to which plaintiff would ghostwrite the Book in exchange for a flat fee of $150,000. (Id. ¶ 17-19, 23, 25). Plaintiff contends that apart from the payment schedule of the Collaboration Agreement no other provisions of said agreement were incorporated into the Ghostwriting Agreement. (Id. ¶ 32-33).
Plaintiff alleges that defendant did not want to negotiate this new agreement with plaintiffs agent because she “feared” that (a) it would “cause her editor to discover that she was not writing the book herself;” (b) “Harper Collins [the Book’s publisher] would cancel the book if they discovered that there were any negative issues in the writing process, particularly since she was already running more than two years behind schedule;” and (c) she would “suffer professional repercussions and personal humiliation if her colleagues at Fox News discovered that the publication agreement with Harper Collins was cancelled.” (Id. ¶ 20-22).
Plaintiff claims that at the time the complaint was filed he had been paid a total of $30,000 for his work on the Book. (Id ¶ 36-37). On March 17, 2016, in response to plaintiffs queries about payment, defendant allegedly emailed plaintiff telling him that she was preparing financial disbursements for the Book, and demanded that he sign a non-disclosure agreement that would forbid him from stating that he was the editor of the Book, even though defendant had publicly his assistance in the book’s acknowledgements. Plaintiff refused to sign the nondisclosure agreement. (Id. ¶ 60).
Defendant disputes plaintiffs claim that the confidentiality clause of the Collaboration Agreement is no longer binding. She argues that the Collaboration Agreement is still in .effect because “mere failure to pay is not a material breach of the Collaboration Agreement,” and, by its own terms, the Collaboration Agreement cannot be orally modified. (Mem. in Support of Motion for Preliminary Injunction at 9.) Defendant also argues that even if there were an oral modification or rescission of the Collaboration Agreement," any new agreement incorporated the same confidentiality terms as the Collaboration Agreement because confidentiality was essential to her willingness to engage 'plaintiff in the project, and plaintiff was and is' aware of defendant’s reliance upon the confidentiality terms. (Id. at 7-9.)
On October 6, 2016, plaintiff commenced this action by filing the complaint under seal, claiming that he is the rightful owner of the copyright in the Book due to defendant’s alleged breach of the Collaboration Agreement and any subsequent oral agreement rescinding or modifying the Collaboration Agreement. On November 21, 2016, defendant moved for a preliminary injunction prohibiting plaintiff from violating the confidentiality provision of the Collaboration Agreement during the pendency of any sealing order in this case.
Defendant argues that she .will be irreparably harmed absent such a restraint because her professional credibility and career as a journalist would be seriously jeopardized by public revelation of plaintiffs claims that he is the actual author of
I. PRINCIPLES OF LAW
1. Preliminary Injunctions
A preliminary injunction “is an extraordinary remedy never awarded as of right. In each case, courts must balance the competing claims of injury and must consider the effect on each party of the granting or withholding of the requested relief. In exercising their sound discretion, courts of equity should pay particular regard for the public consequences in employing the extraordinary remedy of injunction.” Salinger v. Colting,
A party seeking a preliminary injunction must show: (1) “either (a) a likelihood of success on the merits or (b) sufficiently serious questions going to the merits to make them fair ground for litigation;” (2) “that [plaintiff] is likely to suffer irreparable injury in the absence of an injunction;” (3) that the “balance of hardships between the plaintiff and defendant ... tips in the plaintiffs favor;” and (4) that the “public interest would not be dis-served by the issuance of the preliminary injunction.” Id. at 79-80 (internal quotation marks and, citations omitted). A district court “has wide discretion in determining whether to grant a preliminary injunction.” Abbott Labs. v. H & H Wholesale Servs.,
. 2. Public Right of Access
“The common‘ law right of public access to judicial documents is firmly rooted in our nation’s history.” Lugosch v. Pyramid Co. of Onondaga,
However, “the right to inspect .., judicial records is not absolute. Every court has supervisory power over its own records and files, and access has been denied where court files might [ ] become a vehicle for improper purposes” such as using records to gratify spite or promote scandals or files that might “serve as reservoirs of libelous statements, for press
There are two “related but distinct presumptions in favor of public access to court ... records: a strong form rooted in the First Amendment and a slightly weaker form based in federal common law.” Newsday LLC v. Cnty. of Nassau,
A. Common-Law Right1 of Access
As discussed, the presumption of access attaches only to- judicial documents. See Lugosch,
Once a document is classified as a judicial document and the presumption of access attaches, a court must determine thé weight of the presumption of access. Lugosch,
A party may Overcome the presumption of access by demonstrating that sealing will further other substantial interests such as a third party’s personal privacy interests, the public’s safety,- or preservation of attorney-client privilege. See United States v. Aref,
A district court’s decision to seal or unseal judicial documents under the common-law presumption of access is reviewed for abuse of discretion. Bernstein v. Bernstein Litowitz Berger & Grossmann LLP,
B. First Amendment Right of Access
The First Amendment provides the public and the press a constitutional right of access to all trials, criminal or civil. Richmond Newspapers, Inc. v. Virginia,
“Once properly invoked, the public’s right of access to judicial documents under the First Amendment must be given strong weight.” In re Methyl Tertiary Butyl Ether (MTBE) Prods. Liab. Litig., MDL No. 1358,
Second, the First Amendment protects access to judicial documents that are “derived from or a necessary corollary of the capacity to attend the relevant proceedings.” Hartford Courant,
A proponent of sealing may overcome the presumption of access by demonstrating a substantial probability of harm to a compelling interest. See Newsday,
II. DISCUSSION
A., Sealing
Plaintiff argues that continued sealing of the case would contravene the presumption of access under the common law and the First Amendment, and that the case should therefore be unsealed. Plaintiff also argues, inter alia, that defendant has failed. to show a significant risk of irreparable harm either from unsealing this case or from plaintiff violating the terms of the confidentiality provision of the Collaboration Agreement. The Court agrees.
i. Presumption of Access
To determine whether a presumption of access attaches here, the court must first determine whether the documents at issue are “judicial documents.” The relevant filings are the pleadings, the motion papers and related submissions, and the court’s opinion and orders; Generally, the presumption of access applies to all documents filed with the court. See SEC v. TheStreet.com,
[A] sealed complaint leaves the public unaware that a claim has been leveled and that state power has been invoked— and public resources spent—in an effort to resolve the dispute. These considerations indicate that public access to the complaint and other pleadings has a “significant positive role,” in the functioning of the judicial process.
Even though defendant’s argument to extend the seal based on the belief that the matter will be summarily dismissed is no longer applicable here, it should be noted that the Second Circuit has rejected the contention that the presumption of access is dependent, upon the disposition of the underlying motion. See Lugosch,
Hence, the documents at issue constitute judicial documents to which a presumption of public access applies under both the common law and the First Amendment. The weight of this- presumption is heavy, for the documents are pleadings and motion-related filings that are essential to adjudication.
2. Rebutting a presumption of access
In support of her motion for a preliminary injunction, defendant asserts that she would suffer irreparable harm if plaintiffs alleged role in helping write the Book was revealed either by unsealing the case or by plaintiff violating the- confidentiality provision of the Collaboration Agreement. Defendant argues.that, as a,well-known television journalist, her credibility is her trade, and if plaintiffs role in helping defendant write the Book was revealed it would severely undermine her credibility in the eyes of her colleagues, fans, publisher, and the wider news-media world. Defendant contends that in view of the professional repercussions and personal humiliation she would suffer! the harm of disclosure justifies a continuation of the seal and an injunction to enforce the confidentiality provision of the Collaboration Agreement. (See Mem. in Support of Motion at 7-9.)
The Court disagrees. A possibility of future adverse impact on employment or the celebrity status of a party is not a “higher value” sufficient to overcome the presumption of access to judicial documents. See Lugosch,
Defendants also contend that the harm of disclosure would be irreparable because- it would deprive her of the benefit of her bargain should the Court find the confidentiality provision binding.- Defendant asserts she would not have engaged plaintiffs services without an assurance that he would keep the arrangement confidential. However, courts in' this district have repeatedly found that the preservation of such bargained-for confidentiality does not overcome the presumption of access to judicial documents. For instance, in Wolinsky v. Scholastic Inc., the court dealt with the question of whether to seal an FLSA settlement agreement that contained a confidentiality provision and had been submitted to the court for approval.
[Tjhe mere fact ‘that thé settlement agreement ' contains ! a confidentiality provision is an insufficient interest to overcome the' presumption that. an approved FLSA settlement agreement is a judicial record, open to the public.’ ... [Tjhe presumption of public access would become virtually meaningless if it could be overcome by the mutual interest of the parties in keeping their settlement private.
Id. at 338 (quotation marks and citations omitted). See also Wells Fargo Bank, N.A. v. Wales LLC,
The details of the working relationship and arrangement between the parties lie at the very heart of the litigation. If the public is to understand the nature of the dispute and the reasons for the court’s rulings, access to the judicial documents is essential. • That it is the plaintiff, and not the defendants, who originally invoked the sealing power of the Court is irrelevant in ascertaining the public’s light of access. See Lugosch,
Moreover, plaintiffs role as defendant’s editor has been publicly disclosed in the Book’s acknowledgements. Although the scope of the confidentiality provision at issue is broader than this disclosure, the fact that aspects of his involvement in the Book have been revealed to the public weighs against sealing and against a finding of irreparable harm. See Ashmore v. CGI Grp. Inc.,
B. Preliminary Injunctive Relief
For the same reasons defendant cannot overcome the presumption of public access to judicial documents, defendant has not made a showing of irreparable harm necessary to justify the extraordinary relief of a preliminary injunction. “[U]nless a movant can show ‘an injury that is neither remote nor speculative, but actual and’ imminent and that cannot be remedied by an award of monetary damages,’ a motion for a preliminary injunction should be denied.’” Earthweb, Inc. v. Schlack,
Defendant argues that she will suffer two forms of irreparable harm absent an injunction enforcing the Collaboration Agreement’s confidentiality clause: first, harm to her professional credibility and therefore her ability to continue in her profession as a journalist; and second, the loss of the benefit of her bargain should the Court determine that the confidentiality provision is contractually enforceable. Defendant has not proffered any specific facts to support the allegation that she will be unable to work as a journalist or will suffer extensive reputational harm among her colleagues. Defendant is, by all ac
Defendant’s claim of irreparable harm from the loss of the benefit of her bargain is also insufficient to support preliminary injunctive relief. Loss of contracted-for benefits is precisely the kind of harm generally compensated with money damages; it is the movant’s burden to show that traditional remedies at law are insufficient for a reason other than simply preserving the benefit of one’s bargain. .See, e.g., In re M.B. Int’l W.W.L., No. 12-cv-4945,
Because defendant has not shown her potential harm from violation of the confidentiality provision to be irreparable, the Court need not reach the other Winter factors regarding likelihood of success on the merits, the balance, of equities, or the public interest. See Winter v. NRDC,
III. CONCLUSION
For the foregoing reasons, defendant’s motion for a preliminary injunction is DENIED.
The seal on this matter is hereby lifted. The Clerk of Court is directed to unseal this matter and post the filings to the
SO ORDERED.
Notes
. Defendant has accused plaintiff of filing this suit and seeking its unsealing for use in a separate action filed by the defendant in this case. Regardless of the truth of this accusation, the Second Circuit has held that motive is generally irrelevant to the presumption of access. Amodeo,
. Although the Court does not find defendant’s asserted harm to be irreparable, the Court does not agree with plaintiff that the likelihood of his violation of the confidentiality provision, in the past or in the future, is low. To the contrary, the Court finds it difficult to account for apparent third-party knowledge of this matter and of the parties involved without concluding that plaintiff or plaintiff's counsel may have violated this Court's sealing order, and that this violation may have been deliberate. The Court is particularly troubled by the submission it received from counsel to a third party in unrelated litigation against defendant. The submission stated, without explanation, that this attorney "inferred” the identities of the parties here and requested information from this lawsuit. The Court’s concern is heighted by the fact that plaintiff's counsel admits to being in direct communication with this attorney, the fact that plaintiff has a longstanding and significant relationship with the relevant client of this attorney, and that defense counsel has consistently asserted that the action before this Court was filed as part of a litigation strategy against his client, but in the other action.
