Commercial Division Blog

Posted: July 12, 2024 / Written by: Jeffrey M. Eilender, Thomas A. Kissane, Samuel L. Butt, Joshua Wurtzel, Channing J. Turner / Categories Motion to Seal, Confidentiality

Court Grants Motion To Seal Confidential Contracts Or Agreements With Non-Parties To The Litigation

On June 7, 2024, Justice Joel M. Cohen granted a motion to seal certain documents filed on the Court’s public docket that contained sensitive business and financial information.  In Tremor Video, Inc. v. Alphonso Inc. n/k/a LG ADS, et al., Index No. 653266/2021, the Court noted that there is “a broad presumption that the public is entitled to access to judicial proceedings and court records” and that, because this right “is of constitutional dimension, any order denying access must be narrowly tailored to serve compelling objectives, such as a need for secrecy that outweighs the public’s right to access.”  Nevertheless, certain records did deserve sealing.  The Court explained:

The Court has reviewed the proposed sealing of the documents . . . and finds that they comport with the applicable sealing standard as laid out in Mosallem, 76 AD3d at 348-350, and its progeny, in that they contain sensitive and confidential business and financial information. Further, these Exhibits are properly sealed and/or redacted to the extent they contain nonpublic information about confidential contracts or agreements with non-parties.

The attorneys at Schlam Stone & Dolan frequently advise clients and litigate disputes concerning confidential contracts and sealing motions.  Contact the Commercial Division Blog Committee at commercialdivisionblog@schlamstone.com if you or a client have questions concerning such issues.