Opinion

West American Insurance Company v. Shaghal LTD.

Court
District Court, C.D. California
Filed
Jun 2, 2022
Cited by
0 cases
Authority
More cited than 16.3%

distinguishing “good cause” 10 showing for sealing documents produced in discovery from “compelling reasons” 11 standard when merits-related documents are part of court record

How later courts described this case

  • distinguishing “good cause” 10 showing for sealing documents produced in discovery from “compelling reasons” 11 standard when merits-related documents are part of court record
  • even stipulated protective orders 28 require good cause showing

Written by the judges who cited it.

The opinion

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 1 of 20 Page ID #:1021

1 FRANK FALZETTA, Cal. Bar No. 125146

SCOTT SVESLOSKY, Cal. Bar No. 217660

2 SHEPPARD, MULLIN, RICHTER & HAMPTON LLP

333 South Hope Street, 43rd Floor

3 Los Angeles, California 90071-1422

Telephone: 213.620.1780 NOTE: CHANGES MADE BY THE COURT

4 Facsimile: 213.620.1398

Email ffalzetta@sheppardmullin.com

5 ssveslosky@sheppardmullin.com

6 COLRENA K. JOHNSON, Cal. Bar No. 143860

SHEPPARD, MULLIN, RICHTER & HAMPTON LLP

7 650 Town Center Drive, 10th Floor

Costa Mesa, California 92626-1993

8 Telephone: 714.513.5100

Facsimile: 714.513.5130

9 Email ckjohnson@sheppardmullin.com

10 Attorneys for Plaintiff and Counter-Defendant,

WEST AMERICAN INSURANCE

11 COMPANY and Third-Party Defendant NOTE: CHANGES MADE BY THE COURT

LIBERTY MUTUAL INSURANCE

12 COMPANY (erroneously sued as Liberty

Mutual Insurance)

13

14 UNITED STATES DISTRICT COURT

15 CENTRAL DISTRICT OF CALIFORNIA – WESTERN DIVISION

16

17 WEST AMERICAN INSURANCE Case No. 2:21-cv-07751-CJC-(JPRx)

COMPANY, an Indiana Corporation;

18 DISCOVERY MATTER

Plaintiff

19

v. STIPULATION FOR ENTRY OF

20 PROTECTIVE ORDER

SHAGHAL LTD., a California

21 Corporation, Judge: Hon. Cormac J. Carney

Magistrate: Hon. Jean P. Rosenbluth

22 Defendant.

23 AND RELATED COUNTERCLAIM Complaint Filed: September 29, 2021

AND THIRD PARTY COMPLAINT Trial Date: May 2, 2023

24

25

26

27

28

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 2 of 20 Page ID #:1022

1 Plaintiff and Counter-Defendant West American Insurance Company (“West

2 American”), Third-Party Defendant Liberty Mutual Insurance Company (“Liberty

3 Mutual”), Defendant, Counterclaimant and Third-Party Plaintiff Shaghal Ltd.

4 (“Shaghal”), and Third-Party Defendant Ruben David Youssefyeh dba PARS

5 American Insurance Agency (“Youssefyeh”), by and through their counsel, and

6 under Rules 26(c) and 29(b) of the Federal Rules of Civil Procedure and Local Rule

7 7-1, have entered into this stipulation, and hereby request the Court’s entry of the

8 following Protective Order:

9 I.

10 PURPOSES AND LIMITATIONS

11 A. Introduction

12 Discovery in this action will involve production of confidential, proprietary,

13 or private information for which special protection from public disclosure and from

14 use for any purpose other than this litigation is warranted. Accordingly, the parties

15 hereby stipulate to and petition the Court to enter the following Stipulated Protective

16 Order. The parties acknowledge that this Order does not confer blanket protections

17 on all disclosures or responses to discovery and that the protection it affords from

18 public disclosure and use extends only to the limited information or items that are

19 entitled to confidential treatment under the applicable legal principles.

20 B. Brief Statement of this Action

21 On September 29, 2021, West American filed a Complaint for Declaratory

22 Relief against Shaghal, seeking a declaratory judgment from the Court that West

23 American properly rescinded two commercial general liability policies and related

24 endorsements issued to Shaghal, or alternatively, that the insurance policies exclude

25 coverage for Shaghal’s claim for policy benefits. West American alleges that

26 Shaghal concealed and/or mispresented material facts when applying for insurance

27 and seeking to increase the available limits under the policies by endorsement. In

28 the alternative, West American contends that the policies’ Dishonest or Criminal

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 3 of 20 Page ID #:1023

1 Acts Exclusion bar coverage for Shaghal’s claim based on the conversion of

2 Shaghal’s goods by two third-party warehouses.

3 On October 20, 2021, Shaghal filed a Counterclaim against West American

4 for breach of contract and breach of the implied covenant of good faith and fair

5 dealing. Shaghal denies that it failed to disclose material information and alleges

6 that West American improperly refused to pay its claim under the policies.

7 Also on October 20, 2021, Shaghal filed a Third-Party Complaint against

8 Youssefyeh alleging that Youssefyeh misrepresented the coverage available under

9 the West American policies, failed to advise Shaghal what information it was

10 required to disclose, and failed to obtain proper insurance coverage for its loss.

11 Youssefyeh denies all allegations by Shaghal and alleges that Shaghal failed to

12 disclose material information on its insurance applications.

13 C. Good Cause Exists for the Issuance of a Protective Order to Protect

14 Proprietary, Confidential, Business-Sensitive Information

15 Based on discovery requests to date, and the conference of counsel under

16 Rule 26(f), discovery in this action will involve trade secrets, and other commercial,

17 financial, and/or proprietary information for which special protection from public

18 disclosure and from use for any purpose other than the prosecution and defense of

19 this action may be warranted. Such confidential and proprietary materials and

20 information consist of, among other things (i) confidential rating and underwriting

21 information; (ii) information regarding employee training; (iii) confidential and

22 proprietary information regarding business practices, policies and procedures; and

23 (iv) information which may otherwise be privileged or protected from disclosure

24 under state or federal statutes, court rules, case decisions, or common law.

25 By way of example, Youssefyeh has requested documents from West

26 American regarding: (i) American’s application processes; (ii) West American’s

27 internal underwriting policies and practices; and (iii) West American’s agency

28 agreements with its producers. In addition, as identified in the Parties Rule 26(f)

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 4 of 20 Page ID #:1024

1 report, Shaghal will also request West American’s claims handling policies and

2 procedures and related information. These requests seek information that West

3 American contends is confidential and proprietary to its business operations, and

4 disclosure without a Protective Order may place West American at risk of

5 substantial competitive disadvantage and/or financial harm.

6 Accordingly, to expedite the flow of information, to facilitate the prompt

7 resolution of disputes over confidentiality of discovery materials, to adequately

8 protect information the parties believe they are entitled to keep confidential, to

9 ensure that the parties are permitted reasonable necessary uses of such material in

10 preparation for and in the conduct of trial, to address their handling at the end of the

11 litigation, and serve the ends of justice, a protective order for such information is

12 justified in this matter. The parties intend that information will not be designated as

13 confidential for tactical reasons and that nothing be so designated without a good

14 faith belief that it has been maintained in a confidential, non-public manner, and

15 there is good cause why it should not be part of the public record of this case.

16 D. Acknowledgement of Procedure for Filing Under Seal

17 The parties also acknowledge, as set forth in Section II.K.3, that this

18 Stipulated Protective Order does not entitle them to file confidential information

19 under seal; Civil Local Rule 79-5 sets forth the procedures that must be followed

20 and the standards that will be applied when a party seeks permission from the Court

21 to file material under seal.

22 There is a strong presumption that the public has a right of access to judicial

23 proceedings and records in civil cases. In connection with non-dispositive motions,

24 good cause must be shown to support a filing under seal. See Kamakana v. City and

25 County of Honolulu, 447 F.3d 1172, 1176 (9th Cir. 2006), Phillips v. Gen. Motors

26 Corp., 307 F.3d 1206, 1210-11 (9th Cir. 2002), Makar-Welbon v. Sony Electrics,

27 Inc., 187 F.R.D. 576, 577 (E.D. Wis. 1999) (even stipulated protective orders

28 require good cause showing), and a specific showing of good cause or compelling

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 5 of 20 Page ID #:1025

1 reasons with proper evidentiary support and legal justification, must be made with

2 respect to Protected Material that a party seeks to file under seal. The parties’ mere

3 designation of Disclosure or Discovery Material as CONFIDENTIAL does not—

4 without the submission of competent evidence by declaration, establishing that the

5 material sought to be filed under seal qualifies as confidential, privileged, or

6 otherwise protectable—constitute good cause.

7 Further, if a party requests sealing related to a dispositive motion or trial, then

8 compelling reasons, not only good cause, for the sealing must be shown, and the

9 relief sought shall be narrowly tailored to serve the specific interest to be protected.

10 See Pintos v. Pacific Creditors Ass’n., 605 F.3d 665, 677-79 (9th Cir. 2010). For

11 each item or type of information, document, or thing sought to be filed or introduced

12 under seal in connection with a dispositive motion or trial, the party seeking

13 protection must articulate compelling reasons, supported by specific facts and legal

14 justification, for the requested sealing order. Again, competent evidence supporting

15 the application to file documents under seal must be provided by declaration.

16 Any document that is not confidential, privileged, or otherwise protectable in

17 its entirety will not be filed under seal if the confidential portions can be redacted.

18 If documents can be redacted, then a redacted version for public viewing, omitting

19 only the confidential, privileged, or otherwise protectable portions of the document,

20 shall be filed. Any application that seeks to file documents under seal in their

21 entirety should include an explanation of why redaction is not feasible.

22 II.

23 STIPULATED PROTECTIVE ORDER

24 A. Definitions. The following definitions apply to terms used in this Protective

25 Order.

26 1. Lawsuit: This pending lawsuit.

27 2. Challenging Party: A Party or Non-Party that challenges the

28 designation of information or items under this Order.

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 6 of 20 Page ID #:1026

1 3. “CONFIDENTIAL” Information or Items: Information (regardless of

2 how it is generated, stored or maintained) or tangible things that qualify for

3 protection under Federal Rule of Civil Procedure 26(c), and as specified above in

4 the Good Cause Statement. “CONFIDENTIAL” Information shall not apply to the

5 extent that Confidential Information includes information which is: (a) now or

6 hereafter, through no unauthorized act or failure to act on the Receiving Party’s part,

7 or on the part of any other Party subject to this Protective Order, in the public

8 domain; (b) was in the Receiving Party’s possession before receipt from the

9 Disclosing Party and obtained from a source other than the Disclosing Party and

10 other than through the prior relationship of the Disclosing Party and the Receiving

11 Party before the Separation Date; (c) hereafter furnished to the Receiving Party by a

12 third party as a matter of right and without restriction on disclosure; (d) furnished to

13 others by the Disclosing Party without restriction on disclosure; or (e) independently

14 developed by the Receiving Party without use of the Disclosing Party’s Confidential

15 Information

16 4. Counsel: Outside Counsel of Record and In-House Counsel (as well as

17 their support staff).

18 5. Designating Party: A Party or Non-Party that designates information or

19 items that it produces in disclosures or in responses to discovery as

20 “CONFIDENTIAL.”

21 6. Disclosure or Discovery Material: All items or information, regardless

22 of the medium or manner in which it is generated, stored, or maintained (including,

23 among other things, testimony, transcripts, and tangible things), that are produced or

24 generated in disclosures or responses to discovery in this matter.

25 7. Expert: A person with specialized knowledge or experience in a matter

26 pertinent to the litigation who has been retained by a Party or its counsel to serve as

27 an expert witness or as a consultant in this Lawsuit.

28

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 7 of 20 Page ID #:1027

1 8. In-House Counsel: Attorneys who are employees of a party to this

2 Lawsuit. In-House Counsel does not include Outside Counsel of Record or any

3 other outside counsel.

4 9. Non-Party: Any natural person, partnership, corporation, association,

5 or other legal entity not named as a Party to this Lawsuit.

6 10. Outside Counsel of Record: Attorneys who are not employees of a

7 party to this Lawsuit but are retained to represent or advise a party to this Lawsuit

8 and have appeared in this Lawsuit on behalf of that party or are affiliated with a law

9 firm which has appeared on behalf of that party, and includes support staff.

10 11. Party: Any party to this Lawsuit, including all of its officers, directors,

11 employees, consultants, retained experts, and Outside Counsel of Record (and their

12 support staffs).

13 12. Producing Party: A Party or Non-Party that produces Disclosure or

14 Discovery Material in this Lawsuit.

15 13. Professional Vendors: Persons or entities that provide litigation

16 support services (e.g., photocopying, videotaping, translating, preparing exhibits or

17 demonstrations, and organizing, storing, or retrieving data in any form or medium)

18 and their employees and subcontractors.

19 14. Protected Material: Any Disclosure or Discovery Material that is

20 designated as “CONFIDENTIAL.”

21 15. Receiving Party: A Party that receives Disclosure or Discovery

22 Material from a Producing Party.

23 B. Scope.

24 The protections conferred by this Stipulated Protective Order cover not only

25 Protected Material (as defined above), but also (1) any information copied or

26 extracted from Protected Material; (2) all copies, excerpts, summaries, or

27 compilations of Protected Material; and (3) any testimony, conversations, or

28 presentations by Parties or their Counsel that might reveal Protected Material. Any

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 8 of 20 Page ID #:1028

1 use of Protected Material at trial will be governed by the orders of the trial judge.

2 This Order does not govern the use of Protected Material at trial.

3 C. Duration.

4 Once a case proceeds to trial, information that was designated as

5 CONFIDENTIAL or maintained pursuant to this protective order used or introduced

6 as an exhibit at trial becomes public and will be presumptively available to all

7 members of the public, including the press, unless compelling reasons supported by

8 specific factual findings to proceed otherwise are made to the trial judge in advance

9 of the trial. See Kamakana, 447 F.3d at 1180-81 (distinguishing “good cause”

10 showing for sealing documents produced in discovery from “compelling reasons”

11 standard when merits-related documents are part of court record). Accordingly, the

12 terms of this protective order do not extend beyond the commencement of the trial

13 for any such materials.

14 Even after final disposition of this Lawsuit, the confidentiality obligations

15 imposed by this Order will remain in effect until a Designating Party agrees

16 otherwise in writing or a court order otherwise directs. Final disposition is the later

17 of (1) dismissal of all claims and defenses in this Lawsuit, with or without prejudice;

18 and (2) final judgment herein after the completion and exhaustion of all appeals,

19 rehearings, remands, trials, or reviews of this Lawsuit, including the time limits for

20 filing any motions or applications for extension of time pursuant to applicable law.

21 D. Designating Protected Material.

22 1. Exercise of Restraint and Care in Designating Material for Protection.

23 Each Party or Non-Party that designates information or items for protection

24 under this Order must take care to limit any such designation to specific material

25 that qualifies under the appropriate standards. The Designating Party must

26 designate for protection only those parts of material, documents, items, or oral or

27 written communications that qualify so that other portions of the material,

28

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 9 of 20 Page ID #:1029

1 documents, items, or communications for which protection is not warranted are not

2 swept unjustifiably within the ambit of this Order.

3 Mass, indiscriminate, or routinized designations are prohibited. Designations

4 that are shown to be clearly unjustified or that have been made for an improper

5 purpose (e.g., to unnecessarily encumber the case development process or to impose

6 unnecessary expenses and burdens on other parties) may expose the Designating

7 Party to sanctions.

8 If it comes to a Designating Party’s attention that information or items that it

9 designated for protection do not qualify for protection, that Designating Party must

10 promptly notify all other Parties that it is withdrawing the inapplicable designation.

11 2. Manner and Timing of Designations. Except as otherwise provided in

12 this Order (see, e.g., Section B(2)(b) below), or as otherwise stipulated or ordered,

13 Disclosure or Discovery Material that qualifies for protection under this Order must

14 be clearly so designated before the material is disclosed or produced. Designation in

15 conformity with this Order requires the following:

16 a. For information in paper or electronic documentary form, the

17 Producing Party must affix the legend - - “CONFIDENTIAL” (hereinafter

18 “CONFIDENTIAL legend”) - - to each page that contains protected material. If

19 only a portion or portions of the material on a page qualifies for protection, the

20 Producing Party also must clearly identify the protected portion(s) by, for example,

21 making appropriate markings in the margins.

22 A Party or Non-Party that makes original documents available for inspection

23 need not designate them for protection until after the inspecting Party has indicated

24 which documents it would like copied and produced. During the inspection and

25 before the designation, all of the material made available for inspection must be

26 treated as “CONFIDENTIAL.” After the inspecting Party has identified the

27 documents it wants copied and produced, the Producing Party must determine which

28 documents, or portions thereof, qualify for protection under this Order. Then,

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 10 of 20 Page ID #:1030

1 before producing the specified documents, the Producing Party must affix the

2 “CONFIDENTIAL legend” to each page that contains Protected Material. If only a

3 portion or portions of the material on a page qualifies for protection, the Producing

4 Party also must clearly identify the protected portion(s) (e.g., by making appropriate

5 markings in the margins).

6 b. For testimony given in depositions, the Designating Party must

7 identify all Protected Material either (i) on the record, before the close of the

8 deposition, or (ii) as soon as reasonably practicable after receipt of the transcript, by

9 marking the Protected Material in accordance with subparagraph a. above and

10 notifying any other party and/or recipient of any copy of the transcript about the

11 designations made.

12 c. For tangible items or information produced in some form other

13 than documentary, the Producing Party must affix in a prominent place on the

14 exterior of the container or containers in which the information is stored the legend

15 “CONFIDENTIAL.” If only a portion or portions of the information warrants

16 protection, the Producing Party, to the extent practicable, must identify the protected

17 portion(s).

18 3. Inadvertent Failure to Designate. If timely corrected, an inadvertent

19 failure to designate qualified information or items does not, standing alone, waive

20 the Designating Party’s right to secure protection under this Order for such material.

21 Upon timely correction of a designation, the Receiving Party must make reasonable

22 efforts to assure that the material is treated in accordance with the provisions of this

23 Order.

24 ///

25 ///

26 ///

27 ///

28 ///

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 11 of 20 Page ID #:1031

1 E. Challenging Confidentiality Designations.

2 1. Timing of Challenges. Any party or Non-Party may challenge a

3 designation of confidentiality at any time that is consistent with the Court’s

4 Scheduling Order.

5 2. Meet and Confer. The Challenging Party must initiate the dispute

6 resolution process under Local Rule 37-1 et seq.

7 3. Joint Stipulation. Any challenge submitted to the Court must be via a

8 joint stipulation pursuant to Local Rule 37-2.

9 4. The burden of persuasion in any such challenge proceeding is on the

10 Designating Party. Frivolous challenges, and those made for an improper purpose

11 (e.g., to harass or impose unnecessary expenses and burdens on other parties) may

12 expose the Challenging Party to sanctions. Unless the Designating Party has waived

13 or withdrawn the confidentiality designation, all parties must continue to afford the

14 Protected Material in question the level of protection to which it is entitled under the

15 Producing Party’s designation until the Court rules on the challenge.

16 F. Access To And Use Of Protected Material.

17 1. Basic Principles. A Receiving Party may use Protected Material that is

18 disclosed or produced by another Party or by a Non-Party in connection with this

19 Lawsuit only for prosecuting, defending, or attempting to settle this Lawsuit. Such

20 Protected Material may be disclosed only to the categories of persons and under the

21 conditions described in this Order. When the Lawsuit has been terminated, a

22 Receiving Party must comply with the provisions of Section L below (FINAL

23 DISPOSITION).

24 Protected Material must be stored and maintained by a Receiving Party at a

25 location and in a secure manner that ensures that access is limited to the persons

26 authorized under this Order.

27 ///

28 ///

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 12 of 20 Page ID #:1032

1 2. Disclosure of “CONFIDENTIAL” Information or Items. Unless

2 otherwise ordered by the Court or permitted in writing by the Designating Party, a

3 Receiving Party may disclose Protected Material only to the following people:

4 a. the Receiving Party’s Outside Counsel of Record in this Lawsuit,

5 as well as employees of said Outside Counsel of Record to whom it is reasonably

6 necessary to disclose the information for this Lawsuit;

7 b. the officers, directors, and employees (including In-House

8 Counsel) of the Receiving Party to whom disclosure is reasonably necessary for this

9 Lawsuit;

10 c. Experts (as defined in this Order) of the Receiving Party to

11 whom disclosure is reasonably necessary for this Lawsuit and who have signed the

12 “Acknowledgment and Agreement to Be Bound” (“Acknowledgement Form”)

13 attached as Exhibit A to this Stipulated Protective Order;

14 d. the Court and its personnel;

15 e. Court reporters and their staff;

16 f. professional jury or trial consultants, mock jurors, and

17 Professional Vendors to whom disclosure is reasonably necessary for this Lawsuit

18 and who have signed a copy of the Acknowledgment Form;

19 g. the author or recipient of a document containing the Protected

20 Material or a custodian or other person who otherwise possessed or knew the

21 Protected Material;

22 h. during their depositions, witnesses, and attorneys for witnesses,

23 in the Lawsuit to whom disclosure is reasonably necessary provided: (1) the

24 deposing party requests that the witness sign the Acknowledgment Form; and (2)

25 they will not be permitted to keep any Protected Material unless they sign the

26 Acknowledgment Form, or unless otherwise agreed by the Designating Party or

27 ordered by the Court. Pages of transcribed deposition testimony or exhibits to

28 depositions that reveal Protected Material may be separately bound by the court

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

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1 reporter and may not be disclosed to anyone except as permitted under this

2 Stipulated Protective Order; and

3 i. any mediator or settlement officer, and their supporting

4 personnel, mutually agreed upon by any of the parties engaged in settlement

5 discussions or appointed by the Court.

6 G. Protected Material Subpoenaed or Ordered Produced in Other

7 Litigation.

8 1. If a Party is served with a subpoena or a court order issued in other

9 litigation that compels disclosure of any Protected Material that Party must:

10 a. promptly notify in writing the Designating Party. Such

11 notification must include a copy of the subpoena or court order unless prohibited by

12 law;

13 b. promptly notify in writing the party who caused the subpoena or

14 order to issue in the other litigation that some or all of the material covered by the

15 subpoena or order is subject to this Protective Order. Such notification must include

16 a copy of this Stipulated Protective Order; and

17 c. cooperate with respect to all reasonable procedures sought to be

18 pursued by the Designating Party whose Protected Material may be affected. If the

19 Designating Party timely seeks a protective order, the Party served with the

20 subpoena or court order should not produce any Protected Material before a

21 determination by the relevant court, unless the Party has obtained the Designating

22 Party’s permission. The Designating Party bears the burden and expense of seeking

23 protection in that court of its Protected Material and nothing in these provisions

24 should be construed as authorizing or encouraging a Receiving Party in this Lawsuit

25 to disobey a lawful directive from another court.

26 ///

27 ///

28 ///

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

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1 H. A Non-Party’s Protected Material Sought In This Lawsuit.

2 1. The terms of this Order are applicable to information produced by a

3 Non-Party in this Lawsuit and designated as “CONFIDENTIAL.” Such Protected

4 Material produced by Non-Parties in connection with this litigation is protected by

5 the remedies and relief provided by this Order. Nothing in these provisions should

6 be construed as prohibiting a Non-Party from seeking additional protections.

7 2. In the event that a Party is required, by a valid discovery request, to

8 produce a Non-Party’s Protected Material in its possession, and the Party is subject

9 to an agreement with the Non-Party not to produce the Non-Party’s Protected

10 Material, then the Party must:

11 a. promptly notify in writing the Requesting Party and the Non-

12 Party that some or all of the information requested is subject to a confidentiality

13 agreement with a Non-Party;

14 b. promptly provide the Non-Party with a copy of the Stipulated

15 Protective Order in this Lawsuit, the relevant discovery request(s), and a reasonably

16 specific description of the information requested; and

17 c. make the information requested available for inspection by the

18 Non-Party, if requested.

19 3. If the Non-Party fails to seek a protective order from this Court within

20 21 days of receiving the notice and accompanying information, the Receiving Party

21 may produce the Non-Party’s confidential information responsive to the discovery

22 request. If the Non-Party timely seeks a protective order, the Receiving Party

23 should not produce any information in its possession or control that is subject to the

24 confidentiality agreement with the Non-Party before a determination by the Court.

25 Absent a court order to the contrary, the Non-Party bears the burden and expense of

26 seeking protection in this court of its Protected Material, and nothing in these

27 provisions should be construed as authorizing or encouraging a Receiving Party in

28 this Lawsuit to disobey a lawful directive from another court..

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

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1 I. Unauthorized Disclosure of Protected Material.

2 If a Receiving Party learns that, by inadvertence or otherwise, it has disclosed

3 Protected Material to any person or in any circumstance not authorized under this

4 Stipulated Protective Order, the Receiving Party must immediately (a) notify in

5 writing the Designating Party of the unauthorized disclosures, (b) use its best efforts

6 to retrieve all unauthorized copies of the Protected Material, (c) inform the person or

7 persons to whom unauthorized disclosures were made of all the terms of this Order,

8 and (d) request such person or persons to execute the Acknowledgment Form.

9 J. Inadvertent Production Of Privileged Or Protected Material.

10 When a Producing Party gives notice to Receiving Parties that certain

11 inadvertently produced material is subject to a claim of privilege or other protection,

12 the obligations of the Receiving Parties are those set forth in Federal Rule of Civil

13 Procedure 26(b)(5)(B). This provision is not intended to modify whatever

14 procedure may be established in an e-discovery order that provides for production

15 without prior privilege review. Pursuant to Federal Rule of Evidence 502(d) and

16 (e), insofar as the parties reach an agreement on the effect of disclosure of a

17 communication or information covered by the attorney-client privilege or work

18 product protection, the parties may incorporate their agreement in the Stipulated

19 Protective Order submitted to the court provided the Court so allows.

20 K. Miscellaneous.

21 1. Right to Further Relief. Nothing in this Order abridges the right of any

22 person to seek its modification by the Court in the future.

23 2. Right to Assert Other Objections. By stipulating to the entry of this

24 Protective Order, no Party waives any right it otherwise would have to object to

25 disclosing or producing any information or item on any ground not addressed in this

26 Stipulated Protective Order. Similarly, no Party waives any right to object on any

27 ground to use in evidence of any of the material covered by this Protective Order.

28

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 16 of 20 Page ID #:1036

1 3. Filing Protected Material. A Party that seeks to file under seal any

2 Protected Material must comply with Civil Local Rule 79-5. Protected Material

3 may only be filed under seal pursuant to a court order authorizing the sealing of the

4 specific Protected Material at issue. If a Party's request to file Protected Material

5 under seal is denied by the Court, then the Receiving Party may file the information

6 in the public record unless otherwise instructed by the Court.

7 L. Final Disposition.

8 After the final disposition of this Lawsuit, as defined in paragraph 4, within

9 sixty (60) days of a written request by the Designating Party, each Receiving Party

10 must return all Protected Material to the Producing Party or destroy such material.

11 As used in this subdivision, “all Protected Material” includes all copies, abstracts,

12 compilations, summaries, and any other format reproducing or capturing any of the

13 Protected Material. Whether the Protected Material is returned or destroyed, the

14 Receiving Party must submit a written certification to the Producing Party (and, if

15 not the same person or entity, to the Designating Party) by the 60 day deadline that

16 (1) identifies (by category, where appropriate) all the Protected Material that was

17 returned or destroyed and (2) affirms that the Receiving Party has not retained any

18 copies, abstracts, compilations, summaries or any other format reproducing or

19 capturing any of the Protected Material. Notwithstanding this provision, Counsel

20 are entitled to retain an archival copy of all pleadings, motion papers, trial,

21 deposition, and hearing transcripts, legal memoranda, correspondence, deposition

22 and trial exhibits, expert reports, attorney work product, and consultant and expert

23 work product, even if such materials contain Protected Material. Any such archival

24 copies that contain or constitute Protected Material remain subject to this Protective

25 Order.

26 ///

27 ///

28 ///

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 17 of 20 Page ID #:1037

1 M. Sanctions.

2 Any willful violation of this Order may be punished by monetary or

3 evidentiary sanctions or other appropriate action at the discretion of the Court.

4 IT IS SO STIPULATED, THROUGH COUNSEL OF RECORD.

5 Dated: May 31, 2022

6 SHEPPARD, MULLIN, RICHTER & HAMPTON LLP

7

By /s/ Colrena K. Johnson

8

FRANK FALZETTA

9 SCOTT SVESLOSKY

10 COLRENA K. JOHNSON

Attorneys for Plaintiff and Counter-Defendant

11 WEST AMERICAN INSURANCE

12 COMPANY and Third-Party Defendant

LIBERTY MUTUAL INSURANCE

13 COMPANY (erroneously sued as Liberty

14 Mutual Insurance)

Dated: May 31, 2022

15

KAPLAN, KENEGOS & KADIN

16

17

By /s/ Jeremy Rosenberg

18 JERRY KAPLAN

JOAN KENEGOS

19

JEREMY ROSENBERG

20 Attorneys for Defendant, Counterclaimant and

Third-Party Plaintiff

21

SHAGHAL LTD.

22

23

24

25

26

27

28

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page18of20 Page ID #:1038

1 || Dated: May 31, 2022

2 CHAPMAN, GLUCKSMAN, DEAN & ROEB

4 By /s/ Issa F. Mikel

GREGORY SABO

5 ISSA F. MIKEL

6 Attorneys for Third-Party Defendant

RUBEN DAVID YOUSSEFY EH DBA

7 PARS AMERICAN INSURANCE AGENCY

10 ATTESTATION

11 Pursuant to Local Rule 5-4.3.4(a)(2)(1), I hereby attest that all signatories

12 || listed above, and on whose behalf this filing is submitted, concur in the filing’s

13 || content and have authorized the filing.

14 Executed this 31st day of May, 2022 at Los Angeles, California.

15

16 By _ /s/Colrena K. Johnson

7 COLRENA K. JOHNSON

18 QRDER

19 Having reviewed the foregoing proposed Stipulated Protective Order, and for

20 || good cause shown, the Court hereby makes the Stipulated Protective Order an Order

21 || of the Court.

22

93 | IT IS SO ORDERED

24

95||DATED: June 2, 2022 fm hrekbotl~

26

7 HON. JEAN P. ROSENBLUTH

United States Magistrate Judge

28

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 19 of 20 Page ID #:1039

1

EXHIBIT A

2

ACKNOWLEDGMENT AND AGREEMENT TO BE BOUND

3

I, [print or type full name], of

4

[print or type full address], declare under penalty

5

of perjury that I have read in its entirety and understand the Stipulated Protective

6

Order that was issued by the United States District Court for the Central District of

7

California on _________________[date of Order] in the case of West American

8

Insurance Company v. Shaghal, Ltd., Case No. 2:21-cv-07751-CJC-(JPRx). I agree

9

to comply with and to be bound by all the terms of this Stipulated Protective Order

10

and I understand and acknowledge that failure to so comply could expose me to

11

sanctions and punishment, including contempt. I solemnly promise that I will not

12

disclose in any manner any information or item that is subject to this Stipulated

13

Protective Order to any person or entity except in strict compliance with the

14

provisions of this Order.

15

I further agree to submit to the jurisdiction of the United States District Court

16

for the Central District of California for the purpose of enforcing the terms of this

17

Stipulated Protective Order, even if such enforcement proceedings occur after

18

termination of this action. I hereby appoint [print or type

19

full name] of [print or type full

20

address and telephone number] as my California agent for service of process in

21

connection with this action or any proceedings related to enforcement of this

22

Stipulated Protective Order.

23

Date:

24

City and State where sworn and signed:

25

Printed Name:

26

27

Signature:

28

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

Case 2:21-cv-07751-CJC-JPR Document 64 Filed 06/02/22 Page 20 of 20 Page ID #:1040

1

CERTIFICATE OF SERVICE

2

I hereby certify that on this 31st day of May, 2022, I electronically filed the

3

foregoing STIPULATION FOR ENTRY OF PROTECTIVE ORDER with the

4

Clerk of the Court using the CM/ECF system which will send notification of such

5

filing to the following:

6

7 Jerry Kaplan, Esq. Attorneys for Defendant

Joan Kenegos, Esq. SHAGHAL, LTD.

8 Jeremy Rosenberg, Esq.

KAPLAN KENEGOS & KADIN

9 9150 WILSHIRE BOULEVARD, SUITE

175

10 CA 90212

Tel: (310) 859-7700

11 Email: jrosenberg@3klaw.com;

jkenegos@3klaw.com;

12 office admin office@3klaw.com

kapkenkd@pacbell.net

13

Joseph C. Campo, Esq. Attorneys for Third-Party

14 LEWIS BRISBOIS BISGAARD & SMITH Defendant

LLP ARROWHEAD WHOLESALE

15 633 West 5th Street, Suite 4000 INSURANCE SERVICES, LLC

Los Angeles, California 90071

16 Telephone: 213.250.1800

Facsimile: 213.250.7900

17 E-Mail: Joe.Campo@lewisbrisbois.com

18 Gregory K. Sabo, Esq. Attorneys for Third Party

David A Napper, Esq. Defendant, RUBEN DAVID

19 Issa F. Mikel, Esq. YOUSSEFYEH DBA PARS

CHAPMAN GLUCKSMAN DEAN & AMERICAN

20 ROEB INSURANCE AGENCY

A Professional Corporation

21 11900 West Olympic Boulevard, Suite 800

Los Angeles, California 90064-0704

22 Tel: (310) 207-7722

FAX: (310) 207-6550

23 Email: imikel@cgdrlaw.com

24

25 /s/ Laurie Palmer

Laurie Palmer

26

27

28

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SMRH:4882-3840-9492.2 STIPULATED PROTECTIVE ORDER

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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