Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-azd-2_07-cv-01491/USCOURTS-azd-2_07-cv-01491-6/pdf.json

Nature of Suit Code: 190
Nature of Suit: Other Contract Actions
Cause of Action: 28:1332 Diversity-Insurance Contract

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WO

IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF ARIZONA

Karen M. Stratton,

Plaintiff, 

v.

American Medical Security, Inc., et al.,

Defendants. 

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No. CV-07-1491-PHX-SMM

ORDER

Before the Court is the parties’ Stipulation for Entry of Protective Order (Dkt. 51). 

The Court will adopt the proposed Protective Order, modified to reflect the Court’s policy

of resolving discovery disputes telephonically.

Accordingly,

IT IS HEREBY ORDERED as follows:

1. Any information recorded in any form or any portion thereof, including any

form of evidence or discovery contemplated under Rules 26 through 36 of the Federal

Rules of Civil Procedure which, in the good faith opinion of the party or third party

providing such information or discovery or to which that information belongs (the

“producing party”), and which a party or third party regards in good faith as Protected

Information may be so designated by the producing party. 

//

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2. As used in this Order, the following terms include:

(a) The term “CONFIDENTIAL” as used in this order is to include all 

Protected Information that the designating party believes constitutes or discloses or

relates to business, commercial, processes, operations, research, technical or

developmental information, production, marketing, sales, actuarial, financial, contracts, or

other proprietary data or information of commercial value.

(b) The term “CONFIDENTIAL - ATTORNEYS ONLY” as used in 

this order is to include only Protected Information which the designating party believes

constitutes or contains highly sensitive financial information, business plans, trade

secrets, non-public technical information including actuarial information and

methodologies, ongoing research and development projects, or other information which

will harm its competitive position if it becomes known to a party other than the disclosing

party. The term “CONFIDENTIAL - ATTORNEYS ONLY” as used in this order also

includes any document or information supplied in any form, or any portion thereof, that

identifies an individual or subscriber in any manner and relates to the past, present, or

future care, services, or supplies relating to the physical or mental health or condition of

such individual or subscriber, the provision of health care to such individual or

subscriber, or the past, present, or future payment for the provision of health care to such

individual or subscriber. Further, the term “CONFIDENTIAL - ATTORNEYS ONLY”

specifically includes “protected health information” as such term is defined by the

Standards for Privacy of Individually Identifiable Health Information, 45 CFR parts 160

and 164, promulgated pursuant to the Health Insurance Portability and Accountability Act

of 1996. See 45 C.F.R. §§ 164.01 (“protected health information” and 160.103

(“individually identifiable health information”).

3. All Protected Information may be designated by the party producing the

Protected Information as “CONFIDENTIAL - (PRODUCING PARTY'S NAME)” or

“CONFIDENTIAL - (PRODUCING PARTY'S NAME) - ATTORNEYS ONLY.” 

4. Any Protected Information and all information derived therefrom

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(excluding such information as is derived lawfully from an independent source or is

publicly available) shall not be disclosed to anyone except as provided herein, shall be

used only for the purposes of this litigation, and shall not be used for any business,

financial or other purpose whatsoever. Nothing contained herein shall limit or prevent

disclosure or use of any item of Protected Information by the party who designated the

item Protected. 

5. In lieu of marking as Protected the original of a document which contains

Protected Information prior to inspection, counsel for the producing party may orally

designate such documents being produced for inspection as containing Protected

Information, thereby making them subject to this Order; however, in the event inspecting

counsel requests copies of any such documents, such copies must be marked Protected by

the producing party in order to make such copies subject to this order.

6. Protected Information designated as CONFIDENTIAL shall not be given,

shown, made available or communicated in any way to any person or entity other than the

following: 

 (a) Lawyers for Plaintiff:

Mariscal, Weeks, McIntyre & Friedlander, P.A.

Richardson, Patrick Westbrook & Brickman, L.L.C.

(i) Staff and supporting personnel of outside counsel who are 

working directly on this litigation under the supervision of such outside counsel and to

whom it is necessary that Protected Information be disclosed for purposes of this

litigation, including outside vendors or independent contractors retained by outside

counsel to assist in this litigation;

(b) Lawyers for Defendants:

Cooley Godward Kronish LLP

Jennings, Strouss & Salmon, PLC

(i) Staff and supporting personnel of outside counsel who are 

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working directly on this litigation under the supervision of such outside counsel and to

whom it is necessary that Protected Information be disclosed for purposes of this

litigation, including outside vendors or independent contractors retained by outside

counsel to assist in this litigation; 

(c) in-house counsel for Defendants and Officers, directors and 

employees of Defendant

(d) The Court and Court personnel, stenographic reporters and 

videographers at depositions taken in this action, and any jury empanelled in this action; 

(e) Plaintiff 

(f) Independent experts or consultants who are not regularly employed 

by or associated with a party hereto and whose advice is or will be used by a party hereto

in connection with preparation for trial or trial of this action, as well as any employees,

associates or independent contractors retained by those experts to assist in their work on

this matter. Counsel desiring to disclose Protected Information to such experts or

consultants shall first obtain a signed undertaking, in the form of Exhibit A attached

hereto, from each such expert or consultant. Proposing counsel shall also provide

opposing counsel with information regarding the identities of the proposed experts or

consultants, including their names, addresses and job titles, the name and addressees of

their employers and a current curriculum vitae including a list of all persons or entities for

whom such persons consulted during the prior 5 years and all employment for the

previous 10 years; and such Protected Information will not be disclosed to any such

expert or consultant for a period of 14 days after service of the signed undertaking upon

opposing counsel and compliance with the provisions of Paragraph 14.

(g) Any person that originally authored or received the document, or 

demonstrably gained knowledge of the Protected Information it contains in the regular

and ordinary course of business. 

(h) Any other person who is designated as a Qualified Person by order 

of this Court, after notice to all parties;

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7. Protected Information designated as CONFIDENTIAL - ATTORNEYS

ONLY shall not be given, shown, made available or communicated in any way to any

person or entity other than those persons described in paragraphs 6(a), 6(b), 6(c), 6(d),

6(f), 6(g), and 6(h).

8. In the event that counsel for a party deems it necessary to disclose any

Protected Information to any person not a Qualified Person, said counsel shall notify

counsel for the producing party in writing of the Protected Information to be disclosed,

and shall attempt to reach agreement regarding such disclosure. If agreement cannot be

reached, the party seeking to make the disclosure shall contact the Court and arrange for a

telephonic conference to address whether such disclosure may be made and whether any

restrictions or limitations should be placed on such disclosure, and the disclosure shall not

be made until that conference is held and the Court so orders. 

9. Prior to being provided access to any Protected Information, all non-party

witnesses must execute the Non-Disclosure Agreement attached hereto as Exhibit “A” or

orally agree to its contents on the record during deposition or trial.

10. Nothing in this order shall bar or otherwise restrict any attorney herein from

rendering advice to his or her client with respect to this litigation and in the course

thereof, referring to or relying upon his or her examination of Protected Information;

provided, however, that in rendering such advice and in otherwise communicating with

his or her clients, the attorney shall not disclose the content or the source of any Protected

Information.

11. Third party discovery in this proceeding may involve disclosure of

Protected Information, which if designated in conformity with the provisions of this

Order, shall be subject to the provisions herein and provide the non-party with all of the

rights and obligations set forth herein. In order to expedite third party discovery, a copy

of this Order and a letter generally informing the third party of its right to invoke the

protections set out herein shall be served with all such discovery. Furthermore, discovery

in this proceeding of a non-party may involve receipt of information, documents, things

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or testimony that include or contain Protected Information of a party. All discovery of

non-parties, therefore, shall be treated by the parties as if it had been designated Protected

for a period of 21 days from the production of such information, documents or things or

the transcript of such testimony. During such 21-day period, or longer time period to

which the parties may agree, each party may designate some or all of the information,

documents, things or testimony provided by the non party as Protected Information of the

designating party.

12. All documents shall be deemed temporarily subject to this Order as if

marked “CONFIDENTIAL” for ten (10) business days from delivery to permit the

disclosing party or nonparty to correct any inadequate failure to so mark delivered

documents. In the event that a producing party inadvertently fails to designate Protected

Information or incorrectly so designates information, or in the event that any other person

or party upon learning of the disclosure of information it deems to be Protected

Information, that party may make a late designation or change the designation by so

notifying in writing all parties to whom the Protected Information has been disclosed. 

The receiving parties shall take reasonable steps to ensure that the Protected Information

is thereafter treated in accordance with the designation. Late designation shall not, by

itself, be deemed a waiver of the Protected status of the designated information. No

person or party shall incur any liability hereunder with respect to disclosure that occurred

prior to the receipt of written notice of belated designation.

13. A party that proposes to submit Protected Information to independent

experts or consultants or other individuals identified in paragraph 6(f) shall notify the

party who designated the information Protected in writing of its intent to disclose. The

proposing party shall designate in such notice the specific Protected Information proposed

to be disclosed. In the absence of such specific designation, the notice will be construed

as referring to all of the Protected Information of the producing party subject to this

Order. In the event a specific designation is made, only so much of the producing party's

Protected Information as is specifically designated shall be disclosed to the intended

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recipient, unless and until such time as a further notice is given to the producing party in

the manner set forth in this paragraph, specifying any additional Protected Information to

be disclosed.

14. If an opposing party objects to the submission of Protected Information to

independent experts or consultants or other individuals identified in paragraph 6(f), it

shall notify the proposing party in writing within the 14-day period referred to in

paragraph 6(f) of its objection and the grounds therefore. If no such objection is made in

such time and manner, the proposing party may disclose Protected Information to such

person subject to the subsequent provisions in this paragraph. 

(a) If an objection is properly made and the dispute is not resolved on an 

informal basis between the proposing and objecting party, the proposing party shall

contact the Court to arrange a telephonic conference and ruling. In the event of such

objection, the proposing party shall withhold disclosure of Protected Information to the

objected individuals pending the ruling of the Court or written agreement between the

parties to the dispute. 

15. The attorneys of record shall maintain a file of all written agreements

signed by persons to whom they have given materials designated as Protected

Information. Said file shall be made available upon request for inspection and copying by

any attorney of record and shall be turned over to the opposing party within sixty (60)

days of the end of the contested proceedings.

16. Counsel shall not disclose Protected Information to a witness testifying at a

deposition except in strict conformity with the provisions of this Order. No such

disclosure shall be made to any witness unless that witness is entitled by this Order to

receive that Protected Information or the party that produced that Protected Information

assents to the disclosure of such Protected Information in writing or on the record of the

deposition and the witness signs the undertaking attached hereto as Exhibit A. If, during

the course of any deposition, (a) an attorney of record for any party desires to make

inquiry into Protected Information subject to the designation CONFIDENTIAL or

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CONFIDENTIAL - ATTORNEYS ONLY, or (b) an attorney of record for a party asserts

that an answer to a specific inquiry is subject to the foregoing designations, the attorney

shall make such inquiry only in the presence of those persons authorized access to such

Protected Information. Such testimony shall be sealed, and the parties hereto shall treat it

subject to the provision for disclosure set forth herein.

17. Testimony or information disclosed at a deposition may be designated by

the producing party as Protected Information by indicating on the record at the deposition

the specific testimony which contains Protected Information that is to be made subject to

the provisions of this Order. All testimony elicited during depositions, hearings, and

other proceedings shall be deemed CONFIDENTIAL - ATTORNEYS ONLY until the

expiration of 14 days after delivery of a copy of the transcript of the testimony by the

court reporter to counsel who requested a copy of the transcript. This paragraph will not

otherwise affect the deposition, hearing or other proceeding that is being recorded while it

is in session. Within the 14-day period following delivery of the transcript, any party

may, by written notice served on all parties, designate all or any portion of the testimony

to be CONFIDENTIAL or CONFIDENTIAL - ATTORNEYS ONLY. The right to make

such designation shall be waived unless made before the end of the 14-day period. Upon

being informed that certain portions of a transcript are designated as CONFIDENTIAL or

CONFIDENTIAL - ATTORNEYS ONLY, each party must cause each copy in their

custody, possession or control to be so marked immediately.

18. Any court reporter who transcribes testimony in this action at a deposition

shall agree, before transcribing any such testimony, that all Protected Information is and

shall remain confidential and shall not be disclosed except as provided under this Order

and that copies of any transcript, reporter's notes or any other transcription records of any

such testimony shall be retained in absolute confidentiality and safekeeping by such

reporter or shall be delivered to an attorney of record or filed with the Court.

19. Interrogatory answers and answers to requests for admissions designated as

Protected Information shall be delivered to the attorney of record propounding the

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interrogatories or requests without being filed with the Court unless required in any

further proceedings herein. When documents so designated and/or other matters of the

same or similar nature are the subject of inquiry at depositions, the portion of the

transcript which sets forth or contains Protected Information, together with such

documents, shall be sealed and shall not be filed with the Court unless required in any

further proceedings herein.

20. No Protected Information will be filed with the Court by the receiving party

unless it is filed under seal pursuant to the provisions of Federal Rule of Civil Procedure

5.2. Nothing shall be filed under seal without separate, prior order by the Judge before

whom the hearing or proceeding will take place after application by the party desiring to

file Protected Information with appropriate notice to opposing counsel. The parties may

also stipulate to file Protected Information and submit same as a proposed order to the

Judge before whom the hearing or proceeding shall take place. Upon obtaining such an

order, the party desiring to file Protected Information shall comply with the following

requirements: Protected Information must be filed in sealed containers labeled with: (1)

the title to this action; (2) the general nature of the contents; (3) the words

CONFIDENTIAL or CONFIDENTIAL - ATTORNEYS ONLY; and (4) a statement

substantially in the following form:

CONFIDENTIAL - SUBJECT TO PROTECTIVE ORDER. This sealed

container filed in this case, Stratton v. American Medical Seucrity, Inc. et

al, United States District Court, District of Arizona Case No.

CV-07-1491-PHX-SMM, contains confidential materials, which may be

used only in connection with the prosecution or defense of this lawsuit. 

Pursuant to Stipulated Protective Order, the container shall not be opened

nor the contents thereof revealed except to the Court. After any such

opening or revelation, the container shall be resealed with the contents

inside. 

21. Should an attorney of record for any party desire to use Protected

Information, or any summary thereof or excerpt therefrom, during the trial of or at any

hearing in this action, counsel shall, prior to such use, bring the confidentiality thereof to

the attention of the Court and/or the party which designated the Protected Information. 

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Counsel for the producing party may request that any portion of the transcript or exhibit

containing such Protected Information be filed under seal with the Court, and be accorded

protection as provided by the terms of this Order. All persons present at the time of such

use shall be directed to treat such information as Protected Information, and counsel for

the parties shall exercise all reasonable care not to disclose such materials needlessly in

the public record of this proceeding nor to persons not entitled under this Order to receive

such Protected Information.

22. In the event that counsel for a party deems it necessary to disclose Protected

Information in another contested proceeding among any of the parties to this case, such

counsel shall notify counsel for the producing party in writing of (i) the Protected

Information or documents to be disclosed, and (ii) the forum in which it seeks to disclose

it. The producing party shall have 14 days from receipt of such notice in which to advise

the party seeking to disclose such Protected Information whether it objects to such

disclosure. If agreement cannot be reached, the party seeking to disclose such Protected

Information may contact the Court for a telephonic conference and ruling as to whether

such disclosure may be made and whether any restrictions or limitations should be placed

on such disclosure. The party seeking to disclose shall contact the Court within 14 days

of same day service of disclosing party’s notice of intent to disclose.

23. The designation by counsel for the disclosing party of any Protected

Information is intended solely to facilitate the preparation and trial of this case, and such

designation shall not be construed in any way as an admission or agreement by any party

that the designated disclosure constitutes or contains any Protected Information in

contemplation of law. This Order shall not be construed as a waiver by the parties hereto

of any objection which might be raised as to the admissibility of any evidentiary material. 

This Order shall be without prejudice to the rights of any person to oppose production of

any Protected Information on any proper ground other than its status as a trade secret or

confidential business Protected Information.

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24. Each party agrees that designation of Protected Information and responses

to requests to permit further disclosure of Protected Information shall be made in good

faith and not (1) to impose burden or delay on an opposing party, or (2) for tactical or

other advantage in litigation. Further, each party agrees to make best efforts to avoid as

much as possible inclusion of Protected Information in briefs and other captioned

documents filed in court, in order to minimize sealing and designating such documents as

Protected Information.

25. The protection afforded by this Order shall in no way affect a party's or

non-party's right to withhold documents as privileged under the attorney-client or other

privilege or as otherwise exempted from discovery under Rule 26.

26. Within sixty (60) days of the final disposition of this action, whether by

judgment (including exhaustion of all appeals), settlement or otherwise, each attorney of

record shall promptly deliver to the party or witness from whom obtained all items which

have been marked CONFIDENTIAL OR CONFIDENTIAL - ATTORNEYS ONLY and

all copies made thereof. Each attorney of record and their respective law firms are

prohibited from using any CONFIDENTIAL OR CONFIDENTIAL - ATTORNEYS

ONLY in any other lawsuit, litigation or pending legal proceeding.

27. Upon the conclusion of this litigation and either (i) the expiration of the

time to file a notice of appeal, if no appeal is filed, or (ii) if an appeal was filed, the filing

of the mandate or final order from the Court of Appeals if the case is not reopened as a

result of the terms of the mandate or order, all Protected Information field under seal with

the Court shall be returned to the party that filed it, provided that if the person to whom it

is to be returned fails to remove the Protected Information after notice, it shall be

destroyed to the extent allowed under the Local Civil Rules of this Court.

28. A party shall not be obligated to challenge the propriety of a Protected

Information designation at the time made, and a failure to do so shall not preclude any

subsequent challenge. If a party desires to object to the designation of Protected

Information, it shall serve its objections in writing and by facsimile transmission (with

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original sent by First Class Mail). If the objections are not resolved on an informal basis

between the designating party and the objecting party, the objecting party may submit to

the Court for a telephonic conference and ruling of relief entirely or in part from the

provisions of this Order. 

29. Counsel shall take reasonable precautions to prevent the unauthorized or

inadvertent disclosure of any privileged information. A producing entity may notify the

requesting party that documents or materials that should have been withheld as privileged

were inadvertently produced. Upon receiving such notice, the requesting party shall

return all copies thereof unless there is a good faith basis upon which to challenge the

invocation of privilege, in which case the receiving party may retain no more than a

single copy thereof for the sole purpose of seeking, within a reasonable time and through

an in camera review, telephonic conference, or other means designed to preserve the

privilege pending a ruling, to have the Court determine whether a privilege properly

attaches to the document. The inadvertent production of any privileged information shall

be without prejudice to any claim that such material is privileged, and the producing

entity shall not be held to have waived any rights by such inadvertent production.

30. Nothing herein shall prevent disclosure beyond the term of this Order if the

party designating the Protected Information consents in writing to such disclosure, or if

the Court, after notice to all affected parties, orders such disclosure. If a recipient of

Protected Information is requested to produce such Protected Information by subpoena,

the receiving party shall immediately notify counsel for the producing party by facsimile

of such subpoena, and the receiving party shall not disclose any such Protected

Information to a third party without providing the producing party a reasonable period of

time of no less than 14 days to object to such disclosure. In any event, if any such

Protected Information is disclosed to a third party it can only be disclosed under the terms

of a protective order containing substantially similar protections as this Protective Order.

31. In the event anyone shall violate, or threaten to violate, any terms of this

Order, the parties hereto agree that the aggrieved party may immediately apply to obtain

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injunctive relief against any such person, and in the event the aggrieved party shall do so,

the respondent person, subject to the provisions of this Order shall not employ as a

defense thereto or claim that the aggrieved party possesses an adequate remedy at law. 

Each person to whom disclosure of any Protected Information is made agrees to subject

himself/herself to the jurisdiction of this Court in which this action is pending for the

purpose of proceedings relating to the performance under, compliance with, or violation

of this Protective Order.

32. In the event this Protective Order is not signed by the Court for any reason,

the parties agree that any documents designated CONFIDENTIAL or CONFIDENTIAL -

ATTORNEYS ONLY will only be used for purposes of this litigation, or as required by

subpoena or otherwise required by law, and will not be disclosed to witnesses, other than

those identified in 6 and 7 above who likewise agree that the documents will only be

used as outlined in those paragraphs.

33. This Protective Order shall remain in force and effect indefinitely until

modified; superseded or terminated by Order of this Court, which may be entered

pursuant to agreement of the parties hereto. This order shall continue in effect after

termination of this action and continue to be binding upon all persons to whom “Protected

Information” is disclosed hereunder.

34. The parties may provide by stipulation for exceptions to this Order, and any

party may seek an Order of this Court modifying this Protective Order. This Order is

without prejudice to the right of either party to seek relief from the Court, upon good

cause shown, from any of the restrictions provided herein or to impose additional

restrictions on the disclosure of any Protected Information or material produced.

DATED this 23rd day of July, 2008.

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Exhibit A

Acknowledgment of Protective Order

I certify that I have received a copy of the Stipulated Protective Order Regarding

Protected Information dated July 22, 2008 (“Order”).

I further certify that I have read and fully understand the contents of this Order.

I understand and agree to comply with the standards and procedures which are set

forth in the order. I understand that compliance with these standards and procedures is a

condition of receipt of protected information and that a failure to comply may constitute

contempt of the court and/or a violation of applicable laws.

______________________

NAME

______________________

SIGNATURE

________________________

DATE SIGNED

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