Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-2_07-cv-00190/USCOURTS-caed-2_07-cv-00190-0/pdf.json

Nature of Suit Code: 190
Nature of Suit: Other Contract Actions
Cause of Action: 28:1332 Diversity-Breach of Fiduciary Duty

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843695.3 1 

STIPULATION 

DOWNEY BRAND LLP 

KEVIN M. SEIBERT (Bar No. 119356) 

MEGHAN M. BAKER (Bar No. 243765) 

3425 Brookside Road, Suite A 

Stockton, CA 95219-1757 

Telephone: (209) 473-6450 

Facsimile: (209) 473-6455 

Attorneys for Defendants 

David Weymouth, an Individual 

Rosalie Carbajal, an Individual 

UNITED STATES DISTRICT COURT 

EASTERN DISTRICT OF CALIFORNIA 

SACRAMENTO DIVISION 

HANGER PROSTHETICS & 

ORTHOTICS, INC., 

Plaintiff, 

v. 

CENTER FOR INDEPENDENT 

REHABILITIVE SERVICES, INC., a 

California corporation; DAVID 

WEYMOUTH, an individual; ROSALIE 

CARBAJAL; an individual; AND DOES 

1-15, 

Defendants. 

Case No. 2:07-CV-00190-WBS-GGH 

STIPULATED PROTECTIVE ORDER 

In this case, the parties have requested production of documents and other information 

that constitutes, reflects or discloses confidential, competitively sensitive, and/or proprietary 

information. To permit the parties to produce such sensitive information while safeguarding its 

confidentiality, Plaintiff Hanger Prosthetics & Orthotics, Inc., and Defendants David Weymouth, 

Rosalie Carbajal, and Center for Rehabilitative Services, by and through their respective counsel, 

hereby agree and stipulate as follows: 

1. Scope of Stipulation. 

This Stipulation shall govern the disclosure and handling of all documents and other 

Case 2:07-cv-00190-WBS-GGH Document 19 Filed 07/27/07 Page 1 of 13
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843695.3 2 

STIPULATION 

discovery material produced or filed during discovery and other proceedings in this action, 

including, but not limited to, initial disclosures, answers to requests for admission, answers to 

interrogatories, documents produced pursuant to inspection demands, documents subpoenaed in 

connection with depositions, and deposition transcripts. 

In connection with discovery, a party may produce confidential, competitively sensitive, 

and proprietary information, as well as documents and information that contains protected health 

information governed by the Health Insurance Portability and Accountability Act (“HIPAA”) and 

its implementing regulations. This Stipulation constitutes a qualified protective order under 

HIPAA and shall govern the disclosure of documents and information subject to HIPAA. 

The provisions of this Stipulation shall apply to all parties to this action who agree thereto, 

and any other person producing, receiving, or disclosing material in this action who agrees to be 

bound by the terms of this Stipulation. 

2. Defined Terms.

(a) “Party” or “Parties” means Plaintiffs, Defendants, Cross-Complainants, CrossDefendants, and anyone else acting upon their behalf or at their direction or control (including but 

not limited to their counsel, agents, employees, representatives, consultants, etc.). 

(b) “Affected Party” means a Party, as defined above, who produces or who has been 

requested to produce Confidential Material and who has signed this Stipulation. 

(c) “Person” includes a natural person, limited liability company, limited liability 

partnership, firm, association, organization, partnership, business, corporation, public entity or 

other person acting on behalf of such person. 

(d) “Producing Person” means a Person, as defined above, producing or disclosing 

Material, as defined below, in this action. 

(e) “Material” means all papers, documents, tapes, deposition testimony, including but 

not limited to writings or information stored electronically, or on tape, drum, disk or otherwise, 

including information produced, given, served, received, obtained, or filed during discovery and 

other proceedings in this action, including (i) initial disclosures, answers to requests for 

admission, answers to interrogatories, answers to request for admissions, and documents 

Case 2:07-cv-00190-WBS-GGH Document 19 Filed 07/27/07 Page 2 of 13
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843695.3 3 

STIPULATION 

produced by or obtained from any of the parties or present or former employees of the parties; (ii) 

depositions, transcripts and exhibits; and (iii) all copies, excerpts, and summaries prepared from 

such papers or documents. 

(f) “Confidential Material” means any Material, as defined above, that the Producing 

Person reasonably believes is subject to protection as: (i) financial information; (ii) information 

pertaining to a third party which the party has a legal obligation to keep confidential; (iii) trade 

secrets; (iv) confidential propriety business information subject to protection under the law; (v) 

protected health information subject to HIPAA and its implementing regulations. 

Confidential Material shall not include (i) documents or information of public record or 

otherwise in the public domain; (ii) documents filed with any federal or state agency and required 

by that agency to be made available to the public; (iii) documents or information which is or 

becomes generally available to the public without any breach of this order; (iv) documents 

received from a source independent of the designating party; and (v) documents lawfully 

possessed by the non-producing party prior to commencement of this litigation. 

(g) “Confidential Information” means any information that constitutes, reflects or 

discloses Confidential Material, as defined above, but only the limited portions of briefs, 

memoranda, exhibits, or deposition testimony, or the limited portions of any other writing or 

information that mentions, discusses or refers to the Confidential Material. 

(h) “Attorneys’ Eyes Only Information” means any Confidential Material or 

Confidential Information that the Producing Person reasonably believes is subject to protection 

as: (i) highly sensitive financial information; (ii) competitively sensitive referral source 

information, except for information that constitutes, reflects, or relates to the referral sources 

whom Plaintiff Hanger Prosthetics & Orthotics, Inc. contends Defendants David Weymouth, 

Rosalie Carbajal, and Center for Rehabilitative Services wrongfully solicited; and (iii) 

competitively sensitive or highly confidential customer/patient information, except for 

information that constitutes, reflects, or relates to the customers/patients whom Plaintiff Hanger 

Prosthetics & Orthotics, Inc., contends Defendants David Weymouth, Rosalie Carbajal, and 

Center for Rehabilitative Services wrongfully solicited. 

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843695.3 4 

STIPULATION 

3. Designation of Confidential Material and Information. 

(a) The Producing Person shall designate Confidential Material, Confidential 

Information, and Attorneys’ Eyes Only Information in the manner described below: 

(i) Documents that contain Confidential Material or Confidential Information shall be 

designated as such by stamping or otherwise legibly marking the document “CONFIDENTIAL” 

on each page of any such document prior to production. Documents that contain Attorneys’ Eyes 

Only Information shall be designated as such by stamping or otherwise legibly marking the 

document “ATTORNEYS’ EYES ONLY” on each page of any such document prior to 

production. 

(ii) Responses to interrogatories or requests for admission that contain Confidential 

Material or Confidential Information shall be clearly designated as “CONFIDENTIAL” in the 

response in which the Confidential Material or Information appears. Responses to interrogatories 

or requests for admission that contain Attorneys’ Eyes Only Information shall be clearly 

designated as “ATTORNEYS’ EYES ONLY” in the response in which the Attorneys’ Eyes Only 

Information appears. 

(iii) As to depositions, designation of the portion of the transcript (including exhibits) 

which contains Confidential Material, Confidential Information, or Attorneys’ Eyes Only 

Information shall be made by a statement to such effect on the record during the course of the 

deposition, or by written notice to the court reporter and all parties within twenty (20) calendar 

days following the receipt of the reporter’s transcript of the deposition proceedings. If after 

expiration of the twenty day period, the transcript and/or exhibits have not been designated 

Confidential Material, Confidential Information, or Attorneys’ Eyes Only Information, the 

undesignated transcript and/or exhibits may be disclosed without restriction. 

If the transcript and/or exhibits have been designated Confidential Material, Confidential 

Information, or Attorneys’ Eyes Only Information, the court reporter who attended the deposition 

shall thereafter bind the transcript in separate portions containing the Confidential 

Material/Information and Attorneys’ Eyes Only Information, and the reporter shall place the 

appropriate legend on the cover of the Confidential or Attorneys’ Eyes Only portions of the 

Case 2:07-cv-00190-WBS-GGH Document 19 Filed 07/27/07 Page 4 of 13
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843695.3 5 

STIPULATION 

transcript. The parties may modify this procedure for any particular deposition through 

agreement on the record at such deposition, without further court order. 

(b) If an Affected Party discloses Confidential Material, Confidential Information, or 

Attorneys’ Eyes Only Information without designating it as such, that Party may, within twenty 

(20) business days of disclosure, designate such documents, materials, or writings as 

“CONFIDENTIAL” or “ATTORNEYS’ EYES ONLY” by providing written notice to counsel 

that such documents, materials, or writings should have been so designated and by providing a 

copy of said confidential items, bearing the required designation. If after expiration of the twenty 

day period, documents, materials, or writings have not been designated Confidential Material, 

Confidential Information, or Attorneys’ Eyes Only Information, the undesignated documents, 

materials and/or writings may be disclosed without restriction. 

If documents, materials, or writings have been designated Confidential Material, 

Confidential Information, or Attorneys’ Eyes Only Information within the twenty day period, 

such information, documents, or materials shall be covered by the terms and subject to the 

conditions set forth in this Stipulation as if they had been designated “CONFIDENTIAL” OR 

“ATTORNEYS’ EYES ONLY” on the date they were originally disclosed. Upon receipt of 

documents, materials, or writings bearing the correct “CONFIDENTIAL” OR “ATTORNEYS’ 

EYES ONLY” designation, the receiving party shall, at its option, either return to the producing 

party or destroy, in whatever form stored or reproduced, any documents, materials, or writings 

that the Affected Party had inadvertently disclosed without the required “CONFIDENTIAL” or 

“ATTORNEYS’ EYES ONLY” designation. 

(c) In accordance with paragraph 2(h)(ii)-(iii), the Producing Person may not 

designate any Confidential Material or Confidential Information as “ATTORNEYS’ EYES 

ONLY” that constitutes, reflects, or relates to the customers/patients and the referral sources 

whom Plaintiff Hanger Prosthetics & Orthotics, Inc., contends Defendants David Weymouth, 

Rosalie Carbajal, and Center for Rehabilitative Services wrongfully solicited. 

4. Use.

(a) All Confidential Material, Confidential Information, and Attorneys’ Eyes Only 

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843695.3 6 

STIPULATION 

Information produced in this case shall be used only for the purposes of pre-trial proceedings 

(including, but not limited to, motions and briefing), trial preparation and trial, and any appeals in 

this case; Confidential Material, Confidential Information, and Attorneys’ Eyes Only Information 

shall not be used for any other purpose whatsoever. 

(b) All Confidential Material and Confidential Information designated as such shall 

not be given, shown, made available or communicated to anyone except: 

(i) Outside and in-house counsel for the named parties to this action, including 

partners, associates, clerks, paralegals, and stenographic and support personnel 

assisting such counsel; 

(ii) Named parties to this action, including their directors, officers, and 

managing agents assisting in the prosecution or defense of this matter, or insurers; 

(iii) The Court, and court officials involved in this action (including without 

limitation, court reporters, persons operating video recording equipment at 

depositions, and any mediator or magistrate appointed by the Court, or agreed 

upon by the parties); 

(iv) Any Person to whom the Producing Person agrees in writing in advance of 

the disclosure or that the Court may order; 

(v) Any person indicated on the document as an author or addressee of the 

document, or who have outside of the litigation received copies of, the particular 

document or information; 

(vi) Witnesses being deposed or providing in-court testimony other than 

testimony at trial, which is addressed in paragraph 9 below; 

(vii) Experts or consultants retained by the attorneys of record to assist in the 

preparation of this matter for litigation, as well as the office personnel of any 

retained experts or consultants; 

(viii) Representatives of the party that produced the Confidential Material or 

Information. 

(ix) Any employee or agent of a copying service or similar entity to whom such 

Case 2:07-cv-00190-WBS-GGH Document 19 Filed 07/27/07 Page 6 of 13
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843695.3 7 

STIPULATION 

materials are provided for the purpose of making copies; 

(c) All Attorneys’ Eyes Only Information designated as such shall not be given, 

shown, made available or communicated to anyone except: 

(i) The outside attorneys of record for any party in this action, and the 

employees of such attorneys to whom, in the opinions of the attorneys in charge of 

the case for such party, it is necessary to the preparation of their case that such 

materials be shown; 

(ii) Experts or consultants retained by the attorneys of record to assist in the 

preparation of this matter for litigation, as well as the office personnel of any 

retained experts or consultants; 

(iii) Any employee or agent of a copying service or similar entity to whom such 

materials are provided for the purpose of making copies; 

(iv) Any person indicated on the document as an author or addressee of the 

document, or who have outside of the litigation received copies of, the particular 

document or information; 

(v) The Court and its officials involved in this action (including without 

limitation, court reporters, persons operating video recording equipment at 

depositions, and any mediator or magistrate appointed by the Court, or agreed 

upon by the parties); 

(vi) Non-party witnesses being deposed or providing in-court testimony other 

than testimony at trial, which is addressed in paragraph 9 below, but only if such 

party has knowledge pertinent to such materials; 

(vii) Any other Person to whom the Producing Person agrees in writing in 

advance of the disclosure or that the Court may order. 

(d) All Confidential Material and Confidential Information shall be carefully 

maintained so as to reasonably avoid access by persons who are not designed in paragraph 4(b), 

and all Attorneys’ Eyes Only Information shall be carefully maintained so as to reasonably avoid 

access by persons who are not designed in paragraph 4(c). 

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843695.3 8 

STIPULATION 

(e) When Confidential Material, Confidential Information, and/or Attorneys’ Eyes 

Only Information will likely be discussed, presented, or otherwise referenced during a deposition, 

the party claiming confidentially shall have the right to make arrangements to insure that only the 

persons who, in accordance with paragraph 4(b) and 4(c) would be permitted access to such 

materials, are present during said discussion, presentation, or reference. 

5. Acknowledgement and Agreement to Be Bound. 

(a) Should any counsel for a receiving party find it necessary, for the purposes of this 

action, to disclose Confidential Material or Confidential Information, in whole or in part, to any 

Person identified in paragraph 4(b) or 4(c) for the purpose of assisting in connection with this 

action, the undersigned counsel for such receiving party shall require, before such disclosure, that 

every such Person read this Stipulation and execute a copy of the Acknowledgment and 

Agreement to be Bound, attached hereto at Exhibit A, stating that he or she has read and 

understands this Stipulation and agrees to be bound by its terms. The original Acknowledgment 

and Agreement to be Bound shall be maintained in a file by the counsel originating the signing. 

6. Disclosure to Persons Other Than Those Specified in Paragraphs 4(b)-(c).

(a) If an attorney for any party in the action desires to give, show, make available or 

communicate any information designated as “CONFIDENTIAL” to Persons other than those 

designed in paragraph 4(b), or any information designated at “ATTORNEYS’ EYES ONLY” to 

Persons other than those designed in paragraph 4(c), the attorney must first disclose that Person’s 

name and connection with this litigation in writing to counsel for the party who designated the 

material or information “CONFIDENTIAL” or “ATTORNEYS’ EYES ONLY,” and must obtain 

the written consent of the attorney for the party who designated the documents or information. If 

the party who designated the documents and/or information refuses to give its consent, that party 

must state its reasons in a writing postmarked within ten (10) calendar days of the postmark on 

the written notice of intent to disclose. Thereafter, the parties shall meet and confer to attempt to 

resolve the reasons for withholding consent. If an agreement cannot be reached, the party 

desiring disclosure of such information may petition the Court for an order allowing disclosure. 

The burden shall be on the party desiring to prevent disclosure to demonstrate why such material 

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843695.3 9 

STIPULATION 

should not be disclosed. 

(b) All persons to whom confidential material or information is made under paragraph 

6(a) shall execute a copy of the Acknowledgment and Agreement to be Bound, attached hereto at 

Exhibit A, stating that he or she has read and understands this Stipulation and agrees to be bound 

by its terms. The original Acknowledgment and Agreement to be Bound shall be maintained in a 

file by the counsel originating the signing. 

7. Challenges.

(a) By entering into this Stipulation, no party concedes that any Material does in fact 

contain or reflect confidential information or has been properly designated as 

“CONFIDENTIAL” or “ATTORNEYS’ EYES ONLY.” 

(b) A party shall not be obligated to challenge the propriety of the designation of 

Material as at the time made, and failure to do so shall not preclude a subsequent challenge 

thereof. 

(c) If an a party at any time challenges the designation of specific documents or 

information, it shall send a written notice to the Producing Person, and they shall attempt to 

resolve any challenge in good faith on an expedited and informal basis. If the challenge cannot 

be expeditiously and informally resolved, either the Producing Person or the challenging party 

may, through a joint statement of discovery dispute, or where appropriate under the local rules, on 

noticed motion, apply for an appropriate ruling(s) from the Court. The Material in issue shall 

continue to be treated as designated until the Court orders otherwise. Nothing in this paragraph is 

intended to preclude a party from applying for an order shortening time on such noticed motion, 

or applying for relief on an ex parte basis. The burden shall be on the party seeking to sustain the 

designation of confidentiality to demonstrate why such material is Confidential Material, 

Confidential Information, or Attorneys’ Eyes Only Information. 

(d) The foregoing is without prejudice to the right of any party to: (i) apply to the 

Court for a further protective order relating to any Confidential Material, Confidential 

Information, or Attorneys’ Eyes Only Information; (ii) object to the production of documents it 

considers to be not subject to discovery; or (iii) apply to the Court for an order compelling 

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843695.3 10 

STIPULATION 

production of documents, seeking modification of this Stipulation, permitting disclosures of 

Confidential Material, Confidential Information, or Attorneys’ Eyes Only Information beyond the 

terms of this Stipulation. 

8. Court Filings. 

If a party files or lodges with the Court any transcripts of depositions or portions thereof, 

exhibits, answers to interrogatories, responses to requests for admission, and other Material that 

has previously been designated “CONFIDENTIAL” or “ATTORNEYS’ EYES ONLY,” or any 

pleading or memorandum or other document purporting to reproduce or paraphrase such 

information, the papers to be filed with the Court that contain such information shall be 

accompanied by an application to file the papers—or the confidential portion thereof—under seal, 

pursuant to Rule 39-141 of the Local Rules of the United States District Court for the Eastern 

District of California. Pending ruling on the application, the papers or portions thereof subject to 

the sealing application shall be lodged under seal. Where a party seeks to file materials under 

seal, all papers that refer to or rely upon such evidence shall designate the particular aspects that 

are confidential in order to enable the Court, in drafting orders, to determine whether there is 

evidence which the Court should attempt not to disclose. 

9. Trial. This Stipulation, insofar as it restricts the communication, use, or 

disclosure of Confidential Material, Confidential Information, or Attorneys’ Eyes Only 

Information, shall not apply to the introduction, use, or disclosure of such materials and 

information, and testimony related thereto, as evidence at trial. 

10. Conclusion of Action. This Stipulation, insofar as it restricts the communication 

and use of Confidential Material, Confidential Information, and Attorneys’ Eyes Only 

Information, shall continue to be binding throughout and after the conclusion of this litigation, 

including any appeals. Upon final determination of this action, including all appeals, the 

receiving party (but not its outside counsel) shall destroy, in whatever form stored or reproduced, 

all physical objects and documents that have been designated as “CONFIDENTIAL” or 

“ATTORNEYS’ EYES ONLY”, and all correspondence, memoranda and notes that contain 

excerpts from any Confidential Material, Confidential Information, or Attorneys’ Eyes Only 

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843695.3 11 

STIPULATION 

Information. The receiving party is not required to destroy any pleadings, deposition transcripts, 

or other materials filed with the Court; any attorney-client communications; or any other attorney 

work product materials. Such party shall certify to the disclosing party’s attorney of record that it 

has made reasonable and good faith efforts to destroy such physical objects and documents, and 

that to the best of its knowledge such physical objects and documents have been destroyed. The 

attorneys for each party shall be entitled to retain copies of pleadings, motion papers, discovery 

responses, deposition transcripts, correspondence, legal memoranda, and work product developed 

in connection with this action, but shall destroy any and all production documents designated as 

“CONFIDENTIAL” or “ATTORNEYS’ EYES ONLY”, and all copies in their possession, 

custody and control. The attorneys for each party shall certify in writing to the disclosing party’s 

attorney of record that it has made reasonable and good faith efforts to destroy confidential 

production documents, and that to the best of its knowledge such documents have been destroyed. 

11. Discovery Obligations Unaffected. Nothing in this order shall be construed to 

relieve any party from the obligation to timely respond to discovery as provided by any order of 

this Court or the Federal Rules of Civil Procedure, unless (prior to the date for such response) the 

party obtains from the Court an order relieving such party from its discovery obligation. 

Furthermore, nothing in this Order requires any party to this action to disclose the identity of any 

expert witness any sooner than otherwise required by the Federal Rules of Civil Procedure and 

the Court’s Scheduling Order. 

12. Execution in Counterparts. The parties may execute this Stipulation in 

counterparts, which together shall constitute a complete document. The Stipulation shall not take 

effect until it has been executed by each party. 

Each counterpart shall be delivered to Downey Brand, LLP, Kevin Seibert, 3425 

Brookside Road, Suite A, Stockton, California, 95219, phone number (209) 473-6450, facsimile 

number (209) 473-6455. An executed counterpart may be transmitted by facsimile and shall be 

effective and binding on the parties at such time as transmission is complete. In that event, each 

party, where applicable, agrees to send the original counterpart by United States Postal Service 

first class mail or overnight delivery on the same day it is sent by facsimile. 

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843695.3 12 

STIPULATION 

DATED: July __, 2007 DOWNEY BRAND LLP 

By: /s/ 

KEVIN M. SEIBERT 

Attorney for Defendants 

David Weymouth 

Rosalie Carbajal 

DATED: July __, 2007 FOLEY & LARDNER LLP 

By: /s/ 

DAVID MOYER 

Attorney for Plaintiff 

Hanger Prosthetics & Orthotics, Inc. 

DATED: July __, 2007 FORES & MACKO, Profressional Law Corp. 

By: /s/ 

ROBERT P. FORES 

Attorney for Defendant 

Center for Rehabilitive Services, Inc. 

IT IS SO ORDERED. 

DATED: 7/27/07 /s/ Gregory G. Hollows 

JUDGE OF THE UNITED STATES 

DISTRICT 

Hanger.po

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843695.3 13 

STIPULATION 

Exhibit A: Acknowledgment and Agreement to be Bound

I, _______________________, hereby declare and certify my understanding that 

Confidential Material and/or Information is being provided to me pursuant to the terms and 

restrictions of a Stipulation between Plaintiff HANGER PROSTHETICS & ORTHOTICS, INC., 

and Defendants CENTER FOR INDEPENDENT REHABILITIVE SERVICES, INC., DAVID 

WEYMOUTH and ROSALIE CARBAJAL. 

I have been given a copy of that Stipulation and I have read it. I agree to be bound by the 

terms of the Stipulation. I will not reveal the Confidential Material or Information to anyone, 

except as allowed by the Order. I will maintain all such Confidential Material and Information-- 

including copies, notes, or other transcriptions made therefrom -- in a secure manner to prevent 

unauthorized access to it. No later than thirty (30) days after the conclusion of this action, I will 

return the Confidential Material and Information to the counsel who provided me with it. 

DATED: SIGNED: 

 

Case 2:07-cv-00190-WBS-GGH Document 19 Filed 07/27/07 Page 13 of 13