## I n the U nited S tates Cour t of Feder al Claim s
No . 1 4 -2 5 1 C (Fi l edDecem

ber 2 0 , 2 0 1 6 ) UNPUBLI SHED

* * * * * * * * * * * * * * * * * * * * * * BISHOP HILL ENERGY LLC * an d INVENERGY W IND LLC, * M ot i o n t o Co m p el Res p on s es t o * In t erro g at o ri es ; M o t i o n t o Qu as h Pla i n t i f f s , * RCFC 3 0 (b )(6 ) Dep o s i t i o n To p i cs ;

* Ex p ertDi s co veryAp p ro p ri at e t o v
. * Ex p lo re Go v ern m en t’ s Co n t en t i o n s * o f Fact an dLaw Reg ard i n g Fai r THE UNITED STATES, * M ark et Val u e o f W i n d En erg y * Faci l i ty

Dev el op m en t Fee. Def en d a n t

. * * * * * * * * * * * * * * * * * * * * * * *
Jo h n C. Ha

yes , Jr

. , W as h i n g t o n , DC, fo r p l ai n t i ffs

. Al yci a A. Zi a rn o , Br ia n P. Do n n el l

y an d Br i a n J. W

h i t ta ker , W as h i n g t o n , DC, o f co u n s el

. Mi r a n d a Bu r ea u , Un i t edSt at es Dep art m en to f J u st i ce Tax Di v i s i o n , wi t h wh o m w ere Ca r o l i ne D. Ci r a o l o , Pri n ci p al Dep u ty As s i st an tAt t orn ey

Gen eral , Da vi d I. Pi n cu s , Ch i ef, G. Ro b s o n Stewa r t , As s is t an tCh i ef, S . Sta r l in g Ma r

s h a l l , Bla i n e G. S

a i t o an d Jen n i

f er McCo l l o ugh , Tri al At t o rn ey s , W as h in g t o n , DC, fo r d efen d an t

.

_ _ _ __ _ _ __ _ _ __ _ __ _ _ _ _ _ __ _ OPI NI ON

_ _ _ __ _ _ __ _ _ __ _ __ _ _ _ _ _ __ _ Bus h , S en i o r Ju d ge . Th e co u rt h as b efo re i tPl ai n t iffs ’ M o ti o n t o Co m p el Di s co v ery Res p o n s es , fi led Ju l y 2 1 , 2 0 1 6 , as wel l as Defen d an t’ s M ot i on fo r a Pro t ect i v e Ord er Qu as h i n g Bi s h o p Hi l l En erg y LLC’ s No t i ce o f RCFC 3 0 (b )(6 ) Dep o s i ti o n , fi l edSep tem

b er 1 4 , 2 0 1 6. Oral arg u m en to n th e m o ti o n s was h el d o n No v em b er 2 9 , 2 0 1 6 . Duri n g th e b ri efi n g o f p l ai n t i ffs ’ m o t i o n t h e p art i es were ab l e t o res o l v e s o m e o f t h ei r d i sp u tes , an d ju s t b efo re o ral arg um en tth e g o v ern m en t s up p lem en t ed i t s res po n s e t o two o f p l ai n ti ffs ’ co n t en t io n i n terro g at o ri es . Thu s , i n th e co u rt ’ s v i ew, th e o ut s tan d i n g co n tro v ers y fo r p l ai n ti ffs ’ m o t i o n co n cern s fi v e o f t h e g o v ern m en t ’ s res p o n s es t o p l ai n t i ffs ’ co n t en ti o n i n t erro g at o ri es
. Acco rd i n g t o p l ai nt i ffs ’ rep l y

b ri ef, p l ai n t i ffs s eek“ an o rd er co m p el l i n g Defen dan tt o p ro v i d e t i m el y am en dm en t s t o i t s res po n s es t o In v en erg y ’ s co nt en t i o n i n t erro g at o ri es .” Pl s .’ Rep l y

at1 0

. As fo r d efen d an t ’ s m o t i o n , ati s s u e are t wo d ep os i t i o n t o p i cs n o t i cedb y p l ai n t i ffs fo r t h e d ep os i ti o n o f t h e g o v ern m en t ’ s Ru l e 3 0 (b )(6 ) wi tn es s . Th es e d ep os i t i o n t o p i cs l arg el y

track th e t o p i cs o f th e fi v e co n t en t i o n i nt erro g at o ri es th at are t h e s ub

j ect o f t h e rem ai n i n g d i s p u t e ad dres s edb y p l ai n t i ffs ’ m o t io n . Th e co u rt th erefo re res o l v es b o th m ot i o n s i n a s i n g l e o p i n i o n
. Pl ai n t i ffs ’ m ot io n req u es t i n g am en d edres p o n ses t o t h e d i s p u t edco n t en t i on i n terro g at o ri es i s d en i ed , an dth e g o v ern m en t ’ s m o ti o n t o qu as h two Ru l e 3 0 (b )(6 ) d ep o s i t i o n t o p i cs i s g ran t ed , fo r th e reas o n s s tat edb el o w.
I . Co ntenti o n I nterro g a to ri es i n Genera l
Th e co u rt n eedn o t dwel l o v erl o n g o n th e cas el aw ci t edb y th e p art i es wh ich s t at es an dres t at es v ari o us p ers p ect i v es reg ard i n g th e ap p ro pri at en es s an d t i m i n g o f co n ten t i o n i n terro g at o ri es . M u ch o f t he cas el aw ci t edb y p lai n t i ffs , s ee i d

. at 6 -7 , i s fo cu s eds p eci fi cal l y o n p at en tl i t i g at i o n d i s co v ery , a t y pe o f d i s co v ery

n o t ati ss u e i n th i s cas e. Th e g ov ern m en t , fo r i ts p art , rel i es o n a n u m b er o f cas es th at are n o tb i n di n g o n th i s co u rt , an dwh i ch are n o ts u ffi ci en tl y an al og o us t o th i s cas e t o p ro v i d e m

u ch u s efu l g u i d an ce. S

ee Def.’ s Op p. at 7 -8 , 1 4 -1 5. Defen d an td o es ci t e t o on e cas e, h o wev er, wh i ch h as a g reat n u m b er o f p aral l el s t o th e cu rren t d i s p u t e, an dwh i ch ev i nces a wel l -reas o n edan al y s is o f t h e p ro p er u s e an d t i m i n g o f co n ten t i o n i n terro g at o ri es i n ci rcu m s t an ces s i m i l ar t o tho s e p res en ti n t h i s cas e. Id

. at1 6 . Th e cas e ci t edb y d efen d an t , BB &T Co r

p. v. Un i t ed

Sta t es , 2 33 F.R.D. 4 4 7 (M .D.N.C. 2 0 0 6 ), p ro v i d es a p ers u as iv e an al y si s thatg u i des th i s co u rti n res o l vi n g th e p art i es ’ d i sco veryd i s p u t e. Th e co u rt n o t es , t o o , th ati ten jo y s wi de d i s cret i o n i n res o l v in g d i s co veryd i s p u t es an ds ch edu l i n g d i s co v ery s o t h atcas es b efo re i t m ay

p ro ceed ju s tl y

an deffi ci en t l y
. S

ee, e.g
. , S ch is m v. Un i t ed

Sta t es , 3 1 6 F.3 d1 2 5 9 , 1 3 0 0 (Fed

. Ci r. 2 0 0 2 ) (en b an c) (“ Atri al co u rt‘ h as wi d e d i s cret i o n i n
2s et t i n g th e l i m i t s o f d i sco very .’ ” (q u o t in g Mo or e v. Arm o u r Ph a rm. Co

. , 9 27 F.2 d 1 1 9 4 , 1 1 9 7 (1 1t h Ci r. 1 9 9 1 ))).
BB &T p ro v i d es an ex p lan at io n o f t h e u s e o f co n t en t i on i n terro g at o ri es : [Wh ena] p l ai n t i ff s eek s t o d i s co ver [a] d efen d an t ’ s fact u al an d l eg al b as es fo r i t s d efen s e[,] [t ] h i s ty p e o f d is co v ery i s t erm ed“ co n t en t i o n d i s co v ery ” an di s u su al l y co n du ct edb y

s erv i n g “ co nt en t i o n i n t erro g at ori es ” as o p p o s edt o t ak i n g a d ep os i t i o n o f a p arty o r i t s at t o rn ey s
. 2 3 3 F.R.D. at4 4 7

. Iti s i m p o rt an t t o n o t e t h ati n BB &T , th e co n t en t io n d i s co v ery t arg et ed th e g ov ern m en t ’ s reject i o n o f cert ai n d edu ct i o n s o n th e p l ai n t i ff’ s t ax retu rn
. Id

. Si m i l arl y , i n th i s cas e, p l ai n t i ffs ’ co n ten t i o n d is co v ery t arg et s Treas u ry ’ s reject i on o f the am ou n to f p l ai nt i ffs ’ cl ai m edco s tb as is fo r a wi n d p o wer faci l i ty , an am o u n t wh i ch i s d et erm in at i v e o f t h e s i ze o f a g ran t awardb y Treas u ry t o p l ai n t i ffs

. S

ee Pl s
. ’ Rep l y

at7 (n o ti n g th atp lai n t i ffs ’ co n t en t i o n d i s co v ery fo cu s es o n th e “ cen tral i s s u e t o Pl ai n ti ffs ’ cl ai m , ” i .e. , “ th e v ery ju s t ifi cat i o n g i v en b y

Treas u ry fo r redu ci n g Bi s h o p Hi l l ’ s g ran taward ”). Th u s , th e co n t en t i o n d i s co v ery

d i s p u t es i n BB & T

an d i n th i s cas e are q u i t e s i m i l ar i n fo cu s
. 1
Th e b as i c fram ewo rk

o f t h e co n ten t i on d i sco v ery d i s p u t e i n BB &T i n v o l v ed b o th co n t en t i o n i n t erro g at o ri es an dco n ten t i o n d ep o si t i o n s, as d o es th e l i ti g at i o n i n th e p res en t cas e an di t s co m p an i o n cas e, Ca l i

f o rn i a Ri d g e W i n d En er g y LLC v. Un i t ed

Sta tes , No . 1 4 -2 5 0C. J u s t as i n t h i s cas e an d Ca l i f o rn i a Ri d g e , th e p l ai n t i ff i n BB &T b eg an wi th co n t en t i o n i n t erro gat o ri es an d l at er tu rn edt o co n t en ti o n d ep o s i t i o n s wh en th e co n t en t i o n i n t erro gat o ri es were n o t fru i tfu l : Pl ai n t i ff d i d fi rs tat t em p tt o u s e co n t en t i on i n t erro g at ori es . Sev en m o n th s [b efo re n ot i ci n g

1 / The tax payer in BB & T also eng ag e d in complicated business transactions, 233 F .R.D. at 448, analog ous to the complex business transactions that underlie the wind power facility investments of plaintiffs. 3co n t en t i o n d ep o s it i o n s ] , BB & T s erv edel ev en i n t erro g at ori es s eek i n g co nt en t i o n i n fo rm at i on . It co m p l ai n s th atth e res p o n s e b y th e Un it edSt at es fai l s t o i d en t i fy an y rel ev an tfact s an dp ro v i d es o n l y a s up erfi ci al d is cu s s i o n o f t h e Un i t edSt at es ’ l eg al b as i s fo r i t s d efen s e. . . . Th e Co urtag rees th atth [e] an s wer g i v en b y th e Un i t edSt at es i s rat h er cu rs o ry
. 2 3 3 F.R.D. at4 4 8 -4 9 . In th e s ub jectm at t er, p l ai nt i ffs h av e s i m i l ar co m p l ai n t s reg ard i n g th e g o v ern m en t ’ s res p o n s es t o th ei r co n t en t i o n i nt erro g at o ri es
. See Pl s .’ M o t . at 1 6 -1 9.
Al th ou g h the BB &T

co u rtag reedwi th th e p l ai n t i ff th atth e g o v ern m en t ’ s res p o n s e t o th e co n t en t i o n i n t erro g at o ri es was “ rat h er cu rs o ry an du nh el p fu l ,” t h e co u rtn o n et h el es s qu as h edth e co n t en t i o n d ep o s i t i o n s s o u g h t b y th e p l ai n t i ff. Id

. at4 4 9

. Th e co u rto ffered s ev eral reas o n s wh y th e p l ai n t i ff wo u l d b e d en i ed co n ten t i o n d i s co v ery atth ats t ag e o f t h e l i t i g at i o n
. Of m o s t i n teres th ere, t h e t i m i ng o f t h e co nt en t i on d i s co v ery was h el dt o b e p rem atu re. Th e fo l lo wi n g ex cerp t s o f t h e co u rt ’ s d eci s i on ex p l ai n th atru l i n g:

A thi rdreas o n fo r g ran t i ng th e p ro t ect i v e o rd er [i n fav o r o f th e g ov ern m en t ] co n cern s th e el em en to f t im in g . An d , th e t i m i n g i s s u e i m

p l i cat es th e m

u ch l arg er an d m o re g en eral i s s u e o f wh et h er co n t en ti o n d i s co v ery s h o u l db e al l o wedatal l . Co n t en t io n d i s co v ery , wh et h er i n th e fo rm o f co n t en t i o n i n t erro g at o ri es o r co nt en t i o n d ep o s i ti o n s , can b e d i s rup t i v e m ai n l y b ecau se t h e v ery n ature o f s u ch qu es t i o n s wi l l n orm al ly req u ire t h e h el p o f an at t o rn ey

t o as s i s tthe cl i en ti n p ro v i d i n g an swers
. Th i s ty p e o f d i s co v ery

can ad dco n s i d erab l e ex p en s e t o an y l aws u i t . Inad d i t i o n t o th e ex tra co s t , wh enl awy ers craft res p o n s es th ey

wi l l n eces s ari ly

d o s o i n a way

th at m o s tm i ni m i zes jeo p ard y t o th ei r cl i en tan d , th erefo re, co n t en t i o n d i s co v ery

m ay y i el dl i t t l e ad d it i on al u s efu l i n fo rm at i o n . Co n s equ en t l y , wh enth e fact s , ev i d en ce, an dl aw are rel at i v el y

s trai g h t fo rwards u ch as i n a s i m p l e traffi c acci d en tcas e, t h e n eedfo r co n t en t i o n d i s co v ery
4m ay b e o u twei g hedb y

th e b u rd en s o f co n t en ti o n i n t erro g at ori es , m

u ch l es s co n t en ti o n d ep o s it i o n s o f at t o rn ey s . Onth e o th er h an d , wh ena cas e i n v o l v es co m p l i cat edt ech n i cal i s s u es s uch as m ay ari s e i n p at en t l i t i gat i o n , co nt en t i o n i n t erro g at o ri es m ay b e u s efu l

. Th e i n st an t cas e l ies s o m ewh ere b et ween the t wo . Th e n eces s i ty fo r co n t en t i o n i n t erro g at o ri es s eem i n g l y ari s es i n g o v ern m en tl i t ig at i o n b ecau s e t h e g o v ern m en ti s o ft en m ak i ng p ol i cy

th ro u g h an en fo rcem en tact io n an d n o t ju s trel y i n g o n p as td eci s io n s . Thu s , i n t h e i n s tan t cas e, p lai n t i ff p ercei v es th atth e g o vern m en t, fo r p o li cy reas o n s , al t eredi t s p o s i t i o n wh eni td eci d ed t o g o aft er [co m p l ex b u si n es s tran s act i o n s] s u ch as p l ai n t i ff’ s
. Fro m p lai nt i ff BB & T’ s v i ewp o i n t , the g o v ern m en t ’ s d efen s e s eem s l i k e a m o v i ng t arg etan d i t wo u l dl i k e t o h av e t he g o v ern m en tco m m i ti ts el f t o a p art i cu lar p os i t i o n an d ex p l ai n i ts reas o n s
. W i th thi s l as t p ro p o s i t io n , th e g o vern m en t d o es n o t d is ag ree, b ut arg u es th atthe real i s s u e co n cern s th e ap p ro p ri at e t i m e an dm an n er fo r s uch rev el at i on s . Th e g ov ern m en tas s ert s th ati th as b een b u sy duri n g d is co v ery try i n g t o l earn fact s an du n t i l i th as a s u ffi ci en t , co m

p reh en s i v e v i ew o f t h e fact s , i twi l l n o t b e ab l e t o p ro v i d e a fi n al o p i n i on co n cern i n g i t s co n t en t i o ns . Itco n t i nu es th ati t s earl i er an s wers t o th e co n t en t i o n i n t erro g at o ri es at l eas tp ro v i d edth e b ro ad o ut li n es o f i t s d efen s e. Ho wev er, th e Fed . R. Ci v
. P. 2 6(a)(2 ) rep o rto f i t s ex p ertwi tn es s t o b e s erv edo n Feb ru ary 1 5 , 2 0 0 6 wi l l al l eg ed l y

co n t ai n a co m

p let e s t at em en to f t h e ex p ert ’ s o p i n i o n co n cern i ng th e d efen s e, th e b as i s an d reas on s fo r t h ato p i n i o n, an d th e d at a an d i n fo rm at i o n o n wh i ch the ex p ertrel ied . Atth att i m e, d efen d an tco n t en ds BB & T wi l l h av e fu l l kn o wl ed g e o f th e fact s an d l eg al th eo ry o f t h e g o v ern m en t ’ s d efen se.

5Th e Co u rtag rees wi th d efen d an t th atwh en th ere i s an ex p ert rep o rtwh i ch wi l l t o uch o n th e v ery co n t en t io n s at i s s u e, t h e Co u rts h o u l d n o rm al l y d el ay co n t en t i o n d is co v ery u n ti l aft er t h e ex p ertrep o rt s h av e b een s erv ed , wh i ch m ay th en ren d er m oo tan y fu rt h er co nt en t io n d is co v ery . Ev en i n a cas e n oti n v ol v i n g ex p ert wi tn es s es , co n t en t i o n i n t erro g at o ri es s h o u l dn o rm al l y b e co n du ct edatth e en do f d i s co v ery . Thu s , an ad d i t i o nal reas o n t o qu as h th e d ep o s i t i o n [] n ot i ces i s t h at they are p rem atu re. Th e fi n al reas o n fo r qu as h i n g th e “ co n ten t i o n d ep o s i ti o n s ” i s t h ati ti s n o tcl ear t h atth ey are n eces s ary
. A co u rtm ay b e wel l ad vi s ed t o ex am i n e wh et h er co n t en t i o n d i s co v ery

i s tru l y n eces s ary

i n an y p art icu l ar cas e. As th e Un i t edSt at es p o i nt s o u t , co nt en t i o n d is co v ery o ft en req u i res a p arty

t o , i n es s en ce, p rep are a tri al bri ef atan earl i er t i m e i n th e l i t i g at i o n p ro ces s th an n orm al l y o ccu rs . W i th o u t s om e s p eci fi c reas o n t o req u ire s u ch an accel erat i o n , th e Co u rtm ay wel l d eem th e b u rd en t o o u twei g h th e b en efi t . In th e o rd i n ary cas e, th e co m p lai n t , an s wer, d i s cl o s u res , an dd i s co v ery wi l l p ro v i d e s u ffi ci en ti n fo rm at i o n ab o u ta p arty ’ s p o si ti o n u nt il s u ch t i m e as th e fi l i n g o f t h e d i s p o s it iv e m ot i o n s o r tri al bri efs . Ino th er cas es , co nt en t i o n d i s co verym ay b e n eces s ary t o av o i ds u rp ri s es attri al . Co u rt s m ay wi s h t o co n fi n e co n t en t i o n d is co v ery t o t h o se cas es wh ere t h ere i s a co m p el li n g , s peci fi c n eedfo r t h e i n fo rm at io n p ri o r t o th e fi l i n g o f d i s p o s i t i v e m o t i o n s i n o rd er t o k eep l i t i gat i o n co s t s d o wn
. Id

. at4 4 9 -4 5 1 (fo o tn o te an d ci t at i o n s o m i t t ed ).
Gi v en th e p aral l el s b etween th e d i s co v ery d is p u t e i n BB &T an d t h e d i s co v ery d i sp u t e i n th i s cas e an di t s co m p an i o n cas e Ca l i

f o rn i a Ri d g e , the co u rt v i ews th e an al y s i s o f t h e d i s co v ery s ch edu l i n g d i s p ut e i n BB &T , p art icu l arl y

as t o th e t i m i n g o f co nt en t i on d i s co v ery , t o b e p ers u as i v e. Th e co u rtal s o ag rees wi th

6th e BB &T

co u rt ’ s g en eral p referen ce fo r co n t en t i on i n terro g at o ri es , rat h er t h an co n ten t i o n d ep o s it i on s
. S ee 23 3 F.R.D. at4 4 9 (“ [U] nt il a p art y h as fi rs t s h o wn th atth e i n t erro g at o ry

p ro ces s can n o tb e u s ed , i tm ay n o ts eekt o u se d ep os i t i o n s fo r co n t en t i o n d i s co v ery .”). Th e co u rttu rn s n o w t o th e co nt en t i o n d i s co very req u es t edb y

p l ai nt iffs i n th i s cas e.
I I . Pl a i nti ffs ’ Co ntenti o n I nterro g a to ri es Th e fi v e co n t en t i o n i nt erro g at o ri es fo r wh i ch d efen d an t’ s res p o n ses are s t i l l i n d i s p u t e i n th i s cas e are as fo ll o ws :

I nterro g a to ry 1 : Do y o uco n ten dth atth e d ev el o p m en t fee o f $ 6 0 ,0 0 0 ,0 0 0 i n cl u d edas p arto f t h e co st b as i s i n th e Bi sh o p Hi l l Ap p l i cat i o n ex ceed edo p en m ark et ex p ect at i o n s fo r p ro

ject s o f t h e s i ze o f Bi s h o p Hi l l an di n th e l o cat i o n o f Bi s h o p Hi l l ?
I nterro g a to ry 2 : If t h e an s wer t o the fo reg oi n g i n t erro g at ory

i s y es , s etfo rt h al l fact s wh i ch y o uco n t en d s up p o rtth atco n t en t i o n
. I nterro g a to ry 1 5 : Do y o u co nt en d thatth e am ou n t o f th e d ev el o p m en t fees i n cl u d edi n th e co s tb as i s o f o th er wi n den erg y faci l i t i es s i m i l ar i n s ize t o Bi s h o p Hi l l ’ s an d p laced i n s erv i ce aro u n dth e s am e t i m e as Bi s h o p Hi l l ’ s are n o trel ev an tt o a d et erm i n at i o n o f t h e fai r m ark et v al ue o f t he d ev el o p m en tfee i n cl u d edi n the cl ai m ed qual i fi edco s tb as i s o f t h e Bi s ho p Hi l l faci l i ty ?
I nterro g a to ry 1 6 : If t h e an s wer t o i n t erro g at o ry n u m b er 1 5 i s y es , s etfo rt h al l fact s up o n wh i ch y o urel y t o s up p o rtth atco n t en t i o n
. I nterro g a to ry 1 7 : If t h e an s wer t o i n t erro g at o ry 1 5 i s th atth e am o u n to f t h e d ev el op m en tfees i n cl u d edi n th e co s t bas is o f o th er wi n den erg y faci l i t ies s i m i lar i n s i ze t o Bi s h o p Hi ll ’ s an dp l aced i n s erv i ce aro u n dth e s am e
7t i m e as Bi s h o p Hi l l ’ s are rel ev an t , i d en t ify each an d ev ery o n e o f t h o se wi n den erg y p ro ject s. Pl s .’ M o t . at5 -6

. Bro ad l y , th es e co n t en t io n i n terro g at o ri es s eekd efen d an t ’ s p o s i t i on o n th e fai r m ark etv al ue o f th e d ev el o p m en tfee p ai db y Bi s h o p Hi l l En erg y LLC (Bi sh o p Hi l l ), th e rel ev an ce o f t h e d ev el op m en t fees p ai d b y o th er wi n d p o wer faci l i ty

d ev el o p ers fo r d et erm i n in g th e fai r m ark etv al u e o f Bi s h o p Hi l l ’ s d ev el o p m en tfee, an dth e i d en t i fi cat i o n o f wi ndp o wer p ro ject s th atwo u l d b e rel ev an tfo r m ak i n g a co m p arat i ve an al y s i s t o d et erm i ne t h e fai r m ark etv al u e o f Bi s h o p Hi l l’ s d ev el o p m en tfee. Th e co u rtag rees wi th p l ai n t i ffs th atd efen d an t h as n otres po n d ed , s ub s t an t i v el y , t o th es e co n t en ti o n i n t erro g at ori es
. Defen d an targ u es th atth es e co nt en t i o n i nt erro g at o ri es are p rem atu re, an d th atth e g o v ern m en ts h o u l d n o tb e co m p el l edt o res p o n dwi th i n fo rm at i o n wh i ch wo u l db e m o re ap p ro p ri at el y d i s cl o s eddu ri n g ex p ertd i s co very . Acco rd i n g t o the g o v ern m en t ’ s o pp o s i t i o n b ri ef:

Defen d an t ’ s o b

ject i o n s t at es thati f i td o es s ub m i t ev i den ce reg ard i n g th e fai r m ark etv al u e o f t h e p u rp o rt ed d ev el o p m en tfee i n i t s d efen s e, i twi l l d o s o th ro u g h an ex p ert

. Becau s e ex p ertrep o rt s h av e n o tb een ex ch an g ed y et , Pl ai nt i ffs ’ req u es t fo r s uch i n fo rm at i o n i s p rem atu re. Fo r ex am pl e, In t erro g at o ry

No . 1 5 as k s wh ether Defen d an tco n t en d s th atcert ai n fact o rs are n o trel ev an t t o a d et erm in at i o n o f t he fai r m ark etv al u e o f Bi s h op Hi l l ’ s d ev el o p m en tfee. Bu tthe rel ev an tfact o rs i n d et erm i ni n g fai r m ark etv al u e are, n eces s ari l y , p art o f an ex p ert ’ s ap p ro ach t o v al u at i o n
. Fo r ex am p le, an ex p ert m ay d et erm i ne t h atth e am o u n t o f d ev el o p m en tfees i n cl u d edi n the co stb as i s o f wi n d en erg y faci l i t i es s i m i l ar i n s ize t o Bi s h o p Hi l l ’ s are rel ev an tt o th e fai r m ark etv al u e o f t h e d ev el o p m en t fee i n cl u dedi n th e cl ai m edqual i fi edco s t b as i s o f t h e Bi s ho p Hi l l faci l i ty , o r, h e o r s h e m ay n o tco n s i d er t h ati n fo rm at i o n rel ev an t atal l

.

8. . . . Defen d an tal s o o b

ject edt o i nt erro g at o ri es 2 , 1 6, an d1 7 , wh i ch s eekth e i d en ti fi cat io n o f fact s o r p ro ject s u nd erl y i n g th e res p o n s es t o In terro g at o ri es 1 an d1 5 , as cal l i n g fo r t h e d i s cl o s u re o f ex p ertwo rkp ro du ctan d/ o r ex p ert d i sco v ery

p ri o r t o th e d ead l i n es fo r p ro v i d i ng s u ch d i s co v ery . Becau se t h e qu es t i o n s p o s edb y i n t erro g at ori es 2 , 1 6 , an d1 7 refer t o fact s th atm ay u nd erl ie p o ten t i al arg u m en t s th atDefen d an t ma y m ak e b as edo n anex p erto p i n i o n , th ey al s o fal l wi th i n th e real m of ex p ert di s co v ery , an dcan n otb e an s wered ab s en t ex p erto p i n i o n . An di f an ex p ert ch o s e t o an al y ze cert ai n wi n d p ro

ject s i n the co n tex t o f h i s o r h er ex p ert rep o rt , th e i d en ti ty

o f t h o s e p ro

ject s wo u l db e rev eal edi n th e rep o rt

. Def.’ s Op p . at1 5 -1 6 . Th e co u rtag rees wi th d efen d an t th atth es e p art icu l ar co n ten t i o n i n t erro g at o ri es co n t ai n req u es t s fo r i n fo rm at io n th ati s m o re ap p ro p ri at el y

o b t ai n eddu ri n g ex p ertd i s co v ery . Th e g o v ern m en t ’ s d i s cl o s u re o f i t s ex p ertrep o rt , s h ou l dth i s cas e p ro ceed t o ex p ertd i s co v ery , i s th e ap pro p ri at e t i m e fo r p l ai n t iffs t o o b t ai n th e i n fo rm at i o n th ey s eeki n th es e fi v e co nt en t i o n i n t erro g at o ri es
. Pl ai n t i ffs o ffer a n u m

b er o f u npers u as i ve arg um en t s co n t en d i ng th at p l ai n t i ffs are en t i t l edt o co n t en t i o n d i s co v ery n o w, n o tl at er i n th i s l i t ig at io n . Th e co u rtex am i n es th e m o s t s ubs t an t i v e o f t ho s e arg u m en t s h ere. 2 Fi rs t , p l ai nt i ffs s u g g es tth atth ei r co n t en t i o n i n t erro g at o ri es are n o tearl y , o r p rem atu re, acco rd i n g t o cas el aw wh ich h as res o l vedan al o g o u s d is p u tes o v er t h e t im i n g o f co n t en t i o n d i s co v ery . Pl s .’ Rep l y

at6 -8 . To th e ex t en tth atth e cas es ci t edb y p l ai n t i ffs ad dres s th e s peci fi c ci rcu m s t an ces o f co nt en t i o n d i s co v ery i n p at en tl i t i g at i o n , th o s e cas es are i n ap p o s i t e. No n e o f p lai n t i ffs ’ cas es are m o re o n p o i ntth an BB &T ; th e co u rtv i ews BB & T

as th e m o s tp ers u as i v e au th o ri ty fo r t h e res o l u t io n o f t h e p art i es ’ d i s pu t e o v er co n t en t i o n d i s co v ery
.

2 / The court has considered each of plaintiffs’ arg uments, and finds them insufficient to invalidate the sound approach taken by the court in BB &T

. 9Nex t , p l ai n t i ffs as s ertth atco nt en t io n d is co v ery i s es s en t i al b efo re t h e p art i es co m

p l et e d ep os i ti o n s du ri n g th e fact d i s co v ery p eri o d . Pl s .’ Rep l y

at8 -9

. To th e ex t en tth at d efen d an t ’ s d ep o s i t i on wi tn es s es wi l l p ro v i d e t es t i m o n y o f t h ei r p ers o n al kn o wl ed ge o f the co n t em p o ran eo u s rev iew o f Bi sh o p Hi l l’ s d ev el o p m en t fee, t h ati s a n arro wer t o pi c t han an y o f t h e fi v e i n t erro g at o ri es ati s s u e i n p l ai n t i ffs ’ m o t i o n
. S

ee Oral Arg u m en tReco rd i n g , at 2 : 2 1 -2 4 PM (p l ai nt i ffs ’ co u ns el n o t i n g thatIn t erro g at ory # 1 as k s fo r t h e g o v ern m en t ’ s cu r r en t co nt en t i o n s reg ard i n g p l ai nt i ffs ’ d ev el o p m en tfee). To th e ex t en tth atp lai n ti ffs s eek fo u n dat i o n al i n fo rm at i o n t o s up p o rtcert ai n t o pi cs i n t h ei r Ru l e 3 0 (b )(6 ) d ep os i t i o n , th o s e co n t en t i on d ep o s i t i o n t o p ics wi l l b e ad dres s edi n th e n ex ts ect i o n o f t h i s o p i n i o n . Th e co u rts ees n o n eedfo r s ub s tan t i v e res po n s es t o th es e fi v e co n ten t i o n i n t erro g at o ri es b efo re an y factwi tn es s d ep o s it i on s are t ak en i n th i s cas e.
I I I . The Co ntenti o n Depo s iti o n Di s pute
Th e d i sp u t edt o pi cs fo r t h e d ep o s i t i o n o f t h e g o v ern m en t ’ s Ru l e 3 0 (b )(6 ) wi tn es s are: 2

. Defen dan t ’ s co n t en t i o n s ab o u twh eth er t h e am o un to f

d ev el o p m en tfees i n cl u d edi n th e co stb as es o f o th er wi n den erg y faci l i t i es s i m i l ar i n s ize t o Bi s h o p Hi l l ’ s an d Cal i fo rn i a Ri d ge’ s an dp l aced i n s erv i ce aro un dth e s am e t i m e as Bi s h o p Hi l l ’ s an dCal i fo rn i a Ri d g e’ s are rel ev an t t o a d et erm in at i o n o f t he fai r m ark etv al u es o f t he d ev el o p m en tfees i n cl u d edi n th e cl ai m ed qu al i fi edb as es o f th e Bi s h o p Hi l l an dCal i fo rn i a Ri d g e faci l i t i es , an dth e fact u al b as es o f t h o s e co n t en ti o n s
. 6

. Treas u ry ’ s fact ual kn o wl ed g e o f o p en m ark et ex p ect at i o n s fo r p ro

ject s o f t h e s i zes an di n th e l o cat i o n s o f Bi s ho p Hi l l an dCal i fo rn i a Ri d ge p l aced i n s erv i ce b etw een J an uary1 , 2 0 1 1 an dDecem b er 3 1 , 2 0 1 2, i n cl u d i n g Treas u ry ’ s kn o wl ed g e o f an y s uch p art i cu l ar p ro ject s an dth e d ev el o p m en t fees p ai d b y th o s e p ro ject s
. Def.’ s M o t . Ex . A, at2 . Th e co u rtn o t es th atth es e two d ep o s i t i o n t o p i cs o v erl ap
10wi th th e i n terro g at o ri es d i s cu s s edearl i er i n th i s o pi n i o n , an dwh i ch are d i scu s s ed

i n the o p i n i o n fi l edt o d ay i n Ca l i f o rn i a Ri d g e . Pl ai n ti ffs s eeki n fo rm at i o n , th ro u g h a co n ten ti o n d ep o s i t i o n , reg ard i n g th e rel ev an ce o f t h e d ev el o p m en tfees p ai db y o th er wi n dp o wer faci l i ty d ev el o p ers fo r d et erm i ni n g the fai r m ark etv al ue o f Bi s h op Hi l l ’ s d ev el o p m en tfee an dCal i fo rn i a Ri d ge’ s d ev el o pm en t fee. Th ey al s o s eeki n fo rm at i o n reg ard in g o th er wi n dp o wer p ro ject s an d the d ev el o p m en tfees p ai dt o d ev el op th o s e wi n dp o wer p l an t s . Co n t en t i o n d ep o s i t i o n t o p ics # 2 an d# 6 are, t o a g reat ex t en t , In t erro g at o ri es # 1 5, # 1 6, an d# 17 , rep h ras ed

. S ee Oral Arg um en tReco rd i n g , at2 : 35 -3 6 PM (p l ai n t i ffs ’ co un s el n ot i n g th atth e i s s u es ad dres s edi n th e co n tes t edd ep o s i t i o n t o p i cs an d t h e co n t es t edi n t erro g at o ri es are th e s am e).
Defen d an tres i s ts ad dres s i n g th es e t w o d ep o s i t i o n t op i cs ju s tas th e g o v ern m en tres i s t s s ub s t an t i v el y an s weri ng th e fi v e d i sp u tedco n t en ti o n i n t erro g at o ri es atth i s t i m e. Defen d an targ u es , m o sti m p o rt an t l y , th atthe co n ten t i o n d i s co v ery s ou g h t i n th i s fas h i o n i s p rem atu re, i n th ati t i s m o re ap p ro p ri at el y

res erv ed fo r ex p ertd i s co v ery
. Def.’ s M o t

. at7 . Th e g o v ern m en t al s o n o t es th ati ti s i m

p ract i cal an di n effi ci en tt o p rep are a wi tn es s fo r t o p ics th at wo u l db e b et t er an s wered th ro u g h co n t en ti o n i n t erro g at ori es
. Id

. Fi n al l y , d efen d an targ u es th atd ep o si t i on t o p i c # 6 req u es t s i nfo rm at i o n th at , acco rd i n g t o a p ri o r ru l i n g o f t h i s co u rt , i s o v erl y b u rd en s o m e t o p ro du ce du ri n g factd i s co v ery
. Id

. at9 -1 0

. Th e co u rt ag rees wi th d efen d an tth at , as a g en eral ru l e, a co n ten t io n d ep os i t i o n i s d i s fav o red wh en a co n t en t i o n i n t erro g at ory wo u l ds u ffi ce. See BB & T , 2 33 F.R.D. at4 4 9 . Pl ai n t i ffs ’ co u n s el , i n effect , co n ced edth e p oi n t ato ral arg u m en t

. S

ee Oral Arg um en tReco rd i n g , at2 : 3 5 -3 6 , 3 : 0 3 PM (p l ai n t i ffs ’ co u n s el n o t i n g th ath i s p referen ce wo u l db e fo r co n ten t io n i n t erro g at ori es o v er co n t en t io n d ep os i t i o n s , an dackn o wl ed g i n g th atco n t en t i on i n terro g at o ri es are m o re s u i t ab l e fo r t h i s t y p e o f d i s co v ery ); s ee a l

s o Pl s
. ’ Op p. at1 , 4 -5 , 1 1 -1 2 (n o t i n g t h at p l ai n t i ffs ’ d i s p ut edRu l e 3 0 (b )(6 ) d ep o s i t i o n t o p ics were n o t i ced fo r th e p urp o s e o f o b t ai n i n g s ub s t an t i v e an s wers th atwere n o t p ro v i d edi n th e g o v ern m en t’ s res p o n s es t o p l ai n t iffs ’ co n ten t i o n i n t erro gat o ri es ). Th e co urtal s o ag rees wi th d efen d an tth atthes e two co n t en t i o n d ep o s i t i o n t op i cs are p rem ature, b ecau s e t h ey t o u ch o n i n fo rm at i o n th atwi ll b e en co m p as s ed i n t h e ex p ertd i s co v ery co n tem p l at edb y th e p art i es , i f t h i s cas e p ro ceed s t o ex p ertd i sco v ery
. Th e co u rt ag ai n rel i es o n B

B & T fo r i t s g u i d an ce as t o t h e p rem atu re n atu re o f co n t en t i o n

11d i s co v ery

wh en ex p ertt es t i m o n y

o n th at s am e t o p i c i s th e m o s teffi ci en t m ean s fo r p res en t i ng a p art y ’ s co nt en t i on s o f fact an dl aw. BB &T , 2 3 3 F.R.D. at4 5 0

. Fi n al l y , th e co u rtag rees wi th d efen d an tth ata g en eral s creen in g o f g o v ern m en td at a co n cern i n g o th er wi ndp ro ject s an dth ei r d ev el o p m en tfees , al o n g wi th an an al y s i s o f o pen m ark etex p ect at i o n s i n th at reg ard , i s ei th er i rrel ev an tan d b u rd en s om e, o r a t o p ic fo r ex p ertd i s co v ery . Iti s n o t p er s e “ d i s co v erab l e,” Pl s
. ’ Op p . at 1 2 , b ecau s e t h e b u rd en o f p ro du ci n g s u ch i nfo rm at i o n an d o b l ig i n g g o v ern m en tco u n s el t o edu cat e i t s Ru l e 3 0(b )(6 ) wi tn es s i n th atreg ard , es p eci al l y i n l ig h t of t h e dub i ou s rel ev an ce o f t h is i n fo rm at io n , i s t o o g reat

. S ee Ord er o f Dec. 2 1 , 2 0 1 5 , at1 2.
Pl ai n t i ffs al s o al leg e t h atth ey wi ll b e h an d i cap p edi n ex p ertd i s co v ery i f th ei r p ro p o s edco n t en t io n d i s co v ery i s n o tco m

p l et eddu ri n g the fact d i sco v ery p eri o d . Pl s .’ Op p . at1 2 . Th e es s en ce o f t hei r arg u m en ti s two -fo l d . Acco rd i n g t o p l ai n t i ffs , th ei r ex pert wi l l b e fo rcedt o co n s tru ctan o pi n i o n wi th o u tth e b en efi to f al l o f t h e d at a t h atth e g o v ern m en t ’ s ex p ertwi l l b e ab l e t o acces s . In ad d i t i o n , p l ai n t i ffs al l eg e t h atth e g ov ern m en twi l l b e free t o “ ch erryp i ck ” t h e d at a i t p res en t s t o b o th i t s o wnex p ertan dt o p l ai n t i ffs ’ ex p ert . As the co u rth as p rev i o u s l y s tat ed , h o w ev er, ex p ertd i s co v ery al l o ws a p art y

acces s t o th e d at a u n d erl y i n g i ts o p p o nen t ’ s ex p erto p i n i o n s . Ord er o f Dec. 2 1 , 2 0 1 5 , at 1 2 . To th e ex t en tth atp l ai n t i ffs p red i ctth atth e g o v ern m en twi l l u n fai rl y m an ip u l at e ex p ert d i s co v ery t o i t s ad v an t ag e, t hati s a s p ecu l at i v e co n cern wi th n o b as is i n fact

. S ee Oral Arg u m en t Reco rd i n g , at2 : 5 3 -5 4 PM (d efen d an t ’ s co u n s el s t at i n g th ats h e h as n o i n t en t i o n o f ch erryp ick i n g d at a t o i n fl u en ce ex p erto p i n i o n ). Th e co u rtex p ect s b o th p art i es t o co ll ab o rat e i n d i s co v ery i n fu l l acco rd an ce wi th th e l et t er an dth e s p i ri to f t h e co urt ’ s ru l es
. I V. Co ncl us i o n Fo r t h e fo reg o i n g reas o n s , p l ai n t i ffs ’ req u es tth atd efen d an ts ub st an t i v el y res p o n d t o i t s fi v e co n ten t i o n i n t erro g at o ri es at thi s p o i n ti n th e l i t i g at i o n m u s tb e reject edas p rem atu re. Fu rt h er, fo r t h e reas o n s d i s cu s s edi n th i s o p i ni o n , th e g o v ern m en t ’ s Ru l e 3 0(b )(6 ) wi tn es s s h al l n o t b e requ i redt o res po n d t o p ro p o s ed t o p i cs # 2 an d# 6 . Fi n al l y , th e co u rt n o t es th atex p ertd i s co v ery i n thi s cas e i s co n ti n g en tup o n p l ai nt i ffs ’ cl ai m s u rv i v i n g s u m

m ary ju d g m en t p ro ceed i n g s
.

12Acco rd i ng l y , i ti s h ereb y ORDERED that

(1 ) Pl ai n t i ffs ’ M ot i o n t o Co m p el Di s co v ery

Res p o n s es , fi l edJ u l y

2 1 , 2 01 6 , i s DENI ED ; an d (2 ) Defen d an t ’ s M o ti o n fo r a Pro t ect i ve Ord er Qu as h i n g Bi s h op Hi l l En erg y LLC’ s No t i ce o f RCFC 3 0 (b )(6 ) Dep o s i t i o n , fi l edSep t em b er 1 4, 2 0 16 , i s GRANTED

. / s / Ly n n J . Bu s h LYNN J . BUSH Sen i o r Ju d g e

13