Court Opinion

ID: 9958756
Source: CourtListenerOpinion
Date Created: 2024-04-09 20:11:00.472562+00
Date Added: 2024-06-11T08:15:49.374593
License: Public Domain

International Bus. Machs. Corp. v Global
                   Foundries U.S. Inc.
               2024 NY Slip Op 31065(U)
                     March 29, 2024
           Supreme Court, New York County
        Docket Number: Index No. 653625/2021
                  Judge: Joel M. Cohen
Cases posted with a "30000" identifier, i.e., 2013 NY Slip
 Op 30001(U), are republished from various New York
 State and local government sources, including the New
  York State Unified Court System's eCourts Service.
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                       publication.
                                                                                                                        INDEX NO. 653625/2021
  NYSCEF DOC. NO. 1357                                                                                            RECEIVED NYSCEF: 03/29/2024

            SUPREME COURT OF THE STATE OF NEW YORK
            COUNTY OF NEW YORK: COMMERCIAL DIVISION PART 03M
            ----------------------------------------------------------------------------------- X

             INTERNATIONAL BUSINESS MACHINES                                                        INDEX NO.         653625/2021
             CORPORATION,
                                                                                                                       10/13/2023,
                                                          Plaintiff,                                                   10/18/2023,
                                                                                                    MOTION DATE        01/16/2024
                                                - V -

             GLOBALFOUNDRIES U.S. INC.,                                                             MOTION SEQ. NO.    044 045 049

                                                          Defendant.
                                                                                                     DECISION+ ORDER ON
                                                                                                           MOTION
            ----------------------------------------------------------------------------------- X

            HON. JOEL M. COHEN:

            The following e-filed documents, listed by NYSCEF document number (Motion 044) 929, 930, 931, 932,
            933,934,935,936,937,938,939,940,941,942,943,944,945,946,947,948, 1010, 1350
            were read on this motion to                                                       SEAL/REDACT

            The following e-filed documents, listed by NYSCEF document number (Motion 045) 953, 954, 955, 956,
            957,958,959,960,961,962, 1008, 1311, 1353
            were read on this motion to                                                       SEAL/REDACT

            The following e-filed documents, listed by NYSCEF document number (Motion 049) 1333, 1334, 1335,
            1336, 1337, 1338, 1339, 1340, 1341, 1342, 1343, 1344, 1345, 1352
            were read on this motion to                                                       SEAL/REDACT

                      The parties to this action seek orders sealing and/or redacting exhibits from that were

            filed in connection with this proceeding as NYSCEF Document Numbers 918, 922, 924, 925,

            926,927,928,932,933,934,935,936,937,938,939,940,941,942,943,944,and945(MS

            044); Document Numbers 949, 951, and 952 (MS 045); and Document Numbers 860, 866, 875,

            877, 878, 894, 896, 897, 976, 982, 984, 986, 1336, 1338, 1340, and 1342 (MS 049). For the

            following reasons, the motions are granted in part.

                      Pursuant to§ 216.1 (a) of the Uniform Rules for Trial Courts, this Court may seal a filing

            "upon a written finding of good cause, which shall specify the grounds thereof. In determining

             653625/2021 INTERNATIONAL BUSINESS vs. GLOBALFOUNDRIES U.S. INC.                                           Page 1 of 5
             Motion No. 044 045 049

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                                                                                                 INDEX NO. 653625/2021
  NYSCEF DOC. NO. 1357                                                                    RECEIVED NYSCEF: 03/29/2024

            whether good cause has been shown, the court shall consider the interests of the public as well as

            of the parties" (22 NYCRR § 216.1 [a]).

                   The Appellate Division has emphasized that "there is a broad presumption that the public

            is entitled to access to judicial proceedings and court records" (Mosallem v Berenson, 76 AD3d

            345, 348 [1st Dept 2010]). "Since the right [of public access to court proceedings] is of

            constitutional dimension, any order denying access must be narrowly tailored to serve

            compelling objectives, such as a need for secrecy that outweighs the public's right to

            access" (Danco Labs., Ltd v Chemical Works of Gedeon Richter, Ltd, 274 AD2d 1, 6 [1st Dept

            2000] [emphasis added]; see also, e.g. Gryphon Dom. VL LLC v APP Intern. Fin. Co., B. V, 28

            AD3d 322, 324 [1st Dept 2006]). "Furthermore, because confidentiality is the exception and not

            the rule, 'the party seeking to seal court records has the burden to demonstrate compelling

            circumstances to justify restricting public access"' (Maxim, Inc. v Feifer, 145 AD3d 516, 517

            [1st Dept 2016] [citations omitted]).

                   The Court has reviewed the proposed sealing and/or targeted redactions in the documents

            filed as NYSCEF Document Numbers 918, 922, 924, 925, 926, 927, 928, 932, 934, 936, 938,

            940, 942, and 944 (MS 044); Document Numbers 949 and 951 (MS 045); and Document

            Numbers860,866,875,877,878,894,896,897,976,982,984,986, 1336, 1338, 1340,and

            1342 (MS 049), and finds that they comport with the applicable sealing standard as laid out in

            Mosallem, 76 AD3d at 348-350, and its progeny, in that they contain sensitive and confidential

            business and financial information.

                   However, the parties' generalized assertions of good cause as to the remaining Exhibits

            filed as document number 952 (MS 045) do not establish a compelling justification for the

            complete sealing that is proposed. While portions of these documents may include confidential

             653625/2021 INTERNATIONAL BUSINESS vs. GLOBALFOUNDRIES U.S. INC.                        Page 2 of 5
             Motion No. 044 045 049

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  NYSCEF DOC. NO. 1357                                                                   RECEIVED NYSCEF: 03/29/2024

            business and financial information, the proposed sealing is not adequately explained or justified.

            Thus, the parties should propose and justify targeted redactions that satisfy the requirements of

            22 NYCRR § 216 [a] and applicable case law.

                    No party makes an argument that the documents filed as NYSCEF Document Numbers

            933, 935, 937, 939, 941, 943, or 945 (MS 044) should be sealed, and upon review, the files

            uploaded to NYSCEF are only cover sheets or redacted copies of documents. Therefore, these

            documents will not be sealed.

                    Any subsequent motion seeking to address the above concerns should adhere to this

            Part's Sealing Practices and Procedures (see

            https ://www.nycourts.gov/LegacyPD FS/courts/comdiv/NY/PDF s/part3-sealing-practices. pdf),

            including the requirement to submit an affidavit based on personal knowledge attesting to the

            factual bases for redaction and a spreadsheet setting forth a non-conclusory good faith basis for

            each proposed redaction.

                    Accordingly, it is

                    ORDERED that the motions to seal/redact the Exhibits are granted insofar as they seek

            to seal the documents filed as NYSCEF Document Numbers 922, 924, 925, 926, 927, 928, 932,

            934, 936, 938, 940, and 942 (MS 044); Document Numbers 949 and 951 (MS 045); and

            Document Numbers 860, 866, 875, 877, 878, 894, 896, 897, 976, 982, 984, 986, 1336, 1338,

            1340, and 1342 (MS 049); it is further

                    ORDERED that the motions to seal/redact the Exhibits are granted insofar as they seek

            to redact confidential portions of the documents filed as NYSCEF Document Number 918 and

            944; it is further

             653625/2021 INTERNATIONAL BUSINESS vs. GLOBALFOUNDRIES U.S. INC.                    Page 3 of 5
             Motion No. 044 045 049

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  NYSCEF DOC. NO. 1357                                                                   RECEIVED NYSCEF: 03/29/2024

                    ORDERED that the motions to seal/redact the Exhibits are denied as to the document

            filed as NYSCEF Document Number 952 (MS 045), without prejudice to filing a new motion

            within 21 days to redact confidential portions of this Exhibit consistent with this Decision and

            Order and applicable case law; it is further

                    ORDERED that the County Clerk shall maintain the documents filed as NYSCEF

            Document Numbers 918, 922, 924, 925, 926, 927, 928, 932, 934, 936, 938, 940, 942, and 944

            (MS 044); Document Numbers 949 and 951 (MS 045); and Document Numbers 860, 866, 875,

            877, 878, 894, 896, 897, 976, 982, 984, 986, 1336, 1338, 1340, and 1342 (MS 049) under seal,

            so that the documents may be accessible by the parties, their counsel, and authorized court

            personnel; it is further

                    ORDERED that the document filed as NYSCEF Document Number 952 (MS 045) shall

            remain provisionally sealed for 21 days from the date of the Court's entry of this Decision and

            Order on NYSCEF. If any party files a new motion to redact/ seal confidential portions of the

            document consistent with this Decision and Order within that 21-day period, the document shall

            remain provisionally sealed pending resolution of that motion. If no such motion is filed within

            21 days from the entry of this Decision and Order, the parties shall alert the County Clerk that

            the motion to seal the above-referenced documents has been denied by the Court and that the

            documents should be unsealed on NYSCEF; it is further

                    ORDERED that the County Clerk shall unseal the documents filed to the docket as

            NYSCEF Document Numbers 933, 935, 937, 939, 941, 943, or 945 (MS 044); it is further

                    ORDERED that, to the extent they have not already done so, the parties shall upload

            redacted copies to NYSCEF of the documents filed at NYSCEF Document Numbers 918 and

            944 (MS 044); it is further

             653625/2021 INTERNATIONAL BUSINESS vs. GLOBALFOUNDRIES U.S. INC.                    Page 4 of 5
             Motion No. 044 045 049

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  NYSCEF DOC. NO. 1357                                                                          RECEIVED NYSCEF: 03/29/2024

                    ORDERED that nothing in this Decision and Order shall be construed as sealing

            documents or testimony to be admitted at trial; it is further

                    ORDERED that, as it relates to future submissions that contain subject matter that the

            court has authorized to be sealed by this Decision and Order which are made by any party, the

            parties may file a joint stipulation, to be So Ordered, which will authorize the filing of such

            future submissions to be filed in sealed and/or redacted form on NYSCEF, provided that an

            unredacted copy of any document is contemporaneously filed with a request to seal.

                    This constitutes the Decision and Order of the Court.

                    3/29/2024
                      DATE                                                          JOEL M. COHEN, J.S.C.

                                     ~
             CHECK ONE:                  CASE DISPOSED                      NON-FINAL DISPOSITION

                                         GRANTED         □ DENIED           GRANTED IN PART          □ OTHER
             APPLICATION:                SETTLE ORDER                       SUBMIT ORDER

             CHECK IF APPROPRIATE:       INCLUDES TRANSFER/REASSIGN         FIDUCIARY APPOINTMENT    □ REFERENCE

             653625/2021 INTERNATIONAL BUSINESS vs. GLOBALFOUNDRIES U.S. INC.                         Page 5 of 5
             Motion No. 044 045 049

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