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Chicago Mercantile Exchange, Inc. v. Technology Research Group, LLC

Citations: 276 F.R.D. 237; 2011 WL 3510934Docket: No. 09 C 3895

Court: District Court, N.D. Illinois; August 9, 2011; Federal District Court

Narrative Opinion Summary

In a patent infringement case, the court addressed a motion by Technology Research Group (TRG) to amend a protective order to allow access to confidential materials for participation in a USPTO reexamination and to unseal documents related to a motion for summary judgment of invalidity. The court evaluated TRG's requests under Rule 26(c) of the Federal Rules of Civil Procedure, considering factors like the nature of the protective order, foreseeability of the modification, reliance by parties, and the existence of good cause. The court found the prosecution bar within the protective order applicable to the reexamination and denied TRG's modification request, citing the foreseeability of reexamination proceedings and the lack of demonstrated good cause. Additionally, TRG's request to unseal documents was denied due to insufficient justification of good cause. The court did, however, grant TRG's motion in part by allowing some amendments to the protective order while denying the request to lift the stay in the case, thereby balancing the interests of both parties involved in the litigation.

Legal Issues Addressed

Burden of Proof for Maintaining Confidentiality

Application: The party seeking to maintain confidentiality must demonstrate that disclosure would lead to a clearly defined and serious injury, beyond broad and generalized claims.

Reasoning: To maintain documents as confidential, a party must demonstrate 'good cause' by showing that disclosure would lead to a clearly defined and serious injury, supported by specificity.

Foreseeability and Reliance in Protective Orders

Application: When evaluating modification requests, the foreseeability of the modification at the time of the order's establishment and reliance by parties are critical factors.

Reasoning: Second, the potential for reexamination proceedings was foreseeable when the Protective Order was established, undermining TRG's claim that such modification was unexpected.

Good Cause Requirement for Unsealing Documents

Application: Unsealing court documents requires a strong showing of good cause, with a need to demonstrate that the disclosure would not result in serious injury.

Reasoning: Regarding the request to unseal filings related to CME’s motion for summary judgment of invalidity, TRG argues that unsealing is necessary to provide relevant documents to the USPTO. However, unsealing requires rigorous justification, and under Rule 26, a strong showing of good cause is needed, which TRG has not met.

Modification of Protective Orders under Rule 26(c)

Application: A party seeking modification of a protective order must demonstrate good cause, balancing the needs of all parties and considering the risk of inadvertent disclosure of confidential information.

Reasoning: To modify a protective order, the requesting party must demonstrate good cause, and the court has discretion to balance the needs of all parties involved.

Prosecution Bar in Patent Cases

Application: The prosecution bar explicitly prevents individuals with access to confidential documents from participating in any related patent proceedings, including reexaminations, unless justified by good cause.

Reasoning: The existing protective order explicitly bars individuals with access to confidential documents from prosecuting any patent related to the case, including reexamination proceedings.