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As we saw last month, companies engaged in civil litigation that are also targets of related criminal investigations may find that confidential materials produced during civil discovery could become subject to subpoena in the criminal matter, even if they would normally have been outside the government's reach. We conclude our discussion herein.
The White & Case Conundrum
The White & Case matter began when news reports revealed that the Department of Justice (DOJ) had initiated a grand jury investigation into several foreign manufacturers of liquid crystal display (LCD) screens. Within days of the announcement, dozens of class-action complaints were brought against the manufacturers. The class-actions were all consolidated in a multi-district litigation, and at the DOJ's request, the court agreed to stay most discovery in these civil actions. The court did permit the DOJ to “review but not copy” the limited class-certification discovery that was allowed to proceed while the stay was in place, with the caveat that the information learned could not be used as evidence in a subsequent criminal proceeding. In addition, the court entered a protective order restricting the parties' use of these materials to the consolidated class-action.
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