Chief Judge Stark Denies Defendants’ Motion Seeking Litigation Funding-Related Discovery In Patent Infringement Action

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By Memorandum Order entered by The Honorable Leonard P. Stark in United Access Technologies, LLC v. AT&T Corp. et al., Civil Action No. 11-338-LPS (D.Del. June 12, 2020), the Court denied the motion of Defendants AT&T Corp., AT&T Services Inc. and SBC Internet Services, Inc. (collectively, “AT&T”) seeking to compel certain litigation funding-related discovery from Plaintiff United Access Technologies, LLC (“UAT”).  AT&T asserted that the information requested was not privileged and should be produced.  Id. at *1.  UAT opposed the production contending that litigation funding information is irrelevant, protected by the work-product doctrine, and is privileged.  Id. at *1-2.  The Court ordered documents responsive to certain categories to be produced by UAT for in-camera review.  Id. at *2.

After reviewing the documents in-camera, the Court found that (1) AT&T failed to meet the threshold requirement to show that the litigation funding-related discovery that it sought was relevant to the claims or defenses of the instant action; (2) AT&T failed to articulate how document within the scope of categories 2 and 3 were relevant to the specific claims or defenses of the instant case as opposed to merely speculating that the reasons underlying the order requiring production in Acceleration Bay LLC v. Activision Blizzard, Inc., 2018 WL 798731, at *3 (D.Del. February 9, 2018) were also present in the instant case; and (3) the documents did not appear to the Court to be relevant to any issue in the case.  Id. at *2-3.  Thus, the motion to compel was denied.

A copy of the Memorandum Order is attached.

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