Rupa Marya v. Warner Chappell Music Inc

Filing 108

TRANSCRIPT for proceedings held on 06-06-2014; 2:01 P.M. Court Reporter/Electronic Court Recorder: Dorothy Babykin, Courthouse Services, phone number 626-963-0566. Transcript may be viewed at the court public terminal or purchased through the Court Reporter/Electronic Court Recorder before the deadline for Release of Transcript Restriction. After that date it may be obtained through PACER. Notice of Intent to Redact due within 7 days of this date. Redaction Request due 7/2/2014. Redacted Transcript Deadline set for 7/12/2014. Release of Transcript Restriction set for 9/9/2014. (Algorri, Miranda)

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1 UNITED STATES DISTRICT COURT 2 3 CENTRAL DISTRICT OF CALIFORNIA 4 WESTERN DIVISION 5 6 7 RUPA MARYA, 8 PLAINTIFF, 9 V. 10 11 WARNER CHAPPELL MUSIC, INC., 12 DEFENDANT. 13 ) ) ) ) ) ) ) ) ) ) ) ) ) ) CV 13-4460-GHK(MRW) LOS ANGELES, CALIFORNIA JUNE 6, 2014 (2:01 P.M. TO 2:37 P.M.) 14 15 TELEPHONIC HEARING 16 BEFORE THE HONORABLE MICHAEL R. WILNER UNITED STATES MAGISTRATE JUDGE 17 APPEARANCES: SEE NEXT PAGE COURT REPORTER: RECORDED; COURT SMART COURTROOM DEPUTY: VERONICA MC KAMIE TRANSCRIBER: DOROTHY BABYKIN COURTHOUSE SERVICES 1218 VALEBROOK PLACE GLENDORA, CALIFORNIA (626) 963-0566 18 19 20 21 22 91740 23 24 25 PROCEEDINGS RECORDED BY ELECTRONIC SOUND RECORDING; TRANSCRIPT PRODUCED BY TRANSCRIPTION SERVICE. 2 1 APPEARANCES: FOR THE PLAINTIFF: 2 3 4 WOLF HALDENSTEIN ADLER FREEMAN & HERZ BY: BETSY C. MANIFOLD ATTORNEY AT LAW 750 B STREET SUITE 2770 SAN DIEGO, CALIFORNIA 92101 5 FOR THE DEFENDANT: 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MUNGER TOLLES & OLSON LLP BY: ADAM I. KAPLAN MELINDA E. LE MOINE ATTORNEYS AT LAW 355 SOUTH GRAND AVENUE 35TH FLOOR LOS ANGELES, CALIFORNIA 90071 3 1 I N D E X 2 CV 13-4460-GHK(MRWX) 3 PROCEEDINGS: 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 JUNE 6, 2014 TELEPHONE CONFERENCE RE DISCOVERY MOTION 4 1 LOS ANGELES, CALIFORNIA; FRIDAY, JUNE 6, 2014; 2:01 P.M. 2 3 THE COURT: ALL RIGHT. GOOD AFTERNOON EVERYBODY. THIS IS JUDGE WILNER IN LOS ANGELES. 4 WE'RE ON THE RECORD IN MARYA OR -- WELL, LET'S CALL 5 IT GOOD MORNING TO YOU VERSUS WARNER CHAPPELL MUSIC, 6 CV 13-4460-GHK(MRWX). 7 COULD I HAVE APPEARANCES FOR THE PLAINTIFF, PLEASE. 8 MS. MANIFOLD: 9 BETSY MANIFOLD, WOLF HALDENSTEIN, ON BEHALF OF THE 10 GOOD AFTERNOON, YOUR HONOR. PLAINTIFFS. 11 THE COURT: GOOD AFTERNOON. 12 AND FOR THE DEFENSE. 13 MS. LE MOINE: 14 THIS IS MELINDA LE MOINE ON BEHALF OF THE GOOD AFTERNOON, YOUR HONOR. 15 DEFENDANTS FROM MUNGER TOLLES & OLSON. 16 KAPLAN, ALSO FROM MUNGER TOLLES & OLSON. 17 18 THE COURT: GOOD AFTERNOON TO BOTH OF YOU. 19 20 ALL RIGHT. AND WITH ME IS ADAM I WANTED TO GET YOU FOLKS ON THE PHONE TO DISCUSS THE MOTION THAT I RECEIVED EARLIER THIS WEEK. 21 I WORK VERY HARD TO TAKE A LOOK AT EVERY PIECE OF 22 PAPER THAT COMES THROUGH MY CHAMBERS IN MY CIVIL CASES, IN MY 23 CRIMINAL CASES, IN MY CASES ON APPEAL FROM STATE COURT AND 24 ADMINISTRATIVE AGENCIES JUST TO SORT OF SEE -- SEE WHAT'S 25 GOING ON. 5 1 AND WHEN I GET A DISCOVERY MOTION IN OUR COURT'S 2 JOINT FORMAT I LIKE TO SPEND A LITTLE BIT OF TIME GOING 3 THROUGH -- GOING THROUGH THE PAPERS -- EVEN THOUGH THEY'RE 4 NOTICED FOR A HEARING SEVERAL WEEKS FROM NOW -- JUST TO TAKE 5 A LOOK AT IT AND SEE WHAT'S REALLY GOING ON AND TO SEE 6 WHETHER IT MAKES SENSE TO GET INVOLVED A LITTLE BIT EARLIER. 7 SOMETIMES I PICK UP THE PAPERS AND I SEE SOMETHING 8 KIND OF GLARING. I SEE SOME CONDUCT THAT IS REALLY 9 PROBLEMATIC AND IT WARRANTS GETTING INVOLVED QUICKLY. AND I 10 TEND TO HAVE PRETTY GOOD SUCCESS IN RESOLVING THOSE KINDS OF 11 MOTIONS SHORT OF A HEARING. 12 IN THIS CASE WHEN I LOOKED AT YOUR PAPERS I DID NOT 13 HAVE ANYTHING OF REMOTE CONCERN ABOUT HOW THE MATTER HAS BEEN 14 HANDLED. 15 PAPERS AND SOME REALLY INTERESTING AND LEGITIMATE ARGUMENTS 16 ON BOTH SIDES. 17 TO THE CONTRARY, IT'S A VERY PROFESSIONAL SET OF BUT I STILL FELT IT MIGHT BE APPROPRIATE GIVEN THE 18 CIRCUMSTANCES HERE TO REACH OUT -- NOT TO GIVE YOU A RULING 19 TODAY AND NOT NECESSARILY TO SOLICIT ARGUMENT FROM YOU TODAY. 20 BUT, QUITE FRANKLY, SINCE YOU TOOK THE TIME AND TROUBLE AND 21 CLIENT FUNDS TO PUT THESE PAPERS TOGETHER FOR THE PURPOSE OF 22 HAVING ME RULE ON IT OR AT LEAST GIVE YOU MY THOUGHTS, IT MAY 23 MAKE SENSE TO GIVE YOU MY PRELIMINARY THOUGHTS HERE 24 PARTICULARLY GIVEN THE KIND OF UNIQUE TIMING HERE ON THE 25 CASE. 6 1 IN ADDITION TO LOOKING AT YOUR PAPERS, I'VE LOOKED 2 AT THE DOCKET. 3 COMPLAINT, THAT THERE WAS SOME MOTION PRACTICE IN FRONT OF 4 CHIEF JUDGE KING. 5 I'M AWARE THAT WE'RE ON OUR FOURTH AMENDED I SPOKE BRIEFLY WITH CHIEF JUDGE KING THE OTHER 6 DAY. 7 HAPPY BIRTHDAY TO HIM. 8 WITH ANYBODY. 9 I GOT TO CONFESS. I STARTED THE CONVERSATION BY SAYING I HOPE THAT DOESN'T GET ME IN TROUBLE BUT HE TOLD ME ABOUT -- SORT OF THE TIMING OF THE 10 CASE AND THE FACT THAT YOU FOLKS HAD ASKED FOR KIND OF AN 11 EXPEDITED DISCOVERY DATE FOR WHAT YOU'RE CALLING THE FIRST 12 PHASE OF THIS CASE. 13 WITH RESPECT TO THE TIMING AND PROGRESS OF THE DISCOVERY 14 HERE. 15 AND THAT GIVES ME A COUPLE OF THOUGHTS BUT I KNOW YOU FEEL LIKE YOU'RE UNDER THE GUN IN 16 TERMS OF THE TIMING THAT YOU'VE IMPOSED ON YOURSELVES. 17 SO, I WANTED TO -- WANTED TO GIVE YOU MY THOUGHTS ON THAT AS 18 WELL AND TO SEE IF THERE IS A WAY FORWARD. 19 AND, THE END RESULT OF OUR DISCUSSION HERE TODAY -- AND 20 IT MAY JUST BE A ONE-SIDED DISCUSSION FOR ME HERE. 21 SAID, YOU'RE NOT REQUIRED TO ARGUE HERE TODAY. 22 BE MORE INTERESTED IN THINKING ABOUT WHAT I HAVE TO SAY AND 23 FIGURING OUT WHAT YOU WANT TO DO. 24 25 LIKE I AND YOU MAY BUT THE END RESULT TODAY IS YOU MAY WANT TO TAKE ANOTHER RUN AT SITTING DOWN IN LIGHT OF MY THOUGHTS AND 7 1 SEEING IF THERE'S SOMETHING TO BE WORKED OUT OR, 2 ALTERNATIVELY, WHETHER YOU CAN FOCUS ON A MORE DISCRETE ISSUE 3 OR SET OF ISSUES HERE AND PROVIDE ME WITH SUPPLEMENTAL BRIEFS 4 THAT MAY BE A LITTLE BIT MORE FOCUSED ON THE ISSUES THAT I 5 THINK ARE AT PLAY HERE. 6 MY UNDERSTANDING IS THAT THIS IS A CASE INVOLVING 7 THE RIGHTS TO HAPPY BIRTHDAY TO YOU, A CASE THAT WAS -- OR A 8 SONG THAT WAS ORIGINALLY COPYRIGHTED IN THE 19TH CENTURY. 9 THERE ARE ISSUES REGARDING THE VALIDITY OF THE COPYRIGHT AND 10 ITS EXTENSION, ALLEGATIONS OF INFRINGEMENT AND SO FORTH. 11 AND, THEN, THE DISCOVERY REQUESTS THAT PLAINTIFF 12 SERVED FOR WHATEVER THOSE RECORDS WERE MET WITH INVOCATION OF 13 PRIVILEGE AND EVENTUALLY THE PRODUCTION OF A PRIVILEGE LOG 14 AND THEN A SECOND PRIVILEGE LOG WHICH MR. KAPLAN FORWARDED TO 15 THE COURT SEPARATELY THE OTHER DAY WHEN I NOTICED THAT IT HAD 16 BEEN INADVERTENTLY -- 17 DON'T WORRY ABOUT IT. 18 -- BUT IT HAD NOT BEEN ATTACHED TO THE MOVING 19 PAPERS. 20 I UNDERSTAND AND I TAKE SERIOUSLY PLAINTIFF'S CLAIM 21 THAT THE PRIVILEGE LOG WAS PRODUCED AFTER EITHER THE DEADLINE 22 SET FORTH IN RULE 30 -- OH, I ALWAYS GET CONFUSED -- 33 OR 23 34, WHICHEVER ONE IT IS AND, PERHAPS, AFTER A TIME WHEN THERE 24 WAS AN AGREED-UPON EXTENSION. 25 AND THE BURLINGTON NORTHERN ARGUMENT THAT PRIVILEGE 8 1 IS WAIVED IF IT'S INVOKED IMPROPERLY OR BELATEDLY IS AN 2 ARGUMENT THAT I'M FAMILIAR WITH. 3 TIME TO TIME. 4 CIRCUIT HAS IDENTIFIED IN MAKING THAT DETERMINATION AS TO 5 WHETHER PRIVILEGE HAS BEEN WAIVED AND, NOTWITHSTANDING THE 6 PRODUCTION OF A LOG, DOCUMENTS MUST BE PRODUCED. I SEE IT, YOU KNOW, FROM AND I'M WELL AWARE OF THE FACTORS THAT THE 7 I WILL -- AND, THEN, THERE WERE OTHER ARGUMENTS 8 THAT WERE PRESENTED IN THE PAPERS REGARDING THE MANNER IN 9 WHICH THE LOG WAS PREPARED AND WHETHER THERE WERE AMBIGUOUS 10 PHRASES USED AND WHETHER THE PRIVILEGE WAS APPROPRIATELY 11 BEING RAISED AND WHETHER SUFFICIENT INFORMATION WAS BEING 12 PROVIDED TO THE PLAINTIFF SO THAT THE PLAINTIFF AND/OR THE 13 COURT COULD TEST THE VALIDITY OF THE INVOCATION OF THE 14 PRIVILEGE. 15 AND, THEN, YOU GET INTO ISSUES THAT ARE A LITTLE 16 BIT MORE UNIQUE, WHICH IS THE ISSUE OF WAIVER AND THIRD 17 PARTIES AND JOINT -- JOINT OR COMMON INTEREST IN THE EXERCISE 18 OF THE RIGHTS HERE AND WHETHER PRIVILEGE APPLIES TO SOME OF 19 THE MATERIALS THAT ARE AT ISSUE HERE. 20 LET ME JUST TAKE A PAUSE. 21 MS. MANIFOLD, RECOGNIZING I MAY HAVE GLIDED THROUGH 22 SOME OTHER THINGS HERE, AM I GENERALLY IN THE BALLPARK HERE? 23 24 25 MS. MANIFOLD: YOUR HONOR, I BELIEVE YOU'RE SPOT ON. THE COURT: OKAY. THAT'S NICE. 9 1 MS. LE MOINE. 2 MS. LE MOINE: 3 THAT SOUNDS LIKE THE THREE CLAIMS THAT ARE MADE, YES. 4 THE COURT: OKAY. 5 ALL RIGHT. WELL, I APPRECIATE THAT. LIKE I SAID, 6 I HAVEN'T WORKED IT UP IN FULL, BUT I SPENT, YOU KNOW, A GOOD 7 PART OF TIME THIS WEEK ON IT BECAUSE IT'S AN INTERESTING 8 ISSUE AND IT'S AN IMPORTANT CASE. 9 GET -- I GET SOME OF THESE ISSUES RIGHT. AND I WANT TO MAKE SURE I 10 I MEAN, I'LL TELL YOU -- I'LL TELL YOU RIGHT NOW. 11 I DON'T SEE THE BURLINGTON NORTHERN ISSUE AS BEING A WINNER 12 HERE. 13 FIRMS AND BIG COMPANIES LIKE TO BIG FIRM AND BIG COMPANY 14 ANOTHER LITIGANT. 15 THE CONCEPT OF BEING SLOW-PLAYED IN DISCOVERY AND BEING 16 DELAYED AND -- YOU KNOW, PARTICULARLY IN A CASE WHERE THE 17 PARTIES HAVE AGREED -- AGREED JOINTLY -- TO SHORT DEADLINES, 18 I AM VERY AWARE OF THE POTENTIAL OF PREJUDICE HERE WITH 19 RESPECT TO THE LATE ROLL-OUT OF THINGS. 20 I'M WELL AWARE THAT THERE ARE CIRCUMSTANCES WHERE BIG AND I UNDERSTAND VERY, VERY WELL I REALLY DON'T WANT TO HAVE TO SPEND A LOT OF TIME 21 ON WHAT YOUR DISCUSSIONS WERE, OR WHAT YOUR CONFIRMATION 22 LETTERS WERE, OR WHAT YOUR COUNTER-CONFIRMATIONS EMAILS WERE. 23 ACTUALLY, I'M BLESSED THAT YOU DIDN'T SUBMIT TO ME A TON OF 24 THOSE MATERIALS. 25 WHAT THEIR LETTERS SAY, AND I HAVE ENDLESS DECLARATIONS ABOUT USUALLY LAWYERS WANT ME TO KNOW EXACTLY 10 1 THAT. 2 IF YOU REALLY WANT ME TO FIGURE OUT WHETHER THERE 3 WAS AN EXTENSION OFFERED AND TAKEN AND WHETHER IT WAS RENEWED 4 AND ALL THAT, I'M HAPPY TO BRING YOU UP TO FEDERAL COURT AND 5 PUT YOU ON THE STAND, SWEAR YOU IN, AND UNDER PENALTY OF 6 PERJURY I'LL ASK YOU MYSELF. 7 WAY. 8 9 MAYBE WE DON'T NEED TO GO THAT I ALSO THINK THAT GIVEN THE NATURE OF THE CASE HERE AND THE HISTORIC NATURE OF THESE DOCUMENTS, SOME OF WHICH GO 10 BACK A FAIRLY LONG TIME, THEY MAY HAVE BEEN PRODUCED IN OTHER 11 LITIGATION. 12 BURDEN TO ASSEMBLE THEM. 13 THAT WAS SERVED IN FEBRUARY AFTER FOUR ITERATIONS OF A 14 COMPLAINT AND, YOU KNOW, FOR RESPONSES THAT WERE ORIGINALLY 15 DUE IN MARCH AND PERHAPS EXTENDED INTO APRIL, THE PRODUCTION 16 OF A LOG IN MAY DOESN'T STRIKE ME AS THE MOST NEFARIOUS OF 17 CONDUCT HERE. THEY MAY -- IT MAY OR MAY NOT HAVE BEEN A BIG BUT I GOT TO SAY THAT FOR DISCOVERY 18 I RECOGNIZE, AND I WANT TO GIVE SOME REAL THOUGHT 19 TO THE FACT THAT THAT LOG WAS SUPPLEMENTED IN JUNE, KIND OF 20 AS THE PARTIES WERE GEARING UP FOR THIS. 21 UNDERSTAND THE CONCEPT THAT YOU PUSH THE MOTION TO TRY AND 22 GET A RESULT. 23 AND, YOU KNOW, I I DON'T THINK WE GET INTO THE RULE OF -- RULE 37 24 WHERE SOMEONE IS A PREVAILING PARTY IF DISCOVERY IS PRODUCED 25 AFTER THE MOTION HAS BEEN FILED, YOU KNOW, THEREBY MOOTING 11 1 THE MOTION. 2 AND THE RULES DON'T HAVE ANY TIME FOR. 3 DON'T HAVE ANY REASON TO BELIEVE THAT THAT OCCURRED HERE. 4 THAT'S A TACTIC THAT I DON'T HAVE ANY TIME FOR BUT I DON'T -- I YEAH, THERE WAS A SUPPLEMENTAL LOG THAT CAME OUT. 5 BUT THE SUPPLEMENTAL LOG WENT A LONG WAY TO ALLEVIATING SOME 6 OF THE ISSUES THAT WERE RAISED IN SORT OF POINT 2 OF THE 7 MOTION, WHICH IS, GEE, I REALLY DON'T KNOW WHAT CONCERNING 8 MEANS OR, YOU KNOW, HOW THESE DOCUMENTS ARE BEING DESCRIBED. 9 I SAT THERE AND KIND OF DID A RUDIMENTARY SIDE BY 10 SIDE OF THE MAY LOG AND THE JUNE LOG. 11 THAT THE JUNE LOG WAS BETTER. 12 DETAILED. 13 THAT MS. MANIFOLD AND HER TEAM HAD RAISED. 14 AND MY FIRST TAKE WAS THE JUNE LOG WAS MORE THE JUNE LOG WAS MORE RESPONSIVE TO THE CONCERNS AND, YOU KNOW, NOT GREAT THAT IT CAME IN THIS 15 SEQUENCE OF EVENTS. BUT, AGAIN, IT WAS REASONABLY PROMPT. 16 AND GIVEN SOME OF THE CIRCUMSTANCES AND THE UNIQUE NATURE OF 17 SOME OF THESE ISSUES, AND FOREIGN COMPANIES AND FIGURING OUT 18 WHO IS WHO, AGAIN, I GOT TO SAY I'M NOT THE MOST MORTALLY 19 OFFENDED BY WHAT I SAW. 20 PRECLUDE THE PLAINTIFFS FROM IDENTIFYING SOME MORE 21 DEFICIENCIES HERE. 22 ORIGINALLY, ALTHOUGH PERHAPS LATE, SEEMED TO GET BETTER, 23 ALBEIT EVEN LATER. ALTHOUGH I'M NOT INTENDING TO BUT WHAT I THOUGHT HAD BEEN PRETTY GOOD 24 AND WE CAN TALK ABOUT DATES BECAUSE I DON'T WANT TO 25 HAVE -- I DON'T WANT TO BASE A RULING OR CAUSE THE PARTIES TO 12 1 INCUR COSTS OR TAKE POSITIONS BASED ON TIMING. 2 RECOMMEND A CHANGE IN THE DATES HERE TO CHIEF JUDGE KING TO 3 GIVE SOMEONE RELIEF HERE, THAT MAY BE THE RELIEF YOU REALLY 4 WANT ON THESE ISSUES. 5 IF I THEN, WE GET INTO THIS ISSUE OF THE THIRD PARTY AND 6 THE JOINT INTEREST OR THE COMMON INTERESTS. 7 TO GET TURNED AROUND ON THIS, IS THIS THE WAIVER, THIS IS THE 8 EXCEPTION TO THE WAIVER. 9 HELPED OUT ON THIS. 10 AND I DON'T MEAN YOU CAN HELP ME OUT IF I NEED TO BE BUT THE ISSUE IS THAT THERE IS A CLAIM OF PRIVILEGE 11 EXTENDING -- WE'RE NOT TALKING ABOUT THE ROLE OF NON-LAWYERS 12 OR INDEPENDENT CONTRACTORS OR SORT OF LOCAL AGENTS WHO MAY 13 FALL WITHIN THE SCOPE OF THE PRIVILEGE. 14 THE NIDEC ISSUE THAT WAS RAISED HERE, WHICH HAS TO DO WITH 15 GOING SORT OF WELL BEYOND WHAT COULD BE THE EMPLOYER-EMPLOYEE 16 RELATIONSHIP OR THE EMPLOYER-INDEPENDENT CONTRACTOR 17 RELATIONSHIP. 18 BUT THIS IS SORT OF AND THAT GETS INTO THIS -- OH, HERE IT IS -- "THE 19 COMMON INTEREST EXCEPTION TO THE RULE WAIVING PRIVILEGE." 20 GOOD. 21 I GOT IT NOW. AND I READ -- I READ THE PARTIES' CASES HERE. I 22 MEAN, THE MGA CASE IS A CASE FROM THIS DISTRICT. 23 JUDGE SEGAL, AND I READ THAT QUITE CLOSELY. 24 CHEN UP IN THE NORTHERN DISTRICT. 25 TO BE OF INTEREST, NOT JUST THE FEDERAL CIRCUIT'S DECISION IT'S CHIEF NIDEC FROM JUDGE THE PATENT CASES I FOUND 13 1 THAT WAS CITED IN YOUR PAPERS BUT, ALSO, AS TO THE MORE 2 RECENT ONE IN THE GENENTECH CASE BY JUDGE GREWAL INVOLVING 3 PATENT LITIGATION UP IN THE NORTHERN DISTRICT. 4 I MEAN, THERE'S DEFINITELY -- DEFINITELY AN 5 INTERESTING ISSUE HERE, WHICH RAISES SOME LEGAL QUESTIONS. 6 IT ALSO RAISES SOME INTERESTING FACTUAL QUESTIONS. 7 MAY BE WHERE I NEED TO GET SOME MORE DEVELOPMENT. 8 AND THIS MY UNDERSTANDING -- AND, AGAIN, THERE'S GOING TO BE 9 SOME DETAILS HERE THAT I JUST CAN'T GET RIGHT BECAUSE I'M 10 NOWHERE NEAR AS FAMILIAR WITH ALL THIS STUFF AS YOU FOLKS 11 ARE. 12 SHORTHAND. 13 WITH THE LICENSING ENTITIES IN THE U.K., IN FRANCE AND, 14 PERHAPS, ELSEWHERE, AND IN COMMUNICATIONS THAT THOSE ENTITIES 15 APPEARED TO HAVE HAD WITH PERHAPS THEIR LAWYERS, THERE IS AN 16 ASSERTION THAT THERE IS THIS COMMONALITY WHICH BRINGS THOSE 17 COMMUNICATIONS WITHIN THE PRIVILEGE. 18 BUT WHEN WARNER -- I'M GOING TO CALL IT WARNER FOR WHEN WARNER OR WARNER'S LEGAL STAFF WAS DEALING I DON'T KNOW. AND I -- AND I DON'T KNOW BECAUSE I 19 DON'T KNOW THAT I KNOW ENOUGH FACTUALLY ABOUT WHO THESE 20 ENTITIES ARE, THE NATURE OF THEIR RELATIONSHIP WITH WARNER. 21 YOU KNOW, THE ISSUE IN NIDEC HAD TO DO WITH WE'VE GOT PATENT 22 LITIGATION OR WE'VE GOT LITIGATION I GUESS IT IS. 23 WANT TO DISCLOSE SOME OF THAT TO A POTENTIAL PURCHASER FOR 24 ISSUES THAT ARE UNRELATED TO THE ACTUAL PROSECUTION OF THOSE 25 CASES OR PROTECTION OF RIGHTS. AND WE BUT THAT WAS VALUATION OF A 14 1 BUSINESS IN THE CONTEXT OF A TAKE-OVER. 2 AND THE NIDEC COURT -- AND I UNDERSTAND THAT THE 3 NIDEC HOLDING IS THAT JUST BECAUSE YOU'RE DISCLOSING THESE 4 CONFIDENTIAL ISSUES IN A CONFIDENTIAL MANNER, THAT DOESN'T -- 5 THAT DOESN'T SEEM TO FALL WITHIN THE PRIVILEGE BECAUSE THAT'S 6 COMMONALITY OF A FINANCIAL INTEREST OR A BUSINESS INTEREST AS 7 OPPOSED TO A LEGAL INTEREST. 8 9 AND THE PATENTEE LICENSEE CASES SEEM TO BE A BIT DIFFERENT. AND THE NATURE OF WHAT'S GOING ON HERE GIVEN THAT 10 THESE ARE LICENSING ENTITIES AND AGENCIES THAT ARE OPERATING 11 THE COPYRIGHTS AND THEY HAVE REQUIREMENTS TO MAINTAIN THE 12 INTEGRITY OF THOSE RIGHTS GIVES ME SOME REASON TO PAUSE 13 WHETHER IT DOES OR DOES NOT FALL INTO THE COMMON INTEREST 14 RULE HERE. 15 AND, SO, MAYBE THAT'S A GOOD PLACE FOR ME TO PAUSE 16 AND SEE WHETHER -- WHETHER ANYBODY WANTS TO BE HEARD HERE. 17 BECAUSE THIS IS AN AREA WHERE FRANKLY WE CAN GO A NUMBER OF 18 DIFFERENT DIRECTIONS. 19 MAYBE TAKE ANOTHER RUN AT SITTING DOWN AND FIGURING OUT 20 WHETHER YOU NEED SOME MORE INFORMATION ON THIS ISSUE TO 21 DETERMINE WHETHER THIS IS A LEGITIMATE INVOCATION OF 22 PRIVILEGE. 23 YOU FOLKS -- 24 MS. MANIFOLD: YOU FOLKS COULD, AND PERHAPS SHOULD, 25 YOUR HONOR, IF I COULD BE HEARD FIRST SINCE IT IS MY MOTION. 15 1 THE COURT: 2 MS. MANIFOLD: 3 GO AHEAD. I JUST -- I WANTED TO MAKE JUST A COUPLE OF OBSERVATIONS -- 4 THE COURT: 5 MS. MANIFOLD: -- BASED ON THE COURT'S COMMENTS TO 6 GO AHEAD. US. 7 AND I APPRECIATE THE COURT'S VIEW WITH REGARD TO 8 THE NATURE OF THE DELAY IN THE BURLINGTON NORTHERN WAIVER. 9 AND I THINK THAT THE PARTIES HAVE THROUGHOUT THIS LITIGATION 10 -- AND I THINK THE COURT HAS MADE THAT OBSERVATION AND HAS 11 DEALT WITH EACH OTHER WITH COURTESY AND COOPERATION. 12 VERY PLEASED THAT -- AND I'M SURE MY -- DEFENDANT'S COUNSEL 13 WILL JOIN ME IN THIS IN SAYING THAT WE'RE PLEASED THAT THE 14 COURT HAS NOTED THAT IN OUR PAPERS. 15 THE COURT: 16 MS. MANIFOLD: AND I'M YES. AND I CERTAINLY -- WE DON'T DISPUTE 17 THAT AN EXTENSION WAS GIVEN TO -- FOR THE PRODUCTION OF 18 DOCUMENTS OR FOR THE PRODUCTION OF OBJECTIONS. 19 SO, IF THE COURT IS BASED ON THE COMMENTS SOMEWHAT 20 SINGULARLY UNIMPRESSED BY THE DELAY THAT WE POINTED OUT IN 21 THE PRODUCTION LOG, THEN, I CERTAINLY WILL TAKE THAT INTO 22 CONSIDERATION WITH REGARD TO ANY SUPPLEMENTAL BRIEFING AND 23 WHERE THE PLAINTIFFS PLAN TO FOCUS THE FURTHER DEVELOPMENT OF 24 THEIR ISSUES. 25 AND I KNOW THAT THE COURT RAISED THE ISSUE OF THE 16 1 POTENTIAL FOR RULE 37 FINES. 2 ANY INTEREST IN THAT. 3 ON THE LEGAL ISSUES AND GET A RESOLUTION IN THE MOST 4 PRACTICAL AND EFFICIENT WAY. 5 TO DO IT, OR WE CAN FURTHER MEET AND CONFER, I THINK WE'RE 6 CAPABLE OF DOING EITHER. 7 8 9 10 THE COURT: I THINK WE WOULD JUST PREFER TO FOCUS AND IF THAT MEANS THE COURT HAS AHH, BUT YOU SEE -- YOU HAVE THE PROBLEM THERE THOUGH. RULE 37 IS MANDATORY. MS. MANIFOLD: THE COURT: I DON'T THINK EITHER PARTY HAS OKAY. RULE -- RULE 37(A)(5) SAYS THAT IF A 11 MOTION IS GRANTED FOR -- TO COMPEL PRODUCTION, THE COURT MUST 12 AFTER GIVING AN OPPORTUNITY TO BE HEARD REQUIRE THE PARTY 13 WHOSE CONDUCT NECESSITATED THE MOTION OR THEIR ATTORNEY TO 14 PAY EXPENSES. 15 THERE ARE EXCEPTIONS TO IT, BUT IF THE MOTION IS 16 DENIED, THEN, I MUST -- AGAIN, THIS IS 37(A)(5)(B), I MUST 17 TAKE UP THE ISSUE OF ATTORNEY'S FEES. 18 SO, YOU KNOW, AGAIN, ONCE YOU FOLKS LAUNCHED THE 19 MOTION, THINGS COME INTO PLAY, NOT THE LEAST OF WHICH MY 20 OBLIGATION TO AT LEAST TAKE THIS UP OR REQUIRE YOU TO ADDRESS 21 IT, WHICH MAY ALSO BE SOMETHING YOU WANT TO TAKE INTO YOUR 22 CALCULUS AS YOU MOVE FORWARD. 23 MS. MANIFOLD: 24 AND I -- AND GETTING TO THE NEXT POINT WAS THAT I 25 I UNDERSTAND, YOUR HONOR. THINK ONE OF THE KEY FOCUSED -- AND WHAT PLAINTIFFS HAD 17 1 PLANNED TO FOCUS MORE CLEARLY ON IN THEIR SUPPLEMENTAL 2 MEMORANDUM WAS THE COMMON INTEREST, WHICH I THINK IS WHAT THE 3 COURT HAS BEEN MOST FOCUSED ON. 4 WHERE THERE ARE SEVERAL DOCUMENTS THAT BASED ON THE ARGUMENTS 5 IN OUR BRIEFING DON'T COME WITHIN THE COMMON INTEREST. 6 THINK THAT THAT'S THE CLEAREST AND THE MOST FOCUSED ARGUMENT 7 THAT THE PLAINTIFFS HAD PLANNED TO MAKE IN THE SUPPLEMENTAL 8 BRIEFING. 9 THE COURT: OKAY. AND I THINK THAT THAT'S AND I WELL, I MEAN, LOOK, ONE THING WE 10 CAN DO IS SUPPLEMENTAL BRIEFS. 11 THAT YOU MAY -- YOU MAY WANT TO EMPHASIZE THAT BECAUSE I 12 THOUGHT YOUR PAPERS WERE THINNEST IN THAT AREA, EVEN THOUGH 13 YOU WERE AWARE THAT THE ISSUE WAS THERE. 14 LIKE YOU SPENT MOST OF YOUR TIME ON THE OTHER POINTS AND KIND 15 OF THREW THIS IN AT THE END. 16 YOU KNOW, I DO HAVE TO SAY I MEAN, IT SEEMS I WILL SAY THAT I'M NOT -- I'M NOT AVERSE TO IN 17 CAMERA INSPECTION OF SOMETHING THAT'S LIMITED. 18 KNOW, I HAVE NO WAY OF KNOWING THAT A 137 DOCUMENTS WITH 300 19 PAGES OUT OF 2,000 -- BLAH, BLAH, BLAH, BLAH -- I HAVE NO WAY 20 OF KNOWING WHETHER THAT IS A REASON -- IT'S GOING TO BE 21 REALLY BURDENSOME ON THE COURT TO DO THIS. 22 AND, YOU I DON'T KNOW THAT I'LL HAVE ENOUGH INFORMATION TO 23 DO AN INTELLIGENT REVIEW OF PRIVILEGE. SO, I THINK I NEED TO 24 SEE -- I NEED TO SEE SOME MORE GUIDANCE FROM YOU FOLKS AHEAD 25 OF TIME ON THE ISSUE, RECOGNIZING THAT THE PLAINTIFFS ARE 18 1 KIND OF BLIND BECAUSE THE WHOLE POINT IS THAT THEY'RE NOT 2 GOING TO SEE THESE RECORDS. 3 BUT IF I'M DOING AN IN CAMERA REVIEW, AND PUTTING 4 MY OTHER CASES ON HOLD, YOU KNOW, RULE 37 MOST DEFINITELY 5 COMES INTO PLAY THEN. 6 IN A DISCOVERY DISPUTE THAT IS FAIRLY EXTRAORDINARY. 7 BECAUSE THAT'S ME INTERVENING IN A WAY NOW, IF WE'RE TALKING ABOUT A DOZEN PIECES OF 8 PAPER, IT MAY NOT BE AS MUCH AS OTHERWISE THREATENED, BUT, 9 YOU KNOW, IT'S OF SIGNIFICANCE, AND IT SHOULD NOT BE IN THE 10 ORDINARY COURSE. SO, I WANTED TO LET YOU KNOW ABOUT THAT. 11 I TAKE SERIOUSLY THE DEFENSE'S POSITION THAT, YOU 12 KNOW, THEY DON'T WANT TO HAVE TO SUBMIT EVERYTHING AND HAVE 13 ME DO THIS WORK. 14 THAT SOMEBODY PREPARES A PRIVILEGE LOG AND THEN THE OTHER 15 SIDE SAYS I DON'T BELIEVE IT. 16 THE OPPOSITE. 17 VALID UNLESS WE'VE GOT A PROBLEM OR SOMETHING UNIQUE AND 18 DEFINABLE. 19 THE WHOLE POINT OF THE PRIVILEGE LOG IS NOT JUDGE, YOU LOOK AT IT. IT'S IT'S -- THE PRIVILEGE LOG IS PRESUMPTIVELY THIS MAY -- MAY BE UNIQUE AND DEFINABLE. BUT IN 20 ORDER TO DEMONSTRATE THE UNIQUENESS AND TO GIVE ME THAT 21 DEFINITION AS TO WHAT I SHOULD BE LOOKING FOR, I THINK I MAY 22 NEED MORE ON THE LAW BUT, PERHAPS MORE IMPORTANTLY, SORT OF 23 THE NATURE OF WHAT I MIGHT BE LOOKING AT AND THE NATURE OF 24 THESE PARTIES. 25 LICENSING AGENTS. I HAVE SOME RUDIMENTARY UNDERSTANDING OF YOU KNOW, THESE WERE EQUATED TO ASCAP AND 19 1 BMI EXCEPT MAYBE OVERSEAS. 2 UNDERSTAND. 3 IN ORDER TO MAKE THE INTELLIGENT DECISION THAT I'M EXPECTED 4 TO MAKE. 5 6 BUT, YOU KNOW, I'M NOT SURE I I'M NOT SURE THAT I KNOW WHAT I'D BE LOOKING FOR MS. MANIFOLD: YOUR HONOR, BETSY MANIFOLD FOR THE PLAINTIFFS. 7 AND I -- IF I MAY -- AND I APOLOGIZE IF THIS WOULD 8 BE IMPROPER IN THIS CONTEXT, BUT I WOULD LIKE TO THROW OUT 9 THE QUESTION TO DEFENDANT'S COUNSEL TO SEE IF -- 10 THE COURT: GO AHEAD. 11 MS. MANIFOLD: -- THERE'S A WILLINGNESS BASED ON THE 12 COURT'S WILLINGNESS FOR US TO PERHAPS CONTINUE THE 13 MEET-AND-CONFER PROCESS FOR A DISCRETE PERIOD OF TIME AND 14 THEN PERHAPS RESUBMIT A MORE -- BASED ON -- BECAUSE 15 UNFORTUNATELY WE GOT THE AMENDED PRIVILEGE LOG AT THE SAME 16 TIME WE -- OUR PAPERS WERE ALREADY FILED. 17 DIFFICULT. 18 OF THE CHANGES IN THE PRIVILEGE LOG. 19 COULD BE MORE FACTUAL DETAIL PROVIDED BY THE DEFENDANTS THAT 20 COULD ANSWER SOME OF THE QUESTIONS BOTH THAT ARE RAISED BY 21 THE PRIVILEGE LOG AND THAT THE COURT RAISED. WE BASICALLY COULDN'T TAKE INTO CONSIDERATION ANY 22 THE COURT: 23 MS. MANIFOLD: 24 25 SO, IT WAS VERY AND I THINK THAT THERE WELL, THE ANSWER -AND I DON'T KNOW IF THAT'S A PROCESS THAT WOULD BE APPROPRIATE TO RAISE AT THIS POINT OR -THE COURT: NO. 20 1 2 MS. MANIFOLD: -- IF WE SHOULD JUST PROCEED TO SUPPLEMENTAL BRIEFING. 3 4 THE COURT: NO. THE -- NO. THE ANSWER IS IT'S ABSOLUTELY APPROPRIATE. 5 LOOK, I'M GOING TO BE -- BECAUSE YOU -- BECAUSE -- 6 LIKE I SAID, YOU FOLKS HAVE DONE -- HAVE DONE FINE HERE. 7 THIS IS NOT THE KIND OF CASE WHERE I FEEL LIKE I HAVE TO 8 BRING THE HAMMER ON LAWYERS. 9 FREELY. TO THE CONTRARY, I WILL SPEAK ANYTHING THAT YOU CAN AGREE UPON WILL BE BETTER FROM 10 YOUR PERSPECTIVES THAN ANYTHING THAT I CAN IMPOSE UPON YOU. 11 OKAY. 12 ISSUES HERE. 13 ARE MORE FAMILIAR WITH, PERHAPS, WHAT YOU CAN GIVE UP IN -- 14 YOU KNOW, ZEALOUSLY REPRESENTING YOUR CLIENTS BUT ALSO 15 PRACTICALLY REPRESENTING YOUR CLIENTS AND PUTTING IT IN THE 16 HANDS OF SOMEONE ELSE -- BE IT A FEDERAL JUDGE OR DISCOVERY 17 MASTER OR SOME GUY OFF THE STREET -- LIKELY IS NOT IN YOUR 18 CLIENT'S INTERESTS. 19 20 21 I SAY THAT BECAUSE YOU ARE MORE FAMILIAR WITH THE YOU ARE MORE FAMILIAR WITH WHAT YOU NEED. YOU SO, IN THE ORDINARY COURSE, ANYTHING THAT YOU CAN AGREE UPON IS GOOD FOR YOU AND IS IN YOUR INTERESTS. AND I'M HAPPY TO PUSH THE PAUSE BUTTON HERE. AND 22 THAT'S WHY I WANTED TO LET YOU KNOW THAT IF YOU FEEL LIKE 23 BECAUSE OF THE CHANGE IN THE CIRCUMSTANCE AND BECAUSE YOU NOW 24 HAVE, YOU KNOW, SOME OF THE INFORMATION YOU WERE SEEKING, 25 MS. MANIFOLD, FROM THE DEFENSE -- AND THEY'VE COMPLIED AND, 21 1 YOU KNOW, OR GETTING TOWARDS COMPLIANCE OR WHATEVER -- WE CAN 2 PUSH PAUSE. 3 THE DISCOVERY CUT-OFF TO SORT OF MAINTAIN THE STATUS QUO AND 4 AVOID PREJUDICE, LIKE I SAID, I'LL PICK UP THE PHONE AND CALL 5 JUDGE KING -- CHIEF JUDGE KING AND SEE WHAT I CAN DO. 6 IF THE RELIEF YOU NEED IS A BRIEF CONTINUANCE OF I'M HAPPY TO GET YOU FOLKS BACK ON THE PHONE TO 7 SORT OF SEE WHERE THINGS ARE AND TO TAKE YOUR TEMPERATURE. 8 UNFORTUNATELY, I DO HAVE SOME PERSONAL TRAVEL COMING UP THE 9 NEXT COUPLE OF WEEKS, BUT I CAN MAKE MYSELF AVAILABLE, AND I 10 WILL MAKE MYSELF AVAILABLE AS A SERVICE TO YOU FOLKS IF THAT 11 MAKES SENSE. 12 NOW AND LET ME KNOW THAT YOU'VE WORKED IT OUT OR THAT YOU'VE 13 REDUCED THE SCOPE OF THINGS -- 14 15 AND, MS. LE MOINE, I'M HAPPY TO HEAR FROM YOU AS WELL ON THIS -- 16 17 18 IF YOU WANTED TO GET ON THE PHONE A WEEK FROM -- BUT IF THAT'S THE WAY FORWARD, THAT'S FINE WITH ME. AND, THEN, THIS HAS BEEN A SUCCESS. MS. LE MOINE: YOUR HONOR, I WILL CHIME IN HERE. 19 I'VE LEARNED A LESSON, WHICH IS WHEN YOU -- WHEN YOU DON'T 20 DISAGREE WITH ANYTHING, YOU DON'T SAY ANYTHING. 21 THE COURT: 22 MS. LE MOINE: BUT -- RIGHT ON. SO -- AS I MAY BE MAKING A MISTAKE. 23 BUT I THINK YOU'RE ABSOLUTELY RIGHT, AND I APPRECIATE YOUR 24 HAVING TO LOOK AT IT QUICKLY SO THAT WE COULD SORT OF FOCUS 25 ON, YOU KNOW, WHERE THE -- THE INTERESTING ISSUE HERE. AND I 22 1 AGREE WITH YOU IT'S AN INTERESTING ONE, AN INTERESTING LEGAL 2 ISSUE. 3 I AM CONFIDENT THAT THE DOCUMENTS -- AND IT'S A 4 SUBSET OF THE WHOLE -- OF THE LOG -- THAT ARE EXCHANGED WITH 5 LICENSING AGENTS, ARE PRIVILEGED, AND THAT THEY ARE PROTECTED 6 AGAINST WAIVER BY THE COMMON INTEREST DOCTRINE. 7 I'M HAPPY TO SIT DOWN WITH PLAINTIFFS AGAIN AND 8 HAVE A CHAT ABOUT HOW TO KEEP THIS -- MAYBE TO FOCUS THIS AND 9 SEE WHERE THAT DISCUSSION GOES AND ALLEVIATE ANY BURDEN ON 10 11 THE COURT. THE COURT: AND ONE THING -- AND I APPRECIATE THAT, 12 AND I APPRECIATE THE SPIRIT ON BOTH SIDES. I MEAN, ONE THING 13 YOU MAY WANT TO DO IS MAYBE A LITTLE BIT OF PEEK-A-BOO. 14 MAYBE DISCLOSE A LITTLE BIT MORE ABOUT WHAT YOU HAVE TO LET 15 HER MAKE AN INTELLIGENT DECISION. 16 MUCH OF A LAY-DOWN FROM YOUR SIDE -- YOU KNOW, I'M NOT 17 TALKING ABOUT YOU WAIVING THE PRIVILEGE OR SHOWING HER THE 18 DOCUMENTS, BUT MAYBE YOU CAN BE A LITTLE BIT MORE EXPRESS IN 19 THIS AREA TO GIVE HER -- TO GIVE HER COMFORT THAT SHE'S NOT 20 JUST GIVING AWAY THE FARM. AND IF IT'S REALLY THAT 21 I MEAN, PART OF WHAT I WAS THINKING ABOUT WAS, YOU 22 KNOW -- I'M NOT LOOKING TO PLAY GAMES OR ANYTHING, BUT MAYBE 23 WE HAVE TO DO A SAMPLE. 24 MUTUALLY AGREED-UPON DOCUMENTS, YOU KNOW, WHERE BOTH SIDES 25 FEEL VERY CONFIDENT THAT THESE ARE -- ARE OR ARE NOT AND MAYBE THE SAMPLING CAMERA IS 23 1 PRIVILEGED. 2 ARE PRIVILEGED AND PROPERLY PRIVILEGED, THEN, PLAINTIFF IS 3 GOING TO PAY SOME FEES. 4 PRIVILEGED, THEN, THE DEFENSE IS GOING TO PAY FEES. 5 YOU'LL PUT YOUR MONEY WHERE YOUR MOUTH IS. 6 SOME OTHER SANCTIONS OR CONSEQUENCES COMING IN THAT I HAVEN'T 7 PUT INTO FIRM THOUGHT. 8 9 AND I LOOK AT FIVE OF THEM. AND IF A MAJORITY AND IF THE MAJORITY ARE NOT PROPERLY AND OR MAYBE THERE'S BUT I WANT TO GIVE YOU FOLKS AN INCENTIVE TO RESOLVE THIS. AND THE INCENTIVE IS NOT JUST ME RULING ON IT 10 BUT DOING IT IN A WAY THAT PROTECTS OUR RESOURCES HERE AND 11 KEEPS YOUR CASE MOVING. 12 YOU HAVE TO HAVE ME LOOK AT IT. 13 THAT'S NOT IN ANYBODY'S -- NOT IN ANYBODY'S INTERESTS. 14 15 BECAUSE YOU'RE GOING TO SLOW DOWN IF OKAY. YOU JUST ARE. AND SO, YEAH, IF YOU WANT TO SIT DOWN, SOMEBODY WANTS TO BUY SOMEBODY A CUP OF COFFEE, ALTHOUGH -- 16 YOU'RE DOWN IN SAN DIEGO, RIGHT, MS. MANIFOLD? 17 MS. MANIFOLD: 18 THE COURT: 19 I AM, YOUR HONOR. ALL RIGHT. SOMEBODY DELIVERS HER A CUP OF COFFEE. 20 (LAUGHTER.) 21 MS. MANIFOLD: 22 THE COURT: 23 24 25 RIGHT. MAYBE YOU CAN FIGURE SOMETHING OUT OR MAYBE FIGURE -MS. MANIFOLD: CUP OF COFFEE -- MAYBE WE COULD BOTH BUY EACH OTHER A 24 1 MS. LE MOINE: 2 (LAUGHTER.) 3 THE COURT: I COULD FAX YOU A CUP OF COFFEE. YOU MEET IN IRVINE. IT'S HALFWAY. 4 MEAN, FIGURE SOMETHING OUT. 5 MORE EMAILS GOING BACK AND FORTH, MORE KIND OF SNITOGRAM 6 LETTERS GOING BACK AND FORTH. 7 SOMEBODY ON AN IPAD AND DO A FACE TIME DISCUSSION 8 FACE-TO-FACE. I 9 I MEAN, THE LAST THING I WANT IS YOU KNOW, SOMEBODY PUT AND PUT SOME CARDS ON THE TABLE. YOU HAVE A PROTECTIVE ORDER IN THIS CASE, CORRECT? 10 MS. MANIFOLD: YES, YOUR HONOR. 11 MS. LE MOINE: WE DO, YOUR HONOR. 12 THE COURT: 13 YES, I DID SIGN THAT. SO, THERE'S DISCLOSURE ISSUES, YOU KNOW, YOU CAN WORK WITH THAT. 14 WHAT MAKES SENSE IS A WAY FORWARD HERE. 15 MS. MANIFOLD: MY SUGGESTION -- I THINK ONE OF THE 16 KEY MOTIVATING FACTORS FOR THE FILING AND THE ISSUES WITH THE 17 FILINGS THAT WE'VE HAD UP UNTIL NOW IS THAT WE'RE VERY 18 CONCERNED ABOUT THE DISCOVERY CUT-OFF. AND IT'S IMPORTANT TO 19 BOTH SIDES THAT WE MAINTAIN THAT PACE. AND IF WE'RE JUST 20 DOWN TO THIS ISSUE, IF WE COULD EXTEND OUT THE DISCOVERY 21 CUT-OFF FOR JUST THIS ISSUE SO THAT THE DEFENSE AND 22 PLAINTIFF'S COUNSEL COULD SIT DOWN AND HAVE SOME OF THE 23 DISCUSSIONS THAT THE COURT'S THINKING ABOUT, ESPECIALLY WITH 24 THE VIEWS THAT YOU'VE GIVEN US, WHICH I THINK HAVE BEEN VERY 25 HELPFUL, AND SEE IF WE CAN SIT DOWN AND EITHER WORK 25 1 EVERYTHING OUT OR ELSE, YOU KNOW, NARROW IT DOWN TO 10 2 DOCUMENTS MAYBE AS THE COURT SUGGESTS OR 5 -- WHERE BOTH 3 SIDES ARE JUST VERY CONFIDENT ON BOTH SIDES, AND THE COURT IS 4 GOING TO HAVE TO RESOLVE IT OR SEE IF WE CAN NEGOTIATE 5 SOMETHING. 6 SO, I DON'T KNOW QUITE HOW THE MECHANICS OF THAT 7 WOULD WORK. BUT AT THIS POINT WE UNFORTUNATELY CONCURRENTLY 8 HAVE THE COPY THAT'S ON FILE WITH THE COURT. 9 DEFENDANT'S REFORMATTING AND SIGNING THE FINAL VERSION AND THE 10 UNFORTUNATELY MESSED UP SOME OF THE PLAINTIFF'S TABLES ON 11 PAGE 20, WHICH DEFENDANT'S COUNSEL VERY KINDLY POINTED OUT TO 12 ME BEFORE THIS CALL. 13 REFILE THE PAPERS. 14 15 AND WE ARE ATTEMPTING TO FIX THAT AND BUT I'M WONDERING IF IT'S NECESSARY TO DO THAT IF MAYBE IN -- 16 THE COURT: NO. 17 MS. MANIFOLD: -- TWO WEEKS WE SHOULD SIMPLY REFILE 18 WHATEVER JOINT STIPULATION WE CAN AGREE ON AT THAT TIME AND 19 THEN GO FORWARD THAT WAY. 20 MECHANICS -- I MEAN, I'M TRYING TO WORK OUT THE 21 MS. LE MOINE: 22 MS. MANIFOLD: -- AND I'M NOT QUITE SURE WHAT TO DO. 23 MS. LE MOINE: 24 25 RIGHT. WELL, LET ME, IF I CAN LIKE MAYBE JUST MAKE A SUGGESTION ON MECHANICS -THE COURT: GO AHEAD. 26 1 MS. LE MOINE: -- PERHAPS WE JUST HAVE A STAY OF 2 THE PERIOD, OF THE DISCOVERY PERIOD WHICH ENDS ON THE 25TH -- 3 MAYBE A STAY OF EVERYTHING FOR TWO WEEKS TO TRY TO RESOLVE 4 THIS ISSUE. 5 THE COURT: 6 MS. LE MOINE: 7 AND ADDRESS THE POINTS THAT THE COURT HAS RAISED AND SEE IF WE CAN COME BACK TO THE COURT. 8 9 WELL -- SO, WE DON'T NECESSARILY MOVE THE DATES, BUT WE KEEP IN MIND THAT WE'RE TAKING LIKE A -- THAT WE MIGHT MOVE 10 IT OUT TWO WEEKS BECAUSE WE'RE TAKING A TWO-WEEK STAY TO JUST 11 FOCUS AND RESOLVE THIS PRIVILEGE QUESTION. 12 THE COURT: HOW ABOUT THIS. HOW ABOUT WE HAVE A 13 CONFERENCE CALL A WEEK FROM TUESDAY. WE'LL SET IT FOR THE 14 17TH. 15 GOING TO BE MORE FILING -- I MEAN, I DON'T WANT TO KILL A 16 TREE AND REFILE THE ORIGINAL MOTION. 17 IN GENERAL. AND WE WILL SEE WHERE THINGS ARE AND WHETHER THERE'S YOU FILED. YOU FILED WE'RE NOT THAT FORMAL HERE. 18 IF THERE'S GOING TO BE SOMETHING ELSE FILED, YOU 19 KNOW, IT'S GOING TO BE FOCUSED AND IT'S GOING TO BE ON THE 20 ISSUES THAT REALLY MATTER. 21 BY THE 17TH, THEN, THINGS HAVE FALLEN APART. 22 AND IF YOU HAVEN'T FIGURED IT OUT I CAN EASILY RECOMMEND TO JUDGE KING -- AND I'LL 23 CALL HIM TODAY -- THAT THE CUT-OFF DATE AND OTHER LITIGATION 24 DATES -- I DON'T QUITE KNOW THE NUANCE OF YOUR SCHEDULING 25 ORDER, BUT JUST TO KICK EVERYTHING OUT TWO OR THREE WEEKS TO 27 1 ENABLE US TO EITHER RESOLVE THIS OR, YOU KNOW, NOBODY BE 2 PREJUDICED BY IT. 3 4 5 6 7 8 9 10 11 MS. MANIFOLD: THAT WOULD BE ACCEPTABLE TO MS. LE MOINE: THAT'S FINE WITH DEFENDANTS AS WELL, PLAINTIFF. YOUR HONOR. THE COURT: IS IT ALL DATES, OR IS IT JUST THE DISCOVERY CUT-OFF ON THE FIRST PHASE? MS. MANIFOLD: I THINK JUST THE DISCOVERY CUT-OFF WOULD BE THE ONLY DATE THAT WOULD BE NECESSARILY KICKED OUT. THE COURT: OKAY. I DON'T KNOW WHEN YOU WERE 12 SUPPOSED TO BE FILING YOUR FIRST MSJ. SO, IF IT'S JUST TWO 13 WEEKS ON THE DISCOVERY CUT-OFF DATE, AND THAT WE'RE GOING TO 14 GET BACK ON THE PHONE -- 15 DOES THE 17TH APPEAR TO WORK FOR YOU FOLKS? 16 MS. MANIFOLD: YES, YOUR HONOR. 17 MS. LE MOINE: YES -- 18 MS. MANIFOLD: -- THIS IS PLAINTIFF'S COUNSEL. 19 MS. LE MOINE: 20 21 YES, THE 17TH WORKS FOR DEFENSE COUNSEL ALSO, YOUR HONOR. THE COURT: WHY DON'T WE TENTATIVELY DO THIS. I'M 22 GOING TO BE ON THE EAST COAST ON THAT DAY, BUT I WILL MAKE 23 ARRANGEMENTS TO GET ON THE PHONE WITH YOU ALL. 24 25 WE'LL SET IT FOR 9:00 A.M. PACIFIC TIME. BE NOON ON THE EAST COAST. THAT WILL 28 1 HOWEVER -- AND I WANT TO BE REAL CLEAR -- IF YOU 2 FOLKS FIGURE IT OUT, IF YOU FOLKS RESOLVE THIS AND YOU DON'T 3 WANT TO SPEND ANY MORE TIME WITH ME, FEEL FREE NOT TO RUIN MY 4 VACATION. 5 (LAUGHTER.) 6 THE COURT: AND ALL YOU HAVE TO DO IS PICK UP THE 7 PHONE AND CALL MS. MC KAMIE, MY COURTROOM DEPUTY. SHE'S AT 8 894-5496. 9 WITHOUT A FURTHER FILING IF YOU'VE REACHED AN AGREEMENT OR AND SHE WILL TAKE THE MATTER OFF IN ITS ENTIRETY 10 SOME SORT OF COMPROMISE. 11 THERE. 12 SO, THAT'S SORT OF YOUR INCENTIVE SO, IF YOU DON'T NEED ME, YOU DON'T NEED TO GET ME 13 ON THE PHONE JUST TO SAY WE DON'T NEED YOU, JUDGE. 14 TAKE IT DOWN. 15 YOU CAN IF YOU DO NEED ME, THEN, WE WILL SET UP A BRIDGE 16 CALL ON JUNE 17TH AT 9:00, 9:00 IN THE MORNING, AND WE'LL 17 FIGURE OUT WHERE THINGS ARE. 18 YOU MAY NEED TO STAND BY BECAUSE IF FOR A PERSONAL 19 REASON I NEED TO CHANGE THAT TIME THE DAY BEFORE, WE'LL TRY 20 AND GET AN EMAIL NOTICE OUT TO ALL OF YOU. 21 22 MS. MANIFOLD: YOUR HONOR, AND WE'LL WELCOME TO USE THE SAME CONFERENCE CALL AND NUMBERS. 23 AND JUST SO PLAINTIFFS ARE CLEAR, OUR SUPPLEMENTAL 24 BRIEF WOULD NOT BE DUE ON JUNE 11TH. 25 DATES OUT. WE'RE KICKING THOSE AND IF WE'RE BACK ON THE PHONE WITH THE COURT ON 29 1 THE 17TH, THEN, WE WILL IN ESSENCE RESET THE DATES FOR EITHER 2 A SUPPLEMENTAL FILING -- A SUPPLEMENTAL MEMO AND/OR AN ORAL 3 ARGUMENT. 4 IS THAT CORRECT? 5 THE COURT: THAT'S -- I HAVEN'T ORDERED AN 6 SUPPLEMENTAL BRIEF, AND I'M NOT GOING TO ACCEPT IT UNTIL I 7 KNOW THAT YOU FOLKS KNOW WHAT THE BRIEF IS ABOUT. 8 MS. MANIFOLD: 9 THE COURT: 10 OKAY. THANK YOU. SO, YOU'RE NOT ENTITLED TO THAT AS OF RIGHT UNDER OUR LOCAL RULE, AND I'M NOT ORDERING IT. 11 OKAY? 12 IF WE'RE GOING TO HAVE A HEARING ON THIS, THEN, 13 WE'RE GOING TO SET A NEW DATE. 14 DATE FOR THE HEARING. 15 SHOT AT WORKING THIS OUT. 16 AND CHANGED, AND THAT YOU NOW HAVE THE BENEFIT OF, DUBIOUS AS 17 IT MAY BE, OF MY THOUGHTS ON THE MOTION. 18 19 AND WE'RE GOING TO SET A NEW BUT I'D LIKE TO GIVE YOU FOLKS ANOTHER MS. MANIFOLD: RECOGNIZING THAT THINGS HAVE MOVED THANK YOU VERY MUCH, YOUR HONOR. YOU'VE BEEN VERY HELPFUL. 20 THE COURT: OKAY. 21 MS. LE MOINE: 22 THE COURT: 23 MS. MANIFOLD: THANK YOU. ALL RIGHT. ANYTHING ELSE? AND FOR THE CORRECTED FILING, MAY WE 24 GO AHEAD AND JUST HAVE LEAVE TO FILE THE CORRECTED FILING SO 25 WE HAVE THE FORMATTING CORRECT ON WHAT'S BEFORE THE COURT? 30 1 OR SHOULD WE BOTHER? 2 THE COURT: 3 WHAT'S WRONG WITH YOUR FILING? I DON'T KNOW WHAT'S WRONG WITH IT. 4 MS. MANIFOLD: THERE WERE -- 5 MS. LE MOINE: I CAN -- SINCE IT'S MY FAULT, I GET 6 -- THE CHART -- ONE OF THE CHART EXCERPTS OF THE PRIVILEGE 7 LOG THAT PLAINTIFFS INCLUDED IN THEIR SECTION STARTING ON 8 PAGE 20 -- 9 THE COURT: 10 YES. MS. LE MOINE: -- DOESN'T -- THE NUMBERS ARE OFF. 11 IT'S NOT -- NOT ALL THE NUMBERS THAT THEY'RE CHALLENGING ARE 12 INCLUDED. 13 14 SO, IT'S ACTUALLY NOT A TERRIBLE ERROR BECAUSE YOU CAN REFER TO THE ACTUAL LOG. 15 MS. MANIFOLD: 16 THE COURT: 17 18 YES. YES. NO, THE LOG -- THE LOG ITSELF IS -MS. LE MOINE: SOMEHOW IN THE MYSTERIOUS FORMATTING 19 THAT GOES ON WITH MICROSOFT WORD THAT IS BEYOND MY 20 COMPREHENSION, THE LOGS GOT TO BE -- THE EXCERPTS IN THE 21 DRAFT GOT SCREWED UP. 22 THE COURT: I WASN'T LOOKING -- I WASN'T LOOKING AT 23 WHAT WAS IN -- WHAT I WAS LOOKING AT WAS EXHIBIT A, WHICH I 24 UNDERSTAND TO BE THE ACTUAL DOCUMENT. 25 MS. LE MOINE: RIGHT. YES. 31 1 THE COURT: IF THAT'S FINE, I DON'T CARE THAT A 2 COPY OF THE DOCUMENT IS NOT A COPY OF THE DOCUMENT. 3 MADE YOUR RECORD, LAWYERS, AND YOUR RECORD IS -- YOUR 4 LAWYERLY RECORD IS THAT EXHIBIT A IS THE FINE DOCUMENT. 5 THAT'S ALL I'LL LOOK AT. 6 YOU'VE MS. LE MOINE: AND EXHIBIT B IS THE REVISED AS FOR 8 MS. MANIFOLD: AND I AGREE ON BOTH. 9 THE COURT: 7 JUNE 2ND. OKAY. 10 WELL, EXHIBIT B AS IT'S NOW BEEN FILED, YES. 11 MS. MANIFOLD: 12 THE COURT: 13 HAVE RESOLVED IT. YES. THAT WAS A BIGGER ISSUE, BUT YOU FOLKS SO, THAT'S FINE. 14 MS. MANIFOLD: 15 THE COURT: 16 MS. MANIFOLD: 17 (LAUGHTER.) 18 THE COURT: 19 OKAY. SO -- THAT WAS MY FAULT. WE'RE NOT LOOKING BACK. WE'RE LOOKING FORWARD, FOLKS. 20 MS. MANIFOLD: 21 THE COURT: 22 MS. LE MOINE: 23 RIGHT. THANK YOU, YOUR HONOR. IT'S NOT -THANK YOU VERY MUCH, YOUR HONOR. APPRECIATE IT. 24 THE COURT: NOT AT ALL. 25 ANYTHING ELSE WE NEED TO COVER? 32 1 2 3 4 5 6 7 8 9 MS. MANIFOLD: NOT ON THE PLAINTIFF'S SIDE. MS. LE MOINE: NOT ON THE DEFENSE SIDE EITHER. YOU. THANK YOU, YOUR HONOR. THE COURT: ALL RIGHT. WE'LL SEND OUT A -- WE'LL SEND OUT A QUICK ELECTRONIC ORDER ON THIS. THANK YOU FOLKS FOR YOUR TIME TODAY. IN YOUR DISCUSSIONS. WE'RE DONE. 10 MS. MANIFOLD: THANK YOU. 11 MS. LE MOINE: THANK YOU, YOUR HONOR. 12 (PROCEEDINGS CONCLUDED 2:37 P.M.) 13 14 15 16 17 18 19 20 21 22 23 24 25 THANK AND GOOD LUCK 33 1 2 C E R T I F I C A T E 3 4 I CERTIFY THAT THE FOREGOING IS A CORRECT 5 TRANSCRIPT FROM THE ELECTRONIC SOUND RECORDING OF THE 6 PROCEEDINGS IN THE ABOVE-ENTITLED MATTER. 7 8 9 10 /S/ DOROTHY BABYKIN 6/9/14 11 ______________________________ ___________ 12 FEDERALLY CERTIFIED TRANSCRIBER DATED 13 DOROTHY BABYKIN 14 15 16 17 18 19 20 21 22 23 24 25

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