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Keywords

litigationattorneydiscoveryappealpartnershipcorporationattorney-client privilegewaste-to-energy
litigationattorneydiscoveryappealpartnershipcorporationattorney-client privilegewaste-to-energy

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F.D.I.C. v. Ogden Corp., 202 F.3d 454, 46 Fed.R.Serv.3d 772

Facts

In 1978, Citicorp North America, Inc. and New England Merchants Leasing Corp. formed a partnership to develop a waste-to-energy facility. After operational issues arose, the banks brought Ogden into the venture, which led to Ogden acquiring the banks' interests. Ogden retained the law firm Dickstein to handle claims against efficacy insurers, and disputes arose regarding the allocation of recovered insurance proceeds. The FDIC, as a successor to one of the banks, sought documents from Dickstein, claiming the joint client exception to attorney-client privilege applied.

In 1978, Citicorp North America, Inc. and New England Merchants Leasing Corp. formed a partnership to develop a waste-to-energy facility. After operational issues arose, the banks brought Ogden into the venture, which led to Ogden acquiring the banks' interests.

Issue

Whether the discovery order compelling the law firm to produce documents was immediately appealable and whether the attorney-client privilege applied given the joint client relationship.

Whether the discovery order compelling the law firm to produce documents was immediately appealable and whether the attorney-client privilege applied given the joint client relationship.

Rule

The attorney-client privilege does not apply in disputes between joint clients, and discovery orders can be immediately appealable under the collateral order doctrine if they resolve an important question distinct from the merits.

The attorney-client privilege does not apply in disputes between joint clients, and discovery orders can be immediately appealable under the collateral order doctrine if they resolve an important question distinct from the merits.

Analysis

The court found that Ogden and the banks were joint clients of Dickstein in the efficacy insurance litigation, which meant that communications between them were not protected by attorney-client privilege. The court applied the joint client exception, determining that the privilege was inapplicable to documents generated before the banks received a letter from Dickstein regarding the allocation of proceeds.

The court found that Ogden and the banks were joint clients of Dickstein in the efficacy insurance litigation, which meant that communications between them were not protected by attorney-client privilege.

Conclusion

The court affirmed the district court's order requiring the law firm to produce the documents, concluding that the joint client exception to the attorney-client privilege applied.

The court affirmed the district court's order requiring the law firm to produce the documents, concluding that the joint client exception to the attorney-client privilege applied.

Who won?

Federal Deposit Insurance Corporation (FDIC) prevailed because the court found that the joint client exception to the attorney-client privilege applied, allowing the discovery of documents.

Federal Deposit Insurance Corporation (FDIC) prevailed because the court found that the joint client exception to the attorney-client privilege applied, allowing the discovery of documents.

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