STEVEN E. RAU, Magistrate Judge.
This matter comes before the undersigned on Defendants Express Scripts Inc., Express Scripts Holding Co., and Medco Health Solution, Inc.'s (collectively, "Express Scripts") Motion for Further Consideration of Sealing [Doc. No. 154], Defendant Prime Therapeutic LLC's ("Prime") Motion for Further Consideration of Sealing [Doc. No. 160], and Defendants CVS Health Corporation, Caremark, L.L.C., Caremark RX, L.L.C., and CaremarkPCS Health, L.L.C.'s (collectively, "CVS") Motion for Further Consideration of Sealing [Doc. No. 166] (collectively, "Motions for Continued Sealing"). This matter was referred to the undersigned pursuant to 28 U.S.C. § 636 and District of Minnesota Local Rule 72.1. For the reasons stated below, the Court grants Defendants' Motions for Continued Sealing.
The underlying litigation involves Plaintiffs Elan Klein, Adam Klein, Leah Weaver, and Arissa Paschalidis's (collectively, "Plaintiffs") allegations that Defendants, pharmacy benefit managers ("PBMs"), violated the Employee Retirement Income Security Act of 1974 ("ERISA") in the manner in which the Defendants negotiated out-of-pocket costs for EpiPens for individuals covered by the Defendants' health plans.
As required under the Local Rules, the parties first submitted a Joint Motion Regarding Continued Sealing ("Joint Motion") [Doc. No. 115]. The parties agreed that the listed documents should remain sealed, but disagreed as to why. See generally (Joint Mot.). In particular, the Defendants asserted the documents in question contained proprietary business information. See generally (id.). Three entries in the Joint Motion specified that certain nonparties considered specific documents confidential. See (id. at 8-10). The remaining entries in the Joint Motion did not include an affirmative statement that a nonparty considered the document confidential. See (id. at 1-7, 11-17). Plaintiffs did not concede that the information Defendants wanted to seal was proprietary,
See, e.g., (id. at 2-3). The Court denied the parties' Joint Motion. (Text Only Order Dated October 27, 2017) [Doc. No. 153]. The Defendants' filed their respective Motions for Continued Sealing and memoranda in support and Plaintiffs filed an omnibus opposition brief thereafter. See (Mots. for Continued Sealing); (Defs.' Express Scripts Inc., Express Scripts Holding Company, & Medco Health Solution, Inc.'s Mem. of Law in Supp. of Mot. for Further Consideration of Sealing, "Express Scripts' Mem. in Supp.") [Doc. No. 156]; (Def. Prime Therapeutics LLC's Mem. in Supp. of its Mot. for Further Consideration of Sealing, "Prime's Mem. in Supp.") [Doc. No. 162]; (Mem. in Supp. of Defs. CVS Health Corporation, Caremark, L.L.C, Caremark RX, L.L.C., & CaremarkPCS Health, L.L.C.'s Mot. for Further Consideration of Sealing, "CVS's Mem. in Supp.") [Doc. No. 168]; (Pls.' Omnibus Mem. of Law in Opp'n to Defs.' Mots. for Further Consideration of Sealing, "Pls.' Mem. in Opp'n") [Doc. No. 173].
Defendants argue generally that the documents should remain sealed because to the extent they are judicial records, the information they seek to seal is highly confidential and the public interest is minimal and outweighed by their respective interests in nondisclosure. See (Express Scripts' Mem. in Supp. at 7-11); (Prime's Mem. in Supp. at 6-11, 21); (CVS's Mem. in Supp. at 6-11). Prime also argues that to the extent the documents are not judicial records, they have established good cause under Rule 26 of the Federal Rules of Civil Procedure for the documents continued sealing. See (Prime's Mem. in Supp. at 12-20).
Oral argument was heard by the undersigned and the matter is fully briefed and ripe for consideration. See (Minute Entry Dated Jan 23, 2018) [Doc. No. 186].
"There is a common law right of access to judicial records, which includes the public's right to access documents that are submitted to the Court and that form the basis for judicial decisions." Skky, LLC v. Facebook, Inc., 191 F.Supp.3d 977, 980 (D. Minn. 2016) (Wright, J.) (internal quotation marks omitted). "This right of access is not absolute, but requires a weighing of competing interests." Webster Groves Sch. Dist. v. Pulitzer Pub. Co., 898 F.2d 1371, 1376 (8th Cir. 1990). Specifically, this Court "must consider the degree to which sealing a judicial record would interfere with the interests served by the common-law right of access and balance that interference against the salutary interests served by maintaining confidentiality of the information sought to be sealed." IDT Corp. v. eBay, 709 F.3d 1220, 1223 (8th Cir. 2013).
Ultimately, because the dispositive motions have been vacated, none of the information filed by Defendants is currently being considered by the Court. As a result, the Court grants Defendants' Motions for Continued Sealing. That said, because the parties are likely to be confronted with similar issues related to sealing of other documents filed in conjunction with Defendants' renewed motions to dismiss, the Court addresses the sealing issues presented in Defendants' Motions for Continued Sealing.
In particular, the Court is concerned with Defendants' showing under the Local Rules. The purpose of Local Rule 5.6 is to
This approach is both unhelpful and inappropriate under the Local Rules. Critically, Plaintiffs provided similar contracts issued by Defendants to third-parties that are available online and that contain redactions. See (Pls.' Mem. in Opp'n at 11 nn.9-10). Plaintiffs' argument that the entire contract should be unsealed because there are versions of similar contracts that are publically available is not persuasive. Importantly, the publically available versions of these similar contracts contain redactions to prevent disclosure of confidential information. See, e.g., PBM Services Agreement, https://www.sec.gov/Archives/edgar/data/885721/000095012310016 370/c54821exv10w30.htm (a 2009 agreement between Express Scripts and WellPoint, Inc.) (last visited Apr. 2, 2018). Nonetheless, Plaintiffs' argument demonstrates that Defendants' assertions that redactions were impracticable or that the entire document is confidential are not true. In fact, the contracts available online include only small redactions; the vast majority of these contracts appear in unredacted form. The publically available documents contain provisions similar to those in the documents before the Court. Compare, e.g., id., with (Ex. D) [Doc. No. 63] (A PBM agreement signed in 2017 between Express Scripts and U.S. Bankcorp, filed under seal). That is, Defendants' assertions related to the amount of confidential information contained in the contracts here are undermined by the lack of confidential information present in similar contracts. Furthermore, the Joint Motion makes it difficult for this Court to assess Defendants' claims that these contracts are confidential. Specifically, many of the contracts at issue were not designated as being confidential in parts of the Joint Motion, while simultaneously being asserted as subject to a non-disclosure agreement in other parts of the Joint Motion.
Finally, the parties' arguments related to whether the documents at issue are judicial records are largely a distraction from the larger question of whether sealing is appropriate under the Local Rules. That is, instead of arguing whether something is a judicial record through motion practice, it behooves the party seeking the sealing of documents (Defendants in this case) to provide the necessary showing up-front under the Local Rules. If the Defendants had met their initial burden to establish what should be sealed and why under the Local Rules, the Court would not need to engage in the additional motion practice that has occurred here. Regardless, a determination as to whether the documents at issue are judicial records is irrelevant under the circumstances. That is, the Court concludes the documents at issue should be sealed regardless of whether they are judicial records; either the documents are judicial records that should be sealed because the public right of access is de minimis when compared to Defendants' interests of nondisclosure, or they are not judicial records and they should be sealed because the Defendants have established good cause under Federal Rule of Civil Procedure 26(c). See Krueger v. Ameriprise Fin., Inc., No. 11-cv-2781 (SRN/JSM), 2014 WL 12597948, at *11 (D. Minn. Oct. 14, 2014) (Mayeron, Mag. J.) (articulating the different burdens of proof for the sealing of judicial and non-judicial records), adopted by 2015 WL 224705 (Jan. 15, 2015) (Nelson, J.).
To be clear, the Court does not envy the parties as they navigate the new sealing rules. It is not the Court's intention to create a litigation side-show with respect to sealing, but the Local Rules contemplate a burden that filers must meet in order to substantiate that sealing is warranted. For the Court to be able to meet its own obligations under the Local Rules, parties cannot simply dump hundreds of pages of documents on the Court, state that redactions are impracticable, and wait for the Court to rule. In situations like this where the documents at issue clearly contain large quantities of information that is already publically disclosed or otherwise appears to be non-confidential in nature, it is incumbent on the party seeking to seal documents that it provide a strong showing regarding what should be sealed and why. That is, "[i]f Defendants have a factual basis for requiring this information to be sealed, it is Defendants' duty to present that basis; the Court will not speculate based on broad, unsupported attorney advocacy." Skky, LLC, 191 F. Supp. 3d at 981. In some respects, Defendants were able to cure deficiencies in their burden of production with the statements made at oral argument, but that does not change the fact that their initial showings left something to be desired.
At bottom, none of the information filed by Defendants is currently being considered by the Court in addressing Defendants' renewed motions to Dismiss, and Defendants Motions for Continued Sealing are granted. The next time the parties seek to seal information filed with the Court, more robust efforts in determining what aspects of the documents should be sealed from public disclosure and articulating those reasons will be necessary.
Based on all the files, records, and proceedings herein,