THOMAS F. HOGAN, District Judge.
Before the Court are the responses of Plaintiff Aristotle International, Inc. ("Aristotle"), Defendant NGP Software, Inc. ("NGP"), and Intervenor Capitol Advantage LLP ("CA" or "CapAd") to this Court's Order inviting the parties to show cause as to why the Court's Memorandum Opinion, dated March 12, 2010 [Dkt. No. 116] "and all docketed records and pleadings (including exhibits) cited therein should not be unsealed." Order (March 12, 2010). The order explains that the Court will lift the seal "[u]nless the Court finds cause to protect those documents, in whole or in part."
NGP argues that its 2004 "PAC Partnership Agreement" ("PAC Agreement" or "Reseller Agreement") with Capitol Advantage should remain under seal because "[p]ublicly releasing the contract and the fact of the relationship will harm Capitol Advantage's goodwill and reputation, and it will also undermine NGP's ability to keep its business arrangement confidential." NGP's Resp. at 1. Confidentiality of commercial information would be a legitimate concern if the arrangement was truly confidential in the first place. But as this Court has noted, NGP President Nathaniel Pearlman testified in 2007 that disclosure of the contract would not harm NGP, and either NGP or Capitol Advantage has disclosed their relationship to individual customers. Mem. Op. at 26-7; see also Pl.'s Reply at 2-3. Backtracking, Mr. Pearlman now states that "had I known that [Aristotle] intended to use the information to falsely and misleadingly denigrate NGP, I may have responded differently to their [deposition] questions." Pearlman Decl. 115, NGP's Resp. Ex. 1 [Dkt. No. 123-1]. This claim is unconvincing, especially in light of the fact that NGP filed its counterclaim alleging false and misleading statements against Aristotle before Mr. Pearlman's deposition. See NGP's Counterclaim [Dkt. No. 45].
NGP also contends that Aristotle intends to use the contract's terms "in a false and misleading manner and to NGP's detriment."
Offering to provide redacted copies of the relevant pleadings within seven days of the Court's ruling, NGP additionally requests that information concerning its clients as well as contributions by Capitol Advantage's clients be kept under seal. NGP's Resp. at 11. Aristotle does not object to maintaining the seal on NGP's client list, but does oppose not lifting the seal on contributions made by Capitol Advantage's clients, arguing, without citation, that such information "is required by law to be public." Pl.'s Reply at 8. The parties do not cite to the record or to the memorandum opinion in their discussion of this information. The Court is hesitant to unseal information about customers without adequate briefing, especially where the parties are competitors. Accordingly, the Court finds that NGP and Capitol Advantage have shown cause to maintain protection of their customers' information, even if such information is contained in documents cited in the memorandum opinion.
Capitol Advantage argues that its relationship with NGP and its "Reseller Agreement" with NGP should remain under seal because Aristotle has not shown good cause for modifying the Protective Order. Intervenor's Resp. at 3-4 ("modifying the Order after the fact would have the effect of a bait and switch...."). The agreement was designated as confidential based upon a Stipulated Confidentiality Agreement and Protective Order, but Capitol Advantage misunderstands the applicable standard here, apparently believing that Aristotle bears the burden of persuasion. The protective order need not be modified if the Reseller Agreement was improperly designated as confidential. See Mem. Op. at 26. As explained in the Court's prior memorandum opinion in this case, the NGP/CA relationship has already been disclosed to third parties, and NGP's President has declared that public disclosure of the arrangement would not harm NGP. Id. CA contends that "[p]ublic dissemination of the Reseller Agreement and
After consideration of the Parties' briefs, the Intervenor's briefs, and the entire record of this case, the Court will lift the seal on documents cited in its March 12, 2010 memorandum opinion with the exception of those pages that would reveal confidential business information about NGP or Capitol Advantage's clients. An order accompanies this memorandum opinion.