Court Finds In-House Counsel’s Litigation Database Privileged; Disclosure to Auditor did not Effect Waiver
Lawrence E. Jaffee Pension Plan v. Household Int’l, Inc., 2006 WL 1898151 (N.D. Ill. July 6, 2006)
In this securities fraud class action, plaintiffs sought to compel production of documents relating to Household’s litigation database. During the class period, Household’s Office of the General Counsel collected and maintained information regarding all litigation that was being prosecuted, defended, or supervised by attorneys in that department. The purpose of the database was to assist Household’s counsel in understanding, managing and providing legal advice to management about each lawsuit. According to Household, attorneys or staff under their direction added comments to the database reflecting the attorneys’ mental impressions, conclusions, opinions, and strategies. Household further claimed that it implemented strict controls to protect the confidentiality of these records, and that the database has never been disclosed to Household’s outside auditors or any other third party.