Put The Brakes On Acceleration Bay Litigation Funder Ruling
By David Gallagher ( February 15, 2018, 4:40 PM EST) -- Last week, eyebrows of savvy federal practitioners were raised by a ruling in the District of Delaware that emails and other documents provided to a litigation funder and its counsel in connection with their due diligence are categorically not attorney work product.[1] The court denied work-product protection based on two related findings — first, that the documents at issue were "prepared with a 'primary' purpose of obtaining a loan, as opposed to aiding in possible future litigation," and second, that they were "prepared for a nonparty to the litigation," i.e., the funder. As far as one can tell from a docket on which most of the relevant filings are under seal, Acceleration Bay LLC v. Activision Blizzard Inc. seems to be a case of bad facts making bad law....
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