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Cybersecurity Breach Turns Back the Clock - Confidential Information to be Filed in Paper

Client Alert | 2 min read | 01.12.21

On January 6, 2021, the Administrative Conference of U.S. Courts authorized federal district courts to develop policies for accepting “highly sensitive court documents (HSDs),” which would normally be filed electronically under seal, via paper filing. The statement from the Administrative Conference also acknowledged that the recent cybersecurity attack on SolarWinds products compromised the confidentiality of documents filed under seal on the Judiciary’s Case Management/Electronic Case Files system (CM/ECF).

As a result, courts nationwide are issuing notices delineating what constitute HSDs, and how parties must file HSDs, effective immediately. While some courts have yet to issue guidance, a number of other federal courts have issued general orders requiring that HSDs be filed in paper in drop boxes in or outside the courts. Individual courts are left with a split between treating all sealed documents as HSDs, and leaving to the presiding Judge, or if none, the Chief Judge, the determination of whether a document is an HSD. The U.S. District Court for the District of Columbia will take the latter approach and has provided that the HSD determination may consider whether the document contains closely held trade secrets, or confidential government enforcement information.

On a practical level, these orders may require that sealed documents, including bid protests, are filed by the court’s close of business to be considered timely filed, rather than 11:59 p.m., the deadline for electronic filing. The orders also may require more conferences among the parties to reach consensus on what information must be filed under seal, particularly if the presiding Judge or Chief Judge of a District has to decide when the parties fail to agree, as is often the case. We will continue to monitor these developments.

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Client Alert | 6 min read | 03.26.24

California Office of Health Care Affordability Notice Requirement for Material Change Transactions Closing on or After April 1, 2024

Starting next week, on April 1st, health care entities in California closing “material change transactions” will be required to notify California’s new Office of Health Care Affordability (“OHCA”) and potentially undergo an extensive review process prior to closing. The new review process will impact a broad range of providers, payers, delivery systems, and pharmacy benefit managers with either a current California footprint or a plan to expand into the California market. While health care service plans in California are already subject to an extensive transaction approval process by the Department of Managed Health Care, other health care entities in California have not been required to file notices of transactions historically, and so the notice requirement will have a significant impact on how health care entities need to structure and close deals in California, and the timing on which closing is permitted to occur....