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E.B. et al. v. New York City Board of Education et al.

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK

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E.B., et al.,

Plaintiffs, ORDER

- against - CV 2002-5118 (CPS)(MDG)

NEW YORK CITY BOARD OF EDUCATION, et al.,

Defendants.

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Plaintiffs are a class of disabled children who bring this

action against defendants the New York City Board of Education,

the New York City Department of Education ("DOE"), and Joel Klein,

the Chancellor of the New York City School District, alleging

violations of 42 U.S.C. § 1983, the Fourteenth Amendment to the

United States Constitution, the Individuals with Disabilities

Education Act, 20 U.S.C. § 1400, et seq. ("IDEA"), Section 504 of

the Rehabilitation Act of 1973, 29 U.S.C. § 794, and the Americans

with Disabilities Act ("ADA"), 42 U.S.C. § 12132, et seq.

Plaintiffs claim that under defendants' policies governing

suspensions, plaintiffs and other disabled students are illegally

excluded from school without notice of their right to a hearing

and do not receive a free and appropriate public education.

Plaintiffs move to compel defendants to produce documents

withheld under a claim that they are protected from disclosure by

the attorney-client privilege and the attorney work-product

doctrine or to submit the withheld documents for in camera review.

FACTUAL BACKGROUND

The documents in dispute concern two types of documents that

the DOE claims were created in the course of consultation with

counsel.

Questionnaires and Responses

In or about February 2006, attorneys in DOE's Office of Legal

Services ("OLS") decided to obtain information concerning the

operation of DOE's suspension sites in order to evaluate DOE's

legal position in this action and to provide legal advice to the

Chancellor and Michele Cahill, Senior Counselor of the Office of

Youth Development and School-Community Services. See Declaration

of Theresa Crotty dated March 15, 2007 ("Crotty Decl.") (ct. doc.

158) at ¶ 4. To obtain the information, OLS attorneys, in

conjunction with attorneys at the Office of the Corporation

Counsel, developed a questionnaire to be completed by DOE's

Regional Directors of Student Placement, Youth and Family Support

Services ("SPYFSS"). Id. at ¶ 5. On February 28, 2006, DOE

General Counsel Michael Best sent a memorandum to the Regional

Directors of SPYFSS advising that it was circulating the

questionairre as part of DOE's defense in this litigation, that

recipients were to treat the questionnaire as confidential and

that any questions should be directed to Theresa Crotty, an OLS

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attorney. Id. at ¶¶ 6, 8-10. Ms. Crotty subsequently received a

number of e-mails and letters from DOE employees transmitting

completed questionnaires, containing questions from suspension

sites to Regional personnel concerning the questionnaire, and

reflecting a conversation between Ms. Crotty and a DOE employee

about the questionnaire. See id. at ¶ 12; Declaration of Shawn V.

Morehead dated March 5, 2007 ("Morehead Decl.") (ct. doc. 156-3),

Exh. B (Letter to Shawn Morehead and Sharon Katz from Jane R.

Goldberg dated February 6, 2007).1 The OLS used the completed

questionnaires "to inform [its] view of the DOE's legal position

in this case and to provide legal advice to the Chancellor and

Senior Counselor Michelle [sic] Cahill concerning the

Superintendent suspension process." Crotty Decl. at ¶ 13.

Shane Mulhern, Executive Director of the DOE's Office of

Youth Development and School-Community Services ("OYDSCS"), was

later provided with a copy of the completed questionnaires at his

request. See Declaration of Shane Santo Mulhern dated March 15,

2007 ("Mulhern Decl.") (ct. doc. 157) at ¶¶ 15-16. Mr. Mulhern

believed that the information compiled by OLS would inform his

department's decisions concerning policy, budget and planning

decisions for Superintendent suspensions. Id. at ¶ 16. OYDSCS

organized the information contained in the completed

questionnaires into a document entitled "Suspension Scoring Sheet"

1 Those e-mails that were not sent directly to Ms. Crotty were forwarded to her. See Morehead Decl., Exh. B at 4 n.1.

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and a bar chart. Id. at ¶¶ 17-19. A single set of these

documents and a set of the completed questionnaires were

maintained at OYDSCS's offices. Id. at ¶ 21.

At a conference held on March 29, 2007, I ordered defendants

to submit a sample of the completed questionnaires for in camera

review. See minute entry for conference held on 3/29/07.

Tracking Suggestions

Mr. Mulhern initiated the Superintendent Suspension Process

Improvement Project (the "Project") to review the suspension

process generally and "to develop a data tracking program to

monitor student progress through the suspension process." Mulhern

Decl. at ¶¶ 4-5. In conjunction with the Project, a document

entitled "Corporation Counsel - Suggestions for additional items

to track" ("Tracking Suggestions") was prepared by Jocelyn Gibian,

Director of the Office of Process Improvement, that discusses the

New York City Law Department's recommendations "concerning

additional items to consider including in the DOE's data tracking

project" and a February 16, 2006 meeting between Ms. Crotty, Ms.

Gibian and Aimee Dorosin, from DOE's Office of Special Education

Initiatives. Id. at ¶ 9. This document was maintained in a

dedicated folder on the DOE computer system and was accessible

only to participants of the Project, who were drawn from various

DOE departments. Id. at ¶¶ 6-8.

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DISCUSSION

Legal Standards

"A party invoking the attorney-client privilege must show

(1) a communication between client and counsel that (2) was

intended to be and was in fact kept confidential, and (3) was made

for the purpose of obtaining or providing legal advice." In re

County of Erie, 473 F.3d 413, 419 (2d Cir. 2007); United States v.

Constr. Prods. Research, Inc., 73 F.3d 464, 473 (2d Cir. 1996);

see Fisher v. United States, 425 U.S. 391, 403 (1976). To be

sure, the "privilege protects confidential communications between

government counsel and their clients that are made for the purpose

of obtaining or providing legal assistance."2 In re County of

Erie, 473 F.3d at 418. In order to merit protection, the

"predominant purpose" of the communication must be to render or

solicit legal advice as opposed to business or policy advice. See

id. at 420. The burden of establishing the applicability of the

privilege and all of its elements rests with the party claiming

protection. See In re Grand Jury Proceedings, 219 F.3d 175, 182

(2d Cir. 2000); Constr. Prods., 73 F.3d at 473-74.

Federal Rule of Civil Procedure 26(b)(3) embodies the federal

work-product doctrine which provides qualified protection to

"documents and tangible things . . . prepared in anticipation of

2 In civil suits between private litigants and government agencies, the government's claim of the attorney-client privilege is as strong as that of an individual or a corporate entity. See In re Erie, 473 F.3d at 419.

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litigation or for trial" from discovery. Fed. R. Civ. P.

26(b)(3); see Hickman v. Taylor, 329 U.S. 495, 511 (1947); Constr.

Prods., 73 F.3d at 473. Documents prepared in anticipation of

litigation are those that, "in light of the nature of the document

and the factual situation in the particular case . . . can fairly

be said to have been prepared or obtained because of the prospect

of litigation." United States v. Adlman, 134 F.3d 1194, 1202 (2d

Cir. 1998). Thus, documents prepared in the ordinary course of

business or that "would have been created in essentially similar

form irrespective of the litigation" are not protected by the

work-product doctrine. Id. The party asserting work-product

protection bears the burden of establishing its applicability.

See Constr. Prods., 73 F.3d at 473. If a party seeks disclosure

of protected documents, the party must demonstrate a "substantial

need of the materials in the preparation of the party's case and

that the party is unable without undue hardship to obtain the

substantial equivalent of the materials by other means." Fed. R.

Civ. P. 26(b)(3).

Questionnaires and Responses

I find that defendants have met their burden of demonstrating

that the attorney-client privilege applies to the questionnaire,

responses and related correspondence. The questionnaire was

created by OLS attorneys, with input from attorneys at the Office

of the Corporation Counsel, for the predominant purpose of

evaluating DOE's legal position in this case and providing legal

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advice to the Chancellor and Ms. Cahill. See Crotty Decl. at

¶¶ 4-5. The recipients of the questionnaire were advised that it

was being circulated as part of DOE's defense of this action and

cautioned to keep the information confidential. Id. at ¶¶ 6-10.

Under the circumstances, the responses of DOE's employees to the

questionnaire and the related correspondence were created for the

purpose of enabling DOE's attorneys to provide the agency with

legal advice. See Upjohn v. United States, 449 U.S. 383, 388-90,

394-95 (1981) (communications made by corporate employees to

counsel, including written questionnaires, were protected by

attorney-client privilege); Carter v. Cornell Univ., 159 F.3d 1345

(Table), 1998 WL 537842, at *2 (2d Cir. July 9, 1998); Lugosch v.

Conegel, No. Civ. 00-CV-0784, 2006 WL 931687, at *16 (N.D.N.Y.

Mar. 7, 2006).

That the documents were later used by the OYDSCS to make

policy, budget and planning decisions concerning superintendent

suspensions does not undermine defendants' assertion that the

documents were initially created for the predominant purpose of

obtaining or providing legal advice. See In re Erie, 473 F.3d at

422-23 (in holding that e-mails were sent for the predominant

purpose of soliciting or rendering legal advice, the Second

Circuit looked to the context in which the communications

involving government counsel were solicited). However, the

subsequent disclosure of the questionnaire and responses to the

OYDSCS may constitute a waiver of the privilege, as the plaintiff

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contends. Id. at 423. "The party claiming the privilege has the

burden of showing 'that the communications between client and

attorney were made in confidence and have been maintained in

confidence.'" Denney v. Jenkens & Gilchrist, 362 F. Supp. 2d 407,

412 (S.D.N.Y. 2004) (quoting In re Horowitz, 482 F.2d 72, 81-84

(2d Cir. 1973)). As the Second Circuit recognized, "[t]he general

rules governing waiver are more complicated when the issue arises

in the context of corporate entities." Doe, 219 F.3d at 183.

Thus, "[a]lthough dissemination of privileged information to third

parties generally waives attorney-client privilege, the

distribution within a corporation of legal advice received from

its counsel does not, by itself, vitiate the privilege." Strougo

v. BEA Associates, 199 F.R.D. 515, 519-20 (S.D.N.Y. 2001) (citing

Upjohn 449 U.S. at 391-92).

Courts determining whether dissemination of a document to

employees amounts to waiver of an entity's attorney-client

privilege apply "a 'need to know' standard: did the recipient need

to know the content of the communication in order to perform her

job effectively or to make informed decisions concerning, or

affected by, the subject matter of the communication?" Scholtisek

v. Eldre Corp., 441 F. Supp. 2d 459, 464 (W.D.N.Y. 2006).

Critical in such an evaluation is "the nature of the

communication, that is, whether it necessarily incorporates legal

advice." Scholtisek, 441 F. Supp. 2d at 464; Verschoth v. Time

Warner Inc., No. 00CIV1339, 2001 WL 286763, at *2 (S.D.N.Y. Mar.

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22, 2001). Here, the questionnaire and responses did not contain

legal advice. As Mr. Mulhern explains, he sought to obtain the

factual information contained in the responses to aid in making

policy, budget and planning decisions. See Mulhern Decl. at ¶ 16.

Although defendants may be correct that OYDSCS "had a 'need to

know' the content of those documents in order to effectively

perform its duties and to make informed decisions about suspension

sites," see Mem. in Opp. (ct. doc. 159) at 7, defendants do not

claim that the reason OYDSCS obtained the questionnaire and

responses was to secure or act on legal advice. See In re

Horowitz, 482 F.2d at 81 (finding waiver of privilege because

attorney-client communications were later sent to accountant "for

purposes unrelated to the seeking of legal advice"); Restatement

(Third) of Law Governing Lawyers § 73 cmt. g (2000) ("An

organization may not immunize documents and other communications .

. . circulated for a business or other nonlegal purpose"); 3 Jack

B. Weinstein & Margaret A. Berger, Weinstein's Federal Evidence

§ 503.22[4][a] (Joseph M. McLaughlin ed., 2006) (communications

distributed to employees are confidential, "provided that those

persons, because of the structure of the corporation, must know of

the communication in order to insure that full and accurate

Defendants argue that the information distributed to Mr.

Mulhern remains protected from disclosure because Mr. Mulhern's

involvement in this litigation, including settlement discussions

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with plaintiffs' counsel, brings him within the ambit of the

attorney-client privilege. However, defendants' argument is based

on the unsupported assumption that a government employee who is a

"client" for purposes of determining the scope of the attorney-

client privilege under one set of circumstances, remains the

client in all other contexts. Such a position ignores the fact

that "the relationship between a government attorney and a

government official or employee is not the same as that between a

private attorney and his client." In re Grand Jury Investigaton,

399 F.3d F.3d 527, 534 (2d Cir. 2005). Just as a government

attorney may be consulted by other employees "in a capacity other

than as a lawyer, as (for example) a policy advisor, media expert,

business consultant, banker, referee or friend . . .," Mulhern, as

the employee, may sometimes consult counsel or obtain information

from counsel, which would not constitute legal advice. In re

County of Erie, 473 F.3d at 421. In any event, since "entities

can act only through agents, . . . any privilege that attaches to

communications on corporate matters between corporate employees

and corporate counsel belongs to the corporation, not to the

individual employee." United States v. Int'l Bhd. of Teamsters,

Chauffeurs, Warehousemen and Helpers of Am., AFL-CIO, 119 F.3d

210, 215 (2d Cir. 1997) (citations omitted). Focusing on the

status of an employee vis à vis counsel at a discrete point in

time in determining whether there is waiver of the attorney-client

privilege with respect to documents created and disseminated at

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other times and for other purposes makes little sense.

Defendants' argument highlights the fact that the

"predominant purpose" test and the "need to know" standard both

utilize a functional approach in determining whether a

communication is or remains privileged. Thus, whether there is

waiver "should [also] be assessed dynamically and in light of the

advice being sought or rendered, as well as the relationship

between advice that can be rendered only by consulting the legal

authorities and advice that can be given by a non-lawyer." In re

County of Erie, 473 F.3d at 420-21. As discussed above, the

dissemination of the survey information to OYDSCS had nothing to

do with the seeking or rendering of legal advice and everything to

do with enabling that office to make more effective decisions, as

defendants admit. While Mr. Mulhern's communications with DOE's

attorneys may be privileged under other circumstances, in this

context, the dissemination of purely factual material to the

OYDSCS was not privileged.

Since the documents do not actually contain any legal advice

and OYDSCS obtained them for a non-legal purpose, the "need to

know" doctrine is inapplicable here. See Scholtisek, 441 F. Supp.

2d at 464; Verschoth, 2001 WL 286763, at *2; cf. In re Horowitz,

482 F.2d at 81. Forwarding copies of the questionnaire and

responses to the OYDSCS was incompatible with the confidential

nature of a communication to an attorney and amounts to waiver of

the privilege. See United States v. Stewart, 287 F. Supp. 2d 461,

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464 (S.D.N.Y. 2003) (holding that defendant waived attorney-client

privilege protecting e-mail to attorney by forwarding a copy of e-

mail to her daughter).

Nevertheless, the documents may be withheld from production

since defendants have met their burden of demonstrating that they

are protected as attorney work-product. Defense counsel drafted

the questionnaire and requested the defendants' responses because

of this litigation, and the related correspondence concerned the

creation of those documents. See United States v. Adlman, 134

F.3d at 1198 (work-product doctrine protects documents that were

prepared because of existing litigation). That the completed

questionnaires were later used for a purpose other than litigation

does not mean that they are not protected by the work-product

doctrine. See Adlman, 134 F.3d at 1202.

Plaintiffs argue that the responses are not entitled to work-

product protection because they were written by non-lawyers and

contained mere facts. See Reply Mem. at 11 n.7 (ct. doc. 160).

However, the work-product doctrine applies not only to documents

created by an attorney but also to documents prepared by the

client. See Lugosch v. Conegel, No. Civ. 00-CV-0784, 2006 WL

931687, at *16 (N.D.N.Y. Mar. 7, 2006); Tilberg v. Next Mgmt Co.,

No. 04CIV7373, 2005 WL 3543701, at *1 (S.D.N.Y. Dec. 28, 2005);

Bank of New York v. Meridien BIAO Bank Tanzania Ltd., No. 95 CIV.

4856, 1996 WL 490710, at *2 (S.D.N.Y. Aug. 27, 1996); Fed. R. Civ.

P. 26(b)(3) (documents prepared by or for a "party or by or for

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that other party's representative"). Although the work-product

doctrine protects the opinions, theories and strategies of an

attorney, the protection extends to facts as well. See In re

Grand Jury Subpoena Dated Oct. 22, 2001, 282 F.3d 156, 161 (2d

Cir. 2002).

Moreover, "the work-product doctrine is distinct from and

broader than the attorney-client privilege." In re Grand Jury

Proceedings, 219 F.3d 175, 182 (2d Cir. 2000) (citing Hickman, 329

U.S. at 508 and quoting Nobles, 422 U.S. at 238 & n. 11). "Unlike

the attorney-client privilege, the work-product privilege is not

necessarily waived by disclosure to any third party; rather, 'the

courts generally find a waiver of the work product privilege only

if the disclosure substantially increases the opportunity for

potential adversaries to obtain the information." Falise v.

American Tobacco Co., 193 F.R.D. 73, 80 (E.D.N.Y. 2000) (quoting

In re Pfizer Inc. Sec. Litig., No. 90 Civ. 1260, 1993 WL 561125,

at *6 (S.D.N.Y. Dec. 23, 1993)); see Tilberg, 2005 WL 3543701, at

*1; Medinol, Ltd. v. Boston Scientific Corp., 214 F.R.D. 113, 114-

15 (S.D.N.Y. 2002). The purpose of the work-product doctrine "is

to protect material for an opposing party in litigation, not

necessarily from the rest of the world generally." United States

v. Am. Tel. & Tel. Co., 642 F.2d 1285, 1299-1300 (D.C. Cir. 1980).

Even where the attorney-client privilege has been waived,

documents "shown to others" may still be protected as attorney

work-product so long as "there was some good reason to show it."

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Adlman, 134 F.3d at 1199-1200 & n.4; see also In re Grand Jury,

219 F.3d at 190; Stewart, 287 F. Supp. 2d at 469 (holding that

defendant did not waive work-product protection by forwarding copy

of e-mail to daughter that she originally sent to her attorney).

Sharing documents with a person who has a common interest with the

disclosing party, rather than an adversarial relationship, does

not waive attorney work-product. See In re Steinhardt Partners,

L.P., 9 F.3d 230, 235-36 (2d Cir. 1993). Since OYDSCS employees

are aligned in interest with DOE and the disclosure does not

substantially increase the risk that plaintiffs would obtain the

documents, there was no waiver of attorney work-product

protection.3

Plaintiffs are unable to establish that they have substantial

need for the documents. This Court previously ordered the

production of on-site reviews of Regional Suspension Centers, on-

site reviews of Alternative Instruction Sites and on-site reviews

of Suspension Hearing Centers, conducted between 2004 and 2005.

See ct. doc. 142. Plaintiffs' expert completed inspections of

several DOE suspension sites this past school year and several

more inspections have been scheduled. Furthermore, plaintiffs'

expert will consult with DOE as to how to reform the suspension

3 Plaintiffs point out that defendants' privilege log suggests that the OLS set of completed questionnaires for certain regions shows fewer pages than the OYDSCS set for the same region. See Reply Mem. at 11 n.5. To the extent that the OYDSCS set contains additional documents that were never transmitted to OLS, those documents should be produced, if they have not yet been produced.

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sites for the new school year and will be permitted to inspect the

newly formed sites in October 2007. Critically, defendants have

already produced a compilation of the responses to the

questionnaires at issue here. See Morehead Decl., Exhs. A, B. In

light of the foregoing, plaintiffs have not demonstrated a

compelling need for the production of documents protected by the

work-product doctrine.

I reach this conclusion warily, since I recognize that a

governmental defendant's efforts in collecting data in order to

assess its legal position may sometimes coincide with its

obligation to provide information to satisfy discovery requests.

In this action, and as is all too often the case in other

litigations involving challenges to governmental policies and

practices, pertinent information sought by plaintiffs may not be

readily available or even collected by a governmental defendant in

the course of its normal operations. Sometimes, the line between

work-product and discovery obligations may intersect. However, I

have no reason to doubt the sworn statements submitted by the

defendants as to the original purpose of the questionnaire and

assume that the defendants took these measures to insure that

"legal considerations will play a role in governmental

policymaking" and that all underlying information has been

disclosed. See In re County of Erie, 473 F.3d at 422.

Nonetheless, should other facts come to light suggesting

otherwise, or should the accuracy of the survey results or its

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methodology become issues in this case, the plaintiffs may seek

reconsideration of this ruling. Cf. Doe, 350 F.3d at 302

(forfeiture of privilege justified where "it would be unfair for a

party asserting contentions to an adjudicating authority to then

rely on its privilege to deprive its adversary of access to

material that might disprove or undermine the party's

contentions").

Tracking Suggestions

As to the Tracking Suggestions, defendants have adequately

demonstrated that the document is protected by the attorney-client

privilege. According to defendants, the document contains legal

advice provided by the Corporation Counsel's Office concerning

items to consider including in the DOE's data tracking project,

which was initiated in response to this lawsuit. See Mulhern

Decl. at ¶ 9. As such, the document is a communication between

counsel and client created for the purpose of providing legal

advice. Although the document was maintained on a shared computer

folder accessible to twenty DOE employees, the system permitted

access to the folder only to employees working on the Project.

See id. at ¶¶ 7-8. Since these recommendations contained legal

advice and the employees with access to the document "needed to

know" the advice provided by the Corporation Counsel's Office for

their work on the Project, the document was kept confidential and

there is no waiver of the attorney-client privilege. See

Scholtisek, 441 F. Supp. 2d at 464; Verschoth, 2001 WL 286763, at

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*2; Bank of New York v. Meridien BIAO Bank Tanzania Ltd., No. 95

Civ. 4856, 1996 WL 474177, at *2 (S.D.N.Y. Aug. 21, 1996). Unlike

the questionnaire and responses, this document not only contains

legal advice but was disclosed to DOE employees for the purpose of

providing legal advice.

Because the Tracking Suggestions document is protected by the

attorney-client privilege, the issue of whether the attorney work-

product doctrine also applies need not be reached.

Privilege Log

Plaintiffs also argue that defendants waived their privilege

claims by submitting an inadequate privilege log and failing to

identify the nature of the privileges claimed. However, as

plaintiffs acknowledge, defendants' February 6, 2007 letter stated

that they withheld the documents "on the grounds of attorney-

client privilege and attorney work product." See Morehead Decl.,

Exh. B; Mem. in Support at 2 n.3 (ct. doc. 156-2). The

defendants' delay in producing the log was discussed at a

conference on December 14, 2006 and, after several extensions of

defendants' time to produce a log, at a conference on January 30,

2007. See minute entries for conferences held on 12/14/2006 and

1/30/07; electronic orders dated 12/15/2006, 1/11/2007 and

1/19/2007. After defense counsel described the nature and volume

of the documents sought to be withheld on privilege grounds, this

Court ruled that the defendants need not separately identify every

document on the privilege log and authorized the grouping of

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similar documents "so long as sufficient information is given to

identify the basis for the privilege, the number of documents and

the reason the documents are of the same nature." Minute entry

for 1/30/07 conference. Both the February 6, 2007 and June 2,

2006 letters described the nature and general subject matter of

the documents withheld as well as the circumstances underlying

their creation. See Morehead Decl., Exh. B. Defendants satisfied

my order, having provided descriptions sufficient to enable

plaintiffs to assess the applicability of the privileges claimed.

See Fed. R. Civ. P. 26(b)(5); Local Civil Rule 26.2(a). Although

it would have been preferable had defendants asserted their

privilege claims earlier, defendants did not waive their right to

do so. Cf. Stewart, 287 F.Supp.2d at 470 (noting that "the

current version of Rule 26.2 makes no reference to waiver").

CONCLUSION

For the foregoing reasons, plaintiffs' motion to compel is

denied.

SO ORDERED.

Dated: Brooklyn, New York September 27, 2007

/s/ MARILYN D. GO UNITED STATES MAGISTRATE JUDGE

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E.D.N.Y.: E.B. et al. v. New York... | Special Education Law