BILL ANALYSIS Ó AB 238 Page 1 Date of Hearing: April 12, 2011 ASSEMBLY COMMITTEE ON JUDICIARY Mike Feuer, Chair AB 238 (Huber) - As Amended: April 4, 2011 PROPOSED CONSENT SUBJECT : CIVIL PROCEDURE: DISCOVERY OBJECTIONS: PRIVILEGE LOG KEY ISSUE : Should a party that objects to a discovery demand on grounds of privilege or work product be required to provide sufficient factual information in support of the objection, including, if necessary, a privilege log? FISCAL EFFECT : As currently in print this bill is keyed non-fiscal. SYNOPSIS Existing law permits a party to a civil action to obtain discovery, as specified, by inspecting documents, tangible items, and land or other property in the possession of any other party to the action. The Civil Discovery Act sets forth procedures that must be followed when the responding party objects to part or all of an inspection demand. If the responding party objects to the demand for specific items, then existing law requires the responding party to identify those items with some particularity and state the specific ground for the objection. Existing law also permits the requesting party to make a motion to compel further response if the explanation of the objection is inadequate. Although a "privilege log" is not expressly required or defined in statute, California appellate courts have held that, if the responding party objects to a demand on the basis of a privilege claim, a court may require the objecting party to produce a "privilege log," which should contain information that is "sufficiently specific to allow a determination of whether each withheld document is or is not in fact privileged." However, the courts have also held that such a privilege log is not automatically required as part of the response. This non-controversial bill would effectively codify that case law by expressly stating that, where an objection is based on a claim of privilege or work product, the responding party shall provide sufficient factual information in support of the claim, including, if necessary, a privilege log. AB 238 Page 2 (The term "privilege log" applies - both in practice and in this bill - whether the claim is based on privilege or work product.) This bill is sponsored by the Conference of California Bar Associations. There is no known opposition to this non-controversial bill. SUMMARY : Amends the Civil Discovery Act to expressly require a responding party, when that party objects to a discovery demand on the basis of a claim of privilege or work product, to provide sufficient factual information in its response for other parties to evaluate the merits of that claim, including, if necessary, a privilege log. EXISTING LAW : 1)Permits a party to a civil action to obtain discovery, as specified, by inspecting documents, tangible things, and land or other property in the possession of any other party to the action. Sets forth the procedure that a demanding party must follow in making a demand, including the contents of the demand and the manner of serving notice on the responding party. (Code of Civil Procedure section 2031.010-2031.040.) 2)Provides that, when an inspection of tangible things, documents, or places has been made, the responding party (or any other party affected) may move for a protective order; if good cause is shown the court may make an order to protect any party from unwarranted annoyance, embarrassment, oppression, or undue burden and expense. (Code of Civil Procedure section 2031.060.) 3)Provides that the responding party shall respond separately to each item or category demanded by one of the following: a) By a statement that the party will comply with the demand; b) By stating that the party is unable to comply; and c) By an objection to the demand. (Code of Civil Procedure section 2031.210.) 4)Provides that, if the responding party objects to the inspection demand, the response shall do both of the following: a) Identify with particularity any document, tangible AB 238 Page 3 thing, or land falling within any category of item in the demand to which the party is objecting; and b) Set forth clearly the extent of, and specific ground for, the objection. (Code of Civil Procedure section 2031.240(b).) 5)Provides that, if the objection is based on a claim of privilege, the particular privilege invoked must be stated. (Code of Civil Procedure section 2031.240(b)(2).) 6)Provides that the demanding party, on receipt of a response to his or her demand, may move for an order compelling further response to the demand if the demanding party deems that any of the following apply: a) A statement of compliance with the demand is incomplete; b) A representation of inability to comply is inadequate, incomplete, or evasive; or c) An objection in the response is without merit or too general. (Code of Civil Procedure section 2031.310(a).) 7)Provides that, if the responding party objects to a demand on the basis of a privilege or work-product claim, the court may require the objecting party to produce a privilege log, with information that is "sufficiently specific to allow a determination of whether each withheld document is or is not in fact privileged." However, a responding party is not automatically required to produce a privilege log. (Wellpoint Health Networks, Inc. v. Superior Court, 59 Cal.App.4th 110, 129-130 (1997); Best Product Inc. v. Superior Court, 119 Cal.App.4th 1181, 1188-1190 (2004).) COMMENTS : The California Civil Discovery Act (Act) sets forth the procedures by which parties to a civil action obtain "discovery" by demanding that another party make certain relevant documents, tangible things, land, and other property available for inspection. Under the Act, a party may obtain discovery concerning any matter that is relevant to any pending action or any motion made in that action, so long as the matter is not privileged. A responding party, however, may object to the discovery of specific requested items (or any part of an item) so long as its response identifies the item with particularity and clearly sets for the grounds of the objection. If these grounds are not satisfactory to the requesting party, it may move for an order compelling further response. For AB 238 Page 4 either the original response or the "further response" compelled by motion, the court may require the responding party to provide a so-called "privilege log." Although a "privilege log" is not mentioned let alone defined in the Act, the term is used by courts and attorneys to describe the requirement that the responding party provide a specific factual description of documents sufficient to substantiate a claim of privilege or work product in connection with a request for document production. (According to a representative of the State Bar, the term "privilege log" is used whether the claim is based privilege or work product.) The purpose of providing a specific factual description of documents is to permit a judicial evaluation of the claim of privilege. (Best Product v. Superior Court (2004) 119 Cal. App. 4th 1181, 1188.) Presumably, parties can voluntarily agree on whether a privilege log is necessary, and if so, the kinds of information that it must contain. (See e.g. Code of Civil Procedure Sections 2016.030.) Any effort to obtain a privilege log through a motion for "further response" would need to be supported by a "meet and confer declaration" showing that the parties had attempted an informal resolution. (Code of Civil Procedure Section 2031.310 (b)(2).) Existing case law already gives a court the ability to order a privilege log if it deems it necessary, but a responding party is not automatically required to include one in the response and explanation required under Code of Civil Procedure Section 2031.240 (b). For example, the Second District Court of Appeal held that a trial court could direct a responding party to include a privilege log as part of the required response that identifies the specific items that are the subject to the objection. (Wellpoint v. Superior Court (1997) 59 Cal App. 4th 110, 129-130.) In Best Product v. Superior Court (2004) the same court held that a privilege log was not "automatically" required where a responding party claimed that items demanded in discovery were privileged. (Best Product, supra at 1188-1189.) In short, these two opinions taken together suggest a general rule that the court may order a privilege log either as part of the responding party's preliminary response identifying objections, or at the subsequent stage of the discovery process if the requesting party moves for further responses. Yet, it appears that at neither stage is a privilege log automatically required. (Note: These two cases interpreted Code of Civil Procedure Sections 2031 (g) and (m), the provisions of which were renumbered as Sections 2031.240 and 2031.310, respectively, in 2005.) AB 238 Page 5 Arguments in Support : According to the author, this straight-forward legislation will bring a needed measure of clarity by codifying the case law and expressly stating that a responding party claiming privilege or work product must provide "sufficient factual information" in its response - including, if necessary a privilege log - so that the court and the other party or parties may properly evaluate the merits of the claim. The Conference of California Bar Associations, the bill's sponsor, adds: The purpose of discovery in litigation is to promote the fullest possible exchange of information consistent with privilege and constitutional protections, to facilitate the resolution of disputes. AB 238 is intended to improve this process by providing needed guidance and certainty to both litigants and courts regarding documents that are subject to a privilege claim, and by encouraging cooperation between the parties. REGISTERED SUPPORT / OPPOSITION : Support Conference of California Bar Associations (sponsor) Opposition None on file Analysis Prepared by : Thomas Clark / JUD. / (916) 319-2334