Dec 3 (Reuters) - A U.S. judge on Monday said Apple ( AAPL )
misused attorney-client confidentiality protections to avoid
turning over some corporate files related to its App Store in a
lawsuit brought by "Fortnite" maker Epic Games.
U.S. Magistrate Judge Thomas Hixson in San Francisco
rejected Apple's ( AAPL ) effort to withhold the documents from Epic. The
game maker had accused Apple ( AAPL ) of failing to comply with a 2021
ruling in the case that required it to give developers more
power to steer app users to non-Apple ( AAPL ) payment options.
Epic has asked a judge to hold Apple ( AAPL ) in contempt of that
court order, which came in its lawsuit accusing Apple ( AAPL ) of
antitrust violations. Apple ( AAPL ) was ordered in May to produce all of
its internal documents concerning its work to comply with the
judge's order.
Apple ( AAPL ) and Epic did not immediately respond to requests for
comment. Apple ( AAPL ) has denied violating the court's injunction.
Apple ( AAPL ) has produced 95,000 documents to Epic, but has held
back 57,000 others, court records show.
Apple ( AAPL ) last month told the court that "a substantial number
of those documents" are protected by attorney-client privilege,
which shields confidential legal communications between lawyers
and their clients.
Epic argued that the shield rule did not apply to the files.
It accused Apple ( AAPL ) of withholding "tens of thousands of
responsive, relevant documents on the basis of facially improper
and unsubstantiated privilege claims."
Hixson criticized Apple ( AAPL ) in his order on Monday for
stretching its privilege arguments too far.
"Privilege does not descend like a giant fog bank over every
document that is in some way connected with an effort to achieve
legal compliance," Hixson wrote.
Hixson said it was "improper" for Apple ( AAPL ) to claim
attorney-client privilege to shield some business decisions that
concerned user interface design. He also said Apple ( AAPL ) must turn
over a draft press briefing.
Other technology companies have also faced criticism over
broad assertions of attorney-client privilege.
The U.S. Department of Justice in 2022 had accused Google in
an antitrust lawsuit in Washington, D.C. of "extensive and
intentional" efforts to misuse attorney-client privilege to hide
business documents. The DOJ said Google employees were trained
to add lawyers to emails, and to ask them questions.
Google denied that its practices violated any professional
conduct rules, and a judge declined to sanction the company.
The case is Epic Games v. Apple ( AAPL ), U.S. District Court,
Northern District of California, No. 4:20-cv-05640-YGR.
For Epic: Yonatan Even of Cravath, Swaine & Moore
For Apple ( AAPL ): Mark Perry of Weil, Gotshal & Manges
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