JAG MEDIA LTD V MAGNA SYSTEMS ENGINEERING (NZ) LTD HC AK CIV-2012-404-1965

JAG MEDIA LTD V MAGNA SYSTEMS ENGINEERING (NZ) LTD HC AK CIV-2012-404-1965

The plaintiffs' application to release the expert and solicitor reports to the proposed third parties was dismissed because there were no special circumstances to permit collateral use of material obtained under the search order; however, the court ordered by consent a defined process for management of the seized data whereby the search expert (Mr Spence) provides copies of all obtained data and process information to the first defendant (Magna), with a mechanism for Magna to identify material it contends should be returned or claimed privileged and with forensic images retained securely and not disclosed pending further order

Citation
openlaw-8f259ecd_b584_4f02_b2f5_e38937b72445.pdf
Parties
First Plaintiff: JAG MEDIA LIMITED; Second Plaintiff: BROADCAST INC LIMITED; First Defendant: MAGNA SYSTEMS ENGINEERING (NZ) LIMITED; Second Defendant: COUNTRY 99 TV
Court
High Court
Jurisdiction
New Zealand
Judgment Date
9 July 2012
Procedural Posture
Civil / Interlocutory — Applications Arising From Execution of Search Order (disclosure, Directions, Privilege)
Outcome
Plaintiffs' application to release reports dismissed except as to parties who did not object (Eyeworks and Broadcast Traffic Systems and their lawyers); court made consent orders governing provision of data to Magna and handling of forensic material; costs awarded to defendants on a 2B basis for the opposed...
Legal Topics
Search Orders, Use of Seized Evidence, Disclosure to Third Parties, Privilege, Forensic Imaging, Costs
Civil Procedure Evidence Privacy/confidentiality Intellectual Property Computer Crime/data Breach Search Orders Use of Seized Evidence Disclosure to Third Parties +3 more

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Parties

JAG MEDIA LIMITED

First Plaintiff

BROADCAST INC LIMITED

Second Plaintiff

MAGNA SYSTEMS ENGINEERING (NZ) LIMITED

First Defendant

COUNTRY 99 TV

Second Defendant

Procedural Posture

Civil / Interlocutory — Applications Arising From Execution of Search Order (disclosure, Directions, Privilege)

Legal Issues

  1. 1 Whether reports and seized material obtained under a search order may be released to third parties including parties to a related debt proceeding and a liquidator
  2. 2 Scope and permissible use of information obtained under a search order and rule against collateral use
  3. 3 Procedure for identifying and handling privileged or confidential data from forensic images

Ratio Decidendi

The plaintiffs' application to release the expert and solicitor reports to the proposed third parties was dismissed because there were no special circumstances to permit collateral use of material obtained under the search order; however, the court ordered by consent a defined process for management of the seized data whereby the search expert (Mr Spence) provides copies of all obtained data and process information to the first defendant (Magna), with a mechanism for Magna to identify material it contends should be returned or claimed privileged and with forensic images retained securely and not disclosed pending further order

Court Disposition

Plaintiffs' application to release reports dismissed except as to parties who did not object (Eyeworks and Broadcast Traffic Systems and their lawyers); court made consent orders governing provision of data to Magna and handling of forensic material; costs awarded to defendants on a 2B basis for the opposed...

Orders

  • Plaintiffs' application for leave to release the Spence report and independent solicitor's report dismissed except insofar as consent was given to release to Eyeworks and Broadcast Traffic Systems Ltd and their lawyers
  • Mr Spence to provide the first defendant, Magna Systems Engineering (NZ) Ltd, with copies of all data obtained during execution of the search order