Pa. Supreme Court Refuses to Narrow Attorney-Client Privilege in Derivative Cases

Pa. Supreme Court Refuses to Narrow Attorney-Client Privilege in Derivative Cases

Court says adoption of “good cause” inquiry into exceptions would lead to impermissible uncertainty of the rule

The Pennsylvania Supreme Court has refused to join several other jurisdictions in accepting a “good cause” inquiry to provide exceptions to the basic rule of attorney-client privilege in derivative action cases.  It has held that providing such a “conditional privilege” would reduce the certainty of the attorney-client privilege.

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