NY’s Highest Court Rejects Expansion of Common-Interest Doctrine: NY Legal New Updates

New York’s Court of Appeals has reinstated the New York rule that the common-interest doctrine in New York only applies in the context of actual or threatened litigation. The New York common-interest doctrine is a legal concept in New York’s Mergers & Acquisitions Law that provides an exception to the general rule that attorney-client privilege is waived when protected information is shared with a third party – provided that the communication furthers a near-identical legal interest shared by a client and a third party. This doctrine protects M&A transactions in New York in this limited regard when companies seek to execute the transaction because both companies share a common legal interest at that time, but only when the information concerns legal advice in pending or reasonably anticipated litigation. However, the doctrine does not extend beyond this exception. Recently, the lower Appellate Division in New York attempted to expand the protection provided

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