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Driving, file 2011 REUTERS David McNew

Supreme Court to decide if driver info is fair game for lawyers

9/25/2012 COMMENTS (0)

By Terry Baynes and Jonathan Stempel

WASHINGTON, Sept 25 (Reuters) - The U.S. Supreme Court on Tuesday agreed to consider whether lawyers violated drivers' privacy rights by gathering personal information from state motor vehicle records with a view to recruiting prospective plaintiffs for lawsuits.

The high court agreed to hear the appeal of a group of car buyers who said four lawyers had violated the federal Driver's Privacy Protection Act by obtaining and using their private information from the South Carolina Department of Motor Vehicles.

In planning lawsuits against car dealers over alleged unfair business practices, the lawyers obtained car buyers' names, addresses and car purchase information from the state DMV through freedom of information requests. The lawyers then sent mailings to the potential plaintiffs about the planned dealer litigation.

Three car buyers sued in 2009, accusing the lawyers, Michael Spears, Gedney Howe, Richard Harpootlian and Camden Lewis, of using their personal information for mass solicitation in violation of the federal privacy law.

But the 4th U.S. Circuit Court of Appeals agreed with the lawyers that their actions were allowed under the so-called "litigation exception" to the Driver's Privacy Protection Act, which permits the release and use of private information for an investigation in anticipation of litigation.

It found that because the lawyers had already been contacted by potential plaintiffs, they were not just "trolling" for clients.

Philip Elbert, a lawyer for the car buyers, welcomed the Supreme Court's decision to review the case. He said the 4th Circuit decision had expanded the litigation exception, despite contrary rules by other federal appeals courts that allow the practice to find evidence or witnesses for an existing case but not clients for a new case.

Dawes Cooke, who represents the lawyers, said he was confident the 4th Circuit's interpretation was correct.

"We hope to convince the Supreme Court that, to the extent a conflict might exist among the Circuits, the Fourth Circuit's analysis reflects both the plain wording of the Act and congressional intent, and should therefore prevail," Cooke said in an email.

The case is Maracich v. Spears, U.S. Supreme Court, No. 12-25.

For Maracich: Philip Elbert of Neal & Harwell.

For Spears: Dawes Cooke of Barnwell Whaley Patterson & Helms.

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