Delaware Chancery Court on the Waiver of Attorney-Client Privilege
In Ryan, et al. v. Gifford, et al., the Delaware Chancery Court held that the attorney-client privilege between a special committee and its law firm hired to investigate stock option backdating was waived when the committee's report was shared with the entire board.
"The presentation of the report constitutes a waiver of privilege because the client, the Special Committee, disclosed its communications concerning the investigation and final report to third parties--the individual director defendants and [.....]--whose interests are not common with the client, precluding application of the common interest exception to protect the disclosed communications."
