The Garner Fiduciary Exception Where a fiduciary duty is owed to the shareholder or member, that shareholder or member must show good cause why the attorney-client privilege should not protect those communications from disclosure.
Unless the client waives the privilege, an attorney or his or her employee, or any person who obtains without the knowledge of the client evidence of a confidential communication made between the attorney or his or her employee and the client in the course of professional employment, shall not disclose, or be allowed ...
This protection extends to any information exchanged during these privileged communications, encompassing not only verbal discussions but also written correspondence, emails, text messages, and other forms of communication. The privilege belongs to the client, meaning they have the authority to waive or invoke it.
There are three primary occasions when solicitor‑client privilege may be overruled, namely when innocence at stake is engaged, the client's communications are themselves criminal, or it is necessary to protect public safety. Any piercing of privilege should be considered an "extraordinary measure."
New York uses the territorial test, applying the privilege law of the state where the legal proceeding occurs (i.e. the state where evidence is introduced or where the discovery proceeding occurs). Because New York does not provide an accountant-client privilege, PwC's records were not protected from discovery.
A decision recently issued by the New York Supreme Court (County of Saratoga) illustrates one of these exceptions — the “fiduciary exception.” The court ruled that the fiduciary exception to the attorney-client privilege enabled the minority owner of a multi-company family business to obtain information about ...