Media Companies Need to Address New Document Retention-Confidentiality Dilemma
Chubb Handbook Offers Guidance for Mitigating Liability
WARREN, NJ, March 20, 2008 - "Media companies that have not updated their document retention policies to reflect today's technologies may find it difficult
to successfully defend themselves against a defamation or invasion-of-privacy lawsuit or to protect confidential sources,"
said Ken Goldstein, assistant vice president, Chubb & Son, and worldwide media liability manager for Chubb Specialty Insurance.
New e-discovery amendments to the Federal Rules of Civil Procedure acknowledge that information stored on email, voice mail,
flash drives, MP3 players, editorial document management systems, system backup tapes and other devices is discoverable.
Without the proper protocols in place, media companies can face a variety of dilemmas when responding to subpoenas for electronically-stored
information, including retrieving it and exposing confidential reporter sources and other private information.
"Unfortunately, there is no single set of rules for media companies to follow regarding document retention issues," said Goldstein.
"With this in mind, Chubb has created a handbook to provide media companies with a framework to evaluate their document retention
procedures to best position themselves as potential litigants within the bounds of the law."
Chubb's handbook, "A Media Company's Guide to Records Management," notes six key considerations, including document ownership
and confidential sources, when document retention procedures are developed or reviewed. It also discusses how, in the absence
of appropriate procedures, a lawsuit can arise as a result of illegally obtained information, requests for consumer data,
defamation and invasion of privacy.
"The confidentiality of a reporter's source is an old issue, but the new e-discovery amendments, advancing technology and
the growing number of liability lawsuits have thrust this issue to the forefront for media companies," said Goldstein. "Media
companies need to work closely with legal counsel to ensure their document retention policies will help protect the company
and its employees from defamation, invasion-of-privacy and other liability lawsuits."
The handbook is available free to Chubb's media liability insurance customers and online at www.chubb.com/businesses/csi/chubb8223.pdf.
The member insurers of the Chubb Group of Insurance Companies form a multi-billion dollar organization providing property
and casualty insurance for personal and commercial customers worldwide through 8,500 independent agents and brokers. Chubb's
global network includes branches and affiliates throughout North America, Europe, Latin America, Asia and Australia.
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