Scottsdale Insurance Company v. Therapeutic Health Services

THE HONORABLE MARSHA J. PECHMAN 7 UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF WASHINGTON 8 AT SEATTLE | SCOTTSDALE INSURANCE Case No. 2:24-cv-01518-MJP COMPANY, 11 STIPULATED MOTION TO EXTEND STAY Plaintiff, OF PROCEEDINGS DUE TO MEDIATION 12 v. AND 13] THERAPEUTIC HEALTH {PROPOSED} ORDER SERVICES, fend NOTE ON MOTION CALENDAR: 15 Defendant. March 11, 2025.

16 I. STIPULATION 17 Plaintiff Scottsdale Insurance Company (‘Plaintiff’) and Defendant Therapeutic Health [Services (“THS”), through their respective counsel, submit this Stipulated Motion and [Proposed] 19 Order to extend the Court’s previous stay of proceedings in this action [ECF. No. 16] from March 918, 2025, toApril 25, 2025. The Parties ask that the existing stay be extended for one month to %1 accommodate a mediation that has been scheduled for March 26, 2025, with The Honorable John |W. Thornton (ret.) of JAMS.

93 Plaintiff filed this lawsuit seeking a declaration that it has no coverage or defense %4 | obligations under the policy issued to THS with respect to four underlying lawsuits filed in King %5 | County Superior Court (“Underlying Lawsuits”). Plaintiffs in the Underlying Lawsuits allege that STIPULATED MOTION TO EXTEND STAY K&L GATES LLP OF PROCEEDINGS DUE TO MEDIATION - 1 SEATTLE, WASHINGTON 981041158 CASE NO. 2:24-CV-01518-MJP TELEPHONE: (206) 623-7580 | THS failed to adequately safeguard its security systems, resulting in a data breach that exposed the | private and confidential information of an alleged class of affected individuals.

3 THS and the plaintiffs in the Underlying Lawsuits have been negotiating toward a potential settlement. In furtherance of those discussions, Plaintiff and THS stipulated to a 90-day stay of the [case until March 18, 2025, which this Court granted. ECF No. 16. THS and the plaintiffs in the | Underlying Lawsuits, along with Plaintiff, have agreed to mediate the case with the Honorable 7 W. Thornton (ret.) of JAMS on March 26, 2025. The various parties who need to be present Jif the mediation is to succeed could not all accommodate a mediation date that would fall within [the existing stay of proceedings. Extending the stay for an additional month serves the same J purposes that supported issuance of a stay, without unduly delaying resolution of this case if J mediation is unsuccessful. See In re Zillow Grp., Inc. Session Replay Software Litig., No. 2024 J WL 69732, *2 (W.D. Wash. Jan. 5, 2024) (quoting Landis v. North American Co., 299 U.S. 248, $254 (1936) (“The power to stay is ‘incidental to the power inherent in every court to control the disposition of the causes on its docket with economy of time and effort for itself, for counsel, and | for litigants.’”)).

16 In light of the foregoing, IT IS HEREBY STIPULATED AND AGREED by and between J counsel for Plaintiff and THS that the stay in this action should be extended from March 18, 2025, 18 April 25, 2025.

19 Il. ORDER 30 Pursuant to the parties’ stipulation, it is so ordered. The stay of this action and all litigation | deadlines in the current Case Schedule is EXTENDED until April 25, 2025. The parties shall file Ja joint status report with the Court no later than May 2, 2025. If any resolution of the Underlying | Lawsuits is finalized and impacts the progress of the current case, or if efforts to resolve the STIPULATED MOTION TO EXTEND STAY K&L GATES LLP OF PROCEEDINGS DUE TO MEDIATION - 2 SEATTLE, WASHINGTON 98104-1158 CASE NO. 2:24-CV-01518-MJP TELEPHONE: (206) 623-7580 [remaining claims are unsuccessful, the parties shall include in their joint status the normal information submitted pursuant to FRCP 26(f) and LCR 26(f) regarding scheduling.

4 IT ISSO ORDERED.

5 DATED: March 12, 2025.

THE HONORABLE MARSHA J. PECHMAN 10 United States District Judge JDATED: March 11, 2025 STIPULATED TO AND PRESENTED BY: 13 K&L GATES LLP By: s/Peter A. Talevich 15 Peter A. Talevich, WSBA #42644 Fourth Avenue, Suite 2900 16 Seattle, WA 98104-1158 7 Tel.: (206) 623-7580 Email: [email protected] I certify that this memorandum contains 480 words 19 in compliance with the Local Civil Rules.

20 Jeffrey J. Meagher (admitted pro hac vice) K&L Gates Center ~ 210 Sixth Avenue 79 Pittsburgh, PA 15222 Tel.: (412) 355-6500 23 Email: [email protected] Attorneys for Defendant Therapeutic Health Services 35 AND STIPULATED MOTION TO EXTEND STAY K&L GATES LLP OF PROCEEDINGS DUE TO MEDIATION - 3 SEATTLE, WASHINGTON 981041158 CASE NO. 2:24-CV-01518-MJP TELEPHONE: (206) 623-7580 1 BAILEY CAVALIERI LLC ~ By: s/Darius N. Kandawalla 3 Darius N. Kandawalla (admitted pro hac vice) W Broad St., Suite 2100 4 Columbus, OH 43215 Tel.: (614) 229-3255 5 Email: [email protected] 6 SELMAN LEICHENGER EDSON 7 HSU NEWMAN & MOORE LLP By: s/Justin S. Landreth Justin S. Landreth, WSBA #44849 9 600 University Street, Suite 2305 10 Seattle, WA 98101 Tel.: (206) 447-6461 11 Email: [email protected] 12 Attorneys for Plaintiff Scottsdale Insurance Company

STIPULATED MOTION TO EXTEND STAY K&L GATES LLP OF PROCEEDINGS DUE TO MEDIATION - 4 SEATTLE, WASHINGTON 98104-1158 CASE NO. 2:24-CV-01518-MJP TELEPHONE: (206) 623-7580