Judge: NSA Case Can Proceed
By Ryan Singel| Also by this reporter

http://www.wired.com/news/technology/0,71432-0.html?tw=rss.index

In a landmark ruling Thursday, a federal judge forcefully refused to 
dismiss a civil liberties group's lawsuit against AT&T for its alleged 
complicity in widespread warrantless government surveillance, despite 
the government's argument that the suit could reveal state secrets -- a 
rarely used claim that nearly always terminates a lawsuit.

In a 72-page written ruling (.pdf), U.S. District Court Chief Judge 
Vaughn Walker rejected the government's argument that merely allowing 
the case to proceed would cause critical harm to U.S. national security.

The decision marks a significant victory for the Electronic Frontier 
Foundation, and puts a rare limitation on the reach of the president's 
"state secrets privilege" to sweep alleged illegal government activities 
under the cloak of national security.

Walker found that the program was not a secret since "public disclosures 
by the government and AT&T indicate that AT&T is assisting the 
government to implement some kind of surveillance program."

"Dismissing this case at the outset would sacrifice liberty for no 
apparent enhancement of security," Walker wrote.

(Disclosure: Wired News has filed a motion to intervene in the case, 
asking the court to make public evidence, filed under seal, of AT&T's 
alleged wiretapping activities.) 1

The administration has publicly confirmed a December report in The New 
York Times that revealed the National Security Agency was wiretapping 
Americans' overseas phone calls to numbers or people the government 
suspected might be connected to terrorism, an effort the Bush 
administration later dubbed the "Terrorist Surveillance Program." The 
NSA is not seeking or obtaining court authorization for the wiretaps.

Under Thursday's ruling, the lawsuit will continue, allowing the San 
Francisco-based EFF to begin obtaining documents through discovery from 
AT&T.

In a legally unprecedented move, the judge also wants to appoint an 
outside expert with a high-level clearance who can review such evidence 
to evaluate whether its release would compromise national security.

Walker also denied AT&T's motions to dismiss the case on the grounds 
that the plaintiffs can't prove they were monitored by the program, and 
that the company can't be sued for helping the government in good faith.

EFF legal director Cindy Cohn applauded the judge's decision, which came 
as the Senate Judiciary Committee is preparing to consider a bill that 
would move all lawsuits over government spying to the secretive Foreign 
Intelligence Surveillance Court in Washington.

"We think this shows the regular court system can handle these cases, 
and that as an open and free society, our regular court system should 
handle these cases," Cohn said.

Recognizing that his ruling would be controversial, the judge is 
allowing both AT&T and the government to immediately appeal his ruling 
to the 9th U.S. Circuit Court of Appeals.

While both are widely expected to do so, neither announced such plans 
immediately.

In response to the ruling, AT&T released a statement, which read, in 
part, "We are reviewing Judge Walker's order and evaluating possible 
next steps. AT&T is fully committed to protecting our customers' privacy 
and we would not provide customer information to any government agency 
except as specifically authorized under the law."

Department of Justice spokesman Charles Miller said that the government 
"has made no determination as to what its next move is."

The EFF's suit relies heavily on evidence provided by former AT&T 
technician Mark Klein, who alleges he saw an NSA room in AT&T's San 
Francisco internet switching station. Klein provided documents that 
purportedly show how AT&T siphoned off traffic across its fiber-optic 
cables into that room.

In May, Wired News published portions of those documents, which it 
acquired from a source not involved in the litigation.

In addition to denying the government's motion to dismiss, Walker's 
decision also allows AT&T to reveal whether or not the U.S. attorney 
general provided the company with a letter directing it to cooperate in 
wiretapping its customers, which could provide the company with a 
defense against the EFF's lawsuit under federal wiretapping law.

"If the government's public disclosures have been truthful, revealing 
whether AT&T has received a certification to assist in monitoring 
communication content should not reveal any new information that would 
assist a terrorist and adversely affect national security," Walker 
wrote. "And if the government has not been truthful, the state secrets 
privilege should not serve as a shield for its false public statements."

The ruling was not a complete defeat for the Bush administration. Noting 
that the government hasn't confirmed stories in the Los Angeles Times 
and USA Today reporting that AT&T has allowed the NSA to troll through 
its trillion-record call detail database, the judge ruled that AT&T 
cannot confirm or deny that it received a letter directing such access, 
nor can the EFF ask for documents about that program.

Lawyers for each side have until July 31 to advise the judge on the 
appointment of an outside expert and to suggest candidates, while the 
next court hearing is scheduled for Aug. 8.


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