NCLAT Rules WhatsApp and Meta Can Redact Confidential Information from Court Judgment

The National Company Law Appellate Tribunal (NCLAT) has allowed WhatsApp and Meta to remove certain confidential commercial information from its November 4 judgment. The redacted material will not be accessible in public versions or certified copies, ensuring sensitive business information remains protected.

NCLAT Approves Redaction Request by WhatsApp and Meta

On Tuesday, the National Company Law Appellate Tribunal (NCLAT) approved requests from WhatsApp and Meta to redact confidential material from its November 4 judgment. The appellate tribunal had earlier delivered a ruling on data sharing and privacy matters concerning the companies.

A bench comprising Chairperson Justice Ashok Bhushan and Technical Member Arun Baroka ordered that portions of the judgment marked as confidential, based on the submissions by the companies, be removed from all publicly available versions and certified copies. Access to the redacted segments will not be permitted under any circumstances.

Details of Redacted Content

• WhatsApp: Requested redaction of content on pages 194–196.

• Meta: Sought removal of confidential material on pages 200–202, specifying that only certain segments of the paragraphs required deletion.

The tribunal emphasized that the redactions were limited to specific confidential information, ensuring the rest of the judgment remains publicly accessible.

Background of the Case

The NCLAT ruling had overturned the Competition Commission of India’s (CCI) directive that prohibited Meta and WhatsApp from sharing user data with other Meta group entities for advertising purposes for a period of five years.

However, the tribunal upheld the ₹213.14 crore penalty imposed by the CCI and confirmed other directions issued by the commission against the companies.

During the hearing, the bench also recorded submissions from the CCI’s counsel, noting that the commission had no objections to the redaction requests made by WhatsApp and Meta.

Impact on Public Copies and Certified Versions

The tribunal ordered that the designated confidential sections be removed from the judgment uploaded on the tribunal’s website. Additionally, these portions will not appear in any certified copies issued by the tribunal, ensuring sensitive commercial information remains protected from public access.

CCI Seeks Clarification on Privacy Safeguards

Last week, the Competition Commission of India approached NCLAT seeking clarification on the November 4 ruling. The CCI wanted to understand whether privacy safeguards emphasized in the judgment for non-advertising data sharing should also apply to data used for advertising.

This request stems from the ruling’s focus on user consent and privacy, ensuring that any data sharing by WhatsApp and Meta adheres to stringent privacy standards even in the context of advertising.

Significance of the Redaction

The NCLAT’s decision to allow redaction is significant for corporate privacy. Companies can protect sensitive commercial information while complying with judicial proceedings. It also sets a precedent for handling confidential business data in legal judgments, balancing transparency with corporate confidentiality.

For WhatsApp and Meta, the redaction ensures that proprietary business information and strategic data practices remain undisclosed to competitors and the public, while the legal outcomes and penalties remain enforceable.

Conclusion

The NCLAT’s ruling marks a key development in corporate data privacy law in India. While upholding the CCI’s ₹213.14 crore penalty, the tribunal has allowed WhatsApp and Meta to redact sensitive commercial content from the public record. The move ensures protection of confidential information, maintains transparency in judicial rulings, and highlights the importance of user consent and privacy in corporate data practices.