EXHIBIT 1 UNITED STATES DISTRICT COURT FOR TIlE EASTERN DISTRICT OF VIRGINIA IN RE APPLICATION OF THE UNITED STATES OF AMERlCA FOR AN ORDER PURSUANT TO 18 U.S.C. ? 2703(d) ) ) ) ) ) ) MISC. NO. 1:13 EC :!-5'-\ Filed Under Seal ORDER The United States has submitted an application pursuant to 18 U.S.C. ? 2703(d), requesting that the Court issue an Order requiring Lavabit LLC, an electronic cornmunicatjons service provider and/or a remote computing service located in Dallas, TX, to disclose the records and other information described in Attachment A to this Order. The Court finds that the United States has offered specific and articulable facts showing that there arc reasonable grounds to believe that the records or other information sought are relevant and material to an ongoing criminal investigation. The Court detennines that there is reason to believe that notification of the existence of this Order will seriously jeopardize the ongoing investigation, including by giving targets an opportunity to flee or continue flight from prosecution, destroy or tamper with ev idence, change patterns of behavior, or notify confederates. See 18 U.S.C. ? 2705(b)(2), (3), (5). IT IS THEREFORE ORDERED, pursuant to 18 U.S.C . ? 2703(d), that Lavabit LLC shall, within ten days of the date of this Order, disclose to the United States the records and other infonnation described in Attachment A to this Order. IT [S FURTHER ORDERED that Lavabit LLC shall not disclose the existence of the application of the United States, or the existence of th is Order of the Court, to the subscribers of the account(s) listed in Attachment A, or to any other person, unless and until otherwise authorized to do so by the Court, except that Lavabit LLC may disclose this Order to an attorney for Lavabit LLC for the purpose of receiving legal advice. IT IS FURTHER ORDERED that the application and this Order are sealed until otl,erwise ordered by the Court. United States Magistrate Judge A TRUE COpy. TESTE: 2 ATTACHMENT A 1. The Account(s) The Order 'applies account( s): IJ. infonnation associated with the following email Records and Other Information to Be Disclosed Lavabit LLC is required to disclose the following records and other information, if available, to the United States for each account or identifier listed in Part I of this Attachment ("AccounC), for the time period from inception to the present: A. The following information about the customers or subscribers of the Account 1. 2. 3. 4. 5. 6. 7. 8. B. Names (including subscriber names, user names, and screen names); Addresses (including mailing addresses, residential addresses, business addresses, and e-mail addresses); Local and long distance telephone connection records; Records of session times and durations, and the temporarily assigned network addresses (such as Internet Protocol ("IP") addresses) associated with those sessions; Length of service (including start date) and types of service utilized; Telephone or instrument numbers (including MAC addresses); Other subscriber numbers or identities (including the registration Internet Protocol ("iP") address); and Means and source of payment for such service (including any credit card or bank account number) and billing records. All records and other infonnation (not including the contents of communications) rdating to the Account, including: 1. Records of user activity for each connection made to or from the Account, including log files; messaging logs; the date, time, length, and method ot" connections; data transfer volume; user names; and source and destination Internet Protocol addresses; 2. Infonnation about each communication sent or received by the Account, including the date and time of the communication, the method of communication, and the source and destination of the communication (such as source and destination email addresses, IP addresses, and telephone numbers). CERTIFICATE OF AUTHENTI CITY OF DOMESTIC BUS INESS RECORDS PURSUANT TO FEDERAL RUL E OF EVIDENCE 902(11) I, ~_ _ _ _ _ _ _ _ _ _ _ _ _ _~, attest, under penalties of perj ury under the laws of the United States of America pursuant to 28 U.S.c. ? 1746, that the infonnation cont~ined in this declaration is true and correct. r am employed by Lavabit LLC, and my official title is ~_ _ _ _ _ _ _ _ _ _ _ _ _. r am a custodian of records for Lavabit LLC. I state that each of the records attached hereto is the original record or a true duplicate of the original record in the custody of Lavabit LLC, and that I am the custodian of the attached records consisting of a. (pages/CDslkilobytes). I further state that: all records attached to this certificate were made at or ncar the time of the occurrence of the matter sct forth, by, or from information transmitted by, a person with knowledge of those matters; b. such records were kept in the ordinary course of a regularly conducted business activity of Lava bit LLC; and c, such records were made by Lavabit LLC as a regular practice. I further state that this certification is intended to satisfy Rule 902(11) of the Federal Rules of Evidence. Date Signature EXHIBIT 2 IN THE UNlTED STATES D1STRlCT COURT FOR THE EASTERN DISTRlCT OF VIRGINIA .AJ exandria Division IN THE MATIER OF THE APPLICATION OF THE UNITED STATES OF AMERlCA FOR AN ORDER AUTHORlZING THE INST ALLA TION AND USE OF A PEN REGISTERITRAP ~'1D TRACE DEVICE ON AN ELECTRONIC MAll ACCOUNT ) ) l l runder Seal) 1:13 EC a'1'l ORDER This matter having come before the Court pursuant to an Application under 18 U.S.C. ? 3122, by AssiSlant Uni ted States Attorney, an attorney for the Government as defined by Fed. R. Crim. P. I(bXl), requesting an Order under 18 U.S.C. ? 3123, authorizing the installation and use of a pen register and the use of a trap and trace device or process ("pen/trap device") on all electronic: communications being sent from or sent to the account associated is registered to sullScri!>er Lavabit, LLC (hereinafier referred to as the "SUBJECT ELECTRONIC MAIL ACCOUNT"). The Coun finds that the applicant has certified that the information likely to be obtained by such installation and use is relevant to an ongoing crimina! investigation into possible vio!ation(s) of 18 U.S.C. ?? 641, 793(d)-(e), and 798(a)(3) IT APPEARING that the infonnation likely to be? obtained by the penltrap device is re!evanl to an ongoing criminal investigation of the specified offense; IT IS ORDERED, pursuant 'to 18 U.S.C. ? 3123, that a pet'Jtrap device may be installed and used by Lavabit and the Federal Bureau of Investigation to capture all non-content dialing, routing, addressing, and signaling information (as described and limited in the Application), sent from or sent to the SUBJECT ELECTRONIC MAIL ACCOUNT, to record the date and time of the initiation and receipt of such transmissions, to record the duration of the transmissions, and to record user log-in data (date, time, ouration, and Internet Protocol address of all log-ins) on the SUBJEC, ELECTRONIC MAIL ACCOUNT, all for a period of sixty (60) days from the date of such Order or the date the monitoring equipment becomes operational, whichever occurs later; IT IS FURTIiER ORDERED, pursuant to 18 U.S.C. ? 3123(b)(2), that Lavabit shall furnish agents from the Federal Bureau of Investigation, forthwith, all information, facilities, and technical assistance necessary to accomplish the installation and use of the pen/trap device unobtrusively and with minimum interference to the services that are accorded persons with respect to whom the installation and use is to take place; IT IS FURTHER ORDERED that the United States 'ake reasonable steps to ensure tha' the monitoring equipment is not US(x! to capture any "Subject:" portion cfan electronic mail message, which could possibly contain content; IT IS FURTHER ORDERED that Lavabit shall be compensated by the Federal Bureau of Investigation for reasonable expen~;es incurred in providing technical assistance; IT [S FURTHER ORDERED that, in the event that the implementing investigative agency seeks to install and use its mvn pen/trap device on a packet~switched data neh'lork of a public provider, the United States shall ensure that a record is maintained which will identify: (a) any ofiicer(s) who installed the dev.\cc and any officer(s) who accessed the device to obtain infonnation from the network; (b) the date and time the device was installed , the date and time the device was uninstaIled, and the date , time,. and duration of each time the device is accessed to obtain infonnatjon; (c) the configuntion of the deviGe at the time of its installation and any subsequem modification thereof; and (d) any information which has been collected by the device. To the extent that the pen/trap device can be set to automatically record this infonnarion electronically, the record shall be maintained electronically throughout the installation and use of the penJrrap device. Pursuant to 18 U.S .C. ? 31 23(aX3)(B), as amended, such record(s) shall be provided ex parte and under seal to 'this Court within 30 days of the termination of this Order, including any extensions thereof; IT IS FURTHER ORDERED, pursu..", to 18 U.S.c. ? 3 J23(d), tha' this Order and the Application be scaled until otherwise ordered by the Court, and that copies of such Order may be 2 furnished to the Federal Bureau of Investigat.ion, the United States Attorney's Office, and Lavabil; IT IS FURTHER ORDERED that Lavabit shall not disclose the exi.stence of the pen/trap device, or the existence of the inve~;tigation to any person, except as necessary to effectuate this Order, unless or until otherwise ordered by the Court. SO ORDERED: lsi eresa Carron Buchanan United States Magistrate Judge Date~ 00. Theresa C. Buchanan United States Magistrate Judge ) EXHIBIT 3 U' 'f~'If'\ lr' IN TIfE UNITED STATES DISTRICT COURT FOR THE ~~28 201" \~ EASTERN DISTRICT OF VIRGfNIA CLE RK U.S. O-STRICT COuR t ALEXAte is brieDy described as follows: See Attached Order Date: 0710912013 Deputy Clerk Primed /lame and title I declare under penalry of perjury that I have: o Executed and returned this summons o Returned this summons unexecuted A TRUE COPY, TESTE: CLERK, U.S. DISTRICT cOt'q Date: DEPU 1,? CWiK Printed name and title EXHIBIT 8 ""0 t 10 (!WI. 01!()9) S:.tbpocna 10 Tcst!1'y aelb:e, G~ Jury ., United States District Court "" Eastern District of Virginia SUBPOENA TO TESTIFY BEFORE THE GR,.-\ND JURY TO: DaHas, TX 75204 YOU ARECQMMA.,'lDED 1 appear and testify before !be Uoited States district court at the time, date.;me 0 place shown below to lesify before the court's grand jury. When you arrive, you must remain at the C::Ill" until the j udge or II court offioer allows yO\! to leave. Pltte: UNITED ST AYES DlSTRlCT COURT II: tnd Time: July lG, lUll ~Dl COllrthouseSqulrf Alex8ndriJ. Vir,inI8l2314_ _ _ _ _ _ _ _ _ _ _ _ _J -_ _ _ __ _ ___ You mUll also brin& with)'O\l the folJowill& docume:1ts. clcctroni~!y l10red lnformu ion. (bll!!'.K ifr.Ol "?plica.bl,,): 9:30 AM or objecu In ..ddifion to your !,l:"l'SunHI"flpear"nce,you arc direeled to b ring 10 the grano jury the pub lic lind private encryptiun I;c)'5 used by l:.Ivabil.CQn. in any SSl.. (See orl! S<:>ekel L:.I,,lctorded persons with respect 10 whom Ihe inst:lllati(ln and use illo take place; ~ physically transported to the ;:rand jury, you co fly of t be infor mation to the Feder l BurtllU of [nv~tig=== ========' o lief\: the subpoena at 1t.e !ndMdual's residence or usual p!acs of abode with (name) a person of suit2b!e age and discretion....no reside~ mere, on , and mailed a copy to the individual's last known address; or (date) Ci J served ttle SUbpoeM on (name of inkHVidual)-,::;:-:-;::::.-::':'.1 I IN THE MATTER OF THE APPLICATION OF THE UNITED STATES OF AMERICA fOR AN ORDER AUTHORIZING THE USE OF A PEN REGISTERffRAP AND TRACE DEVICE ON AN ELECTRONIC MAIL ACCOUNT ) FJLE D UNDER SEAL''--) ) NO.I:IJEC297 ) ) ) SUPPLEMENT TO THE MOTION OF THE UNITED STATES FOR AN ORDE R TO SHOW CAUSE The United States, through the undersigned counsel, submits the following additional infonnation in support of its show cause motion filed July 9, 2013 : 1. Following the issuance of the Court's Order to Show Cause, the government had a meeting/conference call with tvlr. Levison ") addresses similar issues. 830 F. Supp. 2d 114 (E.D. Va. 2011) . In that case, the Petitioners failed to allege '"a personal injury cognizable by the Fourth Amendment." Jd. at 138. However, Lavabit's circumstances are distinguishable. The Government, in pursuit of information date and communications? related to the Email Address, has caused and wiU continue to cause injury to Lavabit. Not only has Lavabit expended a great deal of time and money in attempting to cooperate with the Government thus far, but, Lavabit will pay the ultimate price-the loss of its customers~ trUst and business-should the Court require that the Master Key be turned over. Lavabit's business, which is founded.on the preservation of electronic privacy, could be destroyed if it is required to produce its Master Key. 6 . LavabiUs also a fundamentally different entity than Twitter, the business at issue in Twitter. The Twitter Terms of Service specifically allowed user information to be disseminated. [d. at 139 . Indeed, the very purpose of Twitter is for users to publically po~t their musings and beliefs on the Internet. In contrast, Lavabit is dedicated to keeping its user's information private and secure. Additionally, the order in Twitterdid not seek "content information" from 1witter users, as is being sought here. Id. The Govemment'~ request for Lavabit's Master Key gives it access to data and communications from 400,000 email SeC1.1re accounts, which is much more sensitive information that at issue in the 1\uitter. The Government is attempting. in complete disregard of the Fourth Amendment, to penetrate a system that was founded for the sale purpose of . privacy. See Katz v. United States, 389 U.S. 347, 360 (1967 ) (stating that 'the touchstone of Fourth Amendment analysis is whether a person has a constitutionally protected reasonable expectation of privacy"} (internal citations omitted). For Lavabit. to grant the Government unlimited access to every one of its user's accounts would be to disavow its duty to its users and the principals upon which it was founded. Lavabit's service will be rendered devoid of economic value if the Government is granted access to its secure network. The Government does not have any proper basis to request that Lavabit blindly produce its Master Key and subject all orits users to invasion of privacy. 'Mor eover, the Master Key itself is an encryp tion developed and owned by Lavabit. As such it is valuable proprietary information and Lavabit has a 7 reasonable expectation in protecting it. Because Lavabit has a reasonable expectation "Of privacy for its Master Key, the Lavabit Subpoena and Warrant violate the 'Fourth Amendment. See Twitter, 830 F. Supp. 2d at 141 (citing ?United States u. Calandra, 414 U.S. 338, 346 (1974)) (noting "The grand jury is ...without power to invade a legitimate privacy interest protected by the Fourth Amendment" and that "a grand jury's subpoena ... will be disallowed if it is far too sweeping in its terms to be ... reasonable under the Fourth Amendment."). C ONCLUSION [?or the foregoing reasons, Lavabit and Mr. Levinson respectfully move tIlis Court to quash the search and seizure warrant and grand jury subpoena. Further, Lavabit and Mr. Levinson request that this Court direct that Lavabit does not have to produce its Master Key. Alternatively, Lavabit and Mr. Levinson reques t that they be given an opportunity to revoke the. current encryption key and reissue a new encryption key at the Government's expense. Lastly, Lavabit and Mr. Levinson request that, if they is required to produce the Master Key, that they be reimbursed for its costs which were directly incurred in producing the Master Key, pursuant to 18 U.S.C. ? 2706. LAVABITLLC By Counse l 8 (703) 229-0335 Telephone (703) 537-0780- Facsimile jbinnall@bblawonline.com C,n""sel for I-avabit I-I-C 9 ,. " . Certificate of Service I certify fuat on thisZ.9day of July, 2013, this Motion to Quash Subpoena and Search Warrant and Memorandum of Law in Support was hand delivered to the person at the addresses listed below: Eastern District of Virginia 2100 Jamieson Avenue 10 EXHIBIT 16 IN THE UNlTED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF VIRGINIA Alexandria Division IN THE MAITER OF THE APPLICATION OF THE UNITED STATES AUTHORIZING THE USE OF A PEN REGISTER/TRAP AND TRACE DEVICE ON AN ELECTRONIC MAIL ACCOUNT IN THE MAITER OF THE SEARCH AND SEIZURE OF INFORMATION ASSOCIATED WITH FILED UNDER SEAL No. !:13EC2 97 No. 1: 13SWS22 rs "U'LLJ>J-' AT PREMISES CONTROLLED BY LAVABIT LLC In re Grand Jury No. 13-1 MOTION FOR UNSEALING OF SEALED COURT RECORDS AND REMOVAL OF NON-DISCLOSURE ORDER AND MEMORANDUM OF LAW IN SUPPORT OF MOTION Lavabit, LLC ("Lava bit") and Mr. Ladar Levinson (IiMr . Levinson") (collectively "Movants") move this Court to unsea1 the c.o urt records concerning the United States government's attempt to obtain certain ~ncryption keys and lift the non-disclosure order issued to Mr. Levinson. Specifically, Movants request the unsealing of all orders and documents filed in this matter before the Court's issuance of the July 16, 2013 Sealing Order ("Sealing Order'); (2) all orders and documents filed in this matter after the issuance of the Sealing Order; (3) all grand jury subpoenas and search an d seizure warrants issued before or after issuance of the Sealing Order; and (4) all documents filed in 1 connection ?with such orders or requests fOT such orders (collectively, the "sealed documents"). The Sealing Order is attached as Exhibit A. Movants request that all of the sealed documents be unsealed and made public as quickly as pOSSible, with only those redactions necessary to secure information that the Court deems, after review, to be properly withheld. BACKGROUND Lavabit was formed in 2004 as a secure and encrypted email service provider. To ensure security, Lavabit employs multiple encryption schemes using complex access keys. Today, it provides email service to roughly 400,000 users worldwide. Lavabit's corporate philosophy is user anonymity and privacy. Lavabit employs secure socket layers ("SSL") to ensure the privacy of Lavabit's subscribers through encryption. Lavabit possesses a master encryption key to facilitate the private communications of its users. On July 16, 2013, this Court entered an Order pursuant to 18 U.S.C. 2705(b), directing Movants to disclose all information necess ary to decrypt conununications scnt to or from and data stored or otherv.rise associated with including SSL keys (the the Lavabit e-mail ac'colmt "Lavabit Orde:r>>) . The Lavabit Order is attached as Exhibit B. The Lavabit Order precludes the Movants from notifying any person of the search and seizure warrant, or the Court's Order in issuance thereof, except that Lavabit was permitted to djsclose the search warrant to an attorney for legal advice. ARGUMENT 2 ? In criminal trials there is a common law presumption of access to judicial records; ?like the sealed documents in the present case. Despite the government's legitimate interests, it cannot nieet its burden and overcome this presumption because it has not explored reasonable alternatives. Furthermore, the government's notice preclusion order constitutes a content- based r estriction on free speech by prohibiting public discussion of an .entire topic based on its subject matter. I. THE FIRST AMENDMENT AND NON-DISCLOSURE ORDER S The Stored Communications Act ("SeA") authorizes notice preclusion to any person of a ? 2705(b) order's existence, but only if the Court has reason to believe that notification will result in (1) endangering the life or physical safety of an individual; (2) flight from prosecution; (3) destruction or tampering with evidence; (4) intimidating of potential witnesses; or (5) otherwise seriously jeopardizing an investigation or unduly delaying a trial. ? 2705(b)(1)-(5). 'Despite this statutory authority, the ? 2705(b) gag order infringes upon freedom of speech under the First Amendment, and should he subjected to constitutional case law. The most searching form of review, "strict scrutiny", is implicated when thel'e is.a content-based restriction on free speech. R.A. V. u. City of St. Paul, Mirin., 505 U.S. 377, 403 {1992}. Such a r estriction must be necessary to sel've a compelling state interest and narrowly drawn to achieve that end.. [d. The Lavabit Order's nonMdisc1osure provision is a content-based restriction that is not narrowly tailored to achieve a compelling state interest. 3 a; The Lavabit Order Regulates Mr. Levinson' s Fre e Speech The notice pr eclusion order at issue here limits Mr. Levinson's speech in that he is not allowed to disclose the existence of the ? 2705(b) order, or the .underlying investigation to any other person including any other Lavabit subscriber. This naked prohibition against disclosure can fairly be charaCterized as a regulation ofpurc speech. Bartni.cld u: Vopper, 532 U .S. 514, 526 (2001) . A regulation that limits the time, place, or manner of speech is permissible if it serves a significant governmental interest and provides ample alternative channels for communication. See Cox tJ. New Hampshire, 312 U.S, 569, 578 (1 941) (explaining that requiring a permit for parades was aimed at policing the streets rather than restraining peaceful p icketing). However, a valid time, p lace; and manner restriction cannot be based on the content or subject matter of the speech . Conso!. Edison Co. of New York u. Pub. Sem Comm'n of New York, 447 U.S. 530, 536 (1980). The gag order in the present cas e is content-based because it precludes speech on an entire topic) namely the search and seizure warrant and the underlying criminal investigation. See id. at 537 ("The First Amendment's hostility to content-based regulation extends ... to prohibition of public discussion of an entire topic"). While the nondisclosure provision may be viewpoint neutral on its face, it nevertheless functions as a content-based restriction because it closes off an "entire topiC" from public discourse. rt is true that the government has a compelling interest in maintaining the integrity of its criminal investigation 4 However, Mr. Levinson has been unjustly restrained from contacting Lavabit subscribers who could be subjected to government surveillance if Mr. Levinson were forced to comply the Lavabit Order. Lavubit 's value is embodied)n its complex encryption keys, which provide its subscribers with privacy and security. Mr. Levinson has been unwilling to tUrn over these valuable keys because they grant access to his entire network. In order to protect Lavabit, which caters to thous"Ure as Senator Denounces 'Act of Treason', The Guardi.an, June 10, 2013, http://www.guardian.co.uk/ world/2 01 3/jun 110/ 0bama-pressured-explain-nsa-su rveillance. . I 10 shrouded in secrecy ctnd used to further unjustified sU'rveillance 'a ctivities and to suppress public debate. CONCLUSION For the foregoing reasons, Lavabit respectfully moves this Court to unseal the court records concerning the United States government's attempt to obtain certain encryption keys and lift the non~disclosure order issued on Mr. Levinson. Alternatively. Lavabit requests that all of the sealed documents be redacted to secure only the information that the Court deems, after review, to be properly withheld. LAVABIT LLC By Counsel 11 Certificate of Service I certify that on this.Nay of July, 2013, this Motion For Unsealing Of Sealed Court Records And Removal Of Non-Disclosure Order And Memorandum Of Law In Support was hand delivered to the person at the addresses listed below: Eastern District of Virginia 2100 Jamieson Avenue Alexandria. VA 22314 12 EXHIBIT 17 IN THE UNITED STATES DISTRICT COURT EASTERN DISTRICT OF VlRG.Il'IIA . '. 1 .. , o- -. I? o'" '"' ! \ ALEXAN DRIA DIVISION . " o.o ' , .~- .. " ~ .. , IN THE MAITER OF THE APPLlCA TlON OF THE UNITED STATES AUTHORIZING THE USE OF A PEN REGlSTERffRAP AND TRACE DEVICE ON AN ELECTRONIC MAIL ACCOUNT NO. 1:13 EC 297 IN THE MAITER OF THE SEARCH AND SEIZURE OF INFORMATION NO.I:I3SW522 AT PREMISES CONTROLLED BY LAVAB IT LLC IN RE GRAND JURY SUBPOENA NO. 13 ? 1 UNDER SEAL RESPONSE OF THE UNITED STATES IN OPPOSITION TO LAVABIT'S MOTION TO QUASH SUBPOENA A.>ID MOTION TO FOR UNSEALING OF SEALED COURT RECORDS INTRODUCTION This Court has ordered Lavabit, LLC 10 provide the government with the technical assistance necessary to implement and use a pen register and trap and trace device ("pen-trap device"). A full month after that order, and after an order to compel compliance, a grand jury subpoena, and a search warrant for that technical assistance, Lavabit has still not complied . Repeated efforts to seek that technical assistance from Lavabit's owner have failed. While the government continues La work toward a mutually acceptable solution, at present there does not appear to be a way to implement this Court's order, as well as to comply with the subpoena and search \varram, without requiring Lavabit to disclose an encryption key to the government. This Court's orders, search warrant, and the grand jury subpoena all compel that result, and they are all la.....tful. Accordingly, Lavabit's motion to quash the search warrant and subpoena should be denied. Lavabit and its owner have also moved to unseal all records in this matter and lin the order issued by the Court preventing them fro m disclosing a search warrant issued in this case. Because public discussion of these records would alert the target and jeopardize an active criminal investigation, the government's compelling interest in maintaining the secrecy and integrity of that investigation outweighs a.'1y public right of access to, or interest in publicly discussing, those records, and this motion should also be denied. TECHNICAL BACKGROUND Pen registers and trap and trace devices To investigate Internet comrrllUlications, Congress has pennined law enforcement to employ two surveillance techniques-the pen register a.'1d the trap and trace devicethat pennit law enforcement to learn information about an individual's communications. See 18 U.S.C. ?? 3121 ?27 ( "Pen-Trap Act"). These techniques, collectively known as a "pen?trap," permit law enforcement to learn facts about e~mails and other communications as they are sent-but not to obtain their content. See, e.g., United States v. Forrester. 512 F.3d 500, 509-13 (9th eir. 2008) (uphold ing government's use ofa pentrap that "enabled the government to learn the to/ from addresses of A lba's e-mail 2 messages, the fP addresses of the websitcs Ihat Al ba visited and the total volume of infonnation sent to or from his account"). The Pen-Trap Act "unambiguously authorize(sJ the use of pen registers and trap and trace devices on e-mail accounts." In Malter ofApplication of US. For an Order AUlhorizing the installation & Use ofa Pen Register & a Trap & Trace Device on E-Mail Account. 416 F. Supp. 2d 13, 14 (D.D.C. 2006) (Hogan, j.) ("Hogan Order"). It authorizes both the installation of a "device," meaning, a separate computer attached to the provider's network, and also a "process," meaning, a software program run on the provider. Id. at 16; 18 U.S.C . ? 3127. Secure Socket Layer (SSL) or Transporr Layer Security (TLS) Encryption Encrypting communications sent across the Internet is a way to ensure that only the sender and receiver ofa communication can read it. Among the most common methods of encrypting Web and e-mail traffic is Secure Socket Layer (SSL), which is also called Transport Layer Security (TLS) encryption. <>. Given the similarities between Twilter and the instant case-most notably the compelling need to protect otherwise confidential infonnation from public disclosure and the national anention to the matter-there is no compelling rationale currently before the Court necessitating finding that a common law right of access exists here. B. Courts have inherent authority to seal ECPA process Lavabit asserts that this Court must unseal the Non-Disclosure Order because 18 U.S.c. ? 2705(b) does not explicitly reference the sealing ofnon~disclosure orders issued pursuant to that sectio n. Mot. to Unseal at 9~ I O. As an initial marter, the Court has inherent authority to seal documents before it. In re Knight Pub. Co., 743 F.2d 23 1,235 (4th Cir. 1984) ("[t]he trial court has supervisory power over its own records and may, in its discretion, seal documents if the public's right of access is outweighed by competing 23 interests"); see also Media General Operations, fnc. v. Buchanan, 417 F3d. 424, 430 (4th Cir. 2005); United States v. U.S. Dist. Court., 407 U.S. 297, 321 (1972) ("a warrant application involves no public or adversary proceedings: it is an ex parte request before a magistrate or judge."). In addition, the Court here exercised its authority to seal pursuant to Local Rule 49(B), the validity of which Lavabit docs not contest. Even if the Court did not have this authority, Lavabit's reading of ? 2705(b) must be rejected, because it would gut the essential function of non ? disclosure orders and thereby disregard Congress ' clear intent in passing ? 2705. The Section allows courts to delay notification pursuant to ? 2705(a) or issue a non-ciisciosure order pursuant to ? 2705(b) upon finding that disclosure would risk enumerated harms, namely danger to a person's life or safety, flight from prosecution, destruction of evidence, intimidation of witnesses, or seriously jeopardizing an investigation. 18 U.S.C. ?? 270S(a)(2)(A)-(E), (b)(l)-(5) . It would make no sense for Congress to purposefully authorize couns to limit disclosure of sensitive information while simultaneously intending to allow the same infonnatien to be publicly accessible in an unsealed court document. Finally, the implications Lavabit attempts to draw from the mandatory sealing requirements of 18 U .S.C. ?? 2SI8(8)(b) and 3123(a)(3)(B) are mistaken. While Layabit characterizes those statutes as granting courts the authority to seal Wiretap Act and pe.ntrap orders, courts already had that authority. Those statutes have another effect: they removed discretion from courts by requiring that courts seal Wiretap Act orders and pentrap orders . See 18 U.S .C. ? 2S18(8)(b) ("Applications made and orders granted under this chap!(~r shall be sealed by the judge") (emphasis added); id. ? 3123(a)(3)(B) ("The record maintained under subparagraph (A) shall be provided ex parte and under seal 10 24 the court") (emphasis added). Congress' decision to leave that discretion ill place in other situations does not mean that Congress believed that only Wiretap Act and pen-trap orders may be sealed. C Supposed privacy concerns do not compel a COmmon law right of access TO [he sealed documenrs. Lavabit's brief ends with an argument that privacy interests require a common law right of access. Mot. to Unseal at 10? 11 . Lavabit, however, offers no legal basis for this Court to adopt such a novel argument, nor do the putative policy considerations Lavabit references out\Veigh the government's compelling interest in preserving the secrecy of its ongoing criminal investigation. Ind~ed, the most compelling interest currently before the Court is ensuring that the Court's orders requiring that Mr. Levison and Lavabit comply with legitimate monitoring be implemented forthwith and without additional delay, evasion, or resistance by Mr. Levison and Lavabit. CONCLUSION For the foregoing reasons, Lavabit's motions should be denied. Furthermore, the Court should enforce the Pen-Trap Order, Compliance Order, search warrant, and grand jury subpoena by imposing sanctions until Lavabit complies. Respectfully Submitted, NEIL H. MACBRIDE By: Assistant Uruted States Attorney United States Attorney's Office 2100 Jamieson Ave . ~~~ VA 26 CERTIFICATE OF SERVICE i hereby certify that on July 31, 2013, I e-mailed a copy of the foregoing document to Lavabit's Counsel of Record: Jesse R. BinnaJl Bronley & Binnoli, PLLC 10387 Main Stree~ Suite 201 Fairfax, V A 22030 Assistant United States Attorney United States Attorney's Office 2100 Jamieson Ave. ~~~V A22314 27 EXHIBIT 18 1 1 UNITED STATES DISTRICT COURT EASTERN DISTRICT OF VIRGINIA ALEXANDRIA DIVISION 2 3 4 ) IN THE MATTER OF THE 5 6 7 8 ) APPLICATION OF THE UNITED STATES AUTHORIZING THE USE OF A PEN REGISTER/TRAP AND TRACE DEVICE ON AN ELECTRONIC MAIL ACCOUNT NO . 1 , 13 EC 297 ) ) ) ) IN THE MATTER OF THE SEARCH AND SEIZURE OF INFORMATION ) ) ) ) 9 ) ) 10 NO . 1 : 13 SW 522 ) ) 11 PREMISES CONTROLLED BY LAVABIT, LLC 12 IN RE GRAND JURY SUBPOENA ) ) ) 13 ) ) ) 14 ) 15 ) ) NO . 13 - 1 UNDER SEAL Alexandria, Virginia August 1, 2013 10 : 00 a.m. 16 TRANSCRIPT OF HEARING 17 BEFORE THE HONORABLE CLAUDE M. HILTON 18 UNITED STATES DISTRICT JUDGE 19 20 APPEARANCES , 21 For the United States : James Trump, Esq. tHchael Ben' Ary, Esq . Josh Goldfoot, Esq . For the Respondent : Jesse R. Binnall, Esq . 22 23 24 25 Court Reporter : Tracy L . Westfall, RPR, CMRS, CCR Proceedings reported by machine shorthand, transcript produced by computer - aided transcription . Tracy L . Westfall OCR-US!)C/EDV':, UNDER SEAL 1 2 3 4 5 PRO C E E DIN G S THE CLERK : MR. TRUMP : 7 MR . BINNALL : 10 Case Nos . 1 : 13 EC 297, 1:13 SW 522, Good morning . Jim Trump on behalf of the United States . THE COURT : 9 In re : and Grand Jury No . 13- l. 6 8 2 Good morning. Good morning , Your Honor. Jesse Binnall on behalf of Lavabit and Mr . Levison . THE COURT : MR . BINNALL : All right . May it please the Court . We're before 11 the Court today on two separate motions, a motion to quash the 12 requirement of Lavabit to produce its encryption keys and the 13 motion to unseal and lift the nondisclosure requirements of 14 Mr . Levison. 15 Your Honor, the motion to quash in this arises because 16 the privacy of users is at -- of Lavabit's users are at stake. 17 We're not simply speaking of t he target of this investigation. 18 We're talking about over 400 , 000 individuals and entities that 19 are users of Lavabit who use this service because they believe 20 their communications are secure . 21 By handing over the keys, the encryption keys in this 22 case, they necessarily become less secure. In this case it is 23 true that the face of the warrant itself does limit the 24 documents or -- and communications to be viewed and the specific 25 metadata to be viewed to the target of the case, Tracy L. Westfall OCR-USOC/EOVA 3 UNDER SEAL 1 Hm-lever, there is a lack of any sort of check or 2 balance in order to ensure that the - - that the encrypted data 3 of other Lavabit users remain secure . 4 case doesn't protect only content . 5 the other - - some of the other metadata involved in this case . 6 The encryption in this It protects login data and We believe that this is not the least restrictive means 7 in order to provide the government the data that they are 8 looking for . 9 Specifically-- THE COURT: You have t'NO different encryption codes, 10 one for the 10gins and the messages that are transmitted. You 11 have another code that encrypts the content of the messages , 12 right? 13 MR. BINNALL : Your Honor, I believe that that is true. 14 From my understanding of the way that this works is 15 that there is one SSL key . That SSL key is what is issue in 16 this case, and that SSL key specifically protects the 17 communication, the over - - the breadth of the communication 18 itself from the user's actual computer to the server to make 19 sure that the user is communicating with exactly who the user 20 intends to be communicating with, the server . 21 And that's one of the things that SSL does . 22 that you 're talking to the right person via e-mail and there's 23 not a so - called man in the middle who's there to take that 24 message away . 25 THE COURT : It ensures Does that key also contain the code of the Tracy L. Westfall OCR-USDC/~DVA UNDER SEAL 1 4 message and interpret the message as well? 2 MR . BINNALL : My u nderstanding is that it does, Your 3 Honor, but because that ' s not my technical expertise, I'm not 4 going to represent to the Court anything on that one way or 5 another . 6 that is at issue . 7 8 9 10 But my understand ing is there is one general key here ~"ell, why would you set up such? THE COURT : I mean, a telephone, you've got te lephone numbers and __ MR . BINNALL : THE COURT : Corr e ct . those can be traced very easily without 11 any look at the content of the message that's there . 12 could have set up something the same way . 13 14 15 MR. BINNALL : We could have, Your Honor . You-all Actually, if you ' re to -So if anybody's -- you 're blaming the THE COURT : 16 government for something that's overbroad , but it seems to me 17 that your client is the one that set up the system that 's 18 designed not to protect that information, because you know that 19 there needs to be access to calls that go back and forth to one 20 person or another . 21 you've set up a system that everybody has to - - has to be 22 unencrypted, 23 be a very persuasive argument . 24 25 MR . And to say you can 't do that just because if there's such a word, that doesn't seem to me to BINNALL : I understand the Court's point, and this is the way that I understand why it's done that way . Tracy L. we~tfall OCR-USDC/EDVA UNDER SEAL 1 5 There's different security aspects involved for people 2 who want to protect their privacy, and there certainly is the 3 actual content of the message themselves . 4 I would concede is the highest security interest. S That ' s certainly what But there's also the security interest to make sure 6 that they ' re communicating with who you want to be communicating 7 with. 8 that is, at the end of the day, one of the things that secures 9 the conte nt of the message . 10 That is equally of a concern for privacy issues because In this case it is true that most Internet service 11 providers do log, is what they call it, a lot of the metadata 12 that the government wants in this case without that necessarily 13 being encrypted , things such as who something is going to, who 14 it's going from, the time i t' s being sent, the IP address from 15 which it is being sent . 16 Lavabit code is not something that you buy off the 17 shelf. 18 order to secure privacy to the largest e xtent possible and to be 19 the most secure way possible for multiple people to communicate, 20 and so it has chosen specifically not to log that information . 21 It is code that was custom made . It was custom made in Now, that is actually information that my client has 22 offered to start logging with the particular user in this case . 23 It is, however, something that is quite burdensome on him . 24 is something that would be custom code that would take between 25 20 to 40 hours for him to be able to produce . It We believe that Tracy L. Westfall OCR-VSOC/EDVA UNDER SEAL 6 1 is a better alternative than turning over the encryption key 2 which can be used to get the data for all Lavab it users . 3 I hope that addresses the Court's concern kind of with 4 regard to the metadata and why it i s not more -- why Lavabit 5 hasn't created an encryption system that may honestly be more 6 within the mainstream, 7 was started in order to have to protect privacy interests more 8 than the average Internet service provider . THE COURT : 9 but this is a provider that specifically I can understand why the system was set up, 10 but I think the government is - - government's clearly entitled 11 to the information that they 're seeking, and just because 12 you-all have set up a system that makes that difficult, that 13 doesn't in any way lessen the government ' s right to receive that 14 information just as they ;.!ould from any telephone company or any 15 other e-mail source that could provide it easily . 16 it's -- in other words, the difficulty or the ease in obtaining 17 the information doesn ' t have anything to do with whether or not 18 the government ' s lawfully entitled to the information . MR . BINNALL : 19 20 It is -- and we don't disagree that the government is entitled to the information . 21 THE COURT: Whether We actually Well, how are we going to get it? I'm 22 going to have to deny your motion to quash . It's just not 23 overbroad . 24 bit of information, and it's information that they're entitled 25 to . The government ' s asking for a very narrow, specific Tracy L . l.~estfall OCR-USDC/.e:DVA UNDER SEAL 7 1 Now, how are we going to work out that they get it? 2 MR . BINNALL : Your Honor, what I would still say is the 3 best method for them to get it is, first of all, there be some 4 way for there to be some sort of accountability other than just 5 relying on the governme nt to say we ' re not going to go outside 6 the scope of the warrant . 7 This is nothing that is , of course, personal against 8 the government a nd the, you knmi, very professional law 9 enforcement officers invo l ved in this case . But quite simply, 10 the way the Cons titution is set up, it ' s s e t up in a way to 11 ensure that there ' s some sort of checks and balances and 12 accountability . 13 THE COURT: 14 MR. BINNALL : IS THE COURT: 16 MR. BINNALL : What checks and balances need to be set up? Well -Suggest something to me . I think that the least restrictive means 17 possible here is that the governme nt essentially pay the 18 reasonable expenses, meaning in this case my client ' s extensive 19 labor costs to be capped at a reasonable amount . 20 21 THE COURT : these pen register cases? 22 MR . BINNALL : 23 THE COURT : 24 MR . BINNALL : 25 Has the government ever done that in one of Not that I 've found, Your Honor . I don't think so . I've never known of one. And Your Honor ' s certainly seen more of these than I have . Tracy L. ~e~tfall OCR-USDC/~ DVA UNDER SEAL 1 2 THE COURT : 8 So would it be reasonable to start now \.to.~."" ,.f..o '.'. , ,.4.>:" " ',1\ " t :'.",,,~ fll'::~"" 1 , I.t ... , .... r',' " " '- ". ,.' .':;'" i o.; ', ':i,'~" '-r:''-~ .'." ." ;,:' j o .- .~I ~ "., . , .... :" ,,1 1 ,~1 ~ ,', '_.' '. 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";' ....:} .. \. .. ??I"!\.~~_' t!lo?;:_'?"".!.io..",.1 .'.~"K"' r' """''' 1 '''.' oo?,<, .o~;1'."~ " _ .;.: :..f~?W~ :'-);1 (~n~';, ." A ITACHMENT B Lavabit uses 2048?bit Secure Socket Layer (SSL) certificates purchased from GoDaddy to encrypt communication bet".Veen users and its server. SSL encryption employs public-key cryptography, in which both the sender and receiver each have two mathematically linked keys: a "public" key and a "private" key. "Public" keys arc published, but "private" keys are not. In this circumstance, a Lavabit customer uses Lavabit's published public key to initiate an encrypted email session with Lavabit over the internet. Lavabit's servers then decrypt this traffic using their private key. The only way to decrypt this traffic is through the usage of this private key. A SSL certificate is another name for a published public key. To obtain a SSL certificate from GoOaddy, a user needs to firs! generate a 2048-bil private key on hislher computer. Depending on the operating system and web server used, there are mUltiple ways to generate a private key. One of the more popular methods is to use a freely available command-line tool called OpenSSL. This generation also creates a certificate signing request file. The user sends this file to the SSL generation authority (e.g. GoOaddy) and OoOaddy then sends back the SSL certifi cate. The private key is not sent to GoDaddy and should be retained by the user. This private key is sto red on the user's web server to permit decryption of internet traffic, as described above. The FBI's collection system that will be installed to implement the PRiTT also requires the private key to be stored to decrypt Lavabit email and internet traffic. This decrypted traffic will then be filtered for the target email address specified in the PRlTI order. Depending on how exactly the private key was first generated by the user, it itself may be encrypted and protected by a password supplied by the user. This additional level of security is useful if, for example, a backup copy of the private key is stored on a CD. Ifthal CD v.'8S lost or stolen, the private key would not be compromised because a password would be required to access it. However, the user that generated the private key would have supplied it at generation time and would thus have knowledge of it. The OpenSSL tool described above is capable of decrypting encrypted private keys and converting the keys to a non-encrypted format with a simple, well -documented command. The FBI's collection system and most web servcrs requ ires the key to be stored in a non-encrypted format. A 2048-bit key is composed of 512 characters. The standard practice of exchanging private SSL keys between entities is to use some electronic medium (e.g., CD or secure internet exchange). SSL keys are rarely, if ever, exchanged verbally or through print medium due to their long length and possibil ity of human error. Mr. Levison has previously stated that Lavabit actually uses five separate public/private key pairs, one for each type of mail protocol used by Lavabit. PEM format is an industry-standard file format for digitally representing SSL keys. PEM files can easily be created using the OpenSSL tool described above. The preferred medium for receiving these keys would be on a CO. EXHIBIT 21 IN TIlE UNITED STATES D1STRlCT COURT FOR THE EASTERN DISTRlCT OF VIRGINIA ~ :J1UI"l;---IE----"'~ l Alexandria Division AlYO IN THE MATTER OF TIlE APPLICATION OF THE UNITED STATES OF AMERlCA FOR AN ORDER AUTHORlZING TIlE USE OF A PEN REGISTERITRAP AND TRACE DEVICE ON AN ELECTRONIC MAIL ACCOUNT IN THE MATTER OF THE SEARCH AND SEIZURE OF INFORMATION IS STORED AT PREMlSES CONTROLLED BY LAVABITLLC In re Grand Jury )) UNDER SEAL ) No. l: 13EC297 -- - 5 J'," -EW~~~~ CW1, ,u.s. OISTRlcr COtJRT ALfW:DRiA.\1RG1H1A ) ) ) ) ) ) ) No. LI3SW522 ) ) ) ) ) No. 13-1 ORDER This maner comes before the Court on the motion of the government for sanctions for failure to comply with this Court's order entered August 2, 2013. For the reasons stated in the government's motion, and pursuant to Title 18, United States Code, Section 401, it is hereby ORDERED that the motion for sanctions is granted; It is further ORDERED that, if the encryption keys necessary to implement the pen register and trap and trace device are not provided to the FBI in PEM or equivaJent electronic format by noon (CDT) on August 5. 2013. a fine of five thousand doBars ($5.000.00) shall be imposed on Lavabit LLC and Mr. Levison; It is further ORDERED that, if the encryption keys necessary to implement the pen register and trap and trace device are not provided to the FBI in PEM or equivalent electronic ~ format by noon (CDT) each day thereafter beginning August 6, 2013, a fine of five thousand dollars ($5 ,000.00) shall be imposed on Lavabit LLC and Mr. Levison for each day of non? compliance; and It is further ORDERED that the government's motion for sanctions and this Order shall remain under seal until further order of this Court. CLAUDE M. HILTON Ul\'lTED STATES D1STRJCT JUDGE Alexandria, Virginia August 5" , 2013 -2- EXHIBIT 22 IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRIC'T OF VIRGINIA Alexandria Division IN THE MATTER OF THE APPLICATION OF THE UNITED STATES AUTHORIZING THE USE OF A prm REGISTERjTRI\P AND TRACE DEVICE ON AN ELECTRONIC MAIL ACCOUNT FILED UNDER SEAL NO.1: I 3EC297 IN THE MATTER OF THE SEARCH AND SEIZURE OF INFORMATION No.1: 13SW522 PREMISES CONTROLLED BY LAVAS IT LLC NOTICE OF APPEAL Notice is hereby given that Lavabit LLC ("Lavahit") and Mr. Ladar Levison ("Mr. Levison") in the above named case, hereby appeal to the United States Court of Appeals for the Fourth Circuit from the Orders of this Court entered on August 1,2013 and August 5, 2013. LAVABlT LLC LADAR LEVISON By Counsel sc R. IlmhaJl, VSS# 79292 nley & BinnalI, PLLC 1!()387 Main Street, Suite 201 Fairfax, Virginia 22030 (703) 229-0335 - Telephone (703) 537-0780 - Facsimile jbinnall@bblawonline.com Counsel for Lavabit LLC Certificate of Service I certify that on this 15th day of August, 2013, this Notice of Appeal was emailed and mailed to the person at the addresses listed below: Eastern District of Virginia 2100 ~Jamieson Avenue 2 IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRIC'T OF VIRGINIA Alexandria Division FILED UNDER SEAL In re Grand Jury No. 13-1 NOTICE OF APPEAL Notice is hereby given that Lavabit LLC ("Lavabit") and Mr. Ladar Levison ("Mr. Levison") in the above named case, hereby appeaJ to the United States Court of Appeals for the Fourth Circuit from the Orders of this Court entered on August 1, 2013 and August 5,2013. LAVABITLLC LADAR LEVISON By Counsel J~e R. Bi 'Y' I, VSB# 79292 B nley & Blnnall, PLLC 1 387 Main Street, Suite 20 1 Fairfax, Virginia 22030 (703) 229-0335 - Telephone (703) 537-0780 - Facsimile jbinnall@bblawonhne.com Counsel for Lavabit LLC 1 Certificate of Service I ce rtify that on this 15th day of August, 2013, this Notice of Appeal was emailed and mailed to the person at the addresses listed below: Eastern District of Virginia 2100 Jamieson Avenue 2 EXHIBIT 23 IN THE UNITED STATB:S DISTRICT COURT FOR THB: EASTERN DISTRICT OF VIRGINIA Alexandria Division IN THB: MATTER OF THE APPLICATION OF THE UNITB:D STATES AUTHORIZING THE USE OF A PEN REGISTER/TRAP AND TRACE DEVICE ON AN ELECTRONIC MAIL ACCOUNT FILED UNDER SEAL No.1: 13SW522 IN THE MATTER OF THE SEARCH AND SEIZURE OF INFORMATION IS VL1""uAT PREMISES CONTROLLED BY LAVA BIT LLC " 'U''P NOTICE OF APPEAL Notice is hereby given that Lavabit LLC ("Lavabit") and Mr. Ladar Levison ("Mr. Levison") in the above named case, hereby appeal to the United States Court of Appeals for the Fourth Circuit from the Orders of this Court entered on August I, 2013 and August 5,2013 . LAVABIT LLC LADAR LEVISON By Counsel / e R. Binn SB# 79292 onley & Binnall, PLLC 0387 Main Street, Suite 201 Fairfax, Virginia 22030 (703) 229-0335 - Telephone (703) 537-0780 - Facsimile jbinnall@bblawonline.com Counsel/or Lauabit LLC 1 Certificate of Service I certify that on this 16th day of August, 2013, this Notice of Appeal was emailed and mailed to the person at the addresses listed below: Eastern District of Virginia 2100 Jamieson Avenue ?I/}V) /I;~ " " 2