Where a non-employee consultant to a corporation communicates with the company’s counsel, a question arises whether the consultant, a third party, may be treated as the “functional equivalent” of a company employee so that the communications are brought within the attorney-client privilege. In King Drug Co. of Florence v. Cephalon, Inc., Nos. 06-cv-1797, 08-cv-2141 (E.D. Pa. Sept. 11, 2013), the court held that defendant’s consultants were the functional equivalents of company employees, and that their communications with company counsel were within the privilege. Here, defendant hired Clarion as a consultant to prepare business and marketing plans, not to perform a function necessary in the context of actual or anticipated litigation. Clarion personnel, who had dedicated office space within the company and were subject to confidentiality agreements, worked closely with company employees to provide managerial support and strategic advice, and they participated in making presentations to senior management. The court noted that there are two approaches to the “functional equivalent” doctrine: (1) the narrow approach, which applies the doctrine only to situations in which consultants are hired to perform a function necessary in the context of litigation; and (2) the broader approach, which focuses on whether the non-employee, by virtue of his or her role as a consultant, possesses or has access to confidential information that is necessary for the provision of legal advice to the company, holds that communications with company counsel are privileged so long as they were kept confidential and were made for the purpose of obtaining or providing legal advice. The court adopted the broader approach, stating: “It makes little sense to impose additional requirements for extending the privilege to independent contractors merely because they are not on the corporate payroll. The difference is only one of formality, and does not in itself diminish the need for the attorney and non-lawyer to collaborate to ensure that the corporation is complying with the law.”