It's not even clever, criminals have used the same idea, starting in analog form, forever.
That seems like sloppy terminology to me. I don't know why people want to call it a loophole.
If you steal a cookie from the cookie jar, with the (accurate) expectation that you probably won't be caught, there is no loophole. At least to me, the word implies a hole in the rules, not an issue with enforcement.
The loophole is how you hid and the crime is what was hidden.
You can only say that if you'd seen the contents of the communication.
This is like the legal version of encryption. Why would you hide all these conversations unless you have something to hide?
AC privilege is a critical part of the legal system, and so cannot be circumvented, so without an escape hatch for abuse, any company (or gov agency) could permanently shield everything they have from subpoenas, etc
Hence the rules for privilege set out that abuse of privilege can waive some or all privilege from your communication, even things that would otherwise be legitimately protected.
So blindly CC’ing counsel not only does not protect things that aren’t legitimate, but can remove protection from things that otherwise are.
The only way for an outside party to determine that is to see the contents of the communications. If an outside party can see the contents of your communications, they are not private.
The party claiming malfeasance does not need to show actual invalid content, it is enough to show a systemic behavior or pattern of misuse. The inability to see the content in that misuse is why, in general, abuse of privilege doesn’t void AC privilege on a few documents, but can completely negate all of it.
Competent businesses do not try to be clever, and include training that says not to try simply cc’ing counsel on everything. Because if you are cc’ing counsel on everything you are very clearly making a case that the content of the communication isn’t relevant to whether or not you are including counsel, and so you can lose privilege.
As I said elsewhere, this isn’t new or novel, and is a very well understood limit on AC privilege.
When people gamble on disobeying rules because the odds of being caught are low and so are the penalties, I think it's self-deception to call it a "loophole" with the implication that it's somehow legitimate.
Like tax evasion.
The reason is very simple as I understand it: if you are found to have abused privilege a judge can decide that you lose privilege on relevant communication, and if you have something systematic as is being alleged here, then the judge may simply declare that you waived/forfeited privilege.
Abuse of privilege is not a novel, recent, or in anyway unreasonable claim. It is established law and has been for a very long time. Hell, It can also be brought up in civil cases between private entities.
Do not try to “technically” or “clever” your way around the legal system.