Catagory:Case Summaries

1
Fifth Circuit: “We conclude that the Stored Communications Act … does not apply to data stored in a personal cell phone.”
2
On Remand, Court Finds Rambus’ Spoliation was in Bad Faith and Resulted in Prejudice, Holds Patents-in-suit Unenforceable Against Micron
3
Citing General Counsel’s Willful Failure to Preserve and Other Violations, Court Orders Partial Default Judgment, an Adverse Inference Instruction & Monetary Sanctions
4
Court Addresses What Constitutes “Bad Faith,” Imposes Adverse Inference & Monetary Sanctions
5
Eisai v. Sanofi-Aventis U.S., LLC, No. 08-4168 (MLC), 2012 WL 1299379 (D.N.J. Apr. 16, 2012)
6
Gray v. Novell, Inc., No. 8:06-CV-1950-T-33TGW, 2012 WL 3886026 (M.D. Fla. Sept. 6, 2012)
7
Pacificorp v. N.W. Pipeline GP, No. 3:10-cv-00099-PK, 2012 WL 6131558 (D. Or. Dec. 10, 2012)
8
MC Asset Recovery LLC v. Castex Energy, Inc., NO. 4:07-CV-076-Y, 2012 WL 12919263 (N.D. Tex. April 26, 2012)
9
Bull v. United Parcel Service, Inc., 665 F.3d (3d Cir. 2012)
10
Gonzalez v. Las Vegas Police Dept., No. 2:09-cv-00381-JCM-PAL, 2012 WL 1118949 (D. Nev. Apr. 2, 2012)

Fifth Circuit: “We conclude that the Stored Communications Act … does not apply to data stored in a personal cell phone.”

Garcia v. City of Laredo, —F.3d—, 2012 WL 6176479 (5th Cir. Dec. 12, 2012)

On appeal, the Fifth Circuit affirmed the district court’s interpretation of the Stored Communications Act (“SCA”) and concluded that it does not apply to data stored in a personal cell phone.

Plaintiff was previously employed as a police dispatcher for the City of Laredo.  On November 15, 2008, Plaintiff’s cell phone was removed from her unlocked locker by an officer’s wife who then shared its contents with the city’s deputy assistant city manger and the interim/assistant police chief because she believed that she had discovered evidence of Plaintiff’s violations of department policy.  Later, investigators successfully downloaded one video recording and more than thirty digital images from Plaintiff’s phone, but were unable to download text messages.  Following further investigation it was determined that Plaintiff had violated department rules and regulations and she was terminated from her employment.

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On Remand, Court Finds Rambus’ Spoliation was in Bad Faith and Resulted in Prejudice, Holds Patents-in-suit Unenforceable Against Micron

Micron Tech., Inc. v. Rambus, Inc., No. 00-792-SLR (D. Del. Jan. 2, 2013)

Following remand from the Federal Circuit, the District Court considered the question of “whether Rambus acted in bad faith when it engaged in spoliation and the nature and extent of any prejudice suffered by Micron as a result . . . .” and found that “Rambus’ spoliation was done in bad faith, that the spoliation prejudiced Micron, and that the appropriate sanction [was] to declare the patents-in-suit unenforceable against Micron.”

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Citing General Counsel’s Willful Failure to Preserve and Other Violations, Court Orders Partial Default Judgment, an Adverse Inference Instruction & Monetary Sanctions

Day v. LSI Corp., No. CIV 11-186-TUC-CKJ, 2012 WL 6674434 (D. Ariz. Dec. 20, 2012)

In this case arising from the alleged breach of an employment contract, discrimination, and related claims, the court found that Defendant was “at fault” for failing to preserve relevant evidence and imposed serious sanctions accordingly.  Notably, the court’s analysis focused significantly on the actions of Defendant’s General Counsel, who the court found had “at least acted willfully” in his failure to preserve particular evidence, and also relied, in part, on Defendant’s failure to follow its own document retention policies.

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Court Addresses What Constitutes “Bad Faith,” Imposes Adverse Inference & Monetary Sanctions

Bozic v. City of Washington, No. 2:11-cv-674, 2012 WL 6050610 (W.D. Pa. Dec. 5, 2012)

Addressing Plaintiff’s accusation of spoliation based on the destruction of the contents of an audio tape, the court considered “the requisite mental state or level of scienter” necessary to establish bad faith, as is required in the Third Circuit, and found that the circumstances surrounding the destruction established sufficient culpability, that it was “highly likely” that Plaintiff was materially prejudiced, and that “no lesser sanction than at least a spoliation adverse inference would avoid substantial unfairness” and ordered an adverse inference and monetary sanctions.

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Eisai v. Sanofi-Aventis U.S., LLC, No. 08-4168 (MLC), 2012 WL 1299379 (D.N.J. Apr. 16, 2012)

Key Insight: Court denied plaintiff?s motions to compel discovery from an additional 175 custodians and an additional 27 custodians (two separate requests) upon its determination that the requests were cumulative or duplicative and that the burden outweighed the potential benefit; of note was the significant expenditures of the defendants on already-produced discovery and the volumes produced as well as the estimated cost of the additional requested discovery, where the estimated burden of producing the additional 175 custodians was 140,00 hours of manpower and roughly $15 million dollars?an amount that exceeded the expected value of plaintiff?s claim

Electronic Data Involved: ESI from 200+ custodians

Pacificorp v. N.W. Pipeline GP, No. 3:10-cv-00099-PK, 2012 WL 6131558 (D. Or. Dec. 10, 2012)

Key Insight: Addressing issue of taxable costs related to electronic discovery, court allowed recovery of costs related to ?converting already selected files into a database,? bates stamping, conversion to searchable PDF, and storage of electronic data but denied recovery as to collecting documents and culling them for responsiveness

Electronic Data Involved: Taxable costs related to ESI

Bull v. United Parcel Service, Inc., 665 F.3d (3d Cir. 2012)

Key Insight: Circuit court found that ?producing copies in instances where the originals have been requested may constitute spoliation if it would prevent discovering critical information,? but also found that in the present case the District Court abused its discretion ?in ruling that, within its spoliation analysis, Bull intentionally withheld the original documents from UPS? and further abused its discretion when it imposed the sanction of dismissal with prejudice

Nature of Case: Employment litigation

Electronic Data Involved: Copies of hardcopy doctor’s notes

Gonzalez v. Las Vegas Police Dept., No. 2:09-cv-00381-JCM-PAL, 2012 WL 1118949 (D. Nev. Apr. 2, 2012)

Key Insight: Where video surveillance tape was destroyed in contravention of duty to preserve, the court nonetheless denied plaintiff?s motion for sanctions (an adverse inference) where it determined that there was no prejudice to plaintiff because defendants identified the three officers/employees who processed plaintiff on the night of the allegedly wrongful arrest and because defendants conceded that the initial booking processes indicated that plaintiff was not the person sought by the relevant warrant

Nature of Case: Violation of civil rights (wrongful arrest) and related claims

Electronic Data Involved: Video surveillance

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