L-R: Gaby Colvin, Jacob Fargo, and Lara Flath of Skadden, Arps, Slate, Meagher & Flom. Courtesy photos Paying the Price: Recent Imposition of Monetary Sanctions to Ensure Compliance with New York's Discovery Rules
This article provides an overview of the rules that authorize courts to impose sanctions and examples of courts employing this power, particularly via monetary fines and other penalties, to deter discovery violations.
July 02, 2024 at 10:00 AM
7 minute read
Any client who has found themselves in litigation has undoubtedly heard from their counsel that compliance with discovery obligations is paramount. Several recent decisions, including by the First Department, emphasize the importance of faithfully adhering to those obligations and highlight courts' willingness to impose sanctions in the face of noncompliance.
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Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
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