Blue Chip Alliance, LLC v. CHETU, Inc.

District Court, S.D. Florida·Decided February 13, 2025·No. 0:22-cv-61602·Unknown

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF FLORIDA

CASE NO. 0:22-cv-61602-LEIBOWITZ/REID

BLUE CHIP ALLIANCE, LLC,

Plaintiff, v.

CHETU, INC.,

Defendant. _____________________________________/

ORDER

THIS CAUSE is before the Court on Plaintiff’s Motion to Strike Defendant’s Late Disclosed Rebuttal Expert or in the Alternative Daubert Motion to Exclude Testimony of Gaurav Sharma (“Plaintiff’s Motion”) [ECF No. 191] and Defendant’s Motion to Include and Admit Mr. Sharma as Rebuttal Expert Witness (“Defendant’s Motion”) [ECF No. 192], filed on October 2, 2024. Plaintiff filed a Response in Opposition to Defendant’s Motion [ECF No. 199]. Defendant did not file a Response to Plaintiff’s Motion. For the reasons stated below, Plaintiff’s Motion [ECF No. 191] is GRANTED, and Defendant’s Motion [ECF No. 192] is DENIED. I. Background Defendant seeks to have Mr. Gaurav Sharma (“Mr. Sharma”) serve as a rebuttal expert witness in this case. [ECF No. 192]. Plaintiff seeks to exclude Mr. Sharma on the basis that Defendant’s late disclosure of Mr. Sharma violates the Court’s Scheduling Order and Rule 26 of the Federal Rules of Civil Procedure. [ECF No. 191 at 2]. II. Applicable Legal Standards Under Rule 26(a)(2)(D) of the Federal Rules of Civil Procedure, a party must disclose expert testimony at the times and in the sequence that the court orders. Fed. R. Civ. P. 26(a)(2)(D). If the witness is one retained or specially employed to provide expert testimony in the case or one whose duties as the party’s employee regularly involve giving expert testimony, this disclosure must be accompanied by a written report. Fed. R. Civ. P. 26(a)(2)(B). For witnesses who are not required to provide a written report, their disclosure must state the following: (i) the subject matter on which the witness is expected to present evidence under Federal Rule of Evidence 702, 703, or 705; and

(ii) a summary of the facts and opinions to which the witness is expected to testify. Fed. R. Civ. P. 26(a)(2)(C). III. Discussion On May 3, 2023, the Court granted Defendant’s motion to extend the case management deadlines. [ECF No. 45]. The Court made clear that no further extensions would be granted absent extraordinary circumstances. [Id. at 2]. The updated deadline for the parties to exchange rebuttal expert witness summaries and reports as required by Fed. R. Civ. P. 26(a)(2) was September 8, 2023. [Id. at 1]. On September 8, 2023, the parties filed their trial witness lists. [ECF No. 64; ECF No. 65]. Defendant did not disclose any rebuttal expert witnesses and listed Mr. Sharma as a trial witness. [ECF No. 64]. On September 11, 2023, Defendant file a motion for extension of the discovery cutoff deadline. [ECF No. 67]. The motion said nothing about any issues with expert discovery. The Court denied the motion the same day for failure to show good cause for further extension on the basis that

Defendant had not shown it was diligent in pursuing discovery. [ECF No. 68]. On September 21, 2023, Defendant filed an amended trial witness list that now listed Mr. Sharma as a rebuttal expert witness. [ECF No. 75 at 4]. Defendant also provided an outline of what Mr. Sharma was expected to present evidence and testimony on as follows: Mr. Sharma is expected to present evidence and testimony in rebuttal to Blue Chip Alliance, LLC’s disclosed expert named Paul Reimer of eComp Consultants. Mr. Sharma is expected to opine on the following: A. the technology architecture decisions made during the Parties contractual relationship (the “Project”). B. the functionality of the Netspend Application Programmatic Interface (“API”) and Paychex API created by Chetu during the Project. C. the functionality of the Point of Sale (“POS”) system created by Chetu during the Parties contractual relationship. D. the specifications, functionality, and compatibility with APIs of the original POS system created by Blue Chip using JavaFX technology before the Project. E. the different versions of “technology stacks” and the lack of support for systems built on “legacy” technologies like JavaFX. F. the choice of programming language, including “C#” and “React Redux” to enable the POS systems to function in “offline mode”. G. the concept of “technical debt” in the software development life cycle. H. the benefits of using one API endpoint called “syncAPI”. I. whether it’s cost-effective to follow the technology decision of a Software Development Kit (“SDK”) for API integrations. J. technology and project management methodologies and best-practices, including “Agile”, “Waterfall”, and “Hybrid” models as well as concepts such as “regression testing”, “test driven development”, and “quality assurance”.

[ECF No. 75 at 4]. Plaintiff argues that Defendant’s amendment of its trial witness list on September 21, 2023, was “in reality, Defendant’s surreptitious vehicle to deliver a late disclosed ‘rebuttal expert’ witness in violation of the Court’s deadlines and Rule 26.” [ECF No. 191 at 2]. Plaintiff further argues that “[t]his late disclosure is not substantially justified and certainly not harmless[,]” and therefore, “the Court should strike the same under the dictates of Rule 37.” [Id.]. Plaintiff also notes that the disclosure does not meet the dictates of Rule 26(a)(2)(C), as it provides no summary of the facts and opinions to which the witness is expected to testify and therefore fails to satisfy the requirements of Daubert. [Id.]. Defendant did not respond to Plaintiff’s arguments and only submitted its Motion to include Mr. Sharma as a rebuttal expert. In Defendant’s Motion, Defendant concedes that its disclosure of Mr. Sharma as a rebuttal expert on September 21, 2023 “was indeed untimely[.]” [ECF No. 192 at 2]. Defendant explains that immediately prior to the September 8, 2023, deadline to disclose rebuttal experts, Defendant’s previously retained consulting expert advised that he would be unable to serve as an expert, which forced Defendant to submit its September 8, 2023, witness list without naming a testifying expert. [Id.]. Defendant decided that Mr. Sharma, who is a long-time employee of Defendant, was more than capable of serving as a rebuttal expert. [Id.]. Defendant’s position is that Mr. Sharma did not need to submit a “written report or summary or other requirements … under Fed. R. Civ. P. 26(a)(2)(B) … because Mr. Sharma was not retained or specially employed to provide expert testimony and his employment duties do not include regularly providing expert testimony[.]” [Id. at 3]. Therefore, Mr.

Sharma falls within the scope of Rule 26(a)(2)(C), rather than Rule 26(a)(2)(B), according to Defendant. Defendant argues that Mr. Sharma complied with Rule 26(a)(2)(C), as the September 21, 2023, disclosure “provided the subject matter Mr. Sharma was expected to testify and the facts and opinions to which he was expected to testify.” [Id.]. Defendant argues that there is no material prejudice to Plaintiff by the late disclosure of Mr.

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