City of Colton v. American Promotional Events, Inc.

277 F.R.D. 578, 2011 WL 4906695
District Court, C.D. California·Decided October 13, 2011·No. Nos. EDCV 09-01864 PSG (SSx), CV 09-06630 PSG (SSx), CV 09-06632 PSG (SSx), CV 09-07501 PSG (SSx), CV 09-07508 PSG (SSx), and CV 10-00824 PSG (SSx)·Published·Cited by 19 cases

Opinion

MEMORANDUM AND ORDER DENYING PLAINTIFF UNITED STATES OF AMERICA’S MOTION FOR REVIEW OF SPECIAL MASTER’S AUGUST 1, 2011 REPORT RE ESI PRODUCTION

(Dkt. No. 924)

SUZANNE H. SEGAL, United States Magistrate Judge.

I.

INTRODUCTION

On August 1, 2011, the Honorable Venetta S. Tassopoulos (Ret.), in accordance with her designation as the Special Master in the above-captioned matter (see Dkt. No. 278), issued a Report resolving certain discovery disputes (the “Report”). (See Report of Special Master at Dkt. No. 877). These disputes involved Plaintiff United States of America (the “United States” or “Plaintiff’) and Defendants Goodrich Corporation (“Goodrich”) and Pyro Spectaculars, Inc. (“PSI”) (collectively, “Defendants”) and concerned the United States’ production of electronically [580]*580stored information (“ESI”) in response to the First Request for Production of Documents propounded by Defendants (the “Production Requests”).

On August 18, 2011, the United States filed Objections to and Motion for Review De Novo of Special Master’s Report and Order to Compel (the “Motion”). (Dkt. No. 924). On August 31, 2011, Defendant Goodrich filed an Opposition to the Motion (the “Opposition” or “Opp.”). (Dkt. No. 956). The United States filed a Reply in further support of the Motion on September 6, 2011 (the “Reply”). (Dkt. No. 963). On October 4, 2011, the Court held a hearing on the Motion.

As discussed in further detail below, the United States seeks an order vacating the Special Master’s August 1 Report and Order and denying Defendant Goodrich’s underlying Motion to Compel in Accordance with the Federal Rules of Civil Procedure (the “Motion to Compel” or “MTC”). (See Dkt. No. 804). As set forth in this Court’s prior order appointing the Special Master, all rulings by the Special Master (whether findings of fact or legal conclusions) shall be reviewed de novo by the Magistrate Judge. See Fed. R.Civ.P. 53(g)(3) (providing for de novo review); see also Order dated March 5, 2010 (“All rulings by the Special Master (whether findings of fact or legal conclusions) shall be reviewed de novo by the Magistrate Judge.”). (Dkt. No. 278). Any objections to the Magistrate Judge’s review of the Special Master’s ruling shall be made pursuant to the normally applicable rules. See Fed.R.Civ.P. 72(a). For the reasons stated below, the United States’ Motion for Review De Novo of the Special Master’s August 1 Report and Order is DENIED. The Court VACATES its prior Order of September 19, 2011, which stayed the August 1, 2011 Report of Special Master.

II.

THE PARTIES’ CONTENTIONS

In its underlying Motion to Compel, Goodrich contended that the United States failed to produce documents in accordance with the requirements of Rule 34(b) of the Federal Rules of Civil Procedure. (MTC at 1). Specifically, Goodrich argued that Rule 34(b)(2)(E)(i) required the United States either (1) to produce documents, including ESI, as they are kept in the usual course of business or (2) to organize and label the production to correspond to the Production Requests. (Id.). Goodrich sought an order requiring the United States to categorize each previously produced document by Production Request and to similarly label all future productions according to the categories in the Requests. (Id. at 2).

In its Motion before this Court, the United States contends that its production conformed to the requirements of Case Management Order No. 1 (the “CMO,” Dkt. No. 601), which, among other things, required the parties to post their productions to a common repository maintained by Encore Legal Solutions (“Encore”) in TIFF or JPEG format. (Motion at 1; see also CMO at 3). The United States argues that the agreement of the parties, as reflected in paragraph five of the CMO, supersedes the requirements set forth in Rule 34(b). (Motion at 2). The United States further argues that even if the CMO does not supersede the Federal Rules of Civil Procedure, Rule 34(b)(2)(E)(i)’s labeling requirement applies only to the production of “traditional” hard copy documents, not to ESI. (Id.) According to the United States, the production of ESI under the Federal Rules is governed solely by Rule 34(b)(2)(E)(ii), which specifies that ESI must be produced in the form in which it is ordinarily maintained or in another reasonably useable form. (Id.).

III.

THE SPECIAL MASTER’S ORDER

In the August 1 Report and Order, the Special Master concluded that the CMO does not exempt the parties from the requirements of Rule 34(b) and that Rule 34(b)(2)(E)(i), which governs the manner in which productions must be organized, applies to ESI as well as to traditional hard copy documents. (Report at 5-11). The Special Master noted that while the CMO reflects the parties’ agreement regarding the format in which ESI was to be produced, it does not expressly exempt the parties from the re[581]*581quirements of Rule 34(b). (Id. at 5). After a detailed analysis of the advisory committee notes and certain case law addressing Rule 34(b)(2)(E), the Special Master determined that subsections (i) and (ii) concern, respectively, the rules governing the organization and format of discovery productions and must be read conjunctively. (Id. at 6-11). The Special Master specifically found that the organizational requirements set forth in Rule 34(b)(2)(E)(i) apply to hard copy and ESI productions alike. (Id. at 8-9). The Special Master ordered the United States either to re-produce the ESI it had already produced as TIFFs or JPEGs in native format with metadata intact, or to categorize by Production Request the Bates numbers of all previously produced ESI. (Id. at 11). In addition, the Special Master ordered “all production of ESI in the future [to] be organized and labeled according to the categories in the request” unless the CMO is amended specifically to exempt the parties from the requirements of Rule 34(b)(2)(E) or the parties otherwise reach an agreement regarding the organization of ESI productions consistent with Rule 34. (Id. at 12).

IV.

DISCUSSION

A. The Controversy Is Not Moot Because It Is Capable Of Repetition

On August 12, 2011, pursuant to the Special Master’s Order, the United States reproduced in native format the ESI it had previously produced. (Opp. at 1). Goodrich consequently maintains that the present Motion is moot as to any prior production and that the United States’ request for an opinion applicable to future discovery does not present a case or controversy that is currently ripe for review. (Id.).

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City of Colton v. American Promotional Events, Inc., 277 F.R.D. 578, 2011 WL 4906695 (C.D. Cal. 2011).

277 F.R.D. 578 (City of Colton v. American Promotional Events, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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