Comair Limited v. The Boeing Company

CourtDistrict Court, W.D. Washington
DecidedJune 21, 2024
Docket2:23-cv-00176
StatusUnknown

This text of Comair Limited v. The Boeing Company (Comair Limited v. The Boeing Company) is published on Counsel Stack Legal Research, covering District Court, W.D. Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Comair Limited v. The Boeing Company, (W.D. Wash. 2024).

Opinion

6 UNITED STATES DISTRICT COURT WESTERN DISTRICT OF WASHINGTON 7 AT SEATTLE

8 COMAIR LIMITED, CASE NO. C23-176 RSM

9 Plaintiff, ORDER GRANTING MOTION TO COMPEL 10 v.

11 THE BOEING COMPANY, ET AL.,

12 Defendants.

13 This matter is before the Court on Defendant Boeing’s Motion to Compel. Dkt. #68. 14 Plaintiff Comair Limited opposes. Dkt. #70. Neither party requests oral argument. 15 Boeing moves for “an order compelling Comair to (1) produce responsive ESI from prior 16 to May 2018, or explain why and when it destroyed that information; (2) present a corporate 17 representative for an in-person deposition in Seattle; and (3) for each individual noticed by 18 Boeing for deposition, either present that witness in person for deposition in Seattle or confirm 19 that Comair will not call that individual as a witness at trial.” Dkt. #68 at 5. 20 Comair is a South African commercial airline company. Dkt. #1. On January 29, 2010, 21 Boeing and Comair entered into an Aircraft General Terms Agreement (“AGTA”). Id. at 4. The 22 purpose of the AGTA was to set forth the parties’ general contract terms that would be 23 24 1 incorporated by reference into the parties’ separate, subsequent purchase agreements for Boeing 2 aircraft. 3 In September 2013, Comair and Boeing signed a Purchase Agreement for eight 737MAX 4 aircraft. Id. at 31. Boeing’s agreement to sell 737MAX aircraft to Comair was publicly 5 announced on March 19, 2014. Id. at 33. On February 26, 2019—four months after the Lion

6 Air Flight 610 crash— “Comair proudly accepted delivery of its first 737 MAX 8 from Boeing.” 7 Id. at ¶ 176. Under the terms of the Purchase Agreement, the second airplane was to be delivered 8 in 2019, the third in 2020, the fourth in 2021, the fifth and sixth in 2022, the seventh in 2023, and 9 the eighth in 2024. See id. Following the crash of Ethiopian Airlines Flight 302, “Boeing 10 suspended all 737 MAX deliveries, including the seven remaining aircraft” that Comair had 11 purchased. Id. at ¶ 191. In February 2020, Comair unilaterally purported to terminate the 2013 12 Purchase Agreement. Id. at ¶ 233. The parties disagree about the scope and lawfulness of 13 Comair’s termination, but Boeing agreed to cancel the second and third 737MAX deliveries. See 14 id. at ¶ 235. In February 2021, Comair rejected Boeing’s attempts to deliver the fourth 737MAX.

15 Id. 16 In May 2020, Comair “file[d] a business rescue proceeding in South Africa.” Id. at ¶ 234. 17 On February 3, 2021, Comair filed a Verified Chapter 15 Petition for Recognition of a Foreign 18 Main Proceeding in the U.S. Bankruptcy Court for the Southern District of New York. Id. at ¶ 19 236; see also In re Comair Limited (In Business Rescue), Case No. 21-10298-JLG (Bankr. 20 S.D.N.Y.). Comair ceased to operate in June 2022 and is now “in provisional liquidation and is 21 being administered by the joint provisional liquidators.” Id. at ¶ 234. 22 This case was brought on February 6, 2023. Dkt. #1. Discovery has not gone well. 23 Comair has agreed to conduct searches for ESI from January 1, 2013, to June 14, 2022. Dkt. 24 #69-10 at 4. Boeing alleges that “Comair has not produced a single electronically-stored 1 document dated prior to May 2018.” Dkt. #68 at 5. Boeing finds the overall size of Comair’s 2 ESI production suspicious—“only” 6,600 pages. Id. Comair has produced fewer than 400 3 emails. Id. Boeing says “more than half of Comair’s meager production consists of public media 4 articles, publicly-available reports, and contracts to which Boeing is a party.” Id. 5 Boeing’s second and third issues relate to Comair’s refusal to present witnesses for

6 deposition in this District. On March 21, 2024, Boeing served notices of deposition for: Erik 7 Venter, former CEO of Comair; Wrenelle Stander, former CEO of Comair; Martin Louw, former 8 Comair Director of Flight Operations; Derek Borer, former Secretary for Comair; Roy Clegg, 9 former Comair Fleet Chief Training Captain; Avi Bhatt, former Executive Managing Engineer 10 and Flight Development; and a 30(b)(6) representative. Id. at 7–8 (citing Dkt. #69-16). In April, 11 Comair responded to these notices by stating that the individuals were former employees, 12 directors, or officers who lived in South Africa, suggesting that Boeing would have to 13 domesticate subpoenas in South Africa for those witnesses to sit for a deposition, and inquiring 14 whether Boeing would agree to take the depositions remotely via Zoom if the individuals would

15 appear voluntarily. Id. at 9 (citing Dkt. #69-2 through #69-9). Boeing argues that Comair “has 16 not offered a single date, time, or place for Boeing to depose any witness.” Id. 17 The Court is satisfied that the parties have met and conferred about these issues. 18 “Parties may obtain discovery regarding any nonprivileged matter that is relevant to any 19 party’s claim or defense and proportional to the needs of the case, considering the importance of 20 the issues at stake in the action, the amount in controversy, the parties’ relative access to relevant 21 information, the parties’ resources, the importance of the discovery in resolving the issues, and 22 whether the burden or expense of the proposed discovery outweighs its likely benefit.” Fed. R. 23 Civ. P. 26(b)(1). If requested discovery is not answered, the requesting party may move for an 24 order compelling such discovery. Fed. R. Civ. P. 37(a)(1). The party that resists discovery has 1 the burden to show why the discovery request should be denied. Blankenship v. Hearst Corp., 2 519 F.2d 418, 429 (9th Cir. 1975). 3 “Generally, a plaintiff is required to submit to a deposition in the forum in which he 4 brought suit.” Cervantes v. City of Des Moines, No. C06-1714RSM, 2007 WL 9775555, at *1 5 (W.D. Wash. Oct. 16, 2007) (internal citation omitted); see also McNutt v. Swift Transportation

6 Co. of Arizona, LLC, No. C18-5668 BHS, 2020 WL 419487, at *1 (W.D. Wash. Jan. 27, 2020). 7 However, where a plaintiff can show good cause, a court may order the deposition to take place 8 elsewhere. Id.; see, e.g., In re Puerto Rico Elec. Power Authority, 687 F.2d 501, 507 (1st Cir. 9 1982) (indicating that a plaintiff is not compelled to attend a deposition in the forum in which he 10 brought suit if he can show undue burden or expense); see also Forde v. Urania Transp., Inc., 11 D.C.N.Y. 1958, 168 F.Supp. 240, 241 (finding that a plaintiff from Barbados was not compelled 12 to attend a deposition in New York where he lacked the finances to make the journey). 13 Regarding the first issue, ESI from January 1, 2013, to June 14, 2022, is obviously relevant 14 to Comair’s claims because this is when the Purchase Agreement at issue was negotiated and

15 executed. Comair argues that it “has already searched for, and has yet to locate” pre-May 2018 16 documents, and that “Comair cannot be compelled to produce something that it has not been able 17 to locate.” Dkt. #70 at 4. Comair essentially has no explanation for why it does not have 18 possession of pre-May 2018 ESI. The Court finds it unacceptable that Comair would not have a 19 clear idea of where these documents are at this stage in the litigation. Comair brought this case 20 to prove breach of a contract and other claims related to that contract, but it seems it cannot 21 produce any internal business records related to the negotiations for or execution of that contract. 22 The Court will compel production of all ESI materials from January 1, 2013, to June 14, 2022, to 23 be produced no later than 30 days from the date of this Order.

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Comair Limited v. The Boeing Company, Counsel Stack Legal Research, https://law.counselstack.com/opinion/comair-limited-v-the-boeing-company-wawd-2024.