Hydramar, Inc. v. General Dynamics Corp.

115 F.R.D. 147, 1986 U.S. Dist. LEXIS 20101
CourtDistrict Court, E.D. Pennsylvania
DecidedSeptember 22, 1986
DocketCiv. A. No. 85-1788
StatusPublished
Cited by13 cases

This text of 115 F.R.D. 147 (Hydramar, Inc. v. General Dynamics Corp.) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hydramar, Inc. v. General Dynamics Corp., 115 F.R.D. 147, 1986 U.S. Dist. LEXIS 20101 (E.D. Pa. 1986).

Opinion

MEMORANDUM AND ORDER

HANNUM, Senior District Judge.

This diversity action arises out of a Purchase Order Agreement entered into by the parties whereby, plaintiff Hydramar, Inc. [hereinafter Hydramar] agreed to design and fabricate for defendant General Dynamics Corporation [hereinafter General Dynamics] certain parts to be used by defendant in a ship construction project.

As a direct result of schedule and design changes made by General Dynamics, Hydramar alleges that it incurred substantial additional costs not contemplated by or included in the contract in completing the production of the goods. Before and after Hydramar submitted a formal written claim to General Dynamics for the additional costs, the plaintiff further claims defendant assured Hydramar and Hydramar’s creditors that Hydramar’s claims would be settled promptly and fairly. Based on defendant’s representations, plaintiff alleges that it continued to perform under the contract. Nevertheless, defendant allegedly refused to settle the claim reasonably, forcing plaintiff to file for bankruptcy and to incur damages over and above those directly resulting from General Dynamics’ breach of contract.

The plaintiff alleges in its complaint actions against the defendant for breach of contract (Count I), fraud and misrepresentation (Count II), breach of duty to negotiate in good faith (Count III), interference with present and future business and contract relationships (Count IV), destruction of a business as a going concern (Count V), negligence (Count VI), and unfair and deceptive acts and practices (Count VII). Defendant denies these allegations by asserting, inter alia, that it was justified in its conduct and that at all times material to this litigation, it negotiated and dealt with Hydramar with the utmost good faith and fair dealing.

Presently pending before this Court are the following six discovery motions:

1. Plaintiff, Hydramar, Inc.’s Motion To Compel Discovery From Defendant, General Dynamics Corporation;
2. Motion Of Plaintiff, Hydramar, Inc. To Stay Discovery Pending A Ruling By This Court On The Motion Of Hydramar, Inc. To Compel Discovery;
3. Defendant-In-Counterclaim, George Andrew Hlatky’s Motion To Stay Taking Deposition;
4. Defendant, General Dynamics Corporation’s Motion To Compel Discovery And For Sanctions Against Plaintiff, Hydramar, Inc. And Defendant-In-Counterclaim, George Andrew Hlatky;
[149]*1495. Motion Of General Dynamics Corporation For Leave To File Reply Memorandum; and
6. Defendant, General Dynamics Corporation’s Motion To Strike Hydramar, Inc.’s Reply Brief.

I. Plaintiff, Hydramar, Inc. ’s Motion To Compel Discovery From Defendant General Dynamics Corporation

Hydramar filed a motion to compel discovery by which it seeks information that bears on how General Dynamics handled plaintiff’s January 21, 1983 claim to adjust equitably the contract price. Hydramar contends that information of this sort is essential both to a determination of whether General Dynamics’ conduct was tortious as is alleged in Counts II — VII of plaintiff’s complaint and to a determination of whether General Dynamics negotiated and dealt with Hydramar with the utmost good faith and fair dealing as is alleged in the defendant’s answer to the plaintiff’s complaint.

The defendant objects to the discovery of this type information on the ground that it constitutes “opinion” work product. Specifically, defendant contends that the requested information was prepared in anticipation of litigation and that discovery of this information will reveal defendant’s trial strategy and related thoughts with respect to the breach of contract action alleged in Count I of plaintiff’s complaint. General Dynamics has not only objected to answering interrogatories and refused to comply with requests for the production of documents on this basis, but has also interposed the work product objection to questions propounded by plaintiff’s counsel to defendant’s employees at depositions.

Hydramar seeks to compel defendant to answer interrogatories numbered 15 and 39 in plaintiff’s first set of interrogatories, to comply with requests number 17 and 35 in plaintiff’s first request for the production of documents, to comply with requests numbered 3 and 5 in plaintiff’s second request for the production of documents and to provide full and complete answers to the questions propounded at the depositions of Paul Pelletier, Leroy Bennett and James Muir, to which the defendant objected and instructed the deponent not to answer.

The burden of demonstrating that a document is protected as work product rests with the party asserting the doctrine. Conoco Inc. v. United States Dept. of Justice, 687 F.2d 724 (3d Cir.1982). In the present case, General Dynamics asserts that the documents and the information sought is protected from discovery because it is work product. Thus, General Dynamics has the burden of proving that the document and information they seek to keep from plaintiff is in fact work product.

To establish its assertion that the documents and the information plaintiff seeks are protected from discovery by virtue of the work product doctrine, defendant must show first that the materials were in fact prepared in anticipation of litigation. The mere fact that litigation did eventually, ensue does not, by itself, cloak materials prepared by defendant’s attorneys witii the protection of the work product doctrine; the doctrine is not that broad. Binks Manufacturing Company v. National Presto Industries, Inc., 709 F.2d 1109 (7th Cir. 1983).

The Third Circuit has stated that a document will be recognized as being prepared in anticipation of litigation if in light of the nature of the document and the factual situation in the particular case, it can fairly be said that the document was prepared or obtained because of the prospect of litigation. In re Grand Jury Proceedings (FMC), 604 F.2d 798, 803 (3d Cir. 1979) (emphasis added); see In re Grand Jury Investigation, 599 F.2d 1224, 1229 (3d Cir.1979). Cf. In re Grand Jury Investigation (Sturgis), 412 F.Supp. 943, 948 (E.D.Pa.1976) (Advising a client about matters which may or even likely will ultimate ly come to litigation does not satisfy the “in anticipation of” standard).1

[150]*150The Court finds from the papers submitted by the parties that the defendant has failed to meet its burden of proving that documents generated prior to May 13, 1983 that plaintiff seeks to discover were prepared or obtained because of the prospect of litigation.2

Free access — add to your briefcase to read the full text and ask questions with AI

Related

WSSA, LLC v. Safran
M.D. Pennsylvania, 2019
Cottillion v. United Refining Co.
279 F.R.D. 290 (W.D. Pennsylvania, 2011)
In re Processed Egg Products Antitrust Litigation
278 F.R.D. 112 (E.D. Pennsylvania, 2011)
Faloney v. Wachovia Bank, N.A.
254 F.R.D. 204 (E.D. Pennsylvania, 2008)
Connecticut Indemnity Co. v. Carrier Haulers, Inc.
197 F.R.D. 564 (W.D. North Carolina, 2000)
United States v. Ernstoff
183 F.R.D. 148 (D. New Jersey, 1998)
Smith v. Logansport Community School Corp.
139 F.R.D. 637 (N.D. Indiana, 1991)
Harper v. Auto-Owners Insurance
138 F.R.D. 655 (S.D. Indiana, 1991)
Winter Panel Corp. v. Reichhold Chemicals, Inc.
124 F.R.D. 511 (D. Massachusetts, 1989)
Hydramar, Inc. v. General Dynamics Corp.
119 F.R.D. 367 (E.D. Pennsylvania, 1988)

Cite This Page — Counsel Stack

Bluebook (online)
115 F.R.D. 147, 1986 U.S. Dist. LEXIS 20101, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hydramar-inc-v-general-dynamics-corp-paed-1986.