In re Air Crash Disaster Near Chicago

90 F.R.D. 613, 32 Fed. R. Serv. 2d 319
CourtDistrict Court, N.D. Illinois
DecidedJune 23, 1981
DocketMDL No. 391
StatusPublished
Cited by5 cases

This text of 90 F.R.D. 613 (In re Air Crash Disaster Near Chicago) is published on Counsel Stack Legal Research, covering District Court, N.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re Air Crash Disaster Near Chicago, 90 F.R.D. 613, 32 Fed. R. Serv. 2d 319 (N.D. Ill. 1981).

Opinion

MEMORANDUM AND ORDER

Plaintiffs’ Committee for Liability Discovery has moved for sanctions against American Airlines, Inc. (American). They contend that American has obstructed and abused the discovery process throughout this action, and has ignored or disobeyed discovery orders of this court. Defendant American denies that any of its actions was improper, and requests costs and fees for responding to this motion. For the reasons hereinafter stated, plaintiffs’ motion will be granted in part and denied in part. De[614]*614fendant American’s motion for costs and fees will be denied.

This action was consolidated in this court by the Judicial Panel for Multidistrict Litigation for coordinated pretrial proceedings of the claims of persons killed or injured in the May 25, 1979, American Airlines DC-10 crash near O’Hare Airport. After initial efforts to avoid a liability trial appeared to be unsuccessful, the court permitted liability discovery to begin in April, 1980. Plaintiffs selected a discovery committee to coordinate all their liability discovery. This discovery committee served both defendants with requests for production, requests for admissions, interrogatories,. and deposition notices. The parties and the cou’t worked out a procedure for handling the discovery. Pretrial Order No. 8, Practice and Procedure Order. The order contemplated that all liability discovery, including depositions would be completed by September, 1980.

Liability discovery became necessary when many plaintiffs rejected defendants’ offered stipulation. The stipulation provided that each signing plaintiff would waive any claim for punitive damages and defendants would not contest their liability. The majority of plaintiffs, concerned with the wording of the stipulation or the possible availability of punitive damages, refused to stipulate. In their briefs, the parties expend great effort attacking or defending the stipulation. It is clear that whether or not the stipulation was a delaying tactic or a sincere good faith effort is irrelevant. While other factors may have played a role in the decision not to sign the stipulation, the major concern clearly was a reluctance to waive possible recovery of punitive damages.

On May 29, 1980, after extensive briefing of the issue, we held that punitive damages might be asserted against defendant McDonnell Douglas Corporation, but not against defendant American Airlines. 500 F.Supp. 1044. On January 5, 1981, the Court of Appeals for the Seventh Circuit reversed that decision as to McDonnell Douglas and affirmed as to American holding that, under the controlling Illinois law, neither defendant could be sued for punitive damages in a wrongful death action. 644 F.2d 594. Several plaintiffs have filed a petition for a writ of certiorari from that holding to the United States Supreme Court, which is currently pending.

From April to January, 1981, plaintiffs’ committee conducted its own discovery and participated in depositions and discovery noticed by the defendants. Plaintiffs contend that American’s actions throughout this period caused needless discovery costs and expenses so that all of the expenses for this period should be charged to American. Primarily, plaintiffs’ claims are based on three matters: 1) that American’s destruction of the “Eastburn report,” and its actions to conceal that destruction, directly and indirectly imposed excessive and unnecessary costs on plaintiffs; 2) that American’s failure to properly produce documents, as requested, and admit items requested in the plaintiffs’ request to admit further directly and indirectly imposed unnecessary costs on plaintiffs; 3) that American’s general failure to participate in good faith in discovery proceedings directly and indirectly led to additional unnecessary costs and delays.

American denies that any of its actions during discovery violated or contravened any court orders, or that it acted in any improper manner throughout these proceedings. American suggests that the motion is so frivolous and baseless that cost sanctions should be imposed on plaintiffs.

Scope of Sanctions

Plaintiffs’ Committee has requested that American be required to pay all fees and expenses incurred by the discovery committee. American, on the other hand, contends that all these fees and expenses are unrelated to its conduct. It is clear that some of these expenses and fees are unrelated to any conduct of defendant American in this litigation. It is also clear, however, that some of these fees and expenses resulted solely from American’s conduct in certain phases of the litigation.

The plaintiffs’ committee incurred costs and fees in the appeals to the Seventh [615]*615Circuit Court of Appeals of this court’s decisions on punitive damages and prejudgment interest. The fees and expenses related to those appeals clearly could bear no causal relation to American’s conduct in discovery. Similarly, plaintiffs incurred expenses, and request fees, for depositions of McDonnell Douglas, NTSB, and FAA personnel. Again, these costs and whatever fees are associated with them bear no apparent relation to American’s conduct.

The more difficult question relates to depositions of American employees, court appearances, conferences, and other costs related to motions to compel testimony and production by American, as well as appearances and conferences, redepositions and motions associated therewith. After review of the record in this action, it is apparent that many of these costs were incurred or increased due to American’s conduct.

In order to ascertain which costs and fees are properly assessable against American, the conduct of the discovery in this action, and American’s role in that process must be considered.

Discovery Proceedings in MDL 391

In addition to reviewing the history of American’s actions in the Eastburn matter, it is also relevant to consider the actions and statements of American counsel at hearings in this court. On May 29, 1979, Judge Gilberto of the Circuit Court! of Cook County, Illinois, entered an order directing the preservation of all records of MDC and American relating to, or which might be relevant to the May 25, DC-10 accident. A few days later, on plaintiffs’ motion for a similar order in the District Court for the Northern District of Illinois, counsel for American advised Judge Hoffman of the existence of the state protective order, and agreed that American would destroy no documents that plaintiffs might attempt to obtain through discovery. Accordingly, no federal court preservation order was entered. At numerous times, in this court, when liability discovery was discussed, counsel and the court relied upon the Circuit Court preservation order.

On April 20, 1980, counsel for American stated in open court that they had complied with plaintiffs’ request for documents except where objections to the production would be made. Objections, primarily that the request called for post-accident remedial measures, were made in May, 1980, and a motion to compel production was filed May 22, 1980. After briefing of this issue, the court, during the September 23, 1980, pretrial conference, overruled the objections except as to possible attorney-client and work product privilege. The court directed that any documents for which a privilege claim was being made be submitted in camera. The written order directing that submission was signed October 8, 1980. On November 6, 1980, MDC brought a motion to compel production. The court again directed American to submit all “privileged” documents in camera

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

Related

United Medical Supply Co. v. United States
77 Fed. Cl. 257 (Federal Claims, 2007)
Klupt v. Krongard
728 A.2d 727 (Court of Special Appeals of Maryland, 1999)
Joseph F. Mansfield v. Deborah Ann Wills Mansfield
Court of Appeals of Tennessee, 1995
Turner v. Hudson Transit Lines, Inc.
142 F.R.D. 68 (S.D. New York, 1991)
Kramer v. Boeing Co.
126 F.R.D. 690 (D. Minnesota, 1989)

Cite This Page — Counsel Stack

Bluebook (online)
90 F.R.D. 613, 32 Fed. R. Serv. 2d 319, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-air-crash-disaster-near-chicago-ilnd-1981.