Kemp v. Pfizer, Inc.

152 F.R.D. 556, 1993 U.S. Dist. LEXIS 18778, 1993 WL 548718
Procedural entryThis page is a short order in Kemp v. Pfizer, Inc.. Read the opinion of the Court — 835 F. Supp. 1015
District Court, E.D. Michigan·Decided December 23, 1993·No. Civ. A. No. 92-71386·Published

Opinion

MEMORANDUM OPINION AND ORDER DENYING PLAINTIFFS’ MOTION FOR DEFAULT JUDGMENT

GADOLA, District Judge.

On October 13, 1993, plaintiffs filed a motion for default judgment based upon alleged misconduct by defendants during the discovery process and because defendants’ witnesses and attorneys committed perjury. Pursuant to Local Rule 7.1(e)(2) (E.D.Mich. Jan. 1, 1992), the court dispensed with oral argument. For the reasons discussed below, the court will deny plaintiffs’ motion.

I. Standard of Review

This court will impose a default judgment as a sanction only in cases of “egregious misconduct.” Regional Refuse Sys., Inc. v. Inland Reclamation Co., 842 F.2d 150, 155 (6th Cir.1988). Such a sanction is “a drastic remedy and should be resorted to only in extreme situations” and as a last resort. Charlton L. Davis & Co., P.C. v. Fedder Data Center, Inc., 556 F.2d 308, 309 (5th Cir.1977). In a case where a party has failed to cooperate in discovery, dismissal is warranted only where there has been a showing of “willfulness, bad faith, or fault.” Patton v. Aerojet Ordnance Co., 765 F.2d 604, 607 (6th Cir.1985). In making its decision, the court will consider such factoi's as (1) whether plaintiffs were prejudiced by defendants’ misconduct; (2) whether defendants were warned that their conduct could result in a default judgment; and (3) whether “less drastic sanctions were imposed or considered” before entering a default judgment. Regional, 842 F.2d at 155.

II. Discovery Misconduct

Plaintiffs allege the following acts of misconduct by defendants during the discovery process: (1) defendants retained one of plaintiffs’ expert witnesses; (2) defendants manipulated the contents of the Kemp Product Complaint Review file (“PCR file”); (3) defendants destroyed a deposition exhibit; and (4) defendants removed the PCR file from a stipulated documents examination by plaintiffs’ expert. The court will examine each of these allegations in turn.

[558]*558A. Dr. Frederick Schoen

Plaintiffs have accused defense counsel of contacting and retaining an expert witness who already appeared on plaintiffs’ witness list and for whom plaintiffs had submitted a summary of testimony.

In September 1992, plaintiffs’ counsel first contacted Dr. Frederick Schoen, an expert cardiac pathologist. In response, Dr. Schoen sent plaintiffs’ counsel his resume. Plaintiffs have not established that they retained Dr. Schoen as their expert. They did name him on their witness lists in February 1993 and April 1993, provide his curriculum vitae to defense counsel in July 1993, and provide a summary of his testimony to defense counsel in August 1993. On September 23, 1993, plaintiffs’ counsel contacted Dr. Schoen to discuss the case. Dr. Schoen indicated that he had been retained by defendants as a consultant in connection with heart valve litigation and that he would not consult with plaintiffs.

Defense counsel has established, however, that Dr. Schoen assured them that he had not been retained in any other case involving-heart valves manufactured by defendants. Defendants contend that plaintiffs never retained Dr. Schoen and that attorneys working on an entirely different case for defendants, but belonging to the same firm, were the ones who contacted the doctor. Dr. Schoen was not contacted or retained by the attorneys working on this case.

The court finds that plaintiffs have failed to show that the retention of Dr. Schoen by defendants will cause any prejudice to their case. Plaintiffs have retained three other cardiac experts in this matter. Additionally, plaintiffs have not established that they even retained Dr. Schoen, or that defense counsel acted in bad faith. At its worst, counsel for defendants should have been more careful in coordinating the activities of the various attorneys working on heart valve litigation for defendants. A lack of caution, without more, does not justify a default judgment.

B. PCR File Manipulation

Plaintiffs have made several strong allegations that defendants manipulated and altered the contents of the PCR file during the course of discovery. Plaintiffs have submitted a chart detailing missing portions of the PCR file and defendants’ misconduct.

The court finds, however, that plaintiffs’ allegations are without merit. The documents that were allegedly missing from the file can be easily explained. In several instances, defendants asserted claims of attorney/client or work product privilege for the “missing” documents. Their absence was noted by page markers. The magistrate judge in this case later ruled on defendants’ privilege claims. One document was added to the file during discovery, not because it had previously been withheld, but simply because it had not existed until some time after discovery had been underway. Three other “missing” “documents” were simply page markers used to note the removal of a privileged memorandum. Four other documents were never part of the PCR file because it was defendants’ practice not to store them in that particular file. In any event, plaintiffs have not established either prejudice to their case or bad faith or willfulness on the part of defendants. As a result, explainable inconsistencies in the contents of the PCR file do not rise to the level of egregious misconduct deserving of a default judgment.

C. Destruction of Deposition Exhibit

Plaintiffs allege that defendants destroyed the original of a deposition exhibit so as to prejudice their case. On June 29,1993, plaintiffs took the deposition of Kathleen Schuman, a paralegal employed by one of the defendants. At the deposition, five items were marked as exhibits. Exhibit 4 was a page marker that was placed in a file to represent a document that defendants claimed was privileged. On July 22, 1993, counsel for plaintiffs noticed that exhibit 4, the page marker, was missing. Apparently, counsel for defendants had lost the original copy of the page marker, but had retained a copy of it. Exhibit 4 reads in full as follows:

DOCUMENT MEMORANDUM

One page has been removed from this file because it is privileged.

It seems that plaintiffs’ argument is that the original copy of exhibit 4 may have been [559]*559imprinted with handwriting from a document that was placed over the page marker, and that using ESDA analysis they may have found something favorable to their case.1

The court, however, finds that the loss of the page marker was merely accidental and that plaintiffs have demonstrated no prejudice to their case. The page marker was inserted in May 1993, over a year after the start of the litigation. It seems unlikely that incriminating statements would have been written on top of the page marker during the few months it may have been in the PCR file. It is apparent that plaintiffs have made a mountain out of a mole hill, and that the loss of a page marker cannot serve as the basis for a default judgment.

D. Removal of PCR File

Plaintiffs complain that the PCR file was removed by defense counsel from a documents examination conducted by plaintiffs’ expert witness.

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Kemp v. Pfizer, Inc., 152 F.R.D. 556, 1993 U.S. Dist. LEXIS 18778, 1993 WL 548718 (E.D. Mich. 1993).

152 F.R.D. 556 (Kemp v. Pfizer, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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