Norfin, Inc. v. International Business Machines Corp.

74 F.R.D. 529, 24 Fed. R. Serv. 2d 894, 1977 U.S. Dist. LEXIS 17705
CourtDistrict Court, D. Colorado
DecidedJanuary 25, 1977
DocketCiv. A. No. 76-F-293
StatusPublished
Cited by15 cases

This text of 74 F.R.D. 529 (Norfin, Inc. v. International Business Machines Corp.) is published on Counsel Stack Legal Research, covering District Court, D. Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Norfin, Inc. v. International Business Machines Corp., 74 F.R.D. 529, 24 Fed. R. Serv. 2d 894, 1977 U.S. Dist. LEXIS 17705 (D. Colo. 1977).

Opinion

SHERMAN G. FINESILVER, District Judge.

In this patent infringement suit the Court has been asked to issue a protective order, to prevent or limit Defendant’s attempted deposition of Plaintiff’s expert' witness. In the suit, Plaintiff contends that Defendant has infringed patent no. 3,414,254 relating to photocopy machine collating devices. Defendant denies any infringement and affirmatively alleges that the ’254 patent is invalid, due to its obviousness at the time of the invention to persons having ordinary skill in the relevant art.

To support the validity of its patent, Plaintiff acquired the services of an independent expert having extensive experience in the field of design and development of electro-mechanical systems and products. In its “Summary of Plaintiff’s Expert’s Testimony,” Plaintiff stated that its expert, Dr. Robert C. Dean, “has had background in the design and development of office collators, specifically including overall product design for office collators to be used with duplicating machines.” Summary at 2.

[531]*531Dr. Dean is the founder of Creare Innovations, Incorporated, an independent consulting firm which has participated in the research and development of paper handling equipment for various companies, including Xerox Corporation. Xerox, of course, is a major competitor of Defendant I.B.M. in the field of office photocopy equipment.

As part of its contract with its clients, Creare Innovators and Dr. Dean promise to keep in confidence any information obtained by virtue of consulting activities with a client. Plaintiff employed Dr. Dean knowing of the self-imposed restrictions on his testimony. In an affidavit to the Court, Dr. Dean stated that he would terminate his relationship with Plaintiff rather than testify in any area that would violate his contractual obligations with non-parties to this litigation. The affidavit also indicates that Dr. Dean, prior to his employment for this case, has never been requested to analyze or express an opinion respecting the ’254 patent. Furthermore, it is stated that Dr. Dean was not even aware of the ’254 patent before his employment in this case.

A contested issue in this lawsuit is the validity, due to its obviousness, of the '254 patent. In Plaintiff’s summary of Dr. Dean’s testimony, it is asserted that the expert will “give expert testimony to assist in the determination of this issue” and the infringement issue. In particular,

Dr. Dean will testify concerning generally what efforts were being made in the art at the time the invention described in the ’254 patent was made to design collating equipment and the problems which were thought' to be important in such designs. Dr. Dean, from his experience in collator design, will describe the art and the nature and capabilities of the practitioner in the art.

Summary at 5 (emphasis added). Defendant has given notice of its desire to depose Dr. Dean concerning the facts and information learned and developed by Dr. Dean in his “prior experience.” With the notice of deposition, Defendant had issued a subpoena duces tecum, requiring the production of all publications authored by Dr. Dean and all documents, other than those prepared in connection with this litigation, referring to the sorting, collating or handling of paper. Defendant has agreed to keep any information received from Dr. Dean confidential and limit its use to the purposes of this lawsuit. Defendant has further agreed to submit confidential information of its own to Dr. Dean, providing that the same usage restriction is observed.

Plaintiff opposes the deposition of its expert on three grounds: (1) that the work done by Dr. Dean prior to his employment by Plaintiff is irrelevant; (2) that the prejudicial effect of allowing the deposition outweighs any possible probative value; and (3) that the deposition would violate Rule 26 of the Federal Rules of Civil Procedure.

We reject any contention that Dr. Dean’s prior work is not relevant to the issues in this lawsuit. Plaintiff’s own summary of Dr. Dean’s testimony, submitted before the instant motion was before the Court, belies any argument of irrelevancy. To the contrary, it seems clear that discovery involving Dr. Dean is reasonably calculated to lead to relevant, admissible evidence. Fed.R.Civ.P. 26(b)(1); Greene v. Raymond, 41 F.R.D. 11 (Colo.1966).

We also reject any argument that the deposition should be prevented because the prejudicial effect of allowing the deposition would outweigh any probative value of the information obtained. Initially, we note that this is more a standard for admissibility at trial rather than for use at this stage of the proceeding. See, Fed.R.Evid. 403; Smith v. Schiesinger, 168 U.S.App.D.C. 204, 513 F.2d 462 (1975). Further, determining probative value cannot be done outside of the context of the total evidence presented at trial. We recognize, however, that prejudice to a party has been a consideration in reviewing requests to discover an opponent’s expert testimony. Seven-Up Bottling Co. v. United States, 39 F.R.D. 1 (D.Colo.1966). Here, the prejudice arises from the possibility that Dr. Dean would [532]*532refuse to continue his participation in the lawsuit rather than be deposed. This eventuality is something which was known to Plaintiff from the beginning of its relationship with Dr. Dean, and which Plaintiff consciously chose to chance. If a discovery procedure is otherwise permissible, the Court will not prevent its use merely because a litigant or its expert witness, by contract, decides not to cooperate in legitimate discovery.

Finally, we do not believe that in this case, requiring Dr. Dean to attend a deposition without complying with the provisions of Rule 26(b)(4) contravenes the provisions of the Federal Rules of Civil Procedure. Rule 26 refers to discovery of facts and opinions held by an adversary’s experts. When it is anticipated that the expert will be used as a witness at trial, .and discovery is desired, a two-step procedure must be followed: First, written interrogatories may be served; Second, if additional dis-. covery is desired, leave of the court must be obtained. In this case, Defendant has neither filed such written interrogatories, nor requested leave of the Court to pursue its deposition of Dr. Dean. In this case, however, Rule 26(b)(4) is simply not applicable. That subsection states,

^Discovery of facts known and opinions held by experts, otherwise discoverable under the provisions of subdivision (b)(1) of this rule, and acquired or developed in anticipation of litigation or for trial, may b.e_jobtained onIy~fthrough the two^step procedure].

(Emphasis added.) In the instant case, the facts sought to be discovered are other than those developed in anticipation of litigation. Rather, in its Summary, Plaintiff has indicated Dr. Dean’s extensive experience in the area of office equipment collators.

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Bluebook (online)
74 F.R.D. 529, 24 Fed. R. Serv. 2d 894, 1977 U.S. Dist. LEXIS 17705, Counsel Stack Legal Research, https://law.counselstack.com/opinion/norfin-inc-v-international-business-machines-corp-cod-1977.