Scripps Health v. Nautilus Insurance Company

District Court, S.D. California·Decided January 15, 2023·No. 3:21-cv-01634·Unknown

Opinion

SCRIPPS HEALTH, Case No.: 21-CV-1634-AJB(WVG)

Plaintiff, ORDER DENYING IN PART v. WITHOUT PREJUDICE AND DENYING IN PART WITH PREJUDICE JOINT MOTION TO Defendant. TAKE DEPOSITIONS OF THIRD- PARTY WITNESSES AFTER FACT DISCOVERY CUT-OFF [ECF No. 58] On January 13, 2023, the Parties filed a Joint Motion to Take Depositions of Third Party Witnesses After Fact Discovery Cut-Off Due to Unavailability (“Joint Motion”). (ECF No. 58.) The Joint Motion requests the Court continue the fact discovery deadline to afford the Parties additional time to conduct six third-party witness deposition. Id. For the reasons set forth below, the Joint Motion is DENIED in part without prejudice and DENIED in part with prejudice. When determining whether it would be appropriate to modify a scheduling order, courts must abide by the standard set forth by Rule 16(b)(4) of the Federal Rules of Civil Procedure (“Rule 16(b)(4)”). Rule 16(b)(4) provides a schedule may be modified only for good cause and with the judge’s consent. Rule 16(b)(4)’s “good cause” standard primarily considers the diligence of the party seeking the amendment. “Good cause” exists if a party demonstrates the schedule “cannot reasonably be met despite the diligence of the party seeking the extension.” Johnson v. Mammoth Recreations, Inc., 975 F.2d 604, 609 (9th Cir. 1992) (citing to Fed.R.Civ.P. 16 advisory committee’s notes (1983 amendment); Harrison Beverage Co. v. Dribeck Importers, Inc., 133 F.R.D. 463, 469 (D.N.J.1990); Amcast Indus. Corp. v. Detrex Corp., 132 F.R.D. 213, 217 (N.D.Ind.1990); Forstmann v. Culp, 114 F.R.D. 83, 85 (M.D.N.C. 1987); 6A Wright, Miller & Kane, Federal Practice and Procedure § 1522.1 at 231 (2d ed. 1990) (“good cause” means scheduling deadlines cannot be met despite party’s diligence). The party seeking to continue or extend the deadline bears the burden of showing good cause. See Zivkovic v. S. Cal. Edison Co., 302 F.3d 1080, 1087 (9th Cir. 2002); Johnson, 975 F.2d at 608. In addressing the diligence requirement, another District Court in this Circuit has explained: [To] demonstrate diligence under Rule 16’s “good cause” standard, the movant may be required to show the following: (1) that she was diligent in assisting the Court in creating a workable Rule 16 order; (2) that her noncompliance with a Rule 16 deadline occurred or will occur, notwithstanding her diligent efforts to comply, because of the development of matters which could not have been reasonably foreseen or anticipated at the time of the Rule 16 scheduling conference; and (3) that she was diligent in seeking amendment of the Rule 16 order, once it became apparent that she could not comply with the order. Jackson v. Laureate, Inc., 186 F.R.D. 605, 608 (E.D. Cal. 1999) (citations omitted). Carelessness is not compatible with a finding of diligence and offers no reason for a grant of relief. Johnson, 975 F.2d at 609. A court may consider the degree of prejudice to the party opposing the modification, but the focus of the inquiry is upon the moving party’s reasons for seeking modification. Id. citing to Gestetner Corp. v. Case Equip. Co., 108 F.R.D. 138, 141 (D.Me.1985). If that party was not diligent, the inquiry should end. Id. Additionally, this district’s Civil Local Rule 16.1(b) requires all counsel “take all steps necessary to bring an action to readiness for trial.” Civ. L.R. 16.1(b). This Court’s Civil Chamber Rule III(C) also states “[t]he dates and times set in the Case Management Conference Order will not be modified except for good cause shown. Fed. R. Civ. P. 16(b)(4).” J. Gallo Civ. Chambers R. III(C) (emphasis in original). a. Good Cause Does Not Exist to Extend the Fact Discovery Deadline The Joint Motion contends good cause exists to extend the fact discovery deadline as the Parties are unable to depose Mary Gallagher, Marcia Wylie, Gerard Varela, Chris Hubbard, Alliant Insurance Services Inc.’s Person Most Knowledge, and Clinton Heckethorn by the January 18, 2023 deadline due to unavailability of the witness, failure to respond to subpoena, or inability of Defendant to serve third party witnesses. (ECF No. 58 at 4-5.) Upon review of the Joint Motion, the Court does not find good cause exists to extend the fact discovery deadline as the Parties have not been demonstrated diligence (1) in assisting the Court with a creating a workable amended Scheduling Order; (2) in their efforts to locate, communicate with, and finalize availability of any of the six witnesses as it was reasonably foreseeable that scheduling depositions at the end of fact discovery during the holiday season would prove difficult; and (3) in seeking amendment to the Scheduling Order once it became apparent the Parties could not comply with the January 18, 2023 deadline for these six witnesses. i. Lack of Diligence Despite Extensive Fact Discovery Period This Joint Motion is the fifth motion seeking a continuance of the fact discovery deadline filed by the Parties. (ECF No. 13, 16, 36, 48, 58). On October 28, 2021, a Case Management Conference was held. (ECF No. 7.) On October 29, 2021, the Court’s first Scheduling Order was issued, setting the fact discovery deadline for March 25, 2022. (ECF No. 8.) The Parties subsequently sought and received two extensions of the fact discovery deadline. (ECF No. 13, 14, 24, and 26.) The current deadline is January 18, 2023. (ECF No. 26.) With discovery starting on October 28, 2021 and the current deadline of January 18, 2023, the parties will have had a combined fourteen and a half months to complete fact discovery. (ECF No. 8, 14, and 26.) As the Court recently granted in part another joint motion requesting continuance of the fact discovery deadline (ECF No. 50), extending the January 18, 2023 deadline solely for the purpose of allowing the Parties to depose third- party San Diego Tech Building Solutions by February 6, 2023, in total, the Parties will have had fifteen months to complete all fact discovery. (ECF No. 8, 14, 26, 50.) Despites this extensive fact discovery period, five days before the fact discovery cut- off the Parties now seek another extension of the deadline, for an undefined amount of time, in order to conduct six third-party witness depositions. (ECF No. 58.) Aside from one witness, no specificity is provided whatsoever to detail how much additional time is needed to schedule and conduct the depositions of the other five witnesses, many whom the Parties have been unable to reach to date. Id. This Joint Motion is the latest in a series of filings demonstrating the Parties’ pattern of waiting until the clock is about to strike midnight to seek additional time in light of their failure to timely raises issues and obtain help from the Court. (ECF No. 36-45, 47-50, 52, 56, 57, and 58.) As the Court plainly stated in its December 31, 2022 Order Granting in Part and Denying in Part a previous joint motion to continue the fact discovery deadline, “The Parties should not be surprised that waiting to schedule numerous depositions until the last two months of fact discovery, during the holiday season, without adequate planning in advance, may prove to be challenging.” (ECF No. 50.) Even though the Court admonished the Parties at that time, they waited an additional two weeks to raise the multiple issues related to Mary Gallagher, Marcia Wylie, Gerard Varela, Chris Hubbard, Alliant Insurance Services Inc.’s Person Most Knowledge, and Clinton Heckethorn’s deposition despite know

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Related

Jackson v. Laureate, Inc.
186 F.R.D. 605 (E.D. California, 1999)
Forstmann v. Culp
114 F.R.D. 83 (M.D. North Carolina, 1987)
Amcast Industrial Corp. v. Detrex Corp.
132 F.R.D. 213 (N.D. Indiana, 1990)
Harrison Beverage Co. v. Dribeck Importers, Inc.
133 F.R.D. 463 (D. New Jersey, 1990)