Steven Vargo et al. v. EVO Transportation & Energy Services, Inc. et al.

CourtDistrict Court, D. New Mexico
DecidedMay 8, 2026
Docket1:24-cv-00301
StatusUnknown

This text of Steven Vargo et al. v. EVO Transportation & Energy Services, Inc. et al. (Steven Vargo et al. v. EVO Transportation & Energy Services, Inc. et al.) is published on Counsel Stack Legal Research, covering District Court, D. New Mexico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Steven Vargo et al. v. EVO Transportation & Energy Services, Inc. et al., (D.N.M. 2026).

Opinion

IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF NEW MEXICO

STEVEN VARGO et al.,

Plaintiffs,

v. No. 1:24-cv-00301-SMD-LF

EVO TRANSPORTATION & ENERGY SERVICES, INC. et al.,

Defendants.

MEMORANDUM OPINION AND ORDER

THIS MATTER is before the Court on its October 6, 2025, order to show cause (Doc. 86) and on Plaintiffs’ affidavit for attorney’s fees (Doc. 117). Having reviewed the parties’ briefings, the law, and otherwise being fully advised, the Court quashes its order to show cause and orders Defendants’ counsel to pay Plaintiffs $5,780 in reasonable expenses that Plaintiffs incurred litigating their second motion to compel discovery responses. BACKGROUND This case is a putative class action removed from New Mexico state court on March 27, 2024, under this Court’s diversity jurisdiction. See Doc. 1. Plaintiffs are New Mexico truck drivers who allege that the defendants, EVO Transportation and Energy Services, Inc. and EVO Services Group, LLC (collectively, “EVO”), failed to pay them overtime wages in violation of the New Mexico Minimum Wage Act. Doc. 1 at 1–2. On April 11, 2025, Plaintiffs filed a motion to compel discovery responses. Doc. 63. On June 12, 2025, the Court granted the motion in part and denied the motion in part, and required EVO to supplement its responses to certain interrogatories and requests for production no later than July 14, 2025. Doc. 74 at 1–2. On August 4, 2025, Plaintiffs filed a second motion to compel, alleging that Defendants only supplemented their responses to three of the interrogatories but not others. Doc. 76 ¶ 7. On September 23, 2025, after briefing and a hearing, the Court granted the second motion to compel and found that EVO had disobeyed the June 12,

2025, discovery order. Doc. 83. The Court again ordered Defendants to supplement their responses to the interrogatories no later than September 30, 2025, and set a deadline for Plaintiffs to file an affidavit of the reasonable expenses they incurred in filing their second motion to compel. Id. at 1–2. EVO did not supplement its responses by the September 30 deadline, and the Court ordered EVO to show cause no later than October 27, 2025, as to why they should not be sanctioned pursuant to Federal Rule of Civil Procedure 37(b)(2). Doc. 86 at 1. The Court also stayed Plaintiffs’ deadline to file their affidavit of reasonable expenses until after Plaintiffs received EVO’s supplemental interrogatory responses. Doc. 88. On October 27, 2025, EVO filed its response to the show cause order. Doc. 91. On November 3, 2025, Plaintiffs received

Defendants’ verified supplemental interrogatory responses. Doc. 95 at 1. On December 18, 2025, the Court reset the deadline for Plaintiffs to file their affidavit of reasonable expenses, Doc. 116 at 2, and Plaintiffs timely filed their affidavit on January 9, 2026, see Doc. 117. EVO timely filed a response to the affidavit on January 30, 2026, see Doc. 118, and Plaintiffs timely filed a reply on February 13, 2026, see Doc. 119. ANALYSIS I. The Court orders EVO’s counsel to pay Plaintiffs’ reasonable expenses resulting from the failure to comply with the Court’s June 12, 2025, discovery order.

Federal Rule of Civil Procedure 37(b) governs the imposition of sanctions on a party found to have disobeyed a court’s discovery order. See FED. R. CIV. P. 37(b). While the rule grants courts discretion as to what sanctions may be imposed, at a minimum, “the court must order the disobedient party, the attorney advising that party, or both to pay the reasonable expenses, including attorney’s fees, caused by the failure, unless the failure was substantially justified or other circumstances make an award of expenses unjust.” FED. R. CIV. P. 37(b)(2)(C).

Substantial justification within the meaning of Rule 37 is “a genuine dispute or if reasonable people could differ as to the appropriateness of the contested action” and connotes justification “to a degree that could satisfy a reasonable person.” Lester v. City of Lafayette, 639 F. App’x 538, 542 (10th Cir. 2016) (quoting Pierce v. Underwood, 487 U.S. 552, 565 (1988)). EVO argues that its failure to supplement its interrogatory responses was substantially justified because EVO’s counsel struggled to get in contact with EVO in September 2025 and learned near the end of the month that EVO’s general counsel had left the company. Doc. 118 at 2. EVO’s counsel was further informed of a new point of contact at EVO who was unfamiliar with the facts and unable to verify the supplemental interrogatory responses. Id. EVO’s counsel further learned that EVO’s prior discovery responses regarding its corporate structure may not

have been accurate, and EVO’s counsel promptly notified Plaintiffs’ counsel to alert them to these issues. Id. EVO argues it was unable to verify its supplemental responses, and EVO’s counsel thus “made the choice not to serve the draft supplementation, but instead to inform opposing counsel and the Court of the upheaval at EVO.” Id. EVO argues that this was a reasonable choice given the circumstances, and that its failure to provide the supplemental responses by the September 30, 2025, deadline was justified to the point of satisfying a reasonable person. Id. Plaintiffs argue that these above justifications are irrelevant to their fee affidavit because circumstances that occurred in September do not explain EVO’s failure to meet the initial July deadline that necessitated the second motion to compel. Doc. 119 at 4. The Court agrees with Plaintiffs. The Court ordered Plaintiffs to submit the pending fee affidavit because of EVO’s “failure to follow the Court’s June 12, 2025, order.” Doc. 83 at 2. The expenses listed in Plaintiffs’ fee affidavit involve only their counsels’ time on the motion and hearing regarding

EVO’s failure to meet the July 14, 2025, deadline. Doc. 117 at 10–11. EVO provides no explanation as to why its failure to comply with the June 12, 2025, order was substantially justified; rather, the circumstances that EVO raises occurred in September 2025, well after the July deadline. The second, September deadline was set only after the Court found that EVO violated the June order, Doc. 83 at 1, and EVO still failed to comply with this second order, Doc. 86 at 1. EVO’s explanation at most addresses its failure to comply with the second order but does nothing to explain its failure to comply with the first. The Court therefore orders reasonable expenses pursuant to Rule 37(b)(2)(C). The Court will order EVO’s counsel to pay those expenses. Attorneys have an obligation to ensure that their clients comply with discovery obligations and court orders. Sun River

Energy, Inc. v. Nelson, 800 F.3d 1219, 1229 (10th Cir. 2015). Counsel are further responsible for attempting in good faith to resolve discovery disputes amongst themselves before bringing them to the Court’s attention. Doc. 14 at 3–4 (scheduling order requiring a “reasonable effort to confer” regarding discovery disputes); FED. R. CIV. P. 37(a)(1). After the July 14, 2025, deadline had passed, Plaintiffs’ counsel alerted EVO’s counsel that EVO’s supplemental responses did not comply with the Court’s June order. Doc. 76 ¶¶ 8–9. EVO’s counsel responded merely: “We have already provided our supplemental responses. There is no more to say.” Id. ¶¶ 9–11; Doc. 76-1 at 2.

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Hensley v. Eckerhart
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Pierce v. Underwood
487 U.S. 552 (Supreme Court, 1988)
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Lippoldt v. Cole
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Jane L. v. Bangerter
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Sun River Energy, Inc. v. Nelson
800 F.3d 1219 (Tenth Circuit, 2015)
Lester v. City of Lafayette
639 F. App'x 538 (Tenth Circuit, 2016)
Ramos v. Lamm
713 F.2d 546 (Tenth Circuit, 1983)

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Steven Vargo et al. v. EVO Transportation & Energy Services, Inc. et al., Counsel Stack Legal Research, https://law.counselstack.com/opinion/steven-vargo-et-al-v-evo-transportation-energy-services-inc-et-al-nmd-2026.