Court Awards $93,125.74 in Sanctions to Defendant in Kucala Enter. Case

Kucala Enter., Ltd. v. Auto Wax Co., Inc., 2004 WL 742252 (N.D.Ill. Apr. 6, 2004)

Here, the court ruled on the defendant’s request for fees and costs stemming from the plaintiff’s discovery abuses, and other discovery matters.

First, the court awarded the defendant $93,125.74 in sanctions (representing attorneys’ fees, computer consultant fees, and costs), disallowing certain amounts that it deemed were not incurred as a consequence of the plaintiff’s misconduct. Second, the court considered whether plaintiff’s payment of the sanction could be deferred until the end of the case, or whether it must be paid within five days (as previously ordered), and if payable now, whether default should be the consequence of nonpayment. The court ruled that 21 days was a more appropriate time frame to allow plaintiff to pay one-half of the award, and ordered that, if one-half the sanction was paid within 21 days, the remainder would be deferred until the end of the case. Third, the court denied without prejudice the defendant’s motion for permanent injunction or, in the alternative, for preliminary injunction based on non-payment of the sanction fee and bad faith litigation tactics. Fourth, the court ordered the parties to provide full responses to outstanding discovery. The court further ordered that the plaintiff thereafter file an affidavit of John Kucala attesting that he has complied with all outstanding discovery requests, including any emails written or received after the misconduct addressed in the October decision, full and complete responses to certain interrogatories, and any and all document requests to which presently existing documents respond. Plaintiff’s counsel was ordered to file a declaration to the same effect.

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