Wednesday, June 16, 2010

WHAT IS DISCOVERY?

Many times while representing a client in a lawsuit when the discovery process begins, the clients have never heard the term "discovery" before. Basically, discovery is a gathering of information. It is conducted between parties before a case goes to trial so that all sides can gather information from the other parties and begin to prepare for trial. Sometimes the discovery process is beneficial in negotiating settlements before the case goes to trial. If not, the parties have sufficient information to proceed to trial. There are many different types of discovery that can be used. Some of the more common discovery tools are listed below:

Interrogatories -- Interrogatories are simply written questions from one party to another that must be answered (in writing) under oath.

Requests for Admission -- Request for admission are where one party asks another party to admit or deny various facts of the case.

Requests for Production of Documents -- Requests for production of documents are where one party asks another party to produce specific written documents or physical evidence that might be important in the case. These can include such things as letters, building plans, contracts, photographs, notes, etc.

Deposition -- Depositions are oral testimony that is taken under oath where one party can ask questions to obtain information and facts relevant to the case. Depositions can be conducted upon other parties to the case as well as witnesses.

Wednesday, June 2, 2010

LITIGATION COSTS

The Vons Companies, Inc. (Vons) owned property and entered into a contract with Lyle Parks Jr., Inc. (Parks) to improve Vons' real property. The contract contained an attorney's fees provision. After the work was completed, Parks gave Vons a separate warranty that work was completed, etc. This warranty (as well as the original contract) stated that Parks would fix any defects in his work for one year. The warranty did not contain an attorney's fees provision like the contract did. Before the year was over on the warranty, Vons sold its property to Mock Rank, Inc. (Mock). In the sale agreement, Vons sold "all of its rights, title and interest" in the warranty, but not the contract.

Two years after the sale, Mock sued both Vons (for failing to disclose water leaks among other things) and Parks (for breach of warranty and negligence, etc.). Before trial, Mock and Vons settled with Mock assigning its claims against Park to Vons. Vons prevailed in court over Parks on most of the issues. After the verdict, Vons filed a memorandum asking for costs and attorney's fees, which Parks objected to. The trial court denied Vons both its costs and attorney's fees. Vons appealed.

The Court of Appeal reversed the judgment of Vons so that they could obtain their costs since they were the prevailing party. But the Court of Appeal did not reverse the judgment of no attorney's fees since the claims were based on the warranty and not the contract. Since the warranty did not contain any attorney's fees provision, no attorney's fees should be awarded.