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Rimkus Consulting Group Inc. v. Cammarata - Ballard Spahr LLP

Rimkus Consulting Group Inc. v. Cammarata - Ballard Spahr LLP

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Case 4:07-cv-00405 Document 450 Filed in TXSD on 02/19/10 Page 10 of 139<br />

of Am., 2 F.3d at 1410 (“When parties or their attorneys engage in bad faith conduct, a court<br />

should ordinarily rely on the Federal Rules as the basis for sanctions.”).<br />

When inherent power does apply, it is “interpreted narrowly, and its reach is limited<br />

by its ultimate source—the court’s need to orderly and expeditiously perform its duties.”<br />

Newby v. Enron Corp., 302 F.3d 295, 302 (5th Cir. 2002) (footnote omitted) (citing<br />

Chambers, 501 U.S. at 43). In Chambers, the inherent power was linked to the bad-faith<br />

conduct that affected the litigation. See 501 U.S. at 49. If inherent power, rather than a<br />

specific rule or statute, provides the source of the sanctioning authority, under Chambers, it<br />

may be limited to a degree of culpability greater than negligence.<br />

Rule 37(b)(2)(A) provides:<br />

If a party or a party’s officer, director, or managing agent--or a<br />

witness designated under Rule 30(b)(6) or 31(a)(4)--fails to<br />

obey an order to provide or permit discovery, including an order<br />

under Rule 26(f), 35, or 37(a), the court where the action is<br />

pending may issue further just orders. They may include the<br />

following:<br />

(i) directing that the matters embraced in the order or other<br />

designated facts be taken as established for purposes of the<br />

action, as the prevailing party claims;<br />

(ii) prohibiting the disobedient party from supporting or<br />

opposing designated claims or defenses, or from introducing<br />

designated matters in evidence;<br />

(iii) striking pleadings in whole or in part;<br />

(iv) staying further proceedings until the order is obeyed;<br />

(v) dismissing the action or proceeding in whole or in<br />

part;<br />

(vi) rendering a default judgment against the<br />

disobedient party; or<br />

(vii) treating as contempt of court the failure to obey any<br />

order except an order to submit to a physical or mental<br />

examination.<br />

10

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