Date: 2012-09-07. Docket: CV-10-15000. Leach, J. | Link
This decision relates to three motions, one of which involves an order compelling the defendants to produce a further and better affidavit of documents and to permit inspection of certain documents prior to oral examinations. Prior to his death, Mr. Petrasovic advanced at least $225,000 to the defendant corporation. Whether Mr. Petrasovic advanced the funds as a shareholder investor or creditor, and the manner in which the defendant made payments to Mr. Petrasovic and his estate are disputed. The parties did not have a discovery plan and disputed what documentation exists and what documentation had already been produced. The court found that “the parties’ mutual non-compliance with Rule 29.1 seems to have contributed greatly to producing the sort of wasteful and inefficient exercise in discovery dispute resolution the rule was designed to avoid”. The court considered proportionality and ordered the defendants to produce financial statements for the year in which Mr. Petrasovic allegedly acquired his shares, and all subsequent years, in addition to all further documents the defendants claim have been provided. The court also confirmed that the defendants are not obligated to create documents not already in existence.