Gibbons Law Alert

Gibbons Law Alert Blog

The Sedona Conference’s Proportionality Guidelines Encourage Reasonable Limits on Scope of E-Discovery

Posted in Litigation Preparedness and Strategies

On November 8, 2010

The Sedona Conference’s most recent publication, Commentary on Proportionality in Electronic Discovery, sets forth six guidelines for assessing whether a discovery request or obligation should be limited because it is disproportionate to the likely benefit. The Sedona Conference noted that courts have often failed to apply the proportionality doctrine when warranted and that it is increasingly important for courts to do so given the volume and expense associated with discovery of ESI. The Federal Rules of Civil Procedure provide ample authority for, and in some instances mandate, the application of a proportionality analysis. See Rule 26(c), Rule 26(b)(2)(C), and Rule 26(g). The New Jersey Court Rules are closely modeled after the Federal Rules in this respect. See R. 4:10-2(g), 4:10-3.

Expert Panel Offers Advice On Executing Effective Legal Holds Following Pension Committee, Rimkus and Victor Stanley II At Gibbons Fourth Annual E-Discovery Conference

by Phillip J. Duffy

Posted in Litigation Preparedness and Strategies

On November 8, 2010

The failure to properly implement, monitor and refine legal holds can have devastating results, transforming manageable legal issues into high-stakes nightmares. To offer guidance on avoiding this, on Thursday, October 28, 2010, Gibbons P.C. held its Fourth Annual E-Discovery Conference, where it assembled a panel of experts for a roundtable discussion on legal hold best practices after the issuance this year of three must-read decisions on this topic: Pension Committee, Rimkus and Victor Stanley II.

What Employers Can Do About the Flu

by Gibbons P.C.

Posted in Policies and Handbooks

On November 5, 2010

Flu season is here. While the Centers for Disease Control and Prevention (CDC) currently is not reporting high levels of influenza outbreak or predicting pandemic levels of the virus this year, the flu will nevertheless impact businesses whose employees become ill and/or need to take time off for flu-related reasons. With a handful of restrictions, employers are permitted to adopt policies and practices to encourage flu prevention, to control workplace flu outbreaks and to maintain optimal efficiency during flu season, provided that their practices are applied consistently, non-discriminatorily and in keeping with published employment policies and handbooks.

New York Subdivision Law Amended to Allow Planning Boards Greater Flexibility in Granting Extensions

by Howard D. Geneslaw

Posted in Development/Redevelopment

On November 5, 2010

Due to the current economic climate and project financing difficulties, Section 276(7)(c) of the New York Town Law was recently amended to allow planning boards greater flexibility in extending subdivision approval beyond the two ninety (90) day extensions previously allowed. Town Law 276(7)(c) provides that a conditional final subdivision plat expires 180 days following the date of the resolution of approval unless all conditions are satisfied. It further authorizes planning boards to grant two extensions, having a duration of ninety (90) days each, after expiration of the original 180-day timeframe for satisfaction of conditions of approval.

Will the New Jersey Supreme Court Respect “Repose” for the Diligent Developer?

by Howard D. Geneslaw

Posted in Development/Redevelopment / Environmental and Green Issues / Transactional Real Estate and Leasing

On November 4, 2010

For a real estate developer in New Jersey, it seems that there is no “repose” when it comes to the finality of land use approvals. Repose you ask? While the word may garner images of warm weather days at poolside, a developer can only think of repose as the day the appeal period expires on hard-won land use approvals, especially after facing objecting citizens at multiple hearings.

Employee Personal Use of Company-Owned Electronic Devices in the Wake of Stengart and Quon

by Gibbons P.C.

Posted in E-Discovery: Legal Decisions and Court Rules / Policies and Handbooks

On November 3, 2010

In this technology age, employees increasingly make personal use of workplace electronic communications applications. The legal ramifications of such personal use – and how employers can create policies that balance the right to monitor the workplace with employees’ expectations of privacy – were examined in an informative panel discussion, “Electronic Communications Policies in the Wake of Stengart and Quon” during Gibbons P.C.’s Fourth Annual E-Discovery Conference on October 28, 2010.

Due Diligence in Acquiring Distressed Debt — Part One

by Russell B. Bershad

Posted in Transactional Real Estate and Leasing

On November 3, 2010

There is no shortage of buyers anxious to buy distressed mortgages. The simple reason is the possibility of substantial profit if a loan can be purchased at a significant discount and there is a realistic possibility that the borrower or, if it forecloses, the lender, will be able to salvage the property. This is the first of two articles about counseling clients in acquiring distressed commercial mortgage loans. Bankruptcy, special assets such as condominium properties and UCC foreclosures are beyond the scope of these articles.

Federal Judge Rules Government Failed to Preserve Text Messages and Orders Adverse Inference Instruction in Criminal Case

by Gibbons P.C.

Posted in E-Discovery: Legal Decisions and Court Rules

On November 2, 2010

On October 21, 2010, in the highly publicized New Jersey government corruption case U.S. v. Suarez, et ano., No. 09-932, 2010 U.S. Dist. LEXIS 112097 (D.N.J.), the Honorable Jose L. Linares, U.S.D.J., held that the FBI had a duty to preserve Short Message Service electronic communications (i.e., text messages) exchanged between its agents and their cooperating witness, Solomon Dwek, during the course of the investigation of defendants Anthony Suarez (mayor of Ridgefield, NJ) and Vincent Tabbachino (former Guttenberg, NJ councilman and police officer). Despite the lack of evidence of bad faith on the part of the government, because the text messages were not preserved, the Court found clear prejudice to defendants and ordered that the appropriate sanction was a “permissive” adverse inference jury instruction.

Uncertainty Over Extension of Reduced Capital Gains Tax May Spur End of Year Real Estate Deals

by Peter J. Ulrich

Posted in Transactional Real Estate and Leasing

On November 2, 2010

Currently, no one knows whether Congress and the President will take action this year to retain the historically low long-term capital gains rates, which are scheduled to increase to 20% effective January 1, 2011. This uncertainty has motivated some real estate sellers to contemplate closing in 2010 in order to avoid potentially increased capital gains taxes next year.

Legal Hold Best Practices after Victor Stanley II, Pension Committee and Rimkus

by Gibbons P.C.

Posted in E-Discovery

On November 2, 2010

Relevance. Scienter. Prejudice. These three themes permeated a roundtable discussion entitled “Legal Hold Best Practices after Victor Stanley II, Pension Committee and Rimkus” during Gibbons Fourth Annual E-Discovery Conference on October 28, 2010, at Gibbons headquarters in Newark, New Jersey. A distinguished panel discussed legal hold best practices and lessons learned from recent decisions, including proactive measures and creative strategies for companies of all sizes to meet their e-discovery obligations. E-discovery preservation obligations have been a critical issue in employment litigation since Judge Scheindlin’s groundbreaking opinion in Zubulake v. UBS Warburg (in which the defendant/employer was sanctioned for failing to preserve documents in a sex discrimination case brought under Title VII).