Alleged Failure to Monitor Discovery Leads to Malpractice Suit

An attorney’s failure to institute a litigation hold or monitor a client’s compliance with that hold may constitute malpractice, according to at least one federal district court.

In  Industrial Quick Search, Inc. v. Miller, Rosado & Algois, LLP, the U.S. District Court for the Southern District of New York rejected a law firm’s defense against claims that its lawyers were not involved enough in the discovery process; the court thus found the firm liable for $2.5 million in damages related to spoliation sanctions levied on a former client. ABA Section of Litigation leaders see the case as a reminder of the importance of determining a client’s understanding of the discovery process and preservation obligations.