Document 7442919

Download Report

Transcript Document 7442919

Chapter 6

Civil Litigation and Its Alternatives

Litigation v. Alternative Dispute Resolution

o What is litigation? o Alternative approaches to litigation o Alternative Dispute Resolution (ADR) 2

Search for Alternatives to Litigation

o Trials are a means of dispute

resolution that are very expensive and sometimes take many months to resolve.

o There are “alternative dispute

resolution” (ADR) methods to resolve disputes that are inexpensive, relatively quick and leave more control with the parties involved.

3

ADR

o ADR describes any procedure or device

for resolving disputes other than the traditional judicial process.

o Unless court-ordered, there is no record

which is an important factor in commercial litigation due to trade secrets.

o Most common: negotiation, mediation,

arbitration.

4

Negotiation and Mediation

o Less than 10% of cases reach trial. o Negotiation is informal discussion of

the parties, sometimes without attorneys, where differences are aired with the goal of coming to a “meeting of the minds” in resolving the case.

o Successful negotiation involves

thorough preparation, from a position of strength.

5

Assisted Negotiation

o Mini-Trial: Attorneys for each side

informally present their case before a mutually agreed-upon neutral 3 rd party (e.g., a retired judge) who renders a non-binding “verdict.” This facilitates further discussion and settlement.

o Expert evaluations. o Conciliation: 3

rd party assists in reconciling differences.

6

Mediation

o Involves a neutral 3

rd (mediator).

party

o Mediator talks face-to-face with

parties (who typically are in different adjoining rooms) to determine “common ground.”

o Advantages: few rules, customize

process, parties control results (win-win).

o Disadvantages: mediator fees, no

sanctions or deadlines.

7

Arbitration

o Many labor contracts have binding

arbitration clauses.

o Settling of a dispute by a neutral 3

rd party (arbitrator) who renders a legally-binding decision; usually an expert or well-respected government official.

o More formal than negotiation or

mediation – similar to trial

8

Arbitration Process

o Contracts include a binding arbitration

clause or through a submission agreement.

o Case begins with a submission to an

arbitrator. Next comes the hearing where parties present evidence and arguments. Finally, the arbitrator renders an award.

o Courts are not involved in arbitration unless

an arbitration clause in a contract needs enforcement.

9

Setting Aside an Arbitration Award

o Losing party may appeal the decision

to a court.

o Winning party may ask a court to

enforce the award.

o Court’s role is limited to determining

whether a valid award exists

o Facts and legal conclusions are

usually final.

10

Setting Aside an Award

o Award result of fraud or corruption. o Arbitrator bias. o Arbitrator abuse of discretion. o Arbitrator exceeded powers. 11

Disadvantages of Arbitration

o Results may be unpredictable

because arbitrators do not have to follow precedent or rules of procedure or evidence.

o Arbitrators do not have to issue written

opinions.

o Generally, no discovery available. 12

Introduction to a Civil Lawsuit o “Road to justice” in civil lawsuit can

consume much time and money – may not conclude for several years due to delays, appeals, etc.; attorney’s fees and costs may be in 10’s of 1,000’s even in average case.

o Cost/benefit analysis – probability of

winning; expense vs. relief; value of early settlement.

o Many procedures to follow before, during

and after trial, such as filing deadlines, rules of evidence, motions, etc.; noncompliance with these procedures may result in monetary, evidence and/or terminating sanctions.

13

Stages of Litigation

o Informal Negotiations. o Pleadings. o Service of Process. o Defendant’s Response. o Discovery. o Pre-Trial. o Trial. o Post-Trial. 14

Litigation- Pleadings

1st Pleadings 2nd 3rd 4th 5th // Discovery // Pre-Trial // Trial // Post

15

Pleadings

o Accident, breach of contract or other incident(s) – may be one

event or series of events over days, weeks, months or years.

o Party consults with attorney – initial client interview; review facts,

documents, etc.; signing of retainer agreement; evaluate deadlines such as statute of limitations.

o Informal investigation and/or settlement negotiations prior to

lawsuit; note that investigation and negotiation can happen at any time during lawsuit.

o Exhaust administrative remedies (will be applicable in cases vs.

gov’t only) – can have quick deadlines.

o Filing of complaint and summons issued – o complaint specifies parties o ultimate facts in support of causes of action (what happened?) and

relief sought (prayer);

o summons is pre-printed form identifying parties, court’s and plaintiff’s

attorney’s contact information, and admonition to respond within certain time.

o Sample complaint: Page 114 16

Pleadings-Service of Process

o Defendant served with

Complaint and Summons.

o Court acquires Personal

Jurisdiction over Defendant (person or corporation).

o Corporate Defendants are

served via Registered Agent.

17

Pleadings-Answer

o The Answer is the Defendant’s

response to the allegations stated in the Plaintiff’s Complaint.

o In the Answer, the Defendant

must specifically admit or deny each allegation in the Complaint.

18

Pleadings-Answer

oDefendant’s Answer:

oMay state General Denial. oMove for Change of Venue. oAllege Affirmative Defenses. oCounter Claim against Plaintiff. 19

Dismissal and Judgments Before Trial

o Defendant can move the Court to

dismiss the Action for various reasons, such as:

o The Court lacks jurisdiction. o The Plaintiff has failed to make all of

the allegations, in his Complaint, that the law requires (i.e., the plaintiff has failed to state a cause of action).

o Court looks only at facts in Complaint o Known as Motion to Dismiss – Rule 12 o If Defendant fails to answer, a

default judgment can be entered

20

Judgments Before Trial

o Motions for Summary Judgment o Federal Rules of Civil Procedure 56 o Court considers additional evidence

presented in documents other than pleadings, including depositions, answers to interrogatories, admissions and affidavits

o If all documents show that o There is no genuine issue as to any material

fact and

o The moving party is entitled to a judgment as a

matter of law

o The court will grant the motion and enter

judgment for the moving party

21

Litigation- Discovery

1st 2nd Pleadings // Discovery 3rd 4th 5th // Pre-Trial // Trial // Post

22

Discovery

o Discovery is the process by which

parties obtain information from the opposing party prior to trial. Various tools are used:

o Depositions & Interrogatories. o Deposition: sworn testimony taken outside the

courtroom

o Interrogatories: written questions sent by one party that

another party must answer in writing

o Requests for Admissions. o Requests for Production of Documents

and Objects.

23

Litigation- Pre-Trial

1st 2nd 3rd Pleadings // Discovery // Pre-Trial 4th 5th // Trial // Post

24

Litigation-Pre-Trial

o Mediation-Arbitration. o Settlement Conference o Disposition Without Trial: o Default Judgments. o Dismissals (With/Without Prejudice). o Summary Judgment. o Settlement. o Pre-Trial Orders (ex:TRO, In Limine). 25

Litigation- Trial

1st 2nd 3rd 4th Pleadings // Discovery // Pre-Trial // Trial 5th // Post

26

The Trial

o Trial is fundamentally an

evidence presentation and authentication procedure.

o To prevail, Plaintiff must introduce

a preponderance of competent, relevant evidence with respect to each disputed allegation in order to prove it.

27

The Trial

[2] o The Defendant will attempt to

introduce a preponderance of competent evidence to disprove at least one of the disputed allegations.

o Hearsay is inadmissible. 28

The Trial

[3] o Bench Trial (no jury). o Jury Selection process involves: o Voir Dire; o Peremptory Challenges; o Challenges to biased jurors; o Pick and Impanel the Jury; and o Selection of Alternate Jurors. 29

The Trial

[4] o Opening Statements (Plaintiff

first).

o Plaintiff’s Case--Evidence: o Witnesses- Direct examination vs.

Cross X and Redirect

o Admissibility of evidence decided

by judge. Parties object to admission of evidence and judge decides, as a matter of law, whether evidence may be admitted into the trial.

30

The Trial

[5] o Plaintiff’s Case (cont’d). o Party may impeach the testimony or

credibility of opposing witness by showing prior inconsistent statements and/or perjury.

o Defendant’s Case is next. o Closing Arguments (Plaintiff first). o Jury Instructions, Deliberations and

Verdict.

31

The Trial

[6] o Jury’s Verdict: o Criminal case--burden of proof is “beyond a

reasonable doubt” and the verdict (for guilty or acquittal) must be unanimous. If not, mistrial/hung jury.

o Civil Cases—generally, burden of proof is by

“preponderance” of the evidence and a majority of jurors must agree on verdict. If not, then mistrial/ hung jury.

32

Litigation- Post Trial

1st 2nd 3rd 4th 5th Pleadings // Discovery // Pre-Trial // Trial // Post

33

Post Trial

o Judgment: Jury verdict is entered by

the Clerk of Court.

o A party may move for a New Trial. o A party may file a Motion for

Judgment N.O.V..

o Sentencing (criminal). 34

Post Trial-Appeal

o A party may appeal not only the jury’s verdict but

any legal issue, motion or court ruling during the trial.

o The party filing the appeal (Appellant) files a brief

that contains a short statement of the facts, issues, rulings by the trial court, grounds to reverse the judgment, applicable law and arguments on Appellant’s behalf.

o Appeals court can affirm (agree with) or reverse

(disagree with) the lower court’s decision.

35

Post Trial-Enforcement

o Once a judgment becomes final (i.e.,

subject to no further judicial review) the defendant is legally required to comply with its terms.

o Defendants who will not voluntarily

comply with a judgment can be compelled to do so by seizure and sale of the Defendant’s assets.

36