Legal Voice v. Stormans, Inc.

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This appeal relates to a discovery dispute that arose in this action challenging Washington's rules that require pharmacies to maintain a representative assortment of drugs for which there was patient demand and to dispense prescription drugs and drugs approved by the FDA for restricted distribution, unless one of several enumerated exceptions applies. On appeal, Law Center challenged the district court's denial of sanctions and costs under Federal Rule of Civil Procedure 45(d). Concluding that the court had jurisdiction over the appeal, the court affirmed the denial of sanctions under Rule 45(d)(1). The court agreed with the D.C. Circuit's analysis of the amended rule and held that Rule 45(d)(2)(B)(ii) requires the district court to shift a non-party's costs of compliance with a subpoena, if those costs are significant. The court concluded that the district court erred in its interpretation of Rule 45(d)(2)(B)(ii) framing the issue in terms of undue burden, rather than significant expense. Accordingly, the court reversed the denial of costs and remanded for consideration of the proper allocation of costs. View "Legal Voice v. Stormans, Inc." on Justia Law