Legal Definitions - sanctions tort

The term sanctions tort refers to a financial penalty imposed by a judge on a party in a lawsuit for misbehavior during the "discovery" phase of litigation. Discovery is the formal process where opposing parties exchange information and evidence relevant to the case before trial.

Unlike a traditional tort (which is a civil wrong that causes a claimant to suffer loss or harm, resulting in legal liability for the person who commits the tortious act), a sanctions tort is not a separate lawsuit. Instead, it is a judge's direct response to a party's failure to comply with discovery rules or for intentionally obstructing the information-gathering process. The judge orders the offending party to pay a sum of money to the injured party, serving both as a punishment for the misconduct and as compensation for the expenses and harm caused by the discovery abuse.

Here are some examples illustrating how a sanctions tort might apply:

• Example 1: Withholding Critical Documents

  Imagine a small business sues a large corporation for breach of contract. During the discovery phase, the small business requests all internal communications related to the contract negotiations. The large corporation, hoping to hide unfavorable details, deliberately fails to produce several key emails and memos that are highly relevant to the case. When the small business's legal team eventually uncovers evidence of these withheld documents, they bring it to the judge's attention.

  How it illustrates the term: The large corporation engaged in discovery abuse by intentionally withholding crucial evidence. The judge, upon finding this misconduct, could impose a sanctions tort, ordering the corporation to pay the small business for the additional legal fees, investigative costs, and other expenses incurred due to the corporation's deliberate concealment of information.

• Example 2: Destroying Evidence

  Consider a product liability lawsuit where a consumer claims a defective appliance caused a fire. The consumer's attorney requests maintenance records and design specifications from the appliance manufacturer. After the lawsuit is filed but before responding to the request, an employee at the manufacturer, under instruction, deletes digital files containing early design flaws and internal warnings about the product's safety.

  How it illustrates the term: The manufacturer's deliberate destruction of relevant evidence (known as spoliation) is a severe form of discovery abuse. The judge could impose a significant sanctions tort, compelling the manufacturer to pay the consumer for the costs of attempting to recover the deleted data, the expenses of expert witnesses needed to reconstruct information, and potentially for the prejudice caused by the loss of the evidence itself.

• Example 3: Providing False or Misleading Testimony

  In a personal injury case arising from a car accident, the plaintiff's attorney deposes the defendant. During the deposition, the defendant repeatedly gives intentionally vague, evasive, and misleading answers about their actions leading up to the accident, despite clear and direct questions. This forces the plaintiff's attorney to spend significantly more time and resources trying to extract basic facts, including filing motions with the court to compel more truthful answers.

  How it illustrates the term: The defendant's deliberate obstruction of discovery through untruthful and evasive testimony is a form of abuse. The judge could impose a sanctions tort, requiring the defendant to pay the plaintiff for the extra attorney's fees, court reporter costs, and other expenses incurred due to the defendant's bad-faith conduct during the deposition, which unnecessarily prolonged and complicated the discovery process.