Pa. District Court Awards $367,000 in E-discovery Costs to Prevailing Defendants

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In Race Tires America, Inc. v. Hoosier Racing Tire Corp.,1 the U.S. District Court for the Western District of Pennsylvania held that the two prevailing defendants may recover e-discovery costs because such costs are the modern-day equivalent of duplication costs.

Although the court took care to limit its ruling to the "unique" facts associated with this case, parties may want to consider narrowly tailoring their discovery requests and seeking early agreement on the scope of electronic productions.

Case Background

Plaintiffs Race Tires America, Inc. and associated entities—tire suppliers referred to as STA—sued defendants Hoosier Racing Tire Corp. (Hoosier), a tire supplier competitor, and Dirt Motor Sports, Inc. (DMS), a motorsport-racing sanctioning body, alleging damages from exclusive supply contracts between the defendants. The district court granted summary judgment in favor of the defendants, finding that STA failed to demonstrate that it sustained an antitrust injury. The U.S. Court of Appeals for the Third Circuit affirmed.

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