What’s at stake with your legal hold process?
When data is deleted that would otherwise be relevant to a litigation case, that unavailable data will be interpreted as unfavorable to you. Furthermore, your company could face legal consequences such as hefty fines, reimbursement of the opponent’s litigation costs, or inferences against the party failing to meet discovery obligations. In the case Knickerbocker et al. vs. Corinthian Colleges, for example, the Colleges were penalized $25,000, and their legal counsel had to pay an additional $10,000.
Time is of the essence. If you aren’t prepared to handle the legal hold process, you will be slow in responding. This can draw out legal proceedings, racking up expenses. In addition, if you don’t identify and notify the relevant employees quickly, there is the possibility that an important document will be deleted.