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Chancery Stays Discovery Pending Motion for Judgment on the Pleadings

By Francis G. X. Pileggi, Esq.

TravelCenters of America LLC v. Brog, (Del. Ch., Nov. 21, 2008), read opinion here. The Chancery Court issued two prior opinions in this case, one of which was especially noteworthy, and both were summarized here.

In this letter ruling, the court discussed the discretionary factors applied by the court in deciding whether to stay discovery pending a potentially dispositive motion. In the course of explaining  its decision, the court emphasized that discovery should not be used as a weapon, and that even one deposition can be costly to prepare for or defend.

The court also discussed the potential impact of res judicata on some of the co-defendants who had not filed the dispositive motion, and the court made its point by citing to case law that described the penalties for pursuing frivolous claims.

Full post as published by Delaware Corporate and Commercial Litigation Blog on December 10, 2008 (boomark / email).