Ameriwood Industries, Inc.

• Client: Ameriwood Industries, Inc.
• Date: July 2007
• Location: Missouri

Summary:

Attorneys from Schiff Hardin's Chicago office obtained a significant victory for our client in a lawsuit against several of its former executives. Our client sued the defendants in 2006 for improperly using company computers, confidential files and information, and for attempting to undermine the company's business relationships and opportunities in part by diverting that business to themselves. The defendants filed various counterclaims, including for tortious interference with contract and to collect unpaid wages and commissions.

Following our successful motion to compel the production of the defendants' computer hard drives in discovery, forensics analysis determined that the drives had been "scrubbed" of data. On the basis of the defendants' destruction of crucial evidence, our attorneys sought and obtained sanctions against the defendants, including an order striking the defendants' answers and counterclaims, a default judgment on liability in Ameriwood's favor on all of its claims, and an award of attorneys (and expert witness) fees and costs. The sanctions recouped much of Ameriwood's litigation costs, and left only the issue of damages for trial, resulting in significant litigation cost savings.

Ameriwood Industries, Inc. v. Liberman et al., No. 4:06CV524-DJS, (E.D. Mo.)