Question

XYZ Manufacturing has a document destruction procedure in which emails over one year old are automatically deleted from the company’s network. A trading partner notified XYZ with a credible report that XYZ sent fraudulent invoices via email, and that XYZ should expect to be sued by the trading partner. A little over a year later, the litigation commences as predicted, and XYZ’s management issues a litigation hold to stop automatic email destruction. Under the U.S. Federal Rules of Civil Procedure (FRCP), XYZ’s litigation hold was most likely too late.
1. True
2. Flase

Answer 1

Answer:

1. True

Explanation:

Under the U.S. Federal Rules of Civil Procedure (FRCP), XYZ’s litigation hold was most likely too late.

Rule 3 of the Federal Rules of Civil Procedure (FRCP), states that litigation actions must commence immediately.

Hence, XYZ’s litigation hold was truly too late an action.