NantWorks, LLC v. Niantic, Inc.

Background

NantWorks filed an emergency motion on September 5, 2023, seeking a 42-day extension of the case schedule because of an “unexpected change in counsel.” It said that two attorneys who had been representing it recently left Sullivan Blackburn Pratt LLP. At that time, fact discovery was scheduled to close on September 14, 2023, and expert disclosures were due on September 21, 2023. NantWorks had not yet changed counsel when the court issued this order.

On September 27, 2023, Niantic moved to dismiss for lack of prosecution. The motion was fully briefed, and the court had scheduled a hearing for November 2, 2023. NantWorks’s former attorneys, who were then working at Lewis Roca LLP, filed an opposition. Niantic argued that those attorneys did not represent NantWorks and that their filings were unauthorized.

Court’s Analysis

The court noted that NantWorks’s counsel had not obtained permission to withdraw. Under the Northern District of California’s local rules, counsel cannot withdraw until the court grants permission after required notice. The court also explained that corporations and other unincorporated associations must appear through an attorney.

Until NantWorks appeared through new counsel, its existing counsel had to serve NantWorks with all papers from the court and opposing parties. The court directed counsel to file proof of service within three business days for all docket entries since ECF No. 190, including this order.

The court discussed Federal Rule of Civil Procedure 41(b), which permits dismissal when a plaintiff fails to prosecute or comply with court rules or orders. It explained that courts consider factors including the public’s interest in resolving cases promptly, the court’s need to manage its docket, possible prejudice to the defendant, the policy favoring decisions on the merits, and whether less severe alternatives are available. The court also discussed possible monetary sanctions under discovery rules and the method for calculating reasonable attorney’s fees, but it did not award fees or impose sanctions in this order.

Order

The court warned that NantWorks had to participate in the litigation and could face monetary sanctions or dismissal for failure to prosecute. The November 2, 2023 hearing on Niantic’s motion was also designated as a show-cause hearing, meaning NantWorks would be required to explain why the case should not be dismissed. The court ordered NantWorks’s counsel to appear if NantWorks had not obtained new counsel by that date.

This order did not grant or deny Niantic’s motion to dismiss. It was an order requiring NantWorks to address its representation and participation in the case.