Sequoia Media v. Redbird Content Corporation

Background

On February 1, 2024, the Court ordered Plaintiff’s counsel to show cause—meaning explain why the Court should not impose sanctions—for failing to comply with Court orders and for wasting the Court’s time with useless filings. Counsel responded that he had not received an electronic filing notification and had not read the judge’s individual rules and practices. He characterized the errors as isolated incidents.

On February 6, 2024, the Court required the parties to submit a proposed case-management plan and joint letter by March 28, 2024, before the initial pretrial conference. Plaintiff’s counsel did not submit those materials or ask for an extension. The Court issued another order to show cause on April 1, 2024, requiring a response by April 5; counsel did not respond. On April 8, the Court issued a further order to show cause concerning counsel’s continuing failure to comply with Court orders. Counsel did not respond by the April 10 deadline. Sequoia Media filed a notice of voluntary dismissal on April 8, 2024.

Court’s Authority

The Court relied on decisions holding that a court retains authority to determine whether sanctions are appropriate after a case is closed. It therefore proceeded to rule on sanctions despite Sequoia Media’s notice of voluntary dismissal.

Ruling

Under 28 U.S.C. § 1927, Judge Valerie Caproni sanctioned Peter Hatzipetros and the Petros Law Group, P.C. $500 for their repeated and blatant disregard of Court orders. The order requires Plaintiff’s counsel to file proof of payment by May 1, 2024. The opinion does not decide the underlying claims between Sequoia Media, Redbird Content Corporation, and Tiff Winton.