During discovery in a federal diversity action, what is the likely outcome when a customer requests information stored on the corporation's hard drives?

In the context of discovery during a federal diversity action, when a customer requests information stored on the corporation's hard drives, permitting the parties to present evidence at trial regarding the loss of information is an appropriate outcome. This situation arises particularly when there are concerns about document preservation and the potential spoliation of evidence.

When a party requests electronic data, the court will typically evaluate the relevancy and proportionality of the request. If the corporation cannot produce the requested data due to it being lost, deleted, or otherwise inaccessible, the court may allow the parties to present evidence related to the loss of information. This can include testimony or documentation showing what data was available, the steps taken to preserve it, and any reasons for its loss. Such evidence is crucial because it can impact the credibility of the party that failed to produce the information and may affect the outcome of the case.

This approach also ensures that the judicial process is fair, allowing both sides to inform the court about potential evidence that is no longer available, which is essential for assessing the implications of that loss in the context of the trial.