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Brief Fact Summary. Appellant, Morgan Foods, Inc. et al., appealed a lower courts decision to sanction Appellants for not cooperating with an order for ADR and Appellants subsequent motion for reconsideration of the sanction.
Synopsis of Rule of Law. The court may impose monetary sanctions to parties not complying with pre-trial instructions under Rule 16(f) of the Federal Rules of Civil Procedure.
Issue. The issue is whether the District Court judge exceeded their authority when they imposed sanctions that required Appellant to pay fines to the Court of the District Court.
Held. The United States Court of Appeals for the Eighth Circuit held that the district court judge did not abuse their discretion in their sanction order. The trial court, through Rule 16 and local court rules, can order pre-trial conferences to encourage early settlements. Rule 16(f) outlines the court’s authority to sanction parties if they do not participate, and there is no precedent that argues that Rule 16 does not provide monetary penalties.
Discussion. The court gives judges wide discretion in imposing sanctions to ensure that parties comply with a judge’s instruction