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Bdt Products, Inc. Buro-Datentechnik Gmbh & Company Kg v. Lexmark International, Inc.

Citations: 405 F.3d 415; 61 Fed. R. Serv. 3d 501; 2005 U.S. App. LEXIS 6706; 2005 WL 901055Docket: 03-6587

Court: Court of Appeals for the Sixth Circuit; April 20, 2005; Federal Appellate Court

Narrative Opinion Summary

In a case before the United States Court of Appeals for the Sixth Circuit, the court affirmed the district court's decision to grant summary judgment and award costs to Lexmark International, Inc. against BDT Products, Inc. and Buro-Datentechnik GmbH. The primary legal issue centered on the taxation of various costs, including translation, deposition, and copying expenses, under Federal Rule of Civil Procedure 54(d)(1) and 28 U.S.C. § 1920. BDT challenged the necessity and statutory authorization of these costs, but the district court held that Lexmark's claimed costs were permissible, emphasizing that Rule 54(d)(1) allows courts discretion to tax costs prior to clerk action. The appellate court upheld this decision, noting no abuse of discretion. The court also addressed procedural concerns raised by BDT regarding inadequate opportunity to object to the costs taxed, but found that BDT was given sufficient opportunity to contest the costs on appeal. The dissenting opinion expressed concerns over the fairness of the cost taxation process and the need for explicit procedures allowing objections. Ultimately, the court affirmed the district court's cost assessment, pending BDT's appeal on attorneys' fees and nontaxable costs.

Legal Issues Addressed

Right to Object to Taxed Costs

Application: The dissenting opinion argued that parties should have the right to object to specific items in a clerk's proposed bill of costs even after the district court's award.

Reasoning: Rogers, Circuit Judge, dissents, arguing that making preliminary objections to a court's award of costs should not eliminate the right to contest a clerk's proposed bill of costs, unless explicitly stated in court procedures.

Role of the Clerk in Taxing Costs

Application: The court confirmed that the district court has the authority to act on cost-related motions before the clerk acts, given the permissive nature of Rule 54.

Reasoning: This is based on the permissive wording of Rule 54(d)(1) of the Federal Rules of Civil Procedure, which allows for clerk involvement but does not mandate it.

Taxation of Copying and Electronic Scanning Costs

Application: The district court justified the taxation of copying and electronic scanning costs, interpreting them as 'exemplification and copies of papers' under § 1920(4).

Reasoning: The district court maintained that the declarations supporting the bill of costs justified the necessity of these expenses, and interpreted electronic scanning and imaging as fitting within the definition of 'exemplification and copies of papers.'

Taxation of Costs under Federal Rule of Civil Procedure 54(d)(1)

Application: The district court's decision to allow full costs claimed by Lexmark was upheld as there was no clear abuse of discretion, following the permissive language of Rule 54(d)(1).

Reasoning: The appellate court emphasized that it will not overturn a district court's cost determination unless there is clear abuse of discretion, provided that statutory authority exists for the items claimed.

Taxation of Deposition and Videotaping Costs

Application: The court upheld the taxation of deposition expenses, including videotaping, as BDT failed to demonstrate the non-necessity of these costs.

Reasoning: Citing Tilton v. Capital Cities/ABC, Inc., the district court affirmed that both the costs of videotaping and transcribing depositions are taxable under § 1920.

Translation Costs under 28 U.S.C. § 1920

Application: The court found that translation costs can be taxed if necessary for case resolution, interpreting them as part of 'interpreter' costs under § 1920(6).

Reasoning: Case law supports that translation costs can be taxed if necessary for the case's resolution. Consequently, the district court did not abuse its discretion in taxing translation costs.