Failure to Comply with “Few” Court Orders Not Cause for Dismissal with Prejudice

To dismiss an action with prejudice, a court must show “the failure to comply with the court order is the result of purposeful delay or contumacious conduct and the district court first employs lesser sanctions”. The Fifth Circuit Court of Appeals found no such purposeful delay or contumacious conduct when a lower court dismissed claims for benefits against Americas Insurance Company by A-Plus Contractors when its owner Stacy Morgan failed to submit to a requested examination under oath (EUO). While the Fifth Circuit agreed Morgan’s failure to submit to an EUO was frustrating, his delays were understandable and spanned only a few months. Read the full case here.