Will The Federal Shutdown Have Implications For Commercial Litigation?

By IMS ExpertServices

The government shutdown is now the longest in U.S. history, spawning issues with federal agencies and setbacks in litigation.

According to the Administrative Office of the U.S. Courts, federal courts could only sustain paid operations until January 18th—it is now past that date. So, what does this mean for your practice? IMS spoke with elite experts in economics and finance for perspective on how the shutdown is impacting litigation. Despite the standstill, many experts don’t foresee a long-term effect stemming from the shutdown.

“From my perspective, zero effect. There will be an effect for attorneys doing securities work as the SEC has only limited people working,” states William Purcell—an IMS Elite Expert in investment banking. Since December 27th, 2018, the SEC has operated with most employees on furlough per accordance with the agency’s plan. However, there is staff on hand to handle emergency situations including investor protection and market integrity. According to the SEC, most matters of litigation are at a halt. Although, there are matters that “continue in order to comply with schedules that have been set by domestic and foreign courts and/or to avoid a delay that would prejudice the Commission’s litigation position.”

Cases involving the U.S. Department of Justice are already being delayed, as criminal cases are prioritized due to public safety. Although the degree is unclear, every court, including the U.S. Supreme Court, will be affected. Many of the courts have granted suspensions or stays in litigation. However, the shutdown is being handled differently from district-to-district and judge-to-judge.

“In the short-term, the impact of the shutdown is minimal,” opines IMS Elite Expert in securities, Dan Castro. “In the long-term, the shutdown in and of itself does not look like it will have any lasting effects. However, if any legislation arises from the shutdown, that could have a long-term impact.”

Amid uncertainty, IMS remains steady in support of your litigation needs by providing top experts to advise, consult, and testify when you need them the most. Contact us today to get started.

View Similar Insights and Case Studies:
The Weight of the Bull on Tomorrow's Litigation
Where is the Bull Running to for the Legal Market and for Your Practice
IMS Expert Insights: Cybersecurity and the Next Generation of Risk and Liability

Avatar

IMS ExpertServices

IMS ExpertServices delivers consultative trial and expert services for the most influential global firms. Over nearly three decades and through more than 20,000 cases and hundreds of trials, clients have trusted IMS to equip them with the perspective and tools they need to help their clients succeed. With offices in the San Francisco Bay Area, Dallas, Pensacola, and New York, the company provides trial strategy consulting, jury consulting, trial graphics consulting, trial presentation consulting, and expert witness recruitment and management. IMS has earned industry recognition through nine consecutive rankings on the Inc. 5000 list; by The National Law Journal in six categories of its “Best of 2020” awards; by Corporate Counsel Magazine as the winner in eight categories of its “Best of 2019” awards; and for two consecutive years by The National Law Review for “Go-To Thought Leader" awards.

Get the best expert

Fill out the form and one of our representatives will be in touch with you shortly. Or, you can call or email us directly.