A legal hold is the process by which an organization suspends its normal document retention and auto-deletion practices to preserve information that may be relevant to pending or anticipated litigation. It typically begins with a written notice to identified custodians and extends to systems, backups, and third parties holding relevant data.
The duty attaches when litigation is reasonably anticipated, which is often earlier than the filing of a complaint. A demand letter, a serious incident, or an internal investigation can each trigger it.
Alternative Names:
Litigation Hold, Preservation Hold
Why it Matters?
Preservation failures are the most common source of sanctions in complex litigation, and they shift the focus of a case from the merits to the defendant's conduct. A defensible hold with documented scope, acknowledgment tracking, and periodic reissuance is the primary protection against a spoliation motion and an adverse inference instruction.
Frequently Confused with
Related terms
Frequently asked questions
When does the duty to preserve begin?
Who should receive a legal hold notice?
How long must a hold stay in place?
