One of the most severe sanctions a court or tribunal can inflict, it amounts to dismissing completely a claim or defence by the offending party/litigant. In US Federal Court terminal sanctions are considered appropriate when:
- A party has been repeatedly warned by the court to desist from objectionable conduct;
- The violation(s) of that directive by the party was willful or in bad faith;
- The client, rathe than counsel was responsible for the violation(s);
- The violation(s) caused substantial prejudice to the other party; and
- lesser sanction would not have the desired deterrent effect or have already been applied and the violation(s) continued.