While finding that the deletion of emails in a case was the result of “gross negligence,” a unanimous panel of the Appellate Division, First Department, vacated sanctions imposed against a business for spoliation of evidence.

The panel on Thursday reversed Manhattan Commercial Division Justice Saliann Scarpulla’s ruling in AJ Holdings Group v. IP Holdings, 600530/09, because the emails were all internal communications among the plaintiffs’ principals and thus irrelevant to defenses asserted in the case alleging the plaintiffs had communicated a waiver and consent to the defendants.