Legal Definitions - business records exception

The business records exception is a legal rule that allows certain records to be admitted as evidence in court, even if they would normally be considered hearsay. This exception is important in business litigation, as it allows parties to use records from their own organization to support their case.

To qualify for the business records exception, the records must meet certain requirements:

• The information in the record must come from someone with first-hand knowledge of the event, action, opinion, or condition being admitted.
• The person making the record must have done so as part of their job, meaning it can only come from employees.
• The records must be made in the normal course of business.
• A person must be able to testify to the standards of record keeping for the organization.
• The records must not give rise to untrustworthiness.

For example, if a company is being sued for breach of contract, they may use their own internal records to show that they fulfilled their obligations under the contract. If the records meet the requirements of the business records exception, they can be admitted as evidence in court.

It's important to note that the business records exception only applies to records from an organization, and not to hearsay from individuals outside the organization. Additionally, the records must be trustworthy and not give rise to suspicion of bias or manipulation.