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Case Citation
Legal Case Name

PAE Government Services, Inc. v. MPRI, INC. Case Brief

Court of Appeals for the Ninth Circuit2007Docket #930198
514 F.3d 856 2007 U.S. App. LEXIS 29221 2007 WL 4394427 Civil Procedure Contracts Federal Courts

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Case Brief Summary & Legal Analysis

General Brief
4 min read

tl;dr: A plaintiff amended its complaint to allege facts that contradicted its original pleading. The Ninth Circuit held that a district court cannot strike the new allegations as a “sham” unless it finds bad faith under the specific procedures of Federal Rule of Civil Procedure 11.

Legal Significance: This case rejects the “sham pleading” doctrine, establishing that inconsistency between an amended pleading and a superseded one is not, by itself, a valid basis for striking allegations. Challenges to a pleading’s good faith must proceed under Rule 11.

PAE Government Services, Inc. v. MPRI, INC. Law School Study Guide

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Case Facts & Court Holding

Key Facts & Case Background

PAE Government Services, Inc. (PAE) and MPRI, Inc. entered into a “Teaming Agreement” to bid on a government contract. After MPRI won the contract as the prime contractor, it allegedly refused to award PAE the subcontract work specified in their agreement. PAE’s initial complaint alleged that MPRI “failed and refused to enter into a subcontract.” The district court dismissed this complaint, holding the Teaming Agreement was an unenforceable “agreement to agree” under Virginia law. PAE then filed a First Amended Complaint, alleging that the parties had formed a second, enforceable agreement after the prime contract was awarded. The district court found this new allegation contradicted the original complaint and struck it as a “sham pleading.” The court reasoned that PAE could not now claim an agreement was formed when it had previously alleged MPRI refused to enter into one. After PAE filed a Second Amended Complaint with more detail, the court again struck the allegations and dismissed the case with prejudice. PAE appealed the dismissal based on the striking of its contract allegations.

Court Holding & Legal Precedent

Issue: Under the Federal Rules of Civil Procedure, may a district court strike allegations from an amended complaint solely because they are inconsistent with allegations contained in a prior, superseded complaint?

No. The district court erred by striking allegations from PAE’s amended complaint Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occa

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Legal Issue

Under the Federal Rules of Civil Procedure, may a district court strike allegations from an amended complaint solely because they are inconsistent with allegations contained in a prior, superseded complaint?

Conclusion

This case provides a definitive rejection of the "sham pleading" doctrine in Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation

Legal Rule

A district court has no authority under the Federal Rules of Civil Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderi

Legal Analysis

The Ninth Circuit, in an opinion by Chief Judge Kozinski, held that Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut en

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Flash Summary

  • A court cannot strike allegations in an amended complaint as a
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatu

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