Opinion ID: 364881
Heading Depth: 1
Heading Rank: 3

Heading: Denial of Motions to Amend the Complaint

Text: 32 The district court denied appellants' motion to amend the complaints to allege breach of fiduciary duty after judgment had been entered on the grounds that appellants were guilty of undue and unjustified delay in filing the motion and that defendants would be prejudiced if it were granted. 33 Leave to amend a pleading under Fed.R.Civ.P. 15(a) is a matter within the discretion of the trial court. Zenith Radio Corp. v. Hazeltine Research, Inc., 401 U.S. 321, 330, 91 S.Ct. 795, 28 L.Ed.2d 77 (1971). An order denying leave to amend will be overturned only for an abuse of that discretion, the exercise of which should be guided by the criteria set forth by the Supreme Court in Foman v. Davis, 371 U.S. 178, 182, 83 S.Ct. 227, 230, 9 L.Ed.2d 222 (1962): 34 In the absence of any apparent or declared reason such as undue delay, bad faith or dilatory motive on the part of the movant, repeated failure to cure deficiencies by amendments previously allowed, under prejudice to the opposing party by virtue of allowance of the amendment, futility of amendment, etc. the leave should, as the rules require, be 'freely given.'  35 The original complaint in this action was filed on July 26, 1973, and an amended complaint was filed on February 12, 1974. Defendant's motion for summary judgment was served on September 15, 1976, and plaintiffs' cross-motion filed on November 10, 1976. The motions were heard on December 9, 1976, and the court issued a memorandum opinion and judgment on May 11, 1978. It was not until June 9, 1978, when the ball game was over in the district court, that appellants' new counsel filed their motion to amend the complaints. Given the passage of five years since the original complaint was filed and the absence of an explanation for the failure to include a count for breach of fiduciary duty in the amended complaint filed more than four years prior to the motion to amend, we cannot say that the trial court's finding of undue and unjustified delay is without basis. Moreover, the trial court found that defendants would be prejudiced by the difficulty and expense required in locating essential witnesses for trial at this time. Six employees, including Berthelsen, directly connected with the negotiations and occurrences in this case, have left the employment of Holiday. There was no abuse of discretion in denying appellants' motion to amend the complaint. 36 In essence, appellants' position is that a change in lawyers entitles them to start a new game with new rules. Substitutions are allowed, but the game goes on according to the rules in effect at the time it commenced. 37 Affirmed.