Outside Online
Monday, April 30, 2012 5

Montana Judge Tosses Lawsuit Against Greg Mortenson and the Central Asia Institute

The following report in the case against Mortenson for allegedly fabricating stories told in his best-selling books, Three Cups of Tea and Stones Into Schools, was released on April 30, 2012

By:
Photo: Courtesy Central Asia Institute

An accounting must show that there is some relationship between the parties requiring an accounting, and that the plaintiff is entitled to a balance that can only be ascertained by such relief. Teselle v. McLoughlin, 173 CaL App. 4th 156, 179­ 80 (2009). Plaintiffs fail to show, or even allege, such a relationship exists. Furthermore, they specifically allege the right to recovcr a certain sum or a sum that can be made certain by calculation. For these rcasons, the Accounting claim (Count XI) fails and is dismissed.

Plaintiffs' failure to adequately allege valid causes of action as claimed in Counts I, II, III, IV, V, VI, VII, X, and XI is fatal to the remaining claims in Count VIII (Penguin Liable as Principlc), Count XII (Class Action), and Count IX (Punitive Damages).

CONCLUSION

In short, the Complaint fails and is deficient on several fronts. The RICO, fraud, and deceit claims are not pled with the requisite level of particularity. Plaintiffs fail to satisfy causal elements of RICO, do not identify each Defendant's role in the frauds, present highly questionable enterprise theories, do not adequately identify the alleged racketeering activity, and fail to identify the specific representations and materiality ofsuch representations relied upon. An express contract is not pleaded. An implied contract is not found, as consent and consideration are missing. In the absence 0 radequate allegations of reliance, cognizable injury, and misconduct against the Defendants, the remaining claims fail.

The question remains as to whether Plaintiffs should be allowed leave to amend. Five factors are to be, and have been, considered: "(1) bad faith; (2) undue delay; (3) prejudice to the opposing party; (4) futility of amendment; and (5) whether the plaintiff has previously amended his complaint." J\unes v. Ashcroft, 375 F.3d 805, 808 (9th Cir. 2004)(citing Bonin v. Calderon, 59 F.3d 815, 845 (9th CiL 1995). "Futility alone can justify the denial of a motion for leave to amend."

The case has been pending for almost a year. The Complaint before the Court is the fifth pleading filed. PlaintitIs have been accorded every opportunity to adequately plead a case, if one exists. Moreover, the imprecise, in part flimsy, and speculative nature of the claims and theories advanced underscore the necessary conclusion that further amendment would be futile. This case will be dismissed with prejudice.

ORDER

1. Defendants' Motions to Dismiss are GRANTED.
2. The Complaint" is DISMISSED WITH PREJUDICE.
3. All other pending motions are DENIED as moot. DATED this 30th day of April 2012.

More at Outside

Free Newsletters

Dispatch This week's featured articles, reviews, and videos. Sent twice weekly.
News From the Field The most important breaking news from around the Web. Sent daily.
Gear of the Day The latest products, reviews, and editors' picks. Coming soon.
Outside Partners Outside-approved deals and special offers from select partners. Sent occasionally.

Subscribe
to Outside
Now with
iPad Access

Magazine Cover

Plus 2 Outside Buyer's Guides included with your purchase!

News

May 20, 2013

Current Issue Outside Magazine

Subscribe and get a great deal! Two free Buyer's Guides plus a free GoLite Sport Bottle. Monthly delivery of Outside—your ultimate resource for today's active lifestyle. All that and big savings!

Free Newsletters

Dispatch This week's featured articles, reviews, and videos. Sent twice weekly.
News From the Field The most important breaking news from around the Web. Sent daily.
Gear of the Day The latest products, reviews, and editors' picks. Coming soon.
Outside Partners Outside-approved deals and special offers from select partners. Sent occasionally.

Ask a Question

Our gear experts await your outdoor-gear-related questions. Go ahead, ask them anything.

* We might edit your question for length or clarity. If it's not about gear, we'll just ignore it.