Best Engineering, Inc., performs computer programming services for Complex Products Corporation (CPC). When CPC's computer system crashes, it loses $250,000 worth of business and pays $50,000 to have the system reprogrammed. CPC announces to the media that the crash was due to Best's incompetence and files a complaint in a federal court against the firm. In response, what are Best's options?

Question

What will be an ideal response?

Answer 1

In response to a complaint, Best (the defendant) may file an answer in which the firm admits the statements or allegations set out in CPC's complaint or denies them and sets out any defenses that Best may have. (If Best admits to the allegations, a judgment will be entered in favor of CPC. If Bests denies the allegations, the matter proceeds.) In the answer, Best may assert an affirmative defense¾that is, admit the truth of the complaint but raise new facts to show that the firm should not be held liable for CPC's damages. (What sorts of facts these might be and what legal effect they might have are details explained in later chapters in this text.) Best could also deny CPC's allegations and assert a counterclaim that the crash occurred as a result of something CPC did and CPC owes Best money for damages to its reputation. CPC would have to submit an answer to the counterclaim. Instead of filing an answer, Best might file a motion to dismiss. This motion might contend that CPC failed to state a claim for which relief can be granted¾in other words, even if the facts presented in the complaint are true, their legal consequences are such that there is no reason to go ahead with the suit. Other grounds for this motion include improper service of process and the court's lack of jurisdiction or venue. (If the motion is denied, Best will be given time to file an answer. If the motion is granted, CPC will be given time to file an amended complaint.)