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Texas Instruments, Inc. v. United States

ELR Citation: 41 ELR 20215
Nos. No. 09-701C, (Fed. Cl. , 06/13/2011)

The Federal Claims court denied the United States' motion to dismiss a company's action to recover over $2 million in litigation expenses allegedly owed to it under the indemnification provisions of various contracts the company performed for the U.S. Atomic Energy Commission. The underlying lawsuits arose following the discovery of radiological materials at the Shpack Landfill in Attleboro, Massachusetts. The government argued that the court lacked jurisdiction. To state a claim within the scope of the court’s jurisdiction, a plaintiff is required to demonstrate a right to compensation based on a contract, a money-mandating statute, or the Takings Clause of the U.S. Constitution. In Count I, the company seeks monetary damages based on a contract provision requiring the United States to indemnify it against claims made in connection with its nuclear work for the United States. In Count II, the company identified a statute, the Price-Anderson Act, as a source of indemnification authority for its injuries. Since these are the types of controversies the court is authorized to decide, there is no want of subject matter jurisdiction here. The government argued in the alternative that even if the court has jurisdiction over this matter, it should nevertheless dismiss the company's claims for failure to state a claim upon which relief can be granted. Although the United States is correct that the complaint lacks certain factual allegations, these missing allegations do not render the complaint deficient as a matter of law. Instead of dismissing the case, the court ordered that the company be allowed to amend its complaint.