Rector v. Approved Federal Savings Bank
United States Court of Appeals for the Fourth Circuit
265 F.3d 248 (4th Cir. 2001)
After the district court dismissed Rector's (plaintiff) case but allowed an amended complaint, Approved Federal Savings Bank (defendant) moved for Rule 11 sanctions based on allegations in the amended complaint without first complying with Rule 11's 21-day safe harbor provision, which ordinarily requires notifying the opposing party of an intent to seek sanctions before filing the motion, giving that party time to withdraw or correct the challenged allegations; Rector did not object to this procedural noncompliance, and the district court granted sanctions, ordering Rector to pay Approved's attorney's fees.
Whether a court has jurisdiction to hear a Rule 11 motion for sanctions even if the moving party did not comply with the rule's 21-day safe harbor provision.