A federal judge has dismissed a lawsuit filed by parents of Valley Forge Military Academy and College cadets, who claimed that the school breached its contract with parents when officials declined to reinstate the school's popular president, but has given the plaintiffs one last chance to file an amended complaint.

U.S. District Judge Joel Slomsky of the Eastern District of Pennsylvania granted VFMAC's motion to dismiss plaintiffs Derek Graham and Scott Newell's complaint for lack of subject matter jurisdiction.

According to Slomsky's Nov. 27 opinion, the suit came about after the resignation of the school's president, retired Maj. Gen. Walter Lord, who left because he felt the chairman of the board, John English, was a "micromanager." The board accepted Lord's resignation. However, the school faced outcry from parents for declining to reinstate him at their request. The plaintiffs subsequently filed their lawsuit.

In the complaint, the plaintiffs brought claims for breach of fiduciary duty and breach of duty of loyalty relating to English's and the board's termination of Lord. The plaintiffs alleged that Lord's termination was in violation of the board's bylaws, according to Slomsky.

The defendant argued the federal court had no jurisdiction in the case because the parties were not completely diverse and the plaintiffs had failed to join Lord—whom it considered a necessary and indispensable party.

Slmosky agreed with the defendant.

"The amended complaint does not properly allege that the parties have diverse citizenship. While the parties' filings appear to have resolved any dispute about the existence of diverse citizenship by agreeing to dismiss English and the board as defendants," Slomsky said, "the amended complaint still does not properly plead the citizenship of VFMAC. In such circumstances, where the foundation of federal authority may be open to question, it is incumbent upon the court to resolve any doubts before proceeding to a disposition on the merits."

Additionally, Slomsky said the plaintiffs' claims of unliquidated damages was too vague to stand.

"Indeed, plaintiffs' professed unliquidated damages are so amorphous, and their supporting factual allegations so deficient, that it is unclear what loss plaintiffs claim they sustained beyond the amount of tuition paid," Slomsky said. "Even with the furthest inferential leaps, it is unclear how compensation for the diminished value of a private school education would be anything but duplicative of plaintiffs' claim for reimbursement of tuition paid to VFMAC. Presumably, the cost of tuition reflects the value of a private school education, thus a complete reimbursement would satisfy even the greatest possible reduction in value."

The plaintiffs are represented by Leno Thomas of Solomon, Berschler, Fabick, Campbell & Thomas in Norristown.

"I am aware of Judge Slomsky's Nov. 27 opinion and order. Judge Slomsky's order clearly affords my clients the opportunity to file an amended complaint which would cure any perceived defect in subject matter jurisdiction," Thomas said in an email. "The aforementioned order and opinion was only issued the day before Thanksgiving and due to the holiday, I have not yet heard back from my clients."

VFMAC is represented by David Black of Riley Riper Hollin & Colagreco in Exton. He did not respond to a request for comment.