LAY, Circuit Judge.
This is an appeal from the district court's order denying the motion of Norsyn, Inc. ("Norsyn") for default judgment and dismissing its complaint without prejudice. The district court also imposed sanctions jointly and separately against Norsyn's counsel in the amount of the Defendants' attorney fees and costs. We now affirm in part and vacate in part.
I. BACKGROUND
In January 2002, Norsyn filed a complaint in South Dakota state...
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