Eddie Mercer Agri-Services, Inc. v. Mid-American Salt, LLC
1:17-cv-00239
N.D. Ind.Jun 15, 2017Background
- Plaintiff Eddie Mercer Agri-Services, Inc. filed this diversity action on June 8, 2017.
- Defendant is Mid-American Salt, LLC, an LLC whose members are alleged to be Slick Products, Inc. and Mark Thiele.
- Plaintiff bears the burden to establish complete diversity of citizenship for federal jurisdiction.
- The Complaint alleges Slick Products is an "Indiana Corporation" and Thiele is an Indiana "resident."
- The Court found those allegations insufficient to establish the citizenship of Slick Products (corporate state of incorporation and principal place of business) and the domicile of Thiele.
- The Court ordered Plaintiff to file a Supplemental Jurisdictional Statement by June 30, 2017 to cure the deficiency.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the Complaint sufficiently pleads diversity jurisdiction | Alleged members (Slick Products, Inc. and Mark Thiele) show diversity because they are identified as Indiana entities/residents | Implicitly that identification may be insufficient to negate complete diversity | Complaint inadequate; Plaintiff must supply Slick Products' state of incorporation and principal place of business and Thiele's domicile |
Key Cases Cited
- Hay v. Indiana State Board of Tax Commissioners, 312 F.3d 876 (7th Cir.) (court must police subject-matter jurisdiction)
- Chase v. Shop’n Save Warehouse Foods, Inc., 110 F.3d 424 (7th Cir.) (party invoking diversity bears burden of establishing complete diversity)
- Mutual Assignment & Indemnity Co. v. Lind-Waldock & Co., LLC, 364 F.3d 858 (7th Cir.) (failure to establish diversity can result in dismissal)
- Belleville Catering Co. v. Champaign Market Place, LLC, 350 F.3d 691 (7th Cir.) (LLC citizenship determined by citizenship of its members)
- Hertz Corp. v. Friend, 559 U.S. 77 (U.S. Supreme Court) (corporation's principal place of business is its "nerve center")
- Dakuras v. Edwards, 312 F.3d 256 (7th Cir.) (individual citizenship determined by domicile)
- Heinen v. Northrop Grumman Corp., 671 F.3d 669 (7th Cir.) (residence is not synonymous with domicile for citizenship purposes)
- Guarantee National Title Co. v. J.E.G. Assocs., 101 F.3d 57 (7th Cir.) (stress that "residency" allegations do not suffice to show citizenship)