Nikolai Grigoriev v. Dov Charney et al - IN RE AMERICAN APPAREL, INC. SHAREHOLDER DERIVATIVE LITIGATION

Filing 3

MINUTE ORDER IN CHAMBERS by Judge Gary A. Feess: ORDER TO SHOW CAUSE by Judge Gary A. Feess. Plaintiff is ORDERED TO SHOW CAUSE, no later than Friday,October 8, 2010, why this case should not be dismissed for lack of subject matter jurisdiction. The filing of a written memorandum addressing the Courts concerns shall constitute a sufficient response to this order. (rfi)

-JC Nikolai Grigoriev v. Dov Charney et al

Doc. 3

LINK: 1 UNITED STATES DISTRICT COURT CENTRAL DISTRICT OF CALIFORNIA CIVIL MINUTES - GENERAL Case No. Title CV 10-6576 GAF (JCx) Nikolai Grigoriev v. Dov Charney et al Date September 29, 2010

Present: The Honorable Renee Fisher Deputy Clerk

GARY ALLEN FEESS None Court Reporter / Recorder None N/A Tape No.

Attorneys Present for Plaintiff: None Proceedings:

Attorneys Present for Defendant:

(In Chambers) ORDER TO SHOW CAUSE RE:

Plaintiff brings his state law claims against Defendant Directors Dov Charney, Adrian Kowalewski, Mark Samson, Keith Miller, Mark A. Thornton, Robert Greene, Allan Maybe, Neil Richardson, and American Apparel, Inc. as a nominal defendant under the Court's diversity jurisdiction. 28 U.S.C. § 1332. Plaintiff's diversity allegations are lacking because the Complaint fails to properly allege his own state of citizenship and that of each Defendant Director. "[T]he diversity jurisdiction statute, 28 U.S.C. § 1332, speaks of citizenship, not of residency." Kanter v. Warner-Lambert Co., 265 F.3d 853, 857 (9th Cir. 2001) (citing NewmanGreen, Inc. v. Alfonzo-Larrain, 490 U.S. 826, 828 (1989)). A person's state of citizenship is "determined by her state of domicile, not her state of residence." Id.; see also Mantin v. Broad. Music, Inc., 244 F.2d 204, 206 (9th Cir. 1957) (concluding that allegation that Plaintiff was "residing in the County of Los Angeles, State of California" failed to establish Plaintiff's citizenship and thus diversity jurisdiction did not exist). Here, Plaintiff's Complaint fails to identify his own as well as each Defendants' state of citizenship. (Compl. ¶¶ 13, 15-22.) Plaintiff's allusion to the fact that "certain of the Individual Defendants are residents and citizens of California" is insufficient. (Id. ¶¶ 10-11.) Additionally, Plaintiff only specifically identifies the residency of each individual. (Id. ¶¶ 13, 15-22.) Under Mantin and subsequent case law, however, an individual's citizenship is not determined by her state of residence. 244 F.2d at 206.
CV-90 (06/04) CIVIL MINUTES - GENERAL Page 1 of 2

Dockets.Justia.com

LINK: 1 UNITED STATES DISTRICT COURT CENTRAL DISTRICT OF CALIFORNIA CIVIL MINUTES - GENERAL Case No. Title CV 10-6576 GAF (JCx) Nikolai Grigoriev v. Dov Charney et al Date September 29, 2010

Accordingly, Plaintiff is ORDERED TO SHOW CAUSE, no later than Friday, October 8, 2010, why this case should not be dismissed for lack of subject matter jurisdiction. The filing of a written memorandum addressing the Court's concerns shall constitute a sufficient response to this order. IT IS SO ORDERED.

CV-90 (06/04)

CIVIL MINUTES - GENERAL

Page 2 of 2