Security National Insurance Company v. M and E.S. Construction Engineering, Inc. et al

Filing 19

MINUTES (IN CHAMBERS) Further Order to Show Cause re Jurisdiction by Judge James V. Selna. Security Nations is ordered to file an amended pleading within 15 days identifying (a) the limited partners of Casa Apartments LP, and (b) for Casa LLC each member's citizenship and principal place of business as the date of the filing of the initial pleading. If any member is itself an LLC, the same information shall be provided for each subtier member, and if need be, for each successive subtier. A failure to respond may result in dismissal for lack of jurisdiction. (see document for details). (dro)

UNITED STATES DISTRICT COURT
CENTRAL DISTRICT OF CALIFORNIA
CIVIL MINUTES - GENERAL
Case No.

SACV 18-639 JVS (JDEx)

Title

Security National Insurance Company v. M E.S. Construction Engineering, Inc.

Present: The Honorable

Date

June 15, 2018

James V. Selna

Karla J. Tunis

Not Present

Deputy Clerk

Court Reporter

Attorneys Present for Plaintiffs:

Attorneys Present for Defendants:

Not Present

Not Present

Proceedings:

(IN CHAMBERS) Further Order to Show Cause re Jurisdiction

The Court has made a preliminary review of Security National Insurance
Company’s (“Security National”) First Amended Complaint filed in response to the
Court’s Order to Show Cause. (Docket No. 18.) Some but not all of the problems
have been cured and another has arisen.
With respect to Casa Apartments LP, the Court advised:
A limited partnership takes on the citizenship of all of its members.
Carden v. Arkoma Associates, 494 U.S. 185, 195-97 (1990). The limited
partners in Casa Apartments LP are not identified nor is their citizenship.
(Docket No. 17, pp. 1-2.) Security National identifies the general partner as Casa
Apartments GI, LLC (“Casa LLC”) and it manager, but not the limited partners. (First
Amended Complaint, p 7.)
In addition, special rules apply to limited liability companies (“LLCs”).
For purposes of diversity jurisdiction, an LLC takes on the citizenship of each of its
members. Johnson v. Columbia Properties Anchorage , LP, 437 F.3d 894, 899 (9th Cir.
2006); Cosgrove v. Bartolotta, 150 F.3d 729, 731 (7th Cir. 1998); Keith v. Black
Diamond Advisors, Inc., 48 F. Supp. 2d 326, 329-30 (S.D. N.Y. 1999). In order to
determine diversity, the Court must consider the citizenship of each LLC member, and
if a member is an LLC, the citizenship of its members. Presently, the Court cannot tell
if jurisdiction has been properly invoked.
Security Nations is ordered to file an amended pleading within 15 days
CV-90 (06/04)

CIVIL MINUTES - GENERAL

Page 1 of 2

UNITED STATES DISTRICT COURT
CENTRAL DISTRICT OF CALIFORNIA
CIVIL MINUTES - GENERAL
Case No.

SACV 18-639 JVS (JDEx)

Title

Security National Insurance Company v. M E.S. Construction Engineering, Inc.

Date

June 15, 2018

identifying (a) the limited partners of Casa Apartments LP, and (b) for Casa LLC each
member’s citizenship and principal place of business as the date of the filing of the
initial pleading. If any member is itself an LLC, the same information shall be
provided for each subtier member, and if need be, for each successive subtier.
A failure to respond may result in dismissal for lack of jurisdiction.

:
Initials of Preparer

CV-90 (06/04)

CIVIL MINUTES - GENERAL

00

kjt

Page 2 of 2