Sweis v. Travelers Casualty Insurance Company of America

Filing 64

MEMORANDUM Order Signed by the Honorable Milton I. Shadur on 4/9/2014. Mailed notice by judge's staff. (srb,)

IN THE UNITED STATES DISTRICT COURT
FOR THE NORTHERN DISTRICT OF ILLINOIS
EASTERN DIVISION

NICHOLAS SWEIS, as co-trustee of the
Sweis Living Trust,
Plaintiff,
v.
TRAVELERS CASUALTY INSURANCE
COMPANY OF AMERICA; OVERMAN
AGENCY, LLC; LARRY D. BROWN;
and TERRI L. BROWN,
Defendants.

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Case No. 13 C 7175

MEMORANDUM ORDER
Overman Agency, LLC ("Overman"), Larry Brown ("Larry") and Terri Brown ("Terri")
(collectively "Overman Defendants") have filed their Answer to the Second Amended Complaint
brought against them and Travelers Casualty Insurance Company of America ("Travelers") by
Nicholas Sweis ("Sweis"). Because a previously-undisclosed potential jurisdictional problem
has figuratively jumped off the pages of that Answer, and because it is the duty of every federal
court to raise any such potential problem sua sponte, this memorandum order is issued to obtain
additional information in that respect.
This action purports to sound in diversity jurisdiction, and Overman Defendants' Answer
¶ 6 simply admits its existence -- but another part of the Answer indicates that there may be more
than meets the eye in that regard. On that score other pleadings in the case have confirmed
Sweis' South Carolina citizenship and Travelers' Connecticut citizenship (Overman Defendants
have responded with Fed. R. Civ. P. 8(b)(5) disclaimers in both those respects, but their inability

to admit or deny those facts poses no problem under the circumstances). And as to Larry and
Terri, Overman Defendants' Answer ¶¶ 4 and 5 confirm the Oklahoma citizenship of both.
So far, so good. But as to Overman itself (an Oklahoma limited liability company),
Overman Defendants' Answer ¶ 4 denies Sweis' information-and-belief assertion that "defendant
Larry D. Brown is Overman's sole member" -- and it is of course well-established law that for
diversity purposes the citizenship of such a company is that of all of its members.
Accordingly Overman Defendants are ordered to amend their recent Answer on or before
April 21, 2014 to identify all the members of Overman and their respective states of citizenship.
This Court will then determine whether anything further is required to confirm the existence of
subject matter jurisdiction over this action.

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Milton I. Shadur
Senior United States District Judge
Date: April 9, 2014

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