Nationwide Insurance Company v. Hentz et al

Filing 11

MEMORANDUM AND ORDER that plaintiff amend complaint to amend jurisdictional defect. Signed by Judge J. Phil Gilbert on 9/14/2011. (dka, )

UNITED STATES DISTRICT COURT
FOR THE SOUTHERN DISTRICT OF ILLINOIS
NATIONWIDE INSURANCE COMPANY,
Plaintiff,
v.

Case No. 11-cv-618-JPG-PMF

JEANNE HENTZ, CENTRAL LABORERS
PENSION FUND, CENTRAL LABORERS
WELFARE FUND and CENTRAL
LABORERS ANNUITY FUND,
Defendants.
MEMORANDUM AND ORDER
In light of Seventh Circuit admonitions, see, e.g., America’s Best Inns, Inc. v. Best Inns of
Abilene, L.P., 980 F.2d 1072 (1992), the Court has undertaken a rigorous initial review of
pleadings to ensure that jurisdiction has been properly pled. The Court has noted the following
defects in the jurisdictional allegations of the Complaint (Doc. 2) filed by plaintiff Nationwide
Insurance Company:
•

Failure to allege the citizenship of an individual. A complaint asserting diversity
jurisdiction must allege the citizenship of an individual defendant, not merely residence.
28 U.S.C. § 1332(a)(1); Meyerson v. Harrah’s East Chicago Casino, 299 F.3d 616, 617
(7th Cir. 2002); Held v. Held, 137 F.3d 998, 1000 (7th Cir. 1998). Allegations of
“residence” are jurisdictionally insufficient. Steigleder v. McQuesten, 198 U.S. 141
(1905). Dismissal is appropriate where parties allege residence but not citizenship.
Held, 137 F.3d at 1000. The plaintiff has only alleged defendant Jeanne Hentz’s
residence.

•

Failure to allege the citizenship of a trust. Where one of the parties is a trust, the
complaint must allege the citizenship of its trustee or trustees, America's Best Inns, Inc. v.
Best Inns of Abilene, L.P., 980 F.2d 1072, 1074 (7th Cir. 1992), or, if the law under
which the trust is organized permits the trust to sue and be sued in its own name, the
citizenship of the trust’s beneficiaries. Yount v. Shashek, 472 F. Supp. 2d 1055, 1058 n. 1
(S.D. Ill. 2006) (citing Allegis Group, Inc. Contractors Health Plan Trust v. Conn. Gen.
Life Ins. Co., No. 04-16, 2004 WL 1289862, at * 2-4 & n. 3 (D. Md. June 10, 2004)).
The complaint does not allege the citizenship of the trustee(s) or the beneficiaries of the
trust defendants.

The Court hereby ORDERS that plaintiff Nationwide Insurance Company shall have up
to and including September 23, 2011, to amend the faulty pleading to correct the jurisdictional
defect. Failure to amend the faulty pleading may result in dismissal of this case for lack of
subject matter jurisdiction or for failure to prosecute pursuant to Federal Rule of Civil Procedure
41(b)]. Amendment of the faulty pleading to reflect an adequate basis for subject matter
jurisdiction will satisfy this order. Plaintiff/defendant Nationwide Insurance Company is
directed to consult Local Rule 15.1 regarding amended pleadings and need not seek leave of
Court to file such amended pleading.
IT IS SO ORDERED.
DATED: September 14, 2011
s/ J. Phil Gilbert
J. PHIL GILBERT
DISTRICT JUDGE

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