Quinn v. Citibank

Filing 5

MEMORANDUM AND ORDER, jurisdictional defect. Amended complaint due by 9/26/16. Signed by Judge J. Phil Gilbert on 8/29/2016. (jdh)

UNITED STATES DISTRICT COURT
FOR THE SOUTHERN DISTRICT OF ILLINOIS
VERNON H. QUINN, JR.,
Plaintiff,
v.

Case No. 16-cv-810-JPG-SCW

CITIBANK,
Defendant.
MEMORANDUM AND ORDER
This matter comes before the Court on plaintiff Vernon H. Quinn, Jr.’s motion for leave to
proceed in forma pauperis (Doc. 3). A federal court may permit an indigent party to proceed
without pre-payment of fees. 28 U.S.C. § 1915(a)(1). Nevertheless, a court can deny a qualified
plaintiff leave to file in forma pauperis or can dismiss a case if the action is clearly frivolous or
malicious or fails to state a claim. 28 U.S.C. § 1915(e)(2)(B)(i) & (ii). When assessing a motion
to proceed in forma pauperis, a district court should inquire into the merits of the movant’s claims,
and if the court finds them to be frivolous, it should deny leave to proceed in forma pauperis.
Lucien v. Roegner, 682 F.2d 625, 626 (7th Cir. 1982).
The Court is satisfied from Quinn’s affidavit that he is indigent. However, the Court finds
Quinn has not provided enough information to show this Court has jurisdiction over this state law
negligence action.
Specifically, Quinn does not allege a statutory basis for federal jurisdiction, so the Court
concludes he must be relying on the federal diversity jurisdiction under 28 U.S.C. § 1332(a).
Diversity jurisdiction under 28 U.S.C. § 1332(a) requires that the opposing parties not be citizens
of the same state, Strawbridge v. Curtiss, 7 U.S. (3 Cranch) 267 (1806), but Quinn has not alleged
his own citizenship or that of defendant Citibank. Because it is not clear the parties lack complete

diversity in this case, the Court will allow Quinn an opportunity to amend his complaint to allege
the facts necessary to establish federal diversity jurisdiction, that is, that his citizenship is not the
same as the citizenship of Citibank. The Court reminds Quinn that the citizenship of an inmate is
“the state of which he was a citizen before he was sent to prison unless he plans to live elsewhere
when he gets out, in which event it should be that state.” Singletary v. Continental Ill. Nat’l Bank,
9 F.3d 1236, 1238 (7th Cir. 1993). The citizenship of a corporation is the state of its principal
place of business and the state of its incorporation, 28 U.S.C. § 1332(c)(1). The citizenship of a
national banking association is the state in which it is located, 28 U.S.C. § 1348, and it is located in
the state in which its main office, as set forth in its articles of incorporation, is located. Wachovia
Bank N.A. v. Schmidt, 546 U.S. 303, 307 (2006). It may also be a citizen of the state of its
principal place of business. See Firstar Bank N.A. v. Faul, 253 F.3d 982, 988 (7th Cir. 2001).
Additionally, federal diversity jurisdiction requires that the matter in controversy exceed
the sum or value of $75,000, exclusive of interest and costs. 28 U.S.C. § 1332(a). Quinn alleges
Citibank was negligent by failing to answer his questions regarding how to transfer funds in his
checking account to his inmate trust fund account. The Court is hard-pressed to see how this
alleged negligence places more than $75,000 in issue. However, the Court will allow Quinn to
amend his complaint to allege facts showing more than $75,000 is in issue.
Quinn shall have up to and including September 26, 2016, to file an amended complaint
asserting his and Citibank’s citizenships and alleging facts to support an amount in controversy of
more than $75,000, excluding interests and costs. In the meantime, the Court RESERVES
RULING on his motion for leave to proceed in forma pauperis (Doc. 3). If Quinn fails to timely
file an amended complaint with the required information, the Court will deny Quinn’s motion for

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leave to proceed in forma pauperis and will dismiss this case without prejudice for lack of
jurisdiction. The Court reminds Quinn that state courts remain open to him to resolve his dispute
with Citibank.
IT IS SO ORDERED.
DATED: August 29, 2016
s/ J. Phil Gilbert
J. PHIL GILBERT
DISTRICT JUDGE

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