Cerkleski v. Wall et al

Filing 5

ORDER, re: jurisdictional defect. Amended complaint due 3/20/2025. Signed by Judge J. Phil Gilbert on 3/6/2025. (jdh)

IN THE UNITED STATES DISTRICT COURT
FOR THE SOUTHERN DISTRICT OF ILLINOIS
JAMES CERKLESKI,
Plaintiff,
v.

Case No. 25-299 JPG

JOHN WALL and
HINTON WALL FAMILY HOLDING
COMPANY, LLC,
Defendants.
MEMORANDUM AND ORDER
In light of Seventh Circuit Court of Appeals admonitions, see Foster v. Hill, 497
F.3d 695, 696-97 (7th Cir. 2007), the Court has undertaken a rigorous initial review of
pleadings to ensure that jurisdiction has been properly pled. See Hertz Corp. v. Friend,
559 U.S. 77, 94 (2010) (noting courts’ “independent obligation to determine whether
subject-matter jurisdiction exists, even when no party challenges it”). The Court has noted
the following defects in the jurisdictional allegations of the Complaint (Doc. 1) filed by
plaintiff:
Failure to allege the citizenship of each member of a limited liability
company. To determine if complete diversity exists, the Court must examine the
citizenship of each member of a limited liability company. Page v. Dem. Nat’l
Comm., 2 F.4th 630, 635 (7th Cir. 2021); see Americold Realty Trust v. Conagra
Foods, Inc., 577 U.S. 378, 381-82, (2016); Belleville Catering Co. v. Champaign
Market Place, LLC, 350 F.3d 691, 692 (7th Cir. 2003). The relevant pleading must
affirmatively allege the specific states of citizenship of each member of the limited
liability company, and “the citizenship of unincorporated associations must be
traced through however many layers of partners or members there may
be.” Meyerson v. Harrah’s E. Chi. Casino, 299 F.3d 616, 617 (7th Cir. 2002); see
White Pearl Inversiones S.A. (Uruguay) v. Cemusa, Inc., 647 F.3d 684, 686 (7th
Cir. 2011); Guaranty Nat’l Title Co. v. J.E.G. Assoc., 101 F.3d 57 (7th Cir.1996)
(essential to trace the citizenship of investors through all levels, if, say, one LP
invests in another). Complaint alleges residence but not citizenship of each member
of Hinton Wall Family Holding Company, LLC.

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. Complaint alleges residence
but not citizenship of defendant John Wall.
The Court hereby ORDERS plaintiff shall have up to and including March 20,
2025 to amend the faulty pleading to correct the jurisdictional defects. See 28 U.S.C. §
1653. Failure to cure the noted defects will result in dismissal of this case for lack of
subject matter jurisdiction. Amendment of the faulty pleading to reflect an adequate basis
for subject matter jurisdiction will satisfy this order. Plaintiff 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: 3/6/2025
s/J. Phil Gilbert
J. PHIL GILBERT
DISTRICT JUDGE