Arch Insurance Company v. Outreach Community Development Corporation

Filing 36

ORDER Regarding 35 Motion to Substitute the Supplemental and Amended Complaint. The motion is DENIED. ORDERED that Arch Insurance Company file a motion to substitute the proposed pleading (R. Doc. 33-2) with a proposed pleading th at: (1) is comprehensive; and (2) properly sets forth the citizenship of the parties. Arch shall have seven (7) days from the date of this Order to file the motion to substitute without further leave of court. Signed by Magistrate Judge Erin Wilder-Doomes on 01/04/2017. (ELW)

UNITED STATES DISTRICT COURT
MIDDLE DISTRICT OF LOUISIANA
ARCH INSURANCE COMPANY
CIVIL ACTION
VERSUS
NO. 15-721-JWD-EWD
OUTREACH COMMUNITY
DEVELOPMENT CORPORATION
ORDER REGARDING MOTION TO SUBSTITUTE THE SUPPLEMENTAL AND
AMENDED COMPLAINT FOR DECLARATORY JUDGMENT OF ARCH
INSURANCE COMPANY
Before the court is a Motion to Substitute the Supplemental and Amended Complaint for
Declaratory Judgment of Arch Insurance Company (the “Motion to Substitute”).1
On December 14, 2016, Arch Insurance Company (“Arch”) filed a Motion, and
Incorporated Memorandum, for Leave to File a Supplemental and Amended Complaint for
Declaratory Judgment (the “Motion for Leave”). 2 On December 15, 2016, this court ordered Arch
to file a motion to substitute the proposed pleading (R. Doc. 33-2) with a proposed pleading that:
(1) is comprehensive; and (2) properly sets forth the citizenship of the parties. 3 The court further
ordered that Arch state in its motion to substitute whether defendant consents to the filing of Arch’s
amended pleading.4
On December 22, 2016, Arch filed the instant Motion to Substitute. Therein, Arch asserts
that “Defendant OCDC has reviewed the Supplemental and Amended Complaint and consents to
its filing.”5 The proposed amended pleading (R. Doc. 35-2) asserts that Arch is “a foreign insurer
domiciled in Missouri with the principal place of business of 300 Plaza Three, Jersey City, NJ

1

R. Doc. 35.
R. Doc. 33.
3
R. Doc. 34.
4
R. Doc. 34.
5
R. Doc. 35, ¶ 9.
2

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07311-1107…” and that defendant is “a Louisiana non-profit corporation domiciled at 1517
Statesman Road, Opelousas, Louisiana 70570, with the principal place of business of
Louisiana….”6 By the proposed amended complaint, Arch “re-avers, re-alleges, and incorporates
all allegations made in its original Complaint for Declaratory Judgment.” 7
Despite this court’s December 15, 2016 Order,8 the proposed amended complaint is not
comprehensive and does not adequately allege Arch’s citizenship.9 Arch’s attempt to incorporate
all allegations made in its original Complaint for Declaratory Judgment is not sufficient to comply
with this court’s Order. To comply with this court’s Order, Arch must move to substitute an
amended complaint that includes (rather than incorporates by reference) all of Arch’s allegations,
including those that remain active as set forth in the original Complaint, in one comprehensive
pleading.

Additionally, to properly allege its citizenship, Arch must allege its state of

incorporation as well as the state of its principal place of business. 10

28 U.S.C. § 1332(c). See

also, Getty Oil, Div. of Texaco v. Ins. Co. of North America, 841 F.2d 1254, 1259 (5th Cir. 1998)
(In diversity cases involving corporations, “allegations of citizenship must set forth the state of
incorporation as well as the principal place of business of each corporation.”).
Accordingly,
IT IS HEREBY ORDERED that the Motion to Substitute the Supplemental and Amended
Complaint for Declaratory Judgment of Arch Insurance Company11 is DENIED.

6

R. Doc. 35-2, p. 1.
R. Doc. 35-2, ¶ 4.
8
R. Doc. 34.
9
Arch’s allegations regarding OCDC’s citizenship are sufficient, because Arch alleges that OCDC is a Louisiana
corporation with its principal place of business in Louisiana.
10
Arch’s allegation that it is “a foreign insurer domiciled in Missouri” does no t explicitly allege its corporate status
nor its state of incorporation.
11
R. Doc. 35.
7

2

IT IS FURTHER ORDERED that Arch Insurance Company file a motion to substitute
the proposed pleading (R. Doc. 33-2) with a proposed pleading that: (1) is comprehensive; and (2)
properly sets forth the citizenship of the parties. Arch shall have seven (7) days from the date of
this Order to file the motion to substitute without further leave of court.
Signed in Baton Rouge, Louisiana, on January 4, 2017.

S
ERIN WILDER-DOOMES
UNITED STATES MAGISTRATE JUDGE

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