Treichel et al v. Inergy Propane LLC et al

Filing 18

ORDER Granting Leave to Plaintiffs and Defendants to Brief the issue of Diversity Jurisdiction. (Briefs due by 1/5/2010) Signed by District Judge Thomas L Ludington. (SGam)

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UNITED STATES DISTRICT COURT EASTERN DISTRICT OF MICHIGAN NORTHERN DIVISION ALBERT D. TREICHEL, CATHLEEN L. TREICHEL, Plaintiffs, v. INERGY PROPANE, LLC, EMERSON ELECTRIC COMPANY, Defendants. ______________________________________ / ORDER GRANTING LEAVE TO PLAINTIFFS AND DEFENDANTS TO BRIEF THE ISSUE OF DIVERSITY JURISDICTION On September 3, 2009, Plaintiffs Albert and Cathleen Treichel filed a complaint alleging diversity jurisdiction against Defendants Inergy Propane LLC and Emerson Electric Company. On November 17, 2009, the Court directed Defendant Inergy Propane LLC to identify the citizenship of each of its members to satisfy itself that diversity jurisdiction exists in this matter. See Homfeld II, L.L.C. v. Comair Holdings, Inc., 53 F. App'x 731, 732-33 (6th Cir. 2002) (explaining that a limited liability company's citizenship is derived from the citizenship of each of its members). In response [Dkt. # 14], Defendant Inergy Propane LLC represented that it was a wholly owned subsidiary of Inergy, LP, which is organized under Delaware law with its principal place of business in Missouri. Based on the information received, the Court further directed Defendant Inergy Propane LLC to identify the citizenship of each of Inergy LP's partners. The Court explained that the citizenship of a limited partnership is not determined by the state of organization and principal place of business, but rather by the citizenship of each of its partners. See Carden v. Arkoma Assocs., 494 Case Number 09-13489-BC Honorable Thomas L. Ludington U.S. 185 (1990). In response [Dkt. # 16, 17], Defendant Inergy Propane LLC acknowledged that Inergy LP is a "publicly traded entity with a large number of limited partners believed to be present in all fifty states," including Michigan. Despite this, Defendant Inergy Propane LLC maintains that diversity jurisdiction exists, asserts that this case is distinguisable from Carden, and requests additional time to brief the issue. Based on the above, the Court will grant both Plaintiffs and Defendants an opportunity to brief the question of whether the citizenship of each of the limited partners of Inergy LP should be considered to determine the citizenship of Defendant Inergy Propane LLC. Accordingly, it is ORDERED that both Plaintiffs and Defendants are GRANTED LEAVE to file briefs on or before January 5, 2010, addressing the citizenship of Defendant Inergy Propane LLC for the purpose of establishing diversity jurisdiction. s/Thomas L. Ludington THOMAS L. LUDINGTON United States District Judge Dated: December 14, 2009 PROOF OF SERVICE The undersigned certifies that a copy of the foregoing order was served upon each attorney or party of record herein by electronic means or first class U.S. mail on December 14, 2009. s/Tracy A. Jacobs TRACY A. JACOBS -2-

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