American Rent-A-Car v. Farris

Filing 11

ORDER Requiring Plaintiff to file an Amended Disclosure Statement; Plaintiff must file an amended disclosure statement pursuant to Rule 7.1(a)(2) by Wednesday, February 14, 2024. Signed by District Judge Judith E. Levy. (WBar)

UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF MICHIGAN
SOUTHERN DIVISION
American Rent-A-Car,
Plaintiff,
v.

Case No. 23-13158
Judith E. Levy
United States District Judge

Elizabeth Farris,
Defendant.

Mag. Judge Kimberly G. Altman

________________________________/
ORDER REQUIRING PLAINTIFF TO FILE
AN AMENDED DISCLOSURE STATEMENT
On January 3, 2024, the Court issued an order requiring Plaintiff
American Rent-A-Car to file the required disclosure statements under
Federal Rule of Civil Procedure 7.1(a)(1) and (2). (ECF No. 8.) In its
disclosure statement regarding Rule 7.1(a)(2), Plaintiff states: “American
Rent-A-Car is a limited liability company organized and existing under
the laws of the state of Michigan with its principal place of business
located in Macomb County, Michigan.” (ECF No. 10, PageID.51.)
Plaintiff’s disclosure statement does not comply with Rule 7.1(a)(2).
That rule provides:

In an action in which jurisdiction is based on diversity under
28 U.S.C. § 1332(a), a party or intervenor must, unless the
court orders otherwise, file a disclosure statement. The
statement must name—and identify the citizenship of—every
individual or entity whose citizenship is attributed to that
party or intervenor:
(A) when the action is filed in or removed to federal
court, and
(B) when any later event occurs that could affect the
court’s jurisdiction under § 1332(a).
Fed. R. Civ. P. 7.1(a)(2). “Unlike a corporation, [a limited liability
company’s] state of organization does not establish its citizenship.” Akno
1010 Mkt. St. St. Louis Mo. LLC v. Pourtaghi, 43 F.4th 624, 626 (6th Cir.
2022). “When diversity jurisdiction is invoked in a case in which a limited
liability company is a party, the court needs to know the citizenship of
each member of the company.” Delay v. Rosenthal Collins Grp., Inc., 585
F.3d 1003, 1005 (6th Cir. 2009). This includes the citizenship of any submembers of the limited liability company as well. Id. As such, Plaintiff’s
statement that it is a Michigan limited liability company with a principal
place of business in Michigan (see ECF No. 10, PageID.51) is insufficient
to establish Plaintiff’s citizenship for purposes of diversity jurisdiction or
Rule 7.1(a)(2).

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Accordingly, Plaintiff must file an amended disclosure statement
pursuant to Rule 7.1(a)(2) by Wednesday, February 14, 2024. The
amended disclosure statement “must name—and identify the citizenship
of—every individual or entity whose citizenship is attributed to” Plaintiff.
Fed. R. Civ. P. 7.1(a)(2).
IT IS SO ORDERED.
Dated: February 7, 2024
Ann Arbor, Michigan

s/Judith E. Levy
JUDITH E. LEVY
United States District Judge

CERTIFICATE OF SERVICE
The undersigned certifies that the foregoing document was served
upon counsel of record and any unrepresented parties via the Court’s
ECF System to their respective email or first-class U.S. mail addresses
disclosed on the Notice of Electronic Filing on February 7, 2024.
s/William Barkholz
WILLIAM BARKHOLZ
Case Manager

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