Bank of America, N.A. v. The Willows Homeowners' Association, et al
Filing
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ORDER Denying 30 Motion for Demand for Security of Costs and Granting 32 Motion to Strike 30 . Signed by Judge Andrew P. Gordon on 8/3/16. (Copies have been distributed pursuant to the NEF - ADR)
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UNITED STATES DISTRICT COURT
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DISTRICT OF NEVADA
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BANK OF AMERICA, N.A.,
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Plaintiff,
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ORDER DENYING DEMAND FOR
SECURITY COSTS AND GRANTING
MOTION TO STRIKE
v.
WILLOWS HOMEOWNERS
ASSOCIATION, et al.,
(ECF Nos. 30, 32)
Defendants.
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Case No. 2:16-cv-00678-APG-CWH
Plaintiff/counterdefendant Bank of America, N.A. requests the court require
defendant/counterclaimant SFR Investments Pool 1, LLC to post a cost bond pursuant to Nevada
Revised Statutes § 18.130(1). SFR moves to strike this request, arguing that § 18.130(1) does not
apply because SFR is not a plaintiff and SFR is a Nevada limited liability company that resides in
Nevada.
Under § 18.130(1), “[w]hen a plaintiff in an action resides out of the State, or is a foreign
corporation, security for the costs and charges which may be awarded against such plaintiff may
be required by the defendant, by the filing and service on plaintiff of a written demand therefor
within the time limited for answering the complaint.” The statute thus applies to out-of-state
plaintiffs, of which SFR is neither. SFR is a defendant in this case. And, SFR is a Nevada
limited liability company that resides in Nevada. See ECF Nos. 1 at 2 and 27 at 2 (alleging and
admitting that SFR is a Nevada limited liability company); 49-1 (deposition testimony that SFR
operates only in Nevada).1 The fact that SFR’s members may be citizens of other states for
purposes of determining diversity jurisdiction under federal law does not change SFR’s residency
or status as a Nevada limited liability company for purposes of the Nevada statute.
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See also the Nevada Secretary of State website identifying SFR as a Nevada limited liability
company with registered agent and officer addresses in Nevada.
https://nvsos.gov/SOSEntitySearch/CorpDetails.aspx?lx8nvq=enkrPI2ZQlSNORkAAyF%252fAw%253d
%253d&nt7=0 (last accessed on August 3, 2016).
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IT IS THEREFORE ORDERED that Plaintiff/counterdefendant Bank of America, N.A.’s
demand for security costs (ECF No. 30) is DENIED.
IT IS FURTHER ORDERED that defendant/counterclaimant SFR Investments Pool 1,
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LLC’s motion to strike (ECF No. 32) is GRANTED.
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DATED this 3rd day of August, 2016.
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ANDREW P. GORDON
UNITED STATES DISTRICT JUDGE
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