Paradise Service, LLC v. Mercedes-Benz USA, LLC

Summary

The United States District Court for the Central District of California ordered Mercedes-Benz USA, LLC to show cause why this Song-Beverly Act action should not be remanded to Riverside County Superior Court. The court questioned whether diversity jurisdiction was established because the defendant had not alleged the citizenship of each owner or member of the plaintiff LLC.

Holdings

1. A party invoking removal based on diversity jurisdiction must establish the citizenship of every member or owner of an LLC; merely asserting the LLC's state citizenship is insufficient.
2. Because the removal papers failed to establish complete diversity, the defendant was ordered to show cause why the action should not be remanded for lack of subject matter jurisdiction.

Questions Presented

1. Whether the removing defendant adequately established complete diversity for purposes of federal diversity jurisdiction when it failed to allege the citizenship of each owner or member of the plaintiff LLC.
2. Whether the defendant should be required to show cause why the action should not be remanded for lack of subject matter jurisdiction.

Disposition

other