Pleading the Citizenship of an LLP

Pleading the Citizenship of an LLP

      In a recent decision from the Virgin Islands, the court considered and accepted the allegation of the citizenship of the limited liability partnership, it being the plaintiff in the action. In addition, the court set forth some useful guidance as to why, when an unincorporated association is the plaintiff in the action, it needs to bear the burden of reciting its citizenship.  Andreozzi Bluestein LLP v. Hamed, Civil Action No. 2817-0014, 2018 WL 1151117 (D. V.I. March 2, 2018).

      In its initial complaint, the plaintiff, a limited liability partnership, was not as expansive as to the basis of diversity jurisdiction as it could have been. In response, the plaintiff filed a motion to dismiss, asserting that the complaint “‘fails to allege the identity and citizenship of each [LLP] partner’ as required to properly plead Plaintiffs that’s citizenship.” The plaintiff then filed an amended complaint setting forth the names and citizenship of each of the partners. Thereby, by means of the amended complaint, the jurisdictional defect was cured.

      With respect to the obligation upon the plaintiff to, when asserting diversity jurisdiction, fully recite that of itself, it was observed:

The Court concludes that Plaintiff—as the proponent of diversity jurisdiction—is required to identify the individual members of the LLC (sic – partners in the partnership) and their respective citizenships to meet its burden of demonstrating diversity jurisdiction. See Lipitor Antitrust, 855 F.3d at 151 (noting that “an unincorporated association is in the best position to ascertain its own membership” and therefore should not be excused “of its obligation to plead the citizenship of each of its members”) (internal quotations omitted); see also Pike Co., 2013 WL 432928, at *1 (holding that a complaint failed to properly demonstrate the Plaintiff/LLP's citizenship for purposes of diversity jurisdiction where it failed to alleged the identities and citizenship of all of the Plaintiff's partners); MCF Ltd. Partners v. Seneca Specialty Ins. Co., 2012 WL 6681813, at *1 (M.D. Pa. Dec. 21, 2012) (same).