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S.D.N.Y.Procedural orderFiled Apr. 21, 2020

National Sporting Goods Corp. v. ETG Capital LLC

Judge
John Koeltl
Docket
1:19-cv-05533
Court
U.S. District Court · Southern District of New York
Pages
1
Civil Procedure
In one sentence

In National Sporting Goods v. ETG Capital, Judge Koeltl required citizenship details and postponed the conference because diversity was inadequately alleged.

Who this affects

The parties, particularly defendants ETG Capital LLC and Trade Risk Strategies, must provide the requested citizenship information, and the scheduled conference was postponed.

What happened

National Sporting Goods Corp. v. ETG Capital LLC concerns whether the complaint properly alleged the parties’ citizenship for complete diversity. The court said it did not properly allege the citizenship of each defendant.

The court ordered the parties to provide information by April 24, 2020, about the citizenship of each participant in ETG Capital LLC and about the nature and citizenship of Trade Risk Strategies, including its members when appropriate. It also postponed the April 27 conference without setting a new date.

Judge John G. Koeltl issued this order to obtain the missing citizenship information. The order did not decide the underlying dispute.

The detailed version

For law students, journalists, and other readers who want the full reasoning

Case
National Sporting Goods Corp. v. ETG Capital LLC · No. 1:19-cv-05533
Judge
John Koeltl
Date
Apr. 21, 2020

Background

The complaint did not properly allege the citizenship of each defendant. The court explained that an LLC’s citizenship is determined by the citizenship of each of its constituent members. The order also states that the parties needed to provide information about the nature and citizenship of defendant Trade Risk Strategies and, as appropriate, the citizenship of all of its constituent members.

Order

By April 24, 2020, the parties had to advise the court of the citizenship of each participant in ETG Capital LLC. They also had to advise the court about Trade Risk Strategies as described above. The court said the complaint failed to allege complete diversity of citizenship because it did not properly allege each defendant’s citizenship.

Effect

The court adjourned the conference scheduled for April 27, 2020, without setting a new date. Judge John G. Koeltl’s order addressed the citizenship allegations and scheduling; it did not decide the underlying dispute.

The authoritative version

Read the full 1-page opinion on CourtListener, the free public archive maintained by the Free Law Project.

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