Atlantis Worldwide LLC v. Expansion Medical, LLC

Background

Atlantis Worldwide LLC brought the action against Expansion Medical, LLC and invoked federal subject matter jurisdiction based on diversity of citizenship under 28 U.S.C. § 1332. The court noted that, if the parties are limited liability companies, the complaint must identify the citizenship of each member. For any corporate member, it must also identify the corporation’s place of incorporation and principal place of business.

Orders

The court ordered Atlantis to amend its pleading by April 15, 2022, to allege the citizenship of each constituent person or entity of both companies. The court stated that failure to truthfully allege complete diversity by that deadline would result in dismissal of the complaint for lack of subject matter jurisdiction.

The court also adjourned the default hearing scheduled for April 7, 2022, without setting a new date. Atlantis was ordered to serve the order on Expansion Medical by hand delivery or first-class mail and service by the Secretary of State by April 6, and to file proof of service by April 7.

Disposition and significance

Judge Analisa Torres issued an order requiring clarification of the facts supporting federal jurisdiction and setting service-related deadlines. The order did not resolve the parties’ underlying dispute or enter a dismissal; it warned that dismissal would follow if Atlantis failed to comply with the amendment requirement. Because the order addressed a jurisdictional pleading issue rather than the merits, it is a procedural order.