Boca Bay Group II LLC v. TLM Group LLC

Background

TLM Group LLC filed a notice of removal on January 19, 2024, bringing the action from state court to the U.S. District Court for the Southern District of New York. The notice relied on diversity jurisdiction, a form of federal jurisdiction for civil cases involving more than $75,000 and citizens of different states.

Jurisdictional issue

The court stated that diversity must be complete, meaning all opposing parties must be citizens of different states. For diversity purposes, a limited liability company generally has the citizenship of each of its members. The party seeking removal bears the burden of establishing that federal jurisdiction exists.

The court found that TLM Group LLC’s notice of removal did not allege enough facts to establish the citizenship of each member of Boca Bay Group II LLC. The court described this failure as a procedural defect and noted that a federal court may remand a case to state court for that defect within thirty days after the notice of removal is filed.

Disposition

The court ordered that the matter be REMANDED to state court. It also directed the Clerk of Court to close the federal case and mail a certified copy of the order to the Supreme Court of the State of New York, New York County, under 28 U.S.C. § 1447(c). Judge Lorna G. Schofield signed the order. The opinion does not decide the underlying claims between the parties.