Rome v. McNally
- Rochon
- 1:24-cv-01647
- U.S. District Court · Southern District of New York
- 2
In Rome v. McNally, Judge Rochon ordered Jason Rome to amend his complaint or face dismissal for failing to establish complete diversity jurisdiction.
Jason Rome, Michael McNally, Peak Ridge Capital Group, Inc., and PR Vision Holdings, LLC; the case’s continuation depends on whether the complaint is amended to establish complete diversity of citizenship.
What happened
Rome v. McNally involves Jason Rome’s lawsuit against Michael McNally, Peak Ridge Capital Group, Inc., and PR Vision Holdings, LLC. Rome relied on diversity jurisdiction, which allows certain cases involving citizens of different states to be heard in federal court.
The court said the complaint did not provide the required citizenship information for the LLC’s members or for all individual parties. An LLC’s citizenship depends on the citizenship of each of its members, so identifying only the LLC’s state was not enough.
Judge Rochon ordered Rome to amend the complaint by March 15, 2024. If he could not truthfully allege complete diversity, the court said the complaint would be dismissed for lack of subject matter jurisdiction; if he amended it, the case would proceed.
The detailed version
- Rome v. McNally · No. 1:24-cv-01647
- Rochon
- Mar. 5, 2024
Background
The action was transferred to the Southern District of New York from the District of Massachusetts on March 4, 2024. Jason Rome sued Michael McNally, Peak Ridge Capital Group, Inc., and PR Vision Holdings, LLC. Rome invoked diversity of citizenship under 28 U.S.C. § 1332, a federal jurisdiction rule for qualifying disputes involving citizens of different states. The complaint alleged that Rome is a citizen of California and that PR Vision Holdings, LLC is a citizen of Delaware.
Court’s reasoning
The court explained that an LLC is considered a citizen of every state where its members are citizens. A complaint relying on diversity jurisdiction must therefore identify the citizenship of each person or entity that makes up the LLC. It must also provide the required citizenship information for corporate entities and individual parties. The court found that Rome’s complaint did not do this.
Order
The court ordered Rome to amend his complaint by March 15, 2024, to allege the citizenship of each person or entity comprising PR Vision Holdings, LLC and the citizenship of all individual parties. If Rome could not truthfully allege complete diversity of citizenship by that date, the complaint would be dismissed for lack of subject matter jurisdiction without further notice. If he amended the complaint by the deadline, the court would set an initial conference and the case would proceed.
Read the full 2-page opinion on CourtListener, the free public archive maintained by the Free Law Project.