In Johnson v. Johnson, No. 24-2058 (6th Cir. Oct. 24, 2025), the Sixth Circuit affirms dismissal of an action to compel arbitration under Section 4 of the Federal Arbitration Act, holding that – under the probate exception – the lower court lacked equitable jurisdiction to interfere with a state in rem proceeding. The decedent “Mrs.Continue reading “Citing the Probate Exception, Sixth Circuit Holds District Court Lacked Equitable Jurisdiction to Compel Arbitration of Action Proceeding In Rem in State Court”
Tag Archives: 28 U.S.C. § 1332
Fifth Circuit Holds That 28 U.S.C. § 1359 Precludes Appointment of a “Sham” Trustee to Create Diversity Jurisdiction
In Fugedi v. Initram, Inc., No. 24-40283 (5th Cir. Sept. 9, 2025), the Fifth Circuit affirms dismissal of a case for lack of diversity jurisdiction, holding that appointment of a supposedly diverse trustee was a sham in violation of 28 U.S.C. § 1359. Section 1359 provides that “A district court shall not have jurisdiction ofContinue reading “Fifth Circuit Holds That 28 U.S.C. § 1359 Precludes Appointment of a “Sham” Trustee to Create Diversity Jurisdiction”
City’s Unexplained Failure to Name State as a Party Prevents Remand of Removed Case to State Court Under 28 U.S.C. § 1447, Holds Fifth Circuit
In New Orleans City v. Aspect Energy, LLC, No. 24-30199 (5th Cir. Jan. 23, 2025), the Fifth Circuit holds that the unexplained failure of the City of New Orleans to add the State of Louisiana as a party to its complaint meant that the federal court had diversity jurisdiction over the removed case. “Appellant, NewContinue reading “City’s Unexplained Failure to Name State as a Party Prevents Remand of Removed Case to State Court Under 28 U.S.C. § 1447, Holds Fifth Circuit”
Seventh Circuit Holds That It Is Not Always Appropriate, in Making an Erie Prediction of a State’s Highest Court, for a Federal Court to Avoid Expansion of State Law
In Green Plains Trade Group, LLC v. Archer Daniels Midland Co., No. 23-1185 (7th Cir. Jan. 12, 2024), the Seventh Circuit vacates and remands a judgment dismissing a complaint in a diversity tortious-interference case, holding that the district court was possibly too cautious in its prediction of Nebraska law. Plaintiff “Green Plains based its claimContinue reading “Seventh Circuit Holds That It Is Not Always Appropriate, in Making an Erie Prediction of a State’s Highest Court, for a Federal Court to Avoid Expansion of State Law”
Eighth Circuit Holds That Stipulations About Citizenship Are Not Binding When Evaluating Diversity Jurisdiction, Signaling a Possible Split with Other Circuits
In Great River Entertainment, LLC v. Zurich American Ins. Co., No. 21-3815 (8th Cir. Sept. 11, 2023), the Eighth Circuit reverses and remands a final judgment dismissing this insurance coverage lawsuit, holding that—despite an admission by the plaintiff in the district court that the parties were diverse—the plaintiff could contradict that stipulation on appeal withContinue reading “Eighth Circuit Holds That Stipulations About Citizenship Are Not Binding When Evaluating Diversity Jurisdiction, Signaling a Possible Split with Other Circuits”
Seventh Circuit Once Again Tangles with Whether a Chinese-Based Company Is a Corporation or a Limited Liability Company for Purposes of Alien-Citizen Diversity Jurisdiction
Previously, this blog reported on a complex 28 U.S.C. §1332(a)(2) issue of whether a Chinese enterprise was properly held to be a partnership, corporation, or foreign state for diversity purposes (see January 31, 2023 post) decided by the Seventh Circuit. This Seventh Circuit case, Sunny Handicraft (H.K.) Ltd. v. Envision This! LLC, No. 21-1579 (7thContinue reading “Seventh Circuit Once Again Tangles with Whether a Chinese-Based Company Is a Corporation or a Limited Liability Company for Purposes of Alien-Citizen Diversity Jurisdiction”
Seventh Circuit Maneuvers a Jurisdictional Puzzle Box About Whether a Chinese Defendant May Be a Partnership, Corporation, or Foreign State for Diversity Purposes
In Yancheng Shanda Yuanfeng Equity Investment Partner v. Wan, No. 22-1199 (7th Cir. Jan. 31, 2023), the Seventh Circuit hits a jurisdictional snag with how to determine the citizenship of a “hybrid” entity with characteristics of a partnership, a corporation, and a foreign state, each of which commands different treatment under the diversity jurisdiction statute,Continue reading “Seventh Circuit Maneuvers a Jurisdictional Puzzle Box About Whether a Chinese Defendant May Be a Partnership, Corporation, or Foreign State for Diversity Purposes”
