Court Opinion

ID: 9454985
Source: CourtListenerOpinion
Date Created: 2023-08-04 19:05:48.434263+00
Date Added: 2024-06-11T17:34:24.426134
License: Public Domain

BYRNE, District Judge
(dissenting):
I respectfully dissent.
An allegation that an individual is a citizen of a certain state is an allegation of fact. However, a corporation is a creature of statute and its citizenship can be established only by compliance with the statutes. It follows that an allegation that a corporation is a citizen of a certain state is not an allegation of fact, but a mere conclusion of law. For the purpose of .federal jurisdiction, “a corporation shall be deemed a citizen of any State by which it has been incorporated and of the State where it has its principal place of business”. (28 U.S.C. § 1332(c))
“The prerequisites to the exercise of jurisdiction are specifically defined * * *. They are conditions which must be met by the party who seeks the exercise of jurisdiction in his favor. He must allege in his pleading the facts essential to show jurisdiction. If he fails to make the necessary allegations he has no standing.” McNutt v. General Motors Acceptance Corp., 298 U.S. 178, 189, 56 S.Ct. 780, 785, 80 L.Ed. 1135 (1935). (emphasis added)
In its petition for removal of this state court litigation to the federal District Court, Standard Oil stated plaintiff was a citizen of Alaska and that it was a citizen of Delaware and not a citizen of Alaska. The plaintiff is an individual and the allegation that he is -a citizen of Alaska is adequate, but there are no facts alleged as to the citizenship of defendant — only the legal conclusion that the defendant is a citizen of Delaware. This is not a defective allegation which may be cured by amendment as authorized by 28 U.S.C. § 1653, but a complete omission of any facts to establish diversity of citizenship or any other federal jurisdiction as required by 28 U.S.C. § 1446.
Upon the authority of the cases and statutes cited in my dissenting opinion in Barrow Development Company, Inc. v. Fulton Insurance Company, 418 F.2d 316 (9th Cir.), I would remand the ease to the district court and direct that court to remand it to the state court.