PAYLESS, INC.

v.

BEAZLEY INSURANCE COMPANY, INC.

applicable law, and is otherwise fully advised. For the reasons discussed below, the above-styled case is dismissed without prejudice. Federal courts are “‘empowered to hear only those cases within the judicial power of the United States as defined by Article III of the Constitution,’ and which have been entrusted to them by a jurisdictional grant authorized by Congress.” Univ. of S. Ala. v. Am. Tobacco Co., 168 F. 3d 405, 409 (11th Cir. 1999) (quoting Taylor v. Appleton, 30 F. 3d 1365, 1367 (11th Cir. 1994)).

As such, a “district court may act sua sponte to address the issue of subject matter jurisdiction at any time.” Herskowitz v. Reid, 187 F. App’x 911, 912-13 (11th Cir. 2006).

Further, “once a federal court determines that it is without subject matter jurisdiction, the court is powerless to continue.” Univ. of S. Ala., 168 F. 3d at 410. The Complaint in this case alleges that this Court has diversity jurisdiction over this action pursuant to 28 U.S.C. § 1332. ECF No. ¶ 5. The Complaint further states that, “Payless Shoesource Worldwide LLC is a corporation organized and existing under the laws of Florida with its principal place of business located in Miami, Florida.” Id. ¶ 2. District courts have diversity jurisdiction over cases in which the parties are completely diverse and the amount in controversy exceeds $75,000.00. 28 U.S.C. § 1332. “For a court to have diversity jurisdiction pursuant to 28 U.S.C. § 1332(a), ‘all plaintiffs must be diverse from all defendants.’” First Home Bank v. Net Zero LLC, No. 3:20-cv-150-J-34MCR, 2020 WL 802518, at *2 (M.D. Fla. Feb. 18, 2020) (quoting Univ. of S. Ala., 168 F. 3d at 412)). “The burden of pleading diversity of citizenship is upon the party invoking federal jurisdiction, and if jurisdiction is properly challenged, that party also bears the burden of proof.” Ray v. Bird & Son & Asset Realization Co., 519 F. 2d 1081, 1082 (5th Cir. 1975).1 “[F]or the purposes of establishing diversity jurisdiction, an unincorporated business association or entity, such as a general or limited partnership or a limited liability company, is not a ‘citizen’ under 28 U.S.C. § 1332(a) in its own right.” First Home Bank, 2020 WL 802518, at *2 (citing Xaros v. U.S. Fid. & Guar. Co., 820 F. 2d 1176, 1181 (11th Cir. 1987)). Rather, the longstanding rule is that “the citizenship of an artificial, unincorporated entity generally depends on the citizenship of all the members composing the organization.” Rolling Greens MHP, L.P. v. Comcast SCH Holdings LLC, 374 F. 3d 1020, 1021 (11th Cir. 2004) (citing Carden v. Arkoma Assocs., 494 U.S. 185, 195-96 (1990)). With regard to the existence of diversity jurisdiction, “a limited partnership is a citizen of each state in which any of its partners, limited or general, are

Here, Plaintiffs have failed to sufficiently allege the citizenship of Plaintiff Payless Shoesource Worldwide LLC. Specifically, Plaintiffs do not identify the members of the “limited liability company [or] their respective states of citizenship.” First Home Bank, 2020 WL 802518, at *2 (citing Rolling Greens MHP, L.P., 374 F. 3d at 1022).

As explained above, however, “[t]o sufficiently allege the citizenships of [] unincorporated business entities, a party must list the citizenships of all the members of the limited liability company and all the partners of the limited partnership,” and if the party invoking the court’s jurisdiction fails to do so, as Plaintiffs have here, they cannot satisfy their burden of establishing diversity of citizenship. Rolling Greens MHP, L.P., 374 F. 3d at 1022.

Accordingly, “the Court lacks sufficient information to satisfy the jurisdictional inquiry.” First Home Bank, 2020 WL 802518, at *2.

Accordingly, it is ORDERED AND ADJUDGED that the above-styled case is DISMISSED WITHOUT PREJUDICE. Plaintiffs are permitted to file an amended complaint that properly alleges the basis for invoking diversity jurisdiction on or before May 7, 2021. DONE AND ORDERED in Chambers at Miami, Florida, on April 30, 2021.

BETHBLOOM i sts—s

UNITED STATES DISTRICT JUDGE

Copies to: Counsel of Record