Currently before the court is Defendant North American Silver Company's (North American) Motion to Dismiss for Lack of Federal Jurisdiction. The motion to dismiss is filed pursuant to 28 U.S.C. § 1332 which requires complete diversity of jurisdiction between parties. If Nerco Delamar Company's (Delamar) principal place of business is Idaho, then complete diversity is lacking and this court must dismiss for lack of subject matter jurisdiction. Homestead Log Co. v. Square D Co., 555 F. Supp. 1056 (Idaho 1983). II. ANALYSIS
2002); Mattson v. Cuyuna Ore Co., 180 F.Supp. 743 (D.C.Minn. 1960); and Homestead Log Co. v. Square D Co., 555 F.Supp. 1056 (D.C. Idaho 1983). Contrary to plaintiff's cited authority, however, the United States Court of Appeals for the Seventh Circuit has "explicitly adopted the nerve center test" to determine where a corporation has its principal place of business for purposes of jurisdiction based on diversity of citizenship.
The place of activities test is applied to determine the principal place of business of a corporation whose activities are basically bifurcated between two different states. Homestead Log Co. v. Square D Co., 555 F. Supp. 1056 (D.Idaho 1983). Thus, the principal place of business of a corporation with significant administrative authority and activity in one state and lesser executive offices but principal operations in another state has been held to be the latter state, Kelly v. U.S. Steel Corp., 284 F.2d 850 (3d Cir. 1960), and the principal place of business of a corporation with its corporate headquarters in one state and its single activity in another will generally be in the state of its operations, Lurie Co. v. Loew's San Francisco Hotel Corp., 315 F. Supp. 405 (N.D.Cal. 1970).
In his deposition testimony, Hutsell indicated that, at the time the complaint in this action was filed, Superstructure Development, Ltd., was involved primarily with the Duck Valley Housing Project. Hutsell indicated that the financial books and corporate records for the project were maintained in the Boise office, employees for the project were hired from the Boise office, and purchasing of all materials for the project was handled through the Boise office. It is clear from this testimony that Boise was the "nerve center" or principal place of operation for the housing project. See Homestead Log Co. v. Square D Co., 555 F. Supp. 1056 (D.Idaho 1983). Plaintiffs suggest that the non-diverse Idaho defendants can be dismissed from this action in order to perfect complete diversity. It is argued that these defendants can be dismissed because they are not indispensable parties as set forth in Rule 19 of the Federal Rules of Civil Procedure. It is unnecessary at this point to determine whether Snowbird could maintain a diversity action against the Housing Authority, without the Idaho defendants, as a genuine issue exists as to the ability of the Idaho state courts to entertain a lawsuit against the Housing Authority.