Opinion
Case Number: 03 C 50018
November 20, 2003
MEMORANDUM OPINION AND ORDER
Plaintiffs, Teresa J. Lund and Trent R. Lund, filed a three-count complaint against defendants, Hesser Olds, Inc. alleging common law fraud, malicious prosecution, and abuse of process. Plaintiffs claim diversity jurisdiction in this court pursuant to 28 U.S.C. § 1332(a). Before the court is defendant's renewed motion to dismiss for lack of subject matter jurisdiction. Though the party seeking to invoke federal court jurisdiction bears the burden of proving jurisdiction, see American Bankers Life Assurance Co. v. Evans, 319 F.3d 907, 909 (7th Cir. 2003), plaintiffs have not filed a response. Defendants' motion produces evidence that the damages sought by plaintiff are $3544.27 for compensatory damages representing attorney's fees incurred in defending a state court action, punitive damages in the amount of $75,000, and compensatory damages for abuse of process of $100,000. Federal courts apply the "legal certainty" test to assess whether the amount in controversy is met. Smith v. Am. Gen. Life Accident Ins. Co., 337 F.3d 888, 892 (7th Cir. 2003). "Under the legal certainty test, courts will find federal jurisdiction on the basis of the plaintiff's complaint unless it appears `to a legal certainty that the claim is really for less than the jurisdictional amount.'" Id. Viewing the (surprisingly) unrebutted evidence submitted by defendants, the court finds it is a legal certainty that less than the jurisdictional amount is in controversy. It is not possible for an award of punitive damages and an award on the abuse of process claim to be substantial enough to meet the jurisdictional amount when combined with any possible recovery for the damages based on attorney's fees.
Additionally, the court finds that the complaint fails to properly allege diversity of citizenship. It alleges plaintiffs are residents of Illinois, but residence and citizenship are not synonyms and it is citizenship that matters for diversity jurisdiction. Myerson v. Harrah's East Chicago Casino, 299 F.3d 616, 617 (7th Cir. 2002). The complaint also alleges defendant is a Wisconsin corporation, but does not allege defendant's principal place of business, which is required because a corporation is a citizen of both the state of its incorporation and the state of its principal place of business. 28 U.S.C. § 1332(c)(1)
For the foregoing reasons, this case is dismissed in its entirety for lack of subject matter jurisdiction.
JUDGMENT IN A CIVIL CASE
Jury Verdict. This action came before the Court for a trial by jury. The issues have been tried and the jury rendered its verdict.
Decision by Court. This action came to trial or hearing before the Court. The issues have been tried or heard and a decision has been rendered.
IT IS HEREBY ORDERED AND ADJUDGED that this case is dismissed in its entirety for lack of subject matter jurisdiction.