The opinion
UNITED STATES DISTRICT COURT
WESTERN DISTRICT OF LOUISIANA
SHREVEPORT DIVISION
AIG SPECIALTY INSURANCE COMPANY CIVIL ACTION NO. 21-cv-3496
VERSUS CHIEF JUDGE HICKS
PETROTECH SOLUTIONS, LLC MAGISTRATE JUDGE HORNSBY
MEMORANDUM ORDER
AIG Specialty Insurance Company filed this complaint for declaratory judgment
against PetroTech Solutions, LLC. AIG, as the party bringing the suit, has the burden of
establishing a basis for subject matter jurisdiction. The complaint states that the action is
brought pursuant to the Declaratory Judgment Act and that the court “also has jurisdiction
based on diversity pursuant to 28 U.S.C. 1332(a).” The Declaratory Judgment Act does
not of itself confer jurisdiction on the federal courts, so a party bringing the action must
establish a basis for federal question or diversity jurisdiction. Rivero v. Fidelity
Investments, Inc., 1 F.4th 340, 343 (5th Cir. 2021).
AIG alleges that it is an insurance “company” organized under Illinois law with its
principal place of business in New York. That is adequate to allege AIG’s citizenship if it
is a corporation, and the court will assume that its reference to company means corporation.
If any party disagrees with this characterization, it must raise the issue in writing prior to
the initial scheduling conference.
The complaint alleges that PetroTech is “incorporated” in Louisiana, but the name
of the organization suggests that it is a limited liability company rather than a corporation.
This citizenship of an LLC is based on that of its members, and the complaint alleges that
they are Gary L. Brown and Ralph Lamar Rentz, Jr. “of Minden, Louisiana.” The
citizenship of an individual is the state in which the individual is domiciled. The court will
assume that the complaint intends to allege that Brown and Rentz are domiciled in
Louisiana and, thus, citizens of Louisiana. If any party disagrees with the characterization
of PetroTech or the citizenship of its members, the issue must be raised in writing prior to
the initial scheduling conference.
Subject to the assumptions made above, the court finds that subject matter
jurisdiction exists pursuant to 28 U.S.C. § 1332. This finding 1s preliminary and may be
reconsidered sua sponte or on appropriate motion. Counsel are encouraged to, in future
pleadings, use the specific terminology needed to determine citizenship.
THUS DONE AND SIGNED in Shreveport, Louisiana, this 6th day of October,
2021.
rAd
Mark L. Hornsby
U.S. Magistrate Judge
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