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CHEMICAL TRANSP. CORP. v. METROPOLITAN PETROLEUM C

November 13, 1964

CHEMICAL TRANSPORTATION CORPORATION, Plaintiff,
v.
METROPOLITAN PETROLEUM CORPORATION and George H. Rohrs, Defendants


Cooper, District Judge.


The opinion of the court was delivered by: COOPER

COOPER, District Judge.

Defendants move to dismiss the complaint for lack of subject matter jurisdiction under F.R.Civ.P. 12(h) and 41(b) on the ground that there is no diversity of citizenship between the parties.

 The amended complaint, served on January 26, 1960, asserts seven claims for relief based upon breach of contract, negligence and fraud. *fn1" The sole jurisdictional basis is the alleged diversity of citizenship of the parties.

 The amended complaint alleges that plaintiff is a corporation organized and existing under the laws of the Republic of Liberia (Par. 1); defendant Metropolitan Petroleum Corporation (hereinafter "Metropolitan") is a corporation organized and existing under the laws of the State of New York (Par. 2); and defendant George H. Rohrs is a resident of the State of New York (Par. 40).

 The amended complaint is silent as to the principal place of business of either plaintiff or Metropolitan, or as to the citizenship of defendant Rohrs. By their amended answer, defendants are deemed to admit the truth of the allegations of the aforementioned paragraphs 1, 2 and 40 of the amended complaint.

 Defendants contend that Section 1332(c) of the Judicial Code [28 U.S.C. § 1332(c)] applies to plaintiff; plaintiff and defendants have their principal place of business in New York; *fn2" and this Court thus lacks subject matter jurisdiction in that all of the parties are New York citizens within the meaning of Section 1332 of the Judicial Code.

 Plaintiff argues that as an alien it can sue "defendants of the United States" in this district; Section 1332(c) does not apply to alien corporations; and even if it does, as a matter of fact, its principal place of business is in Liberia.

 THE STATUTE

 § 1332 Diversity of citizenship; amount in controversy; costs

 
(a) The district courts shall have original jurisdiction of all civil actions where the matter in controversy exceeds the sum or value of $10,000, exclusive of interest and costs, and is between -
 
(1) citizens of different States;
 
(2) citizens of a State, and foreign states or citizens or subjects thereof; and
 
(3) citizens of different States and in which foreign states or citizens or subjects thereof are additional parties.
 
(b) Except when express provision therefor is otherwise made in a statute of the United States, where the plaintiff who files the case originally in the Federal courts is finally adjudged to be entitled to recover less than the sum or value of $10,000, computed without regard to any setoff or counterclaim to which the defendant may be adjudged to be entitled, and exclusive of interest and costs, ...

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