US LAWS, STATUTES and CODES : Chan Robles Virtual Law Library USA Supreme Court Decisions | Resolutions : Chan Robles Virtual Law Library

ChanRobles™ Virtual Law Library™ |™   
Main Index Repository of Laws, Statutes and Codes Latest Philippine Supreme Court Decisions Chan Robles Virtual Law Library Latest Legal Updates Philippine Legal Resources Significant Philippine Legal Resources Worldwide Legal Resources Philippine Supreme Court Decisions United States Legal Resources United States Supreme Court Jurisprudence ChanRobles LawTube - Social Network

ChanRobles Internet Bar Review : DebtKollect Company, Inc. - Debt Collection Firm Intellectual Property Division - Chan Robles Law Firm

Philippine Supreme Court DecisionsChanRobles On-Line Bar Review

google search for chanrobles.comSearch for

CARDEN V. ARKOMA ASSOCS., 494 U. S. 185 (1990)

Subscribe to Cases that cite 494 U. S. 185 RSS feed for this section

U.S. Supreme Court

Carden v. Arkoma Assocs., 494 U.S. 185 (1990)

Carden v. Arkoma Associates

No. 88-1476

Argued Nov. 7, 1989

Decided Feb. 27, 1990

494 U.S. 185


Respondent Arkoma Associates, a limited partnership organized under Arizona law, sued petitioners Carden and Limes on a contract dispute in the District Court relying on diversity of citizenship for federal jurisdiction. Carden and Limes, Louisiana citizens, moved to dismiss on the ground that one of Arkoma's limited partners was also a Louisiana citizen. The court denied the motion, finding the requisite "complete diversity." After petitioner Magee Drilling Co. intervened and counterclaimed against Arkoma, the court awarded judgment to Arkoma. The Court of Appeals affirmed, finding, with respect to the jurisdictional challenge, that complete diversity existed because Arkoma's citizenship should be determined by reference to the citizenship of its general, but not its limited, partners.


1. Complete diversity is lacking with respect to Carden and Limes. Pp. 494 U. S. 187-197.

(a) A limited partnership is not in its own right a "citizen" of the State that created it within the meaning of the federal diversity statute. This Court has firmly resisted extending the well established rule treating corporations as "citizens" to other artificial entities. Chapman v. Barney, 129 U. S. 677, 682; Great Southern Fire Proof Hotel Co. v. Jones, 177 U. S. 449, 456, 177 U. S. 457; Steelworkers v. R.H. Bouligny, Inc., 382 U. S. 145, 382 U. S. 151. Puerto Rico v. Russell & Co., 288 U. S. 476. Navarro Savings Assn. v. Lee, 446 U. S. 458. Pp. 494 U. S. 187-192.

(b) A federal court must look to the citizenship of a partnership's limited, as well as its general, partners to determine whether there is complete diversity. That only the general partners have exclusive and complete control over the partnership's operations and the litigation is irrelevant. This Court's decisions have never held that an artificial entity can invoke diversity jurisdiction based on the citizenship of some but not all of its members. 9 U. S. 90-91, 57 U. S. 328-329, Navarro, supra, distinguished. Pp. 494 U. S. 192-196.

(c) Whether, and which, artificial entities other than corporations are entitled to be considered "citizens" for diversity purposes are complex questions best left to Congress to decide. Pp. 494 U. S. 196-197. chanroblesvirtualawlibrary

Page 494 U. S. 186

2. The question whether complete diversity exists between Magee and Arkoma was not considered by the Court of Appeals, and this Court will not decide it in the first instance. P. 494 U. S. 197.

874 F.2d 226 (CA5, 1988), reversed and remanded.

SCALIA, J., delivered the opinion of the Court, in which REHNQUIST, C.J.,and WHITE, STEVENS, and KENNEDY, JJ., joined. O'CONNOR, J., filed a dissenting opinion, in which BRENNAN, MARSHALL, and BLACKMUN, JJ., joined, post, p. 494 U. S. 198.

ChanRobles™ LawTube

google search for Search for

Supreme Court Decisions Philippine Supreme Court DecisionsUS Supreme Court Decisions



Browse By ->> Volume


Browse By ->> Year


  Copyright © ChanRobles Publishing Company | Disclaimer | E-mail Restrictions
ChanRobles™ Virtual Law Library |™