Friday, May 18, 2018

Case of the Day: Shao v. Beta Pharma, Inc., 2018 U.S. Dist. LEXIS 65735 (D. Conn. Apr. 19, 2018)

Summary:

Plaintiffs, who are Chinese nationals, sought to join additional defendants, one of whom is a Hong Kong corporation. The joinder was unopposed. The court examined whether a Hong Kong corporation would be considered a Chinese corporation, and determined that it was. Because the joinder would destroy diversity jurisdiction, the court ordered the plaintiffs to further explain the jurisdictional basis for adding the Hong Kong corporation as an additional defendant.

Takeaway:

I always love cases that clarify small points. There we have it: a Hong Kong corporation is a Chinese corporation under U.S. law, at least for the purpose of diversity jurisdiction.

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