J.A. Olson Co. v. City of Winona

J.A. Olson Co. v. City of Winona - J.A Olson Co v City of...

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J.A. Olson Co. v. City of Winona 818 F.2d 401 (1987) Fact: Operative Facts: A corporation was trying to sue the municipality of Mississippi. The corporation had a manufacturing plant located in Mississippi. The plant housed a majority of the employees and distributed throughout many other states. The revenue from the plant is sent to NY, where they made majority of the major decisions. The board of directors meet there, and the financial aspects are done there. They have showrooms in Dallas and Atlanta. Issue: Whether there was a diversity in citizenship for the federal court to even take on the case. (subject matter jurisdiction) Rule: A diversity of citizenship cannot be claimed if a corporation’s primary business is located in the same state as the defendant’s. Rational: The majority of the work was done in Mississippi, however the majority of the decisions was in NY. The thing that tipped the scales was that many of the decisions makers were in in Mississippi, and Mississippi had control of major operational decisions. That made it
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