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NY Wheel Case Rolls On In SDNY On Waiving Privilege To Defend False Diversity Claim

By Matthew Russell Lee, Patreon
BBC - Guardian UK - Honduras - ESPN

SDNY COURTHOUSE, Jan 6 – A Federal lawsuit filed in 2017 about a tourist attraction on the Staten Island waterfront, which has seen 300 docket entries since, has now fallen apart due to lack of diversity. 

      On October 28 U.S. District Court for the Southern District of New York Judge Jesse M. Furman, clearly irritated, held a proceeding. Inner City Press covered it. 

  Judge Furman acknowledged frustration at the time his staff and he have put into the case.

There was talk of sanctions for not earlier disclosing the lack of diversity (Judge Furman expressed thanks for its disclose, how ever belated).

   He had presaged the proceeding with a wry docket entry, that "motion practice will indeed be necessary to sort out the implications of the unfortunate realization that there is not complete diversity in this case after all."

   On January 6, Judge Furman held another proceeding, and Inner City Press again covered it. An issue was whether, to defend against sanctions for having incorrectly claimed diversity jurisdiction, waiving privilege will be needed. A request to make the argument ex parte or in camera was, all to the good in our view, not taken up. Inner City Press aims to continue to cover this case.

The case is New York Wheel Owner LLC v. Mammoet-Starneth LLC, 17-cv-4026 (Furman)

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