No. 25-4

Preston L. Marshall, Individually and as Co-Trustee of the Peroxisome Trust v. Stephen D. Cook, as Co-Trustee of The Marshall Heritage Foundation and Marshall Legacy Foundation

Lower Court: Fifth Circuit
Docketed: 2025-07-01
Status: Denied
Type: Paid
Experienced Counsel
Tags: citizenship-requirement diversity-jurisdiction federal-courts real-party-controversy subject-matter-jurisdiction trustees
Key Terms:
Jurisdiction JusticiabilityDoctri
Latest Conference: 2025-09-29
Question Presented (AI Summary)

Whether diversity jurisdiction may be created by having one diverse co-trustee bring the lawsuit strategically excluding all nondiverse co-trustees, or if the citizenship of nondiverse nonparty co-trustees must be counted

Question Presented (OCR Extract)

This case concerns the power of federal courts to adjudicate purely state-law claims pursuant to diversity subject-matter jurisdiction under 28 U.S.C. § 1332. In Navarro Savings Association v. Lee , 446 U.S. 458 (1980), this Court held that all eight co-trustees of an express trust were “real parties to the controversy” because they were “active trustees” who shared the same powers to hold and manage trust property and to sue and be sued in their own names. As a result, the Court held that together they could sue in diversity based solely upon the citizenship of the eight co-trustees, ignoring the citizenship of trust beneficiaries. The question presented is: Whether diversity jurisdiction may be created by having one diverse co-trustee bring the lawsuit, strategically excluding all nondiverse co-trustees as parties; or if the citizenship of the nondiverse, nonparty co-trustees must be counted because they all are “real parties to the controversy” by virtue of their equally shared powers to hold and manage trust property and to sue and be sued in their own names – which here would destroy diversity.

Docket Entries

2025-10-06
Petition DENIED.
2025-08-13
Reply of Preston L. Marshall, in his Official Capacity as Co-Trustee of Peroxisome Trust and in his Personal Capacity submitted.
2025-08-13
DISTRIBUTED for Conference of 9/29/2025.
2025-08-13
Reply of petitioner Preston L. Marshall, Individually and as Co-Trustee of the Peroxisome Trust filed. (Distributed)
2025-07-30
Brief of Stephen D. Cook, Doctor, in his Capacities as Co-Trustee of the Marshall Heritage Foundation and Marshall Legacy Foundation in opposition submitted.
2025-07-30
Brief of respondent Stephen D. Cook, Doctor, in his Capacities as Co-Trustee of the Marshall Heritage Foundation and Marshall Legacy Foundation in opposition filed.
2025-06-27
2025-05-23
Application (24A1123) granted by Justice Alito extending the time to file until June 27, 2025.
2025-05-16
Application (24A1123) to extend the time to file a petition for a writ of certiorari from May 28, 2025 to July 25, 2025, submitted to Justice Alito.

Attorneys

Preston L. Marshall, in his Official Capacity as Co-Trustee of Peroxisome Trust and in his Personal Capacity
David C. FrederickKellogg, Hansen, Todd, Figel & Frederick, P.L.L.C., Petitioner
David C. FrederickKellogg, Hansen, Todd, Figel & Frederick, P.L.L.C., Petitioner
Stephen D. Cook, Doctor, in his Capacities as Co-Trustee of the Marshall Heritage Foundation and Marshall Legacy Foundation
Philip Kirkpatrick Jones Jr.Liskow & Lewis, Respondent
Philip Kirkpatrick Jones Jr.Liskow & Lewis, Respondent