Please ensure Javascript is enabled for purposes of website accessibility
Home / Case Digests / Contracts – Diversity

Contracts – Diversity

7th Circuit Court of Appeals

Case Name: Yancheng Shanda Yuanfeng Equity Investment Partner v. Kevin Wan

Case No.: 22-1199

Officials: Rovner, Ripple, and Brennan, Circuit Judges.

Focus: Contracts – Diversity

In May 2019, Yancheng Shanda Yuanfeng Equity Investment Partnership (“Yancheng Shanda”) filed a contract claim in a Chinese court against Kevin Wan, his company, and his brother. The Chinese court entered a default judgment against Mr. Wan after he failed to appear. In July 2020, Yancheng Shanda filed a complaint in the United States District Court for the Central District of Illinois, seeking enforcement of the Chinese judgment under the Illinois foreign judgment recognition law. In that complaint, it predicated subject matter jurisdiction on diversity of citizenship.

The district court, determining that the Chinese judgment was enforceable under Illinois law, granted Yancheng Shanda’s motion for summary judgment. Mr. Wan now appeals the judgment of the district court. Because the factual predicates for the district court’s jurisdiction are not established firmly in the existing record, the Seventh Circuit vacates the judgment of the district court and remand the case for further proceedings consistent with this opinion. The Partnership, which had the burden on the issue, failed to present “competent proof” of its citizenship; it did not present any evidence establishing its citizenship or the citizenship of its several partners.

Vacated and remanded.

Decided 01/31/23

Full Text

Leave a Reply

Your email address will not be published. Required fields are marked *