Lighting Science Group Corp. v. Koninklijke Philips Electronics N.V.

ORDER

Plaintiffs, Lighting Science Group Corp., LED Holdings, LLC (“LEDH”), and LED Effects, Inc. (“LEI”) originally filed this suit in Sacramento Superior Court against defendants, Koninklijke Philips Electronics N.V., Philips Electronics North America Corp., (collectively “Philips”) and Philips Solid-State Lighting Solutions, Inc (“PSSLS”). Defendants later removed the suit to this Court, asserting jurisdiction based on 28 U.S.C. §§ 1331 , 1332, and 1338. Plaintiffs now seek to remand the suit to state Court, alleging that this Court lacks subject matter jurisdiction over any of their claims against defendants. For the reasons discussed below, the Court grants plaintiffs’ motion to remand.

I. Background and Allegations

Plaintiffs and defendants are competitors in the field of energy-saving commercial lighting applications. Compl. ¶ 11. Prior to plaintiffs’ and defendants’ involvement with one another, plaintiffs were known as “pioneer[s] in the design and manufacture of LED [light-emitting diode] devices,” an area of lighting manufacturing in which defendants sought to expand their presence. Compl. ¶¶ 12-17.

In late 2005 or early 2006, Philips contacted LEI about partnering…