Culver Clinic Development, Inc. v. Millennium Systems International, LLC

I. BACKGROUND

A. The Parties Plaintiffs are California corporations with their principal places of business in Los Angeles County and Orange County, California. FAC ¶¶ 1-6. Plaintiffs Culver Clinic, Santa Monica Clinic, and WMC Clinic are franchisees of ME SPE Franchising, LLC, previously doing business as Massage Envy Franchising LLC (Massage Envy). Id. ¶ 16. Plaintiffs OC Clinic, Marina Clinic, and Redondo Clinic were franchisees of Massage Envy until they shut down their operations in 2020. Id. ¶ 17. MSI is a New Jersey corporation with its principal place of business in Parsippany, New Jersey; it conducts substantial business in the State of California. Id. ¶ 7. Defendants OC Development Group, LLC (OCDG) and Franchise Management Group, Inc. (FMG, and collectively with OCDG, the Regional Developers) are a California limited liability company1 and corporation, respectively, with their principal places of business in Los Angeles County, California. Id. ¶¶ 8-9. Plaintiffs originally filed this action in California Superior Court in Los Angeles County on February 24, 2021. Id. ¶ 13. On October 22, 2021, MSI removed this action based on diversity jurisdiction. Id. ¶ 14.…