Sandra Truong v. KPC Healthcare, Inc. Employee Stock Ownership Plan Committee

UNITED STATES DISTRICT COURT

CENTRAL DISTRICT OF CALIFORNIA

SANDRA TRUONG, Case No. 8:23-cv-01384-SB-BFM

Plaintiff,

v.

ORDER TO SHOW CAUSE RE

KPC HEALTHCARE, INC. SUBJECT-MATTER

EMPLOYEE STOCK OWNERSHIP JURISDICTION AS TO COUNT 3

PLAN COMMITTEE et al., AND ORDER CONTINUING

MOTION HEARINGS

Defendants.

In connection with the pending motions to dismiss Plaintiff’s First Amended Complaint (FAC), the KPC Defendants argue that the Court lacks Article III jurisdiction over Plaintiff’s claim in Count 3, which alleges that the KPC Defendants violated their fiduciary duties by failing to produce the valuation report created for Defendant Alerus Financial, N.A. in 2021. The FAC alleges, based on representations by Defendants, that Alerus never provided the report to the KPC Defendants; that the KPC Defendants have never possessed the report; and that the KPC Defendants attempted to obtain the report from Alerus, but Alerus refused to produce it. Dkt. No. 59 ¶¶ 112, 121–22. Alerus’s own motion asserts that it has maintained the report in confidence “as required by the terms of the engagement agreement between Alerus and the…