Scottsdale Insurance Company v. Flora Bioscience, Inc.

UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF CALIFORNIA 6 SCOTTSDALE INSURANCE COMPANY, Case No. 23-cv-03952-PCP

Plaintiff,

ORDER GRANTING MOTION TO

v. DISMISS

FLORA BIOSCIENCE, INC., et al., Re: Dkt. No. 19 Defendants.

12 Plaintiff Scottsdale Insurance Company filed this insurance coverage action against defendants Flora Bioscience, Inc., Robert Robbins, and Marc Stoll. Robbins and Stoll are both members of Flora’s board of directors. Robbins and Stoll now move to dismiss the lawsuit for lack of subject matter jurisdiction or, in the alternative, for failure to join an indispensable party. For the following reasons, the Court grants Robbins and Stoll’s motion on the latter basis. BACKGROUND Flora is a corporation organized under Delaware law with its principal office in Santa Clara County, California. In December 2018, Flora shareholder Terry Gross made a derivative demand that Flora’s board of directors pursue legal action against Flora’s then-CEO John Alderete for his 22…