Federal Housing Finance Agency v. Saticoy Bay LLC

The Supreme Court answered a certified question by concluding that a series LLC created pursuant to Nev. Rev. Stat. 86.296 must be sued in its own name for the court to obtain jurisdiction over it, so long as the series LLC has observed the corporate formalities provided for in Nev. Rev. Stat. 86.296(3).

The United States Court of Appeals for the Ninth Circuit certified to the Supreme Court the question of whether, under Nevada law, a series LLC created pursuant to section 86.296 must be sued in its own name for the court to obtain jurisdiction over it, or whether the master LLC under which the series is created may be sued instead. The Supreme Court answered the question as set forth above, holding that the master LLC may not be legally responsible for the acts of the series LLC and that if a series LLC has observed corporate formalities, it should be the named entity in a lawsuit against the series LLC.