Question: Hertz Corporation is incorporated in the state of Delaware and
Hertz Corporation is incorporated in the state of Delaware and has its headquarters in the state of New Jersey. Melinda Friend, a California citizen, sued the Hertz Corporation in California state court seeking damages for Hertz’s alleged violation of California’s wage and hour laws. Hertz filed notice to move the case from state court to U. S. district court, a federal court, asserting diversity of citizenship between the parties. Friend argued that because Hertz operated more than 270 rental car locations and had more than 2,000 employees in California, it was a citizen of California; thus diversity of citizenship did not apply and the case could not be moved to federal court but should be decided by a California state court. Is Hertz Corporation a citizen of California and subject to suit in state court? Was it ethical for Hertz to deny citizenship in California when it had such a large presence in California with its 270 rental car locations and more than 2,000 employees in California? Hertz Corporation v. Friend, 130 S. Ct. 1181, 2010 U. S. Lexis 1897 ( Supreme Court of the United States, 2010)
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