Washington v. Hovensa LLC

Gloria Washington (plaintiff) owned a home in Texas and worked for a Texas company. Washington’s employer assigned her to work in the Virgin Islands at a refinery owned by Hovensa LLC (defendant). Washington had been born in the Virgin Islands and maintained family and social connections there. Washington rented and furnished an apartment in the Virgin Islands, and her employer paid her $100 daily for living expenses while she was on assignment. In the Virgin Islands, Washington began a romantic relationship and frequently socialized with her local family and friends. However, Washington kept her Texas driver’s license, Texas car registration, Texas bank account, and Texas cell-phone arrangements. Washington also kept her Texas primary doctor, whom she visited annually, and her Texas home, allowing her daughter to live there during her absence. Seven months into the work assignment, Washington was injured in a car accident on Hovensa’s property. Washington sued Hovensa and another company (collectively, the VI companies) in federal district court, seeking damages. Washington claimed the federal court had subject-matter jurisdiction based on diversity, asserting she was a Texas citizen and both VI companies were Virgin Islands citizens. The VI companies moved to dismiss, arguing Washington was a Virgin Islands citizen, which would defeat complete diversity and subject-matter jurisdiction. Washington submitted evidence of her Texas ties and a declaration stating she intended to return to Texas after her assignment. In a deposition, Washington said she did not know how long the assignment would last and described it as “indefinite.” The district court refused to consider Washington’s declaration because it was self-serving. The court found her to be a Virgin Islands resident based on (1) her statement that the assignment was indefinite and (2) her social ties there. Washington appealed.