News Articles
This site contains over 2,000 news articles, legal briefs and publications related to for-profit companies that provide correctional services. Most of the content under the "Articles" tab below is from our Prison Legal News site. PLN, a monthly print publication, has been reporting on criminal justice-related issues, including prison privatization, since 1990. If you are seeking pleadings or court rulings in lawsuits and other legal proceedings involving private prison companies, search under the "Legal Briefs" tab. For reports, audits and other publications related to the private prison industry, search using the "Publications" tab.
For any type of search, click on the magnifying glass icon to enter one or more keywords, and you can refine your search criteria using "More search options." Note that searches for "CCA" and "Corrections Corporation of America" will return different results.
Suit against Private Prison Operator for Self-Dealing Remanded
Ravenswood Investment Company (RIC), a limited partner to Avalon Correctional Services, sued Avalon alleging that the CEO of Avalon, Donald Smith, had been engaging in impermissible self-dealing to the detriment of Avalon.
At some point during the suit, the parties began to question whether they were completely diverse for diversity of jurisdiction purposes. The district four attempted to save jurisdiction over the matter by allowing the parties to bring three different suits, each based on differing theories.
The Tenth Circuit held this was improper. “There is not authority for the proposition that creating multiple federal actions is a permissible way to cure a jurisdictional defect in a diversity case,” the court wrote.
The judgment of the district court was accordingly reversed and remanded. See: Ravenswood Investment Company v. Avalon Correctional Services, No.10-6190 (10th Cir. 2011).
Related legal case
Ravenswood Investment Company v. Avalon Correctional Services
| Year | 2011 |
|---|---|
| Cite | No.10-6190 (10th Cir. 2011) |
| Level | Court of Appeals |
| Injunction Status | N/A |
