PHILIP A. BRIMMER, District Judge.
This matter is before the Court on defendant Aurelio Lopez's motion to dismiss [Docket No. 10]. The Court has jurisdiction pursuant to 28 U.S.C. § 1332(a).
The complaint sets forth the following allegations, which, for the purpose of ruling on the instant motion to dismiss, the Court takes as true. See Alvarado v. KOB-TV, LLC, 493 F.3d 1210, 1215 (10th Cir. 2007) ("We must accept all the well-pleaded allegations of the complaint as true and must construe them in the light most favorable to the plaintiff."). Plaintiffs and defendant were, at all times relevant to this action, members
Defendant moves to dismiss on the grounds that plaintiffs' complaint does not satisfy the requirements of Rule 23.1 of the Colorado Rules of Civil Procedure because the complaint is not verified and does not describe any efforts made to obtain the desired action or explain plaintiffs' failure to make any such efforts. See Docket No. 10. Plaintiffs respond that they intend to file a motion for leave to amend their complaint. See Docket No. 18 at 1, ¶ 1. Plaintiffs filed their response in November 2014, see id., but have not, as of the date of this Order, moved for leave to amend their complaint.
"Federal courts must look to state law to determine whether a demand . . . is necessary before a derivative action may be maintained on behalf of the corporation." Brooks v. Land Drilling Co., 564 F.Supp. 1518, 1522 (D. Colo. 1983) (citations omitted). If state law requires that a demand be made before a plaintiff may bring a derivative action, a complaint must then satisfy the pleading requirements of Rule 23.1 of the Federal Rules of Civil Procedure. Salit v. Stanley Works, 802 F.Supp. 728, 737
(D. Conn. 1992).
Under Colorado law, no LLC member may commence a derivative action against a limited liability company unless:
Colo. Rev. Stat. § 7-80-714. Thus, Colorado requires a demand as a prerequisite to a derivative action. As a result, plaintiffs must satisfy the requirements of Fed. R. Civ. P. 23.1.
Rule 23.1(b) requires, in relevant part, that a derivative complaint be verified and state with particularity "(A) any effort by the plaintiff to obtain the desired action from the directors or comparable authority and, if necessary, from the shareholders or members; and (B) the reasons for not obtaining the action or not making the effort. Fed. R. Civ. P. 23.1(b), 23.1(b)(3). Plaintiffs' complaint fails the verification requirement. See Docket No. 3. Plaintiffs apparently concede this defect, as they stated in response to defendant's motion that they intended to move for leave to file an amended complaint that would "include a verification statement as well as other necessary revisions," Docket No. 18 at 1, but plaintiffs have filed no such motion. Defendant's motion will therefore be granted, and plaintiffs' complaint will be dismissed without prejudice. See Van Schaack v. Phipps, 558 P.2d 581, 584 (Colo. App. 1976) (dismissing unverified complaint without prejudice pursuant to Colo. R. Civ. P. 23.1). Because the Court will dismiss the complaint for lack of verification, the Court need not consider defendant's argument that the complaint should be dismissed for failure to comply with the requirements of Rule 23.1(b)(3) or for failure to state a claim upon which relief may be granted.
Wherefore, it is