Cochran v. McGee

CourtDistrict Court, S.D. Mississippi
DecidedJune 30, 2025
Docket2:24-cv-00109
StatusUnknown

This text of Cochran v. McGee (Cochran v. McGee) is published on Counsel Stack Legal Research, covering District Court, S.D. Mississippi primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cochran v. McGee, (S.D. Miss. 2025).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF MISSISSIPPI EASTERN DIVISION

LINDY COCHRAN PLAINTIFF

v. Civil No. 2:24-cv-109-HSO-BWR

DARIUS R. MCGEE, et al. DEFENDANTS

MEMORANDUM OPINION AND ORDER GRANTING IN PART AND DENYING IN PART DEFENDANTS’ MOTIONS [19], [20], [21] TO DISMISS

Defendants Darius R. McGee, Amy Keene, and Priority Medical Clinic, LLC’s Motions [19], [20], [21] to Dismiss ask the Court to abstain from exercising jurisdiction over this case, or, in the alternative, to dismiss Plaintiff Lindy Cochran’s claim under the Racketeer Influenced and Corrupt Organizations Act, 18 U.S.C. § 1961, et seq., for a lack of continuity. The Court finds that the Motions [19], [20], [21] should be denied in part, to the extent they seek abstention, and granted in part, to the extent they seek dismissal of Plaintiff’s Racketeer Influenced and Corrupt Organizations Act claim. Plaintiff’s claims arising under the Computer Fraud and Abuse Act, 18 U.S.C. § 1030, and under state law will proceed. I. BACKGROUND Plaintiff Lindy Cochran (“Plaintiff”) founded Defendant Priority Medical Clinic, LLC (“the Clinic”) in Laurel, Mississippi, and from its inception on August 15, 2013, until August 2023, she “managed the day-to-day operations of the Clinic, serving as a nurse practitioner, handling billing, payroll, and other necessary management tasks.” Am. Compl. [7] at 3. On August 28, 2021, Defendant Darius R. McGee (“McGee”) acquired a one-half interest in the building that housed the Clinic, but not in the Clinic itself. Id. The operative Amended Complaint [7] asserts that on or about August 1,

2023, Defendants McGee and Amy Keene (“Keene”), an employee of the Clinic, “conspired to unlawfully remove Plaintiff from her position and seize control of the Clinic.” Id. at 4. Plaintiff claims that Defendants McGee and Keene began “secretly changing account passwords for essential business data, including payment systems for federal tax payments, 941 payments, and bank accounts, without Plaintiff’s knowledge or consent.” Id. They then allegedly “barred [Plaintiff] from patient files

and unlawfully terminated the collaborative agreement,” which prevented her from continuing her work as a nurse practitioner. Id. The Amended Complaint [7] describes these actions as a “hostile takeover of the business.” Id. According to Plaintiff, Defendants McGee, Keene, and the Clinic (collectively “Defendants”) forged an LLC agreement, using Plaintiff’s digital signature without her permission, and presented the forgery to “Trustmark Bank and other institutions to perpetuate their fraud and freeze Plaintiff out of her accounts.” Id.

at 5. The Amended Complaint [7] contends that Defendants falsely represented that Plaintiff was not associated with the Clinic, and that Trustmark Bank, relying on these false representations, froze the Clinic’s bank account on August 15, 2023. Id.; see also RICO Statement [6] at 4. Defendants then “unlawfully accessed and controlled the Clinic’s bank accounts, funneling corporate monies into a separate account for their personal benefit, thereby embezzling funds from the Clinic.” Am. Compl. [7] at 5. Plaintiff brought suit in the Circuit Court of Jones County, Mississippi,

Second Judicial District, on September 21, 2023, naming McGee, “Amy Keen,” the Clinic, and “Trustmark Corporation”1 as defendants. See State Court Compl. [19-1]; see also Cochran v. McGee, 34CI2:23-cv-50 (Jones Circuit Court – Laurel filed Sept. 21, 2023). Plaintiff raised state-law claims for accounting, breach of fiduciary duties, breach of duties of loyalty, breach of the covenant of good faith and fair dealing, conversion, punitive damages, infliction of financial and emotional distress,

and slander and defamation. Id. at 4-9. Plaintiff later stipulated to the dismissal of “Trustmark Corporation” from the state-court proceedings. See Stipulation of Dismissal, Cochran v. McGee, 34CI2:23-cv-50 (Jones Circuit Court – Laurel May 17, 2024), ECF. No. 25. On July 23, 2024, Plaintiff brought a parallel suit in this Court, see Compl. [1] at 27, then filed the operative eighteen-count Amended Complaint [7] on October 14, 2024, naming McGee, Keene, and the Clinic as Defendants, see Am. Compl. [7]

at 27. The Amended Complaint [7] brings two federal claims. See id. at 14-17, 20- 23. Specifically, Plaintiff asserts violations of the Racketeer Influenced and Corrupt Organizations Act (“RICO”), 18 U.S.C. § 1961, et seq. (Count Nine), and of 18 U.S.C. § 1030(a)(4) of the Computer Fraud and Abuse Act (“CFAA”), 18 U.S.C. § 1030

1 Plaintiff improperly named Trustmark National Bank as “Trustmark Corporation.” See Stipulation of Dismissal, Cochran v. McGeel, 34CI2:23-cv-50 (Jones Circuit Court – Laurel May 17, 2024), ECF No. 25. (Count Sixteen). Id. She bases her RICO claim on allegations that Defendants committed wire fraud under 18 U.S.C. § 1343, mail fraud under 18 U.S.C. § 1341, bank fraud under 18 U.S.C. § 1344, embezzlement and theft, and a violation of the

CFAA under 18 U.S.C. § 1030(a)(4). Id. at 15-16. The Amended Complaint [7] also advances state-law claims for accounting (Count One), breach of fiduciary duties and breach of duties of loyalty (Count Two), breach of the covenant of good faith and fair dealing (Count Three), conversion (Count Four), intentional infliction of emotional distress (Count Five), slander and defamation (Count Six), tortious interference with business relations (Count Seven),

civil conspiracy (Count Eight), unjust enrichment (Count Ten), constructive trust (Count Eleven), gross negligence (Count Twelve), bad faith breach of contract (Count Thirteen), fraud and misrepresentation (Count Fourteen), civil theft (Count Fifteen), judicial dissolution (Count Seventeen), and punitive damages (Count Eighteen). Id. at 6-25. Each Defendant has brought near-identical Motions [19], [20], [21] to Dismiss pursuant to Federal Rule of Civil Procedure 12(b)(6), see Mots. [19], [20], [21], to which Plaintiff has responded, see Resp. [25].

Defendants argue that the Court should dismiss this case because it is duplicative of the parallel state-court litigation, which was filed first, Mems. [22], [23], [24] at 1-2, and they contend that Plaintiff has not adequately stated a RICO claim because she has not pled facts sufficient to show continuity, id. at 2. Plaintiff responds that she is seeking a stay of the state-court action, and that this could remove any concerns about duplicative litigation. Mem. [26] at 4-5. But even if a stay were not granted, the United States Supreme Court has held that the general rule is only to avoid duplicative litigation between federal district courts, and that “the general rule as between state and federal courts is that ‘the

pendency of an action in the state court is no bar to proceedings concerning the same matter in the [f]ederal court having jurisdiction.’” Id.

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Cochran v. McGee, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cochran-v-mcgee-mssd-2025.