JASPER CONTRACTORS, INC. A/A/O ANDREW J. CHASE AND CHERYL H. CHASE
v.
PROGRESSIVE PROPERTY INSURANCE COMPANY
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The court held that removal was improper under the forum-defendant rule, and the case must be remanded to state court. The court also indicated it would entertain a request for costs and fees.
Plaintiff filed suit in state court, and after service of process, defendant removed the case to federal court based on diversity jurisdiction. Plaint…
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This matter comes before the Court on plaintiff's Motion to Remand (Doc. #11) filed on August 9, 2019. Defendant filed a Response (Doc. #16) on August 23, 2019. For the reasons set forth below, the case will be remanded. On July 31, 2019, after service of process, defendant filed a Notice of Removal (Doc. #1) based on the presence of a diversity of citizenship between the parties and 28 U.S.C. § 1332. 1 Plaintiff is an Indiana corporation with its principal place of business in Georgia, and defendant is a Florida corporation with its principal place of business in Florida. (Id., ¶¶ 5, 8.) Plaintiff seeks a remand because defendant is a citizen of the forum State of Florida, and therefore could not remove the case
removal discovery. Removal with a forum-defendant “does not render that defect meaningless; rather, the defect is waivable.” Pacheco de Perez v. AT & T Co., 139 F. 3d 1368, 1372 n.4 (11th Cir. 1998). Plaintiff timely filed the request for a remand within 30 days of the removal, and no substantive discovery has occurred. Under the Court’s Related Case Order and Track Two Notice, the parties are advised: “Except as authorized by Rule 26(d) of the Federal Rules of Civil Procedure, no party may seek discovery from any source before the case management meeting, unless otherwise ordered by the Court.” See Fed. R. Civ. P. 26 (d); M.D. Fla. R. 3.05(c)(2)(B).” (Doc. #8, p. 2.) Merely engaging in initial discovery post-removal when no stay is in place does not mean that plaintiff waived the right to timely seek a remand. See Pacheco, at 1381 n.15 (“The plaintiffs have consistently and insistently maintained that this case should be remanded to state court. We conclude that the plaintiffs' attempt to preserve the timeliness of any possible future discovery cannot be equated with a waiver of their right to object to removal.”). Defendant’s position is rejected. Defendant relies on several cases outside this Court’s jurisdiction that are not binding and are also distinguishable. In Lanier, the removal was untimely and plaintiff sought to amend the complaint and filed a new lawsuit against defendant in federal court in addition to proceeding with discovery before remand was sought. Lanier v. Am. Bd. of Endodontics, 843 F. 2d 901, 905 (6th Cir. 1988). In Johnson, plaintiff engaged in discovery and did not seek a remand on a jurisdictional defect because counsel was on vacation and plaintiff would have been “better served by a more knowledgeable and diligent attorney”, but he was not. Johnson v. Helmerich & Payne, Inc., 892 F. 2d 422, 423 n.2 (5th Cir. 1990). Harris is distinguishable because plaintiff failed to “promptly” object to defects in the petition for removal. Harris v. Edward Hyman Co., 664 F. 2d 943, 944 (5th Cir. Dec. 28, 1981). In the other Johnson case, plaintiff did not object to removal until one year later. Johnson v. Odeco Oil & Gas Co., 679 F. Supp. 604, 605 (E.D. La. 1987), aff'd Johnson v. Odeco Oil & Gas Co., 864 F. 2d 40 (5th Cir. 1989). None of these cases support a conclusion other than remand. It is clear that removal was not proper in this case, and the case is due to be remanded. “An order remanding the case may require payment of just costs and any actual expenses, including attorney fees, incurred as a result of the removal.” 28 U.S.C. § 1447(c). “Absent unusual circumstances, courts may award attorney's fees under § 1447(c) only where the removing party lacked an objectively reasonable basis for seeking removal. Conversely, when an objectively reasonable basis exists, fees should be denied.” Martin v. Franklin Capital Corp., 546 U.S. 132, 141 (2005). Defendant is the only defendant in this case, and there are no issues of fraudulent joinder. Defendant was served with process before removal of the case, and no non-forum defendants were involved. The Court would entertain a request for fees, expenses, and costs. Accordingly, it is hereby ORDERED: 1. Plaintiff's Motion to Remand (Doc. #11) is GRANTED. The Clerk is directed to remand the case to the Circuit Court of the Twentieth Judicial Circuit, in and for Collier County, Florida, and to transmit a certified copy of this Order to the Clerk of that Court. 2. The Clerk is further directed to terminate all pending motions and deadlines, and to close the case. plaintiff wishes to seek costs, expenses, and/or attorney’s fees for the removal of the case, such motion with detailed billing records related to the filing of the motion to remand must be filed within FOURTEEN (14) DAYS of this Order. DONE and ORDERED at Fort Myers, Florida, this 30th day of August, 2019.
WP x af p VN ee DH
E. STEELE
SHNIOR UNITED STATES DISTRICT JUDGE
Copies: Counsel of Record
Cases With Similar Vibessemantic neighbors from the corpus
Citator
Authorities Cited
- Martin et ux. v. Franklin Cap. Corp., 546 U.S. 132 (U.S. 2005)
- Ligia Pacheco de Perez v. AT&T Co., 139 F.3d 1368 (11th Cir. 1998)
- Harris v. Edward Hyman Co., 664 F.2d 943 (5th Cir. 1981)
- Lanier v. The Am. Bd. OF Endodontics & the Am. Ass'n of Endodontists, 843 F.2d 901 (6th Cir. 1988)
- Scarlett Goodwin v. Dewight Reynolds, 757 F.3d 1216 (11th Cir. 2014)
- Johnson v. Odeco OIL & GAS Co., 864 F.2d 40 (5th Cir. 1989)
- Johnson v. Helmerich & Payne, Inc., 892 F.2d 422 (5th Cir. 1990)