MORRISON C. ENGLAND, JR., District Judge.
Through the present lawsuit, Plaintiff Douglas Strobel seeks damages for the terminal mesothelioma he claims to have contracted as a result of his use of and exposure to talcum products manufactured and/or distributed by Defendants Colgate-Palmolive and Johnson & Johnson. Strobel and his wife, Plaintiff Jo Ann Strobel (hereinafter "Plaintiffs") commenced their action by filing a complaint in the Solano County Superior Court on March 21, 2019. Thereafter, on May 1, 2019, Defendant Johnson & Johnson ("Johnson") removed Plaintiffs' lawsuit to this Court pursuant to 28 U.S.C. §1452(a), arguing that federal jurisdiction under 28 U.S.C. § 1334(b) is present because Plaintiffs' claims are "related to" Chapter 11 bankruptcy proceedings filed by a talcum supplier, Imerys Talc America, Inc.("Imerys"), in Delaware on February 13, 2019. Imerys is not a defendant in Plaintiffs' lawsuit.
Plaintiffs now move to remand their action back to the originating state court, arguing that federal jurisdiction is lacking because the necessary relation between their case and the Imerys bankruptcy proceedings is lacking. Alternatively, Plaintiffs claim that this court should abstain from exercising jurisdiction in any event under 28 U.S.C. § 1334(c), and argue that equitable remand under 28 U.S.C. § 1452(b) is indicated.
Johnson argues, for its part, that this Court should, at the very least, refrain from addressing Plaintiffs' Motion until a pending Johnson's Motion to Fix Venue for Claims Related to Imerys' Bankruptcy, which it filed on April 18, 2019 in the United States District Court for the District of Delaware, has been adjudicated. Through that Motion, Johnson asks that the Delaware District Court assume the handling of removed personal injury/wrongful death claims stemming from talcum powder use/exposure as "related to" the bankruptcy proceedings already pending in Delaware. Consequently, Johnson's goal is to have this case, and roughly 2,400 others, removed from state to federal court and thereafter transferred to Delaware for disposition.
As a court of limited jurisdiction, it is incumbent on this Court to initially establish whether the exercise of its jurisdiction is proper in the first instance.
28 U.S.C. § 1452(a) allows the removal of bankruptcy related claims, stating that a party may "remove any claim or cause of action in a civil action to the district court for the district where such action is pending" is the district court has jurisdiction of the claim or cause of action under 28 U.S.C. § 1334. § 1334(b), in turn, vests district courts with "original but not exclusive jurisdiction of all civil proceedings arising under title 11 or arising in or related to cases under title 11."
Johnson argues that this Court has "related to" jurisdiction under 28 U.S.C. § 1334(b) because (1) pursuant to various supply agreements, Imerys must defend and indemnify against Plaintiffs' claims' (2) Imerys has sought coverage under shared insurance policies with Johnson for expenses incurred in defending other talc-related lawsuits; and (3) there accordingly is a unity of interest between the two companies. As the Defendant seeking removal, Johnson bears the burden of establishing federal jurisdiction.
In the view of this Court, Johnson cannot establish jurisdiction on the basis of non-party Imerys' possible indemnification or defense obligations. As another court has already determined when confronted with this same issue, the determination of any such liability will likely require separate litigation, apart and distinct from and irrelevant to these Plaintiffs' claims against Johnson alone.
Similarly unavailing is Johnson's contention that jurisdiction exists because of Imerys' alleged right to shared insurance with Johnson. That issue is also disputed and likely to be the subject of protracted litigation apart from Plaintiffs' lawsuit. Finally, Johnson has failed to establish a sufficient unity of interest between it and Imerys such that Imerys is the real part defendant.
The Court consequently concludes that it lacks subject matter jurisdiction in this matter and remands on that basis.
This Court believes that equitable grounds support remand of the instant matter. Plaintiffs, who are California residents, commenced their lawsuit in state court. Forcing Plaintiffs to litigate their claims in a distant forum (i.e., the District of Delaware) would be inequitable. States cases of this nature have already been the subject of coordinated proceedings with hundreds of other actions in state court where other plaintiffs claim that talcum powder exposure resulted in personal injury and wrongful power.
Moreover, because Plaintiffs assert only California state law claims in this matter, comity also favors remand.
For all the above reasons, Plaintiffs' Motion to Remand (ECF No. 14) is GRANTED on grounds that this Court lacks jurisdiction over the subject matter of this lawsuit. Additionally, even if jurisdiction were present, remand on equitable grounds is indicated.