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Lerner v. State Auto Property and Casualty Insurance Company, 19-cv-01285-PAB. (2019)

Court: District Court, D. Colorado Number: infdco20190607e44 Visitors: 5
Filed: Jun. 05, 2019
Latest Update: Jun. 05, 2019
Summary: ORDER TO SHOW CAUSE PHILIP A. BRIMMER , Chief District Judge . The Court takes up this matter sua sponte on defendant's Notice of Removal [Docket No. 1]. Defendant asserts that this Court has jurisdiction pursuant to 28 U.S.C. 1332. Docket No. 1 at 2, 4. In every case and at every stage of the proceeding, a federal court must satisfy itself as to its own jurisdiction, even if doing so requires sua sponte action. See Citizens Concerned for Separation of Church & State v. City & Cou
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ORDER TO SHOW CAUSE

The Court takes up this matter sua sponte on defendant's Notice of Removal [Docket No. 1]. Defendant asserts that this Court has jurisdiction pursuant to 28 U.S.C. § 1332. Docket No. 1 at 2, ¶ 4.

In every case and at every stage of the proceeding, a federal court must satisfy itself as to its own jurisdiction, even if doing so requires sua sponte action. See Citizens Concerned for Separation of Church & State v. City & County of Denver, 628 F.2d 1289, 1297 (10th Cir. 1980). Absent an assurance that jurisdiction ex ists, a court may not proceed in a case. See Cunningham v. BHP Petroleum Great Britain PLC, 427 F.3d 1238, 1245 (10th Cir. 2005). Courts are well-advised to raise the issue of jurisdiction on their own, regardless of parties' apparent acquiescence. First, it is the Court's duty to do so. Tuck v. United Servs. Auto. Ass'n, 859 F.2d 842, 844 (10th Cir. 1988). Second, regarding subject matter jurisdiction, "the consent of the parties is irrelevant, principles of estoppel do not apply, and a party does not waive the requirement by failing to challenge jurisdiction." Ins. Corp. of Ireland v. Compagnie des Bauxites de Guinee, 456 U.S. 694, 702 (1982) (internal citations omitted). Finally, delay in addressing the issue only compounds the problem if, despite much time and expense having been dedicated to the case, a lack of jurisdiction causes it to be dismissed. See U.S. Fire Ins. Co. v. Pinkard Constr. Co., No. 09-cv-00491-PAB-MJW, 2009 WL 2338116, at *3 (D. Colo. July 28, 2009).

"The party invoking federal jurisdiction bears the burden of establishing such jurisdiction as a threshold matter." Radil v. Sanborn W. Camps, Inc., 384 F.3d 1220, 1224 (10th Cir. 2004). Defendant asserts that this Court has diversity jurisdiction under 28 U.S.C. § 1332. Pursuant to that section, "district courts shall have original jurisdiction of all civil actions where the matter in controversy exceeds the sum or value of $75,000, exclusive of interest and costs, and is between . . . citizens of different States." 28 U.S.C. § 1332(a). The facts presently alleged are insufficient to establish plaintiff's citizenship.

In its Notice of Removal, defendant asserts that plaintiff is a citizen of Colorado because he was "domiciled in and a resident of Arapahoe County at all times relevant to this case." Docket No. 1 at 2, ¶ 5 (internal quotation marks omitted). However, the evidence on which defendant relies — plaintiff's allegation that he is a resident of Arapahoe County, see Docket No. 2 at 2, ¶ 3 — does not support defendant's broader claim regarding plaintiff's citizenship. Domicile, not residency or mailing address, is determinative of citizenship. Whitelock v. Leatherman, 460 F.2d 507, 514 (10th Cir. 1972) ("[A]llegations of mere `residence' may not be equated with `citizenship' for the purposes of establishing diversity."); see also Mississippi Band of Choctaw Indians v. Holyfield, 490 U.S. 30, 48 (1989) ("`Domicile' is not necessarily synonymous with `residence,' and one can reside in one place but be domiciled in another." (citations omitted)). Moreover, the fact that plaintiff has "reported no other residence or place of domicile" at this stage of the litigation, Docket No. 1 at 2, ¶ 5, does not satisfy defendant's burden of establishing subject matter jurisdiction as a threshold matter. See United States ex rel. General Rock & Sand Corp. v. Chuska Dev. Corp., 55 F.3d 1491, 1495 (10th Cir. 1995) ("The party seeking the exercise of jurisdiction in his favor must allege in his pleading the facts essential to show jurisdiction.") (citations and internal quotation marks omitted).

Because defendant's allegations are presently insufficient to allow the Court to determine plaintiff's citizenship or whether the Court has jurisdiction, it is

ORDERED that, on or before 5:00 p.m. on Monday, June 17, 2019, defendant shall show cause why this case should not be remanded to state court due to the Court's lack of subject matter jurisdiction.

Source:  Leagle

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