MARTIN L. C. FELDMAN, District Judge.
Before the Court are two motions to remand, one by the plaintiff and the other by defendant/cross-claimant Gerard Walker. For the reasons that follow, the motions are GRANTED.
This personal injury case arises out of an automobile accident.
On July 12, 2015, Gerard Walker was driving and Terrell Gurley was a guest passenger in Walker's 2005 Ford F-150. They were traveling in the left lane on Franklin Avenue while Shaquille White was driving an 18-wheeler next to them in the right lane. Suddenly and without warning, it is alleged, White attempted to make a left turn from the right lane onto North Roman Street, causing his vehicle to strike Walker's vehicle.
On May 2, 2016, Gurley sued Shaquille White, White's automobile insurer, Mountain Lake Risk Group, Inc., and White's employer, US Xpress, Inc. in state court. Gurley alleges that the accident was caused by White. He also alleges in the alternative that Walker's negligence caused the accident, and so he names as defendants Walker and Walker's automobile insurer, State Farm Mutual Automobile Insurance Company. Gurley alleges that he sustained serious injuries and damages including "past, present and future pain and suffering; past, present and future medical expenses; past, present and future lost wages and loss of earning capacity; mental anguish and emotional distress; and other damages which will be shown at trial[.]" On June 14, 2016, Walker filed a cross-claim against White, U.S. Xpress, and Mountain Lake in which he alleges that he "sustained lost wages, impairment to earning capacity, mental anguish, and serious personal injuries" and that "he was forced to consult a private physician for injuries to the mind and body incurring medical expenses for which the defendants in cross claim are liable." Walker seeks damages for "past, present and future medical expenses; damages for past, present and future physical and mental suffering; for permanent disabilities; for impairment of earning capacity and/or loss of wages; property damage, for inconvenience."
Several months after the defendants filed answers to Gurley's petition and Walker's cross-claim in state court, on November 10, 2016, U.S. Xpress, Mountain Lake, and White removed the case to this Court, invoking this Court's diversity jurisdiction.
Although the plaintiff generally challenges removal, the removing defendants carry the burden of showing the propriety of this Court's removal jurisdiction.
Federal Courts are courts of limited jurisdiction, possessing only the authority granted by the United States Constitution and conferred by the United States Congress.
A defendant must file a notice of removal within 30 days of service of the petition. 28 U.S.C. § 1446(b). "[I]f the case stated by the initial pleading is not removable," the defendant may remove the case within 30 days of receiving a copy of "an amended pleading, motion, order or other paper from which it may first be ascertained that the case is one which is or had become removable." 28 U.S.C. § 1446(b)(3).
In the state court petition, Gurley seeks to recover money damages for negligence on the part of whomever is deemed to be at fault for the accident: either Walker, the Louisiana resident driver of the car in which he rode as passenger; or White, the driver of the tractor trailer involved in the accident. The defendants removed this lawsuit despite the fact that: Walker, named a defendant by his passenger, Gurley, is a Louisiana citizen; and Walker did not consent to removal. The removing defendants contend that Walker should be realigned as a plaintiff because he and Gurley share the same interest in the outcome of the lawsuit. The Court disagrees; accordingly, complete diversity is lacking and remand is warranted.
Endorsing the Court's power to realign parties in a suit originally filed in federal court, the United States Supreme Court explained:
Whether a district court should realign parties to achieve diversity jurisdiction in the post-removal context is fodder for some debate.
Generally, diversity of citizenship is determined at the commencement of a lawsuit.
Here, a bona fide dispute exists between the plaintiff and the non-diverse (indeed, local) defendant Walker. The principal purpose of Gurley's lawsuit is to seek redress for injuries suffered in a two-vehicle accident; to hold liable and recover damages from those parties whose negligence caused Gurley's injuries. Whether or not Walker bears any fault for the accident is an outstanding issue to be litigated and, therefore, remains an outstanding bona fide dispute between Gurley and Walker. The removing defendants fail to persuade the Court that Gurley and Walker's interests align to an extent that would support realignment. That the removing defendants dispute liability for the accident does not, as the removing defendants contend, "confirm[] that their interests are completely adverse to one another such that both [White and Walker] cannot properly be labeled as defendants." The removing defendants' position as stated ignores the realities of multi-defendant litigation and improperly seeks to shift focus from the relevant inquiry for realignment, which must remain on the principal purpose of Gurley's lawsuit.
Accordingly, mindful that doubts about the propriety of removal must be resolved in favor of remand, the motions to remand are GRANTED.