ROBIN J. CAUTHRON, District Judge.
Plaintiffs filed this action in the District Court of Oklahoma County, asserting claims of breach of contract, bad faith, and other torts arising from Defendant Continental Casualty Company's ("Continental") handling of alleged hail damage to Plaintiffs' building. Continental removed this matter, asserting diversity of citizenship. Plaintiffs filed a Motion to Remand, arguing that Defendant C.L. Frates and Company ("Frates") is an Oklahoma corporation and therefore there is not complete diversity of citizenship. The Notice of Removal noted that Frates was an Oklahoma entity but argued that that entity was improperly joined, as it had no connection to the claims in this matter. In their Motion to Remand, Plaintiffs argue that Defendants have failed to meet their burden of establishing that Frates was improperly joined.
The basis for Plaintiffs' claims against Frates is a single letter sent from an employee of Continental outlining the basis for its denial of Plaintiffs' claim. That letter indicates a copy was sent to C.L. Frates and Company. On this basis Plaintiffs argue that there are questions of fact about what involvement Frates may have had with their claim and therefore Frates is a necessary party. Plaintiffs argue that because Frates must remain in the action, diversity is not present and this matter should be remanded.
In response, Continental provides an affidavit from Ms. Cantu who wrote the letter. Therein, she attests that the inclusion of Frates as a copy recipient was incorrect; that the proper recipient of the letter and the entity who actually received the letter was a company known as Acrisure LLC. Ms. Cantu further avers that as it relates to Plaintiffs' claims, she never had any contact with anyone at Frates, nor did any other employee of Continental, and that Frates had no connection and played no role in the decisions to deny Plaintiffs' claims.
As Plaintiffs note, Defendant has the burden of establishing that removal jurisdiction is proper.
After review of Plaintiffs' state court petition and the arguments of the parties set forth herein, the Court finds that C.L. Frates was improperly joined. As noted above, Defendant Continental has provided an affidavit from Ms. Cantu outlining how Frates was included on the letter and her sworn testimony that that entity had no connection to Plaintiffs' claims. Plaintiffs have offered no evidence or argument beyond conclusory assertions to counter that affidavit. Even if there were some suggestion that Frates had played a role as an adjustor in the claim, Plaintiffs' claims could not be pursued against it. The Oklahoma Supreme Court in
Accordingly, the Court finds that C.L. Frates was improperly joined as a Defendant in this matter. It will be dismissed. As the remaining Defendants are all of diverse citizenship from Plaintiffs, and there is no dispute that the amount in controversy exceeds the jurisdictional requisite, Plaintiffs' Motion to Remand will be denied.
Plaintiffs also names as a Defendant The Tines Group, Inc. ("Tines"). Tines has filed a Motion to Dismiss pursuant to Fed. R. Civ. P. 12(b)(6). As with C.L. Frates, the only role Tines played in this matter was as the adjustor on the claim. Plaintiffs agree that because Tines was not a party to the insurance contract, they cannot pursue a claim for bad faith or negligence against it. However, Plaintiffs argue that because Tines wrote false reports, Plaintiffs should be permitted to pursue a fraud or civil conspiracy action. As noted above, the Oklahoma Supreme Court has rejected any claims of tort liability against an independent adjustor when a plaintiff has a viable claim against the insurance company.
For the reasons set forth herein, Defendant The Tines Group, Inc.'s Motion to Dismiss (Dkt. No. 9) is GRANTED. Plaintiffs' claims against this Defendant are dismissed with prejudice. The Motion to Remand by Plaintiffs (Dkt. No. 14) is DENIED. Plaintiffs' claims against Defendant C.L. Frates and Company are dismissed with prejudice. A separate judgment will issue at the conclusion of this case.
IT IS SO ORDERED.