ROBERT C. BRACK, District Judge.
Defendant Anthony Garcia mixed semen with yogurt and served it to Plaintiff as a grocery store sample. Plaintiff brought suit in state court against Garcia, as well as the corporation that operates the store, Sunflower Farmers Markets, and its chief operating officer, Michael Gilliland. Plaintiff seeks damages exclusively under state law. Her theories of recovery include strict liability and negligence per se for violations of the federal and state food safety laws that, among other things, prohibit adulterating food. See Doc. 1-1 at 1-2, 8-9. In parallel proceedings initiated before Plaintiff filed her state suit, the federal government indicted Garcia for his violation of the federal food safety laws. He has since pleaded guilty and will be sentenced soon. See United States v. Garcia, CR 11-1865 JCH (two-count indictment, plea to both counts — "Adulteration of Food in violation of 21 U.S.C. § 331(b) and (k) ... and Statements or Entries Generally in violation of 18 U.S.C.
Two of the three defendants (Sunflower and Gilliland) removed the action to this Court on September 29, 2011. Because the parties are not completely diverse, the asserted basis for jurisdiction is federal question, specifically, whether the federal food adulteration laws preempt the state laws. See Doc. 1 at 1-2 (citing 28 U.S.C. § 1331, federal district courts' original jurisdiction over federal questions); Doc. 1-2 (civil cover sheet); 28 U.S.C. § 1441(b) (removal of federal questions). Plaintiff filed a timely motion to remand asserting (1) that the notice of removal is defective because all defendants did not join and (2) an absence of subject matter jurisdiction. See Doc. 11 at 1 (filed October 25, 2011); 28 U.S.C. § 1447(c) ("A motion to remand the case on the basis of any defect other than lack of subject matter jurisdiction must be made within 30 days after the filing of the notice of removal."). Plaintiff also seeks reimbursement of the attorney fees and costs associated with her motion. See Doc. 11 at 13; see also 28 U.S.C. § 1447(c) ("An order remanding the case may require payment of just costs and any actual expenses, including attorneys fees, incurred as a result of the removal.").
A well-established, judge-made rule requires that all defendants consent to removal under 28 U.S.C. § 1441. See, e.g., Doc. 7 at 2 (removal under 28 U.S.C. § 1441); Pretlow v. Garrison, 420 Fed. Appx. 798, 800 (10th Cir.2011) (contrasting the broader removal authorization under 28 U.S.C. § 1442 and, among other things, noting that "all defendants must consent to removal under section 1441"); Moreno v. Taos Cnty. Bd. of Comm'rs, 778 F.Supp.2d 1139, 1141 (D.N.M.2011) ("Although this mandate is not an express statutory requirement, it is well established that a notice of removal fails if this procedural requirement is not met."). Often called the "unanimity rule," a failure of all "served" defendants to consent in writing to removal constitutes a procedural defect requiring remand. At least three judges of this Court have discussed this rule in published opinions. See, e.g., Moreno, 778 F.Supp.2d at 1140; State Farm Fire and Cas. Co. v. Dunn-Edwards Corp., 728 F.Supp.2d 1273 (D.N.M.2010); Tresco, Inc. v. Continental Cas. Co., 727 F.Supp.2d 1243 (D.N.M.2010); Vasquez v. Americano U.S.A., LLC, 536 F.Supp.2d 1253, 1257-58 (D.N.M.2008).
Defendants Sunflower and Gilliland were aware a summons and copy of the complaint had "issued" to Defendant Garcia when they filed their notice of removal, and they attached a copy of it to their notice. Defendants Sunflower and Gilliland essentially argue that without the return of service, they could not be sure whether Garcia was technically "served," and therefore, omitting him from the removal notice does not render it procedurally defective. They maintain that they faced a "dilemma" because they were obliged to remove within thirty days of their receipt of the state complaint, and were concerned that if they waited to see whether Defendant Garcia was served, then their window to remove would close. As it turns out, the very day Defendants Sunflower and Gilliland filed their notice of removal, Plaintiff also filed a return of service for Defendant Garcia's summons. Though Plaintiff asserts that Defendant Garcia was actually served before the date of the notice of removal, she does not dispute that she filed the return the same day Defendants Sunflower and Gilliland filed their Notice of Removal, or that they did not have confirmation that service had been accomplished when they removed the
The Tenth Circuit has not definitively settled whether a "first" or "last" defendant rule applies for removal purposes. In April of this year, Judge Johnson agreed with Judge Browning and rejected the "first served-defendant rule," instead adopting the "last-served-defendant rule" for removal purposes. See Moreno, 778 F.Supp.2d at 1141-42 (citing, among other decisions, Bonadeo v. Lujan, No. 08-cv-0812-JB/ACT, 2009 WL 1324119, at *10-16 (D.N.M. Apr. 30, 2009)). Under the last-served-defendant rule, "the thirty-day period for removal begins for a particular defendant on the date it was served, as long as the previously served defendants consent," and is consistent with how Defendants Sunflower and Gilliland viewed their situation. Id. at 1141. Thus, even though "Garcia did not file his consent to removal, ... if he was not properly served, his consent was not necessary." Id. at 1142. The earlier State Farm decision presented the same situation. There, Plaintiff State Farm filed suit against Dunn-Edwards Corporation, Affiliated FM Insurance Company, and Jerry Smith. The two corporate defendants were served, filed their notice of removal, and omitted Smith, who had not yet been served. Smith was not considered in the Court's analysis of compliance with the "unanimity rule." See State Farm, 728 F.Supp.2d at 1274-75.
Plaintiff does not cite any decision, much less binding authority, that holds Defendant Garcia qualified as a "served" defendant under the circumstances of this case. Indeed, in Moreno, Judge Johnson looked at the "state court record" to determine the date each defendant was served, and specifically cited the completed and filed return. See Moreno, 778 F.Supp.2d at 1141 (citing "Doc. 7-1 at 14-15"). The time between actual service and documentation of the same can be considerable. For example, the Moreno return showed service was accomplished on September 21, 2010, but the return was not filed until October 8, 2010. See id.
Likewise, none of the District of New Mexico cases cited above require a defendant to wait out the lag time between actual service and documentation of that fact in the state record, or require a defendant to take efforts beyond consulting the state court record to ascertain whether service was properly made. Plaintiff argues that: some courts impose an obligation on the removing defendants to ascertain whether their codefendants have in fact been served; the removing defendants are not entitled to rely on the absence of a return of service for this purpose; and the removing defendants must engage in further action, such as attempting to contact the defendant personally. See Doc. 18 at 3. None of the cases Plaintiff cites are binding authority. Further, none are so factually similar and/or impose that obligation so emphatically as to persuade this Court to adopt that approach under the circumstances of this case.
The removal notice provides the grounds for removal as follows:
Doc. 1 at 2 (¶ 6). Plaintiff argues that the Trujillo decision from this District is controlling; Defendants Sunflower and Gilliland argue it is distinguishable. See Trujillo v. Reynolds, No. CIV 07-1077 JB/RLP, 2008 WL 2323521 (D.N.M. Jan. 17, 2008). The Court need not address those arguments in detail because Trujillo, and its observations about the Merrell Dow case, are conclusive of remand, particularly in light of more recent Supreme Court authority concerning the FDCA.
In the Trujillo case, two balloons collided at New Mexico's 2004 International Balloon Fiesta. One of them crashed, injuring the plaintiff. Her state suit for common law negligence asserted that the collision was due to defendants' failure to observe federal regulations and standards. Defendants removed the action on the ground that the injection of the federal standards into the negligence action created a federal question, but Judge Browning remanded the case. He did so because the federal regulations did not raise a "disputed" or "substantial" issue. "Where a federal question appears on the face of a well-pleaded complaint, federal jurisdiction is not automatic. Federal jurisdiction requires not only a contested federal issue, but a substantial one, indicating a serious federal interest in claiming the advantages thought to be inherent in a federal forum." Id. at *6 (citing Grable & Sons Metal Prods., Inc. v. Darue Eng'g & Mfg., 545 U.S. 308, 313, 125 S.Ct. 2363, 162 L.Ed.2d 257 (2005)); see also, e.g., Nicodemus v. Union Pac. Corp., 440 F.3d 1227, 1236
Similar to the situation in Trujillo, Plaintiff's strict liability and negligence per se causes of action do not rest exclusively on a violation of federal standards because Defendant Garcia's conduct is alleged to have violated
Furthermore, there appears to be no dispute about whether the respective defendants violated the federal standard. Defendants Sunflower and Gilliland argue that since they did not directly adulterate the food or solicit customers to sample it, Defendant Garcia's conduct in violation of the statutes is
In his substantiality analysis, Judge Browning noted that the Merrell Dow FDCA case presented "a greater connection to federal law," yet the Supreme Court still found "there was no federal jurisdiction." Trujillo, No. CIV 07-1077 JB/RLP, 2008 WL 2323521, at *10. "In Merrell Dow, the plaintiffs alleged that a drug was misbranded in violation of the FDCA because it did not warn of potential dangers, and sought recovery under common law theories that included negligence and strict liability." Merrell Dow Pharms., Inc. v. Thompson, 478 U.S. 804, 805-06, 106 S.Ct. 3229, 92 L.Ed.2d 650 (1986). The Sixth Circuit had held that because "the jury could find negligence on the part of Merrell Dow without finding a violation of the FDCA, the plaintiffs' causes of action did not depend necessarily upon a question of federal law" and that the "causes of action did not arise under federal law." Id. at 807, 106 S.Ct. 3229 (internal quotations and citation omitted). The Supreme Court affirmed, and the reasons it mentioned are applicable here.
In Merrell Dow, "both parties agree[d] with the Court of Appeals' conclusion that there is no federal cause of action for FDCA violations" and the Supreme Court "assume[d] that this is a correct interpretation of the FDCA." Id. at 810, 106 S.Ct. 3229. The Supreme Court concluded that where Congress determines there "should be no federal remedy for the violation" of the FDCA, it is "tantamount to a congressional
Defendants Sunflower and Gilliland concede that the FDCA does not expressly provide a private right of action. See Doc. 16 at 8. They argue that because the FDCA preempts state laws, it must necessarily "implicitly" provide a right of action because "Plaintiffs would need some forum to enforce their rights." Id. It is true that district courts remain "divided as to whether a negligence per se claim may be based on a standard of care derived from the FDCA, its amendments, or its corresponding regulations,"
Finally, even if the Court were not persuaded that this case falls squarely within the insubstantiality reasoning of Merrell Dow and Wyeth, the novelty of the issues and disagreement among district courts is an independent grounds for not asserting jurisdiction here. The Supreme Court squarely rejected any such notion in Merrell Dow:
Merrell Dow, 478 U.S. at 817, 106 S.Ct. 3229.
Plaintiff plainly seeks attorney fees under 28 U.S.C. § 1447(c), see Doc. 77 at 11; Doc. 18 at 7-8, but Defendants Sunflower and Gilliland ignore that, evidently based on Plaintiff's passing reference to Rule 11 in a direct quote of 28 U.S.C. § 1446(a), see Doc. 11 at 4; Doc. 16 at 8-10. Because it is clear that Plaintiff is not arguing for an award of fees under that rule, the Court confines its analysis to § 1447(c). An award under § 1447(c) is discretionary — "[a]n order remanding the case
In light of the unsettled law discussed above, while Defendant Sunflower and Gilliland's attempts to distinguish relevant law proved a stretch and were unsuccessful in this Court's view, the Court cannot characterize their arguments as "objectively unreasonable." As such, an award of fees and costs is not warranted. See Garrett v. Cook, 652 F.3d 1249, 1254 (10th Cir.2011) (affirming Judge Black's award of fees on remand against pro se litigant who untimely removed based on conclusory assertion that Hispanic state court judge's rulings were racially biased; Judge Black remanded citing "`novel, largely unsupported arguments and procedural machinations ... reams of vexatious and unfounded arguments'" and "`several unorthodox aspects [including] the large amount of time that elapsed between the filing of the suit and Mr. Cook's notice of removal.'"); see also, e.g., Columbia State Bank v. Daybreak Estates, LLC, No. 10-CV-1284-AC, 2011 WL 832132, at *7 (D.Or. Feb. 9, 2011) ("Removal is not objectively unreasonable solely because the removing party's arguments lack merit and the removal ultimately is unsuccessful.").