REGGIE B. WALTON, United States District Judge.
This opinion resolves an order to show cause, issued by this Court on January 29, 2015, which required the parties to show cause why this case should not be remanded to the Superior Court of the District of Columbia ("Superior Court") on the ground that the Court lacks subject-matter jurisdiction to entertain this matter. After careful consideration of the District of Columbia and the District of Columbia Department of Housing and Community Development's (collectively, "District") response to the Court's order,
On September 17, 2014, the plaintiff, Park Southern Neighborhood Corporation, a non-profit entity, which represents that its "primary purpose is to make adequate housing available to poor and underprivileged residents of the Park Southern neighborhood of Washington, DC, and provide ancillary and supportive services to such residents," filed this civil action in the Superior Court against defendant Vesta Management Corporation ("Vesta"), a "property management firm," asserting that Vesta has unlawfully converted the plaintiff's real property and tortiously interfered with the plaintiff's contractual and business relationships with various third parties. Compl. ¶¶ 6, 7, 31-43; First Am. Compl. ¶¶ 6, 7, 32-44. The plaintiff also moved for a temporary restraining order and a preliminary injunction against Vesta. See, e.g., Removal Notice ¶ 4. While a hearing on the plaintiff's motion was already underway in the Superior Court, on October 7, 2014, Vesta removed the case to this Court on the basis of diversity jurisdiction. See id. ¶¶ 6-16; Docket Sheet (ECF No. 2) at 2-5.
After Vesta removed the case from the Superior Court, the plaintiff filed an amended complaint on November 2, 2014. See First Am. Compl. at 11. At a status hearing held on November 20, 2014, the Court expressed its concern that the plaintiff necessarily had to join the District to the matter before the Court could hold a hearing on the plaintiff's motion for preliminary relief.
Pursuant to 28 U.S.C. §§ 1441, 1446 (2012), the defendants in a civil action in a state court may remove an action to a United States district court provided that the action could have originally been brought in the district court. Upon the timely filing of a notice of removal, the defendants "bear[ ] the burden of proving that jurisdiction exists in federal court." Downey v. Ambassador Dev., LLC, 568 F.Supp.2d 28, 30 (D.D.C.2008). "If after removal the plaintiff seeks to join additional defendants whose joinder would destroy subject[-]matter jurisdiction, the [C]ourt may deny joinder, or permit joinder and remand the action to the State court." 28 U.S.C. § 1447(e); see also id. § 1447(c) ("If at any time before final judgment it appears that the district court lacks subject[-]matter jurisdiction, the case shall be remanded."); Republic of Venezuela v. Philip Morris Inc., 287 F.3d 192, 196 (D.C.Cir.2002) (finding that "[w]hen it appears that a district court lacks subject[-]matter jurisdiction over a case that has been removed from a state court, the district court must remand the case").
Specifically, "the presence or absence of federal-question jurisdiction is governed by the `well-pleaded complaint rule,' which provides that federal jurisdiction exists only when a federal question is presented on the face of the plaintiff's properly pleaded complaint." Rivet v. Regions Bank of La., 522 U.S. 470, 475, 118 S.Ct. 921, 139 L.Ed.2d 912 (1998) (internal alteration and quotation marks omitted); see also Caterpillar, Inc. v. Williams, 482 U.S. 386, 392, 107 S.Ct. 2425, 96 L.Ed.2d 318 (1987) (same); Merrell Dow Pharms., Inc. v. Thompson, 478 U.S. 804, 809 n. 6, 106 S.Ct. 3229, 92 L.Ed.2d 650 (1986) ("Jurisdiction may not be sustained on a theory that the plaintiff has not advanced."); Wis. Dep't of Corr. v. Schacht, 524 U.S. 381, 390, 118 S.Ct. 2047, 141 L.Ed.2d 364 (1998) ("The status of the case as disclosed by the plaintiff's complaint is controlling in the case of a removal, since the defendant must file his petition before the time for answer or forever lose his right to remove." (internal alteration and quotation marks omitted)). The "well-pleaded complaint rule" recognizes that the plaintiff is "master of the claim" and may rely exclusively on state law to avoid federal question jurisdiction. Caterpillar, 482 U.S. at 392, 107 S.Ct. 2425; see also Vaden v. Discover Bank, 556 U.S. 49, 60, 129 S.Ct. 1262, 173 L.Ed.2d 206 (2009) ("Under the longstanding well-pleaded complaint rule. . . a suit `arises under' federal law `only when the plaintiff's statement of his own cause of action shows that it is based upon [federal law].'" (quoting Louisville & Nashville R. Co. v. Mottley, 211 U.S. 149, 152, 29 S.Ct. 42, 53 L.Ed. 126 (1908)); Grable & Sons Metal Prods., Inc. v. Darue Eng'g & Mfg., 545 U.S. 308, 312, 125 S.Ct. 2363, 162 L.Ed.2d 257 (2005) ("federal-question jurisdiction is invoked by and large by plaintiffs pleading a cause of action
There is no dispute that the Court was divested of subject-matter jurisdiction on the basis of diversity when the plaintiff joined the District as a defendant in this case. See District Remand Resp. at 1 ("[A]s discussed herein, diversity jurisdiction no longer exists...."); id. at 3 ("The District's joinder, therefore, has eliminated the Court's diversity jurisdiction over this case."). Nevertheless, the District insists that the second amended complaint sufficiently pleads a federal question.
In the second amended complaint, the plaintiff has only alleged District of Columbia common law claims for unlawful conversion, tortious interference with business and contractual relationships, and civil conspiracy against the defendants. Second Am. Compl. ¶¶ 36-56. It has neither asserted a claim nor sought relief under the United States Constitution, a federal statute, or a United States treaty. See 28 U.S.C. § 1441(c)(1)(A) (citing 28 U.S.C. § 1331 (2012), which provides district courts federal-question jurisdiction when a civil action "arise[s] under the Constitution, laws, or treaties of the United States"). Therefore, under the "well-pleaded complaint rule," as the "master" of its claims, the plaintiff has chosen to rely exclusively on state law to avoid federal-question jurisdiction.
Notwithstanding this straightforward application of the "well-pleaded complaint rule," the District argues that the plaintiff "has at all times averred that it sues upon one or more constitutional violations." District Remand Resp. at 3. In particular, the District "underst[ands]" the plaintiff "to [be] assert[ing] a claim for [the] taking of [its] property without just compensation in violation of the Fifth Amendment." Id. But this is nothing more than speculation, see id. at 3 (stating that the plaintiff's multiple complaints are "not models of clarity" (emphasis added)), as the second amended complaint only mentions "constitutional violations" once in passing,
The District's reliance on Araya v. JPMorgan Chase Bank, N.A., 775 F.3d 409 (D.C.Cir.2014), is misplaced. In Araya, the pro se plaintiff filed suit in Superior Court alleging, inter alia, that "Fannie Mae was . . . a party that `upon information and belief had an interest in the property" at issue, 775 F.3d at 415 (certain ellipses and alterations omitted), and "it is settled law in [the District of Columbia] Circuit that 12 U.S.C. § 1723a(a) ordinarily creates federal jurisdiction `in Fannie Mae cases,'" id. (quoting Pirelli Armstrong Tire Corp. Retiree Med. Benefits Trust ex rel. Fed. Nat'l Mortg. Ass'n v. Raines, 534 F.3d 779, 785 (D.C.Cir.2008)). After the case was removed to this Court, another member of the Court denied the plaintiff's motion for remand, reasoning that a federal statute conferred jurisdiction on the Court. Id. "However, after the
Araya is inapposite because the holding was limited to "the particular facts presented. . . [on] appeal." Id. (emphasis added). The facts here are not analogous. There, from the face of the complaint, the district court was able to glean the basis for federal-question jurisdiction. But here no jurisdictional predicate can be identified in the second amended complaint because the plaintiff has not pleaded any constitutional claims. Finding no federal-question jurisdiction,
For the foregoing reasons, the Court concludes that the case must be remanded to the Superior Court of the District of Columbia for lack of subject-matter jurisdiction.