PATRICK J. HANNA, Magistrate Judge.
Pending before this Court is a motion to remand (Rec. Doc. 26), which was filed by the plaintiff, Michelle Jeanmard. The motion is opposed. The motion was referred to the undersigned for review, report, and recommendation in accordance with the provisions of 28 U.S.C. § 636 and the standing orders of this Court. For the following reasons, it is recommended that the motion be granted.
The plaintiff alleges that, on February 9, 2015, she was injured when the vehicle in which she was a passenger was involved in a collision on the I-10 entrance ramp in Scott, Louisiana. The plaintiff filed suit in the 15th Judicial District Court, Lafayette Parish, Louisiana, asserting claims against Chad Branham (the alleged defendant driver), Progressive Casualty Insurance Company (Mr. Branham's alleged insurer), and Allstate Property and Casualty Insurance Company (the alleged UM insurer of the vehicle in which she was riding at the time of the accident). Progressive removed the action to this forum. Allstate neither joined in the removal nor consented to the removal.
This Court undertook a sua sponte analysis of the court's subject-matter jurisdiction. Finding that it could not determine whether the parties are diverse in citizenship or whether the amount in controversy exceeds the jurisdictional threshold, this Court ordered Progressive to submit a brief addressing those issues. Upon receipt of Progressive's brief, this Court scheduled a telephone status conference. During that conference, the plaintiff represented that the amount in controversy was less than $75,000 at the time of removal and stated that a motion to remand would be filed. The instant motion to remand soon followed.
Federal district courts are courts of limited jurisdiction, possessing only the power authorized by the Constitution and by statute.
The "rule of unanimity," which is codified at 28 U.S.C. § 1446(b)(2)(A), states that "[w]hen a civil action is removed solely under section 1441(a), all defendants who have been properly joined and served must join in or consent to the removal of the action to federal court." Allstate did not consent to Progressive's removal of this action, but Allstate's counsel filed an appearance (Rec. Doc. 10), and Allstate answered the complaint (Rec. Doc. 11). During the telephone status conference of October 27, 2016, Allstate indicated its consent to the removal and agreed to file a consent to removal and an affidavit setting forth its state of incorporation and principal place of business. (Rec. Doc. 24). After the conference, Allstate was ordered to do so. (Rec. Doc. 25). Allstate did not comply with the order.
This Court finds that the removal of this action may be procedurally defective due to the lack of consent by Allstate. However, this issue was not raised in the plaintiff's remand motion, and it is not the basis for this Court's recommendations.
The plaintiff did not argue in her remand motion that the parties are not diverse in citizenship; however, this Court finds that it is impossible, on the basis of the record as it currently exists, to determine whether the parties are diverse.
In her petition, the plaintiff alleged that she is domiciled in Louisiana. The citizenship of a natural person is determined by the state in which he is domiciled.
The plaintiff alleged in her petition that defendant Chad Branham resides in Texas. Because residence and domicile are different, "an allegation that a party is a resident of a certain state is not a sufficient allegation of his citizenship in that state."
The two other defendants are corporations. A corporation is a citizen of the state where it was incorporated and the state where it has its principal place of business.
In its removal notice, Progressive did not address Allstate's citizenship, and Allstate disregarded this Court's order to submit evidence of its state of incorporation and principal place of business. Therefore, there is no evidence in the record establishing Allstate's citizenship.
As the removing defendant, Progressive has the burden of establishing that the parties are diverse in citizenship. Progressive did not satisfy its burden, and this Court remains unable to determine whether the parties are diverse in citizenship.
In her remand motion, the plaintiff challenged Progressive's contention that the amount in controversy exceeds the jurisdictional minimum. The amount in controversy is the sum claimed by the plaintiff in his complaint if the claim was apparently made in good faith.
In Louisiana, plaintiffs are not permitted to plead a specific dollar amount of damages.
In opposition to the plaintiff's remand motion, Progressive offered no summary-judgment-style evidence establishing that the amount is controversy is greater than $75,000. Instead, Progressive continued to argue — despite this Court's earlier finding to the contrary — that it is facially apparent that this requirement for federal court jurisdiction is satisfied. The plaintiff argued that, as of the date of removal, there was no evidence to support a finding that the amount in controversy exceeds the jurisdictional minimum.
Because this Court had previously found that the amount in controversy is not facially apparent, the removing defendant had an obligation to establish by a preponderance of the evidence that the amount in controversy exceeds the jurisdictional threshold by setting forth relevant facts supported by summaryjudgment-type evidence.
There is another motion pending in this case. Progressive filed a motion for summary judgment (Rec. Doc. 8) before the motion to remand was filed. Absent subject-matter jurisdiction, however, a federal district court can take no action whatsoever.
Having found that it is not possible to determine whether the parties to this lawsuit are diverse in citizenship on the basis of the record as it currently exists, and having found that the removing defendant failed to prove that the amount in controversy is greater than the statutory minimum for federal-court jurisdiction, this Court recommends that the plaintiff's motion to remand be granted, recommends that this action be remanded to the 15th Judicial District Court, Lafayette Parish, Louisiana, and recommends that the pending motion for summary judgment be denied as moot.
Under the provisions of 28 U.S.C. § 636(b)(1)(C) and Fed. R. Civ. P. 72(b), parties aggrieved by this recommendation have fourteen days from service of this report and recommendation to file specific, written objections with the Clerk of Court. A party may respond to another party's objections within fourteen days after being served with of a copy of any objections or responses to the district judge at the time of filing.
Failure to file written objections to the proposed factual findings and/or the proposed legal conclusions reflected in the report and recommendation within fourteen days following the date of its service, or within the time frame authorized by Fed. R. Civ. P. 6(b), shall bar an aggrieved party from attacking either the factual findings or the legal conclusions accepted by the district court, except upon grounds of plain error. See Douglass v. United Services Automobile Association, 79 F.3d 1415 (5th Cir. 1996).