American Airlines, Inc. v. Sabre, Inc.
2012 U.S. App. LEXIS 18637
| 5th Cir. | 2012Background
- Sabre appeals district court’s attorney’s-fees award to American under 28 U.S.C. §1447(c) for removal of a state-court case to federal court.
- The removal occurred after American’s state suit against Sabre was consolidated with other defendants in Texas and American filed related federal suits.
- The district court remanded and awarded fees, finding Sabre’s removal objectively unreasonable.
- Sabre argues good-faith interpretation of Grable & Sons and the TFEAA permits removal.
- The panel affirms, holding Sabre lacked an objectively reasonable basis for removal.
- The Grable framework governs the federal-question analysis and the TFEAA claims are wholly state-law, not a federal question
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Sabre had an objectively reasonable basis for removal | Sabre lacked objective basis (fees justified) | Sabre relied on good-faith interpretation | No; district court did not abuse discretion; Sabre lacked reasonable basis |
| Whether Grable applies to the TFEAA claim to create a federal question | TFEAA must harmonize with federal antitrust interpretations | Grable shows state claim raises federal issue | Sabre failed Grable prong 1; TFEAA claims are wholly state-law; no federal issue required |
Key Cases Cited
- Grable & Sons Metal Prods., Inc. v. Darue Eng’g & Mfg., 545 U.S. 308 (U.S. 2005) (establishes test for federal-question jurisdiction in removal cases)
- Martin v. Franklin Capital Corp., 546 U.S. 132 (U.S. 2005) (fee awards under § 1447(c) depend on objective reasonableness of removal)
- Valdes v. Wal‑Mart Stores, Inc., 199 F.3d 290 (5th Cir. 2000) (no automatic entitlement to fees for improper removal)
- Howard v. St. Germain, 599 F.3d 455 (5th Cir. 2010) (objective standard for § 1447(c) awards)
- Waste Control Specialists, LLC v. Envirocare of Texas, Inc., 199 F.3d 781 (5th Cir. 2000) (TFEAA claims are wholly state claims; Grable not triggered)
- Caller-Times Publ’g Co., Inc. v. Triad Commc’ns, Inc., 826 S.W.2d 576 (Tex. 1992) (state courts interpret Texas Antitrust Act per federal antitrust guidance)