Andrew Smith v. Mylan Inc.
2014 U.S. App. LEXIS 14978
| 9th Cir. | 2014Background
- Plaintiffs filed a wrongful-death suit in California state court on December 22, 2010.
- Defendants were served with an amended complaint in October 2011; at that time complete diversity did not exist, so removal was not available.
- On January 30, 2012 the last non-diverse defendant was dismissed; defendants removed to federal court on February 9, 2012 (14 months after commencement).
- Plaintiffs did not move to remand or otherwise object; parties exchanged a Rule 26(f) report and proceeded toward scheduling.
- The district court sua sponte remanded under 28 U.S.C. § 1447(c), finding removal untimely under § 1446(b)’s one-year limit and concluding it lacked subject-matter jurisdiction.
- The Ninth Circuit vacated the remand and remanded, holding the one-year limit is procedural (waivable), so a sua sponte remand on that basis exceeded the district court’s authority.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether § 1446(b)’s one-year limit for diversity removal is jurisdictional or procedural | Removal more than one year after commencement is jurisdictionally barred; district court must remand regardless of waiver | The one-year limit is a procedural, waivable rule; without a timely remand motion plaintiff forfeited the objection | The one-year limit is procedural, not jurisdictional; plaintiffs waived the defect by not moving to remand, so sua sponte remand was improper |
| Whether the appellate court can review the remand order under § 1447(d) | Remand order is not reviewable; appeal should be dismissed | If the district court lacked authority to remand under § 1447(c), the remand is reviewable | Court had jurisdiction to review because the district court exceeded its § 1447(c) authority by remanding for a non-jurisdictional defect |
Key Cases Cited
- Kelton Arms Condo. Owners Ass'n v. Homestead Ins. Co., 346 F.3d 1190 (9th Cir.) (district court cannot remand sua sponte for procedural removal defects)
- Fristoe v. Reynolds Metals Co., 615 F.2d 1209 (9th Cir.) (thirty-day removal time limit is procedural, not jurisdictional)
- Maniar v. FDIC, 979 F.2d 782 (9th Cir.) (untimely removal is a procedural defect)
- Music v. Arrowood Indem. Co., 632 F.3d 284 (6th Cir.) (one-year removal limit is procedural and subject to forfeiture)
- Ariel Land Owners, Inc. v. Dring, 351 F.3d 611 (3d Cir.) (failure to remove within one year is not jurisdictional; district court may not remand on that basis without timely motion)
- In re Uniroyal Goodrich Tire Co., 104 F.3d 322 (11th Cir.) (untimeliness of removal is procedural)
- Barnes v. Westinghouse Elec. Corp., 962 F.2d 513 (5th Cir.) (section 1446(b) is not jurisdictional)
