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242 F. Supp. 3d 1186
D. Kan.
2017
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Background

  • Velma Christensen owns land in Miami County, Kansas, leased to James Cummings; a railroad easement (now BNSF) runs diagonally across the property and originally included two large box-culvert tunnels allowing livestock/equipment to cross.
  • In July 2015 Christensen granted BNSF and SEMA a temporary access easement for railroad repairs; defendants replaced the box culverts with six smaller round pipes that no longer accommodate crossings.
  • Christensen attempted to terminate the temporary easement in October 2015; defendants continued work and plaintiffs filed suit in state court asserting trespass, fraud, breach of contract, and seeking an injunction requiring restoration of an accessway (large culverts).
  • BNSF removed to federal court asserting federal-question jurisdiction based on complete preemption by the Interstate Commerce Commission Termination Act (ICCTA); SEMA joined removal.
  • The district court concluded the ICCTA does not completely preempt plaintiffs’ state-law easement/injunction claim, remanded the case to state court, and declined to decide defendants’ motions to dismiss.
  • The court denied plaintiffs’ request for removal-related attorney fees, finding removal unreasonable but not objectively unreasonable given sparse controlling precedent.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether federal court has jurisdiction via federal-question because ICCTA completely preempts state easement/injunction claim Christensen: claim is state-law (easement); removal improper; remand required BNSF: ICCTA completely preempts plaintiffs’ injunction claim, creating federal-question jurisdiction Court: No complete preemption; remand granted for lack of subject-matter jurisdiction
Whether ICCTA provides an exclusive federal cause of action covering plaintiffs’ relief Plaintiffs: ICCTA does not supply a federal cause of action for restoring access under railroad Defendants: ICCTA (and regulations) displace state law and foreclose state remedies Court: ICCTA’s remedial/administrative scheme does not provide an exclusive federal cause of action for these easement claims
Whether defendants’ removal was objectively unreasonable (award of fees under 28 U.S.C. §1447(c)) Plaintiffs: removal was unreasonable; fee award appropriate Defendants: removal was defensible given unsettled precedent on ICCTA complete preemption Court: Removal was likely unreasonable but not objectively unreasonable; fees denied
Whether district court should resolve defendants’ motions to dismiss before remand Plaintiffs: remand requested so state court can decide state-law motions Defendants: removal put motions before federal court Court: Declined to rule on motions to dismiss; left them to state court post-remand

Key Cases Cited

  • Devon Energy Prod. Co. v. Mosaic Potash Carlsbad, Inc., 693 F.3d 1195 (10th Cir.) (explains well-pleaded complaint rule and limits of federal-defense removal)
  • Beneficial Nat’l Bank v. Anderson, 539 U.S. 1 (2003) (explains that a federal defense based on preemption does not support removal)
  • Aetna Health Inc. v. Davila, 542 U.S. 200 (2004) (discusses when a federal statute's comprehensive scheme supports complete preemption)
  • Metro. Life Ins. Co. v. Taylor, 481 U.S. 58 (1987) (cautions that complete preemption is an extraordinary doctrine to be applied narrowly)
  • Martin v. Franklin Capital Corp., 546 U.S. 132 (2005) (standards for awarding fees on remand under §1447(c))
  • Schmeling v. NORDAM, 97 F.3d 1336 (10th Cir.) (articulates complete-preemption framework in circuit precedent)
  • Griffioen v. Cedar Rapids & Iowa City Ry. Co., 785 F.3d 1182 (8th Cir.) (holds ICCTA express preemption does not alone authorize federal-question jurisdiction via complete preemption)
  • Tres Lotes LLC v. BNSF Ry. Co., 61 F. Supp. 3d 1213 (D.N.M.) (refuses to apply ICCTA complete preemption to an easement/injunction claim)
  • Shupp v. Reading Blue Mountain & Northern R.R., 850 F. Supp. 2d 490 (M.D. Pa.) (similar holding that ICCTA does not completely preempt easement-based injunctive claims)
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Case Details

Case Name: Christensen v. BNSF Railway Co.
Court Name: District Court, D. Kansas
Date Published: Mar 16, 2017
Citations: 242 F. Supp. 3d 1186; 2017 WL 1021463; 2017 U.S. Dist. LEXIS 38497; Case No. 16-cv-02718-DDC-TJJ
Docket Number: Case No. 16-cv-02718-DDC-TJJ
Court Abbreviation: D. Kan.
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    Christensen v. BNSF Railway Co., 242 F. Supp. 3d 1186