In Re: Atlas Roofing Corporation Chalet Shingle Products Liability Litigation
1:13-md-02495
N.D. Ga.Jun 9, 2017Background
- Plaintiff Noble L. Brooks Jr., a Mississippi resident, purchased Atlas Chalet/Shingles and alleges they were defectively manufactured and caused roof leaks and home damage beginning in 2013.
- Brooks filed a putative class action in the Southern District of Mississippi on behalf of himself and similarly situated purchasers; related federal actions were transferred to the Northern District of Georgia MDL.
- Atlas Roofing Corporation, a Mississippi corporation, manufactured and sold the shingles and is the sole named defendant.
- Atlas moved to dismiss for lack of subject-matter jurisdiction under CAFA, arguing no minimal diversity; the court denied dismissal at the pleading stage because the complaint could plausibly include non-Mississippi class members.
- At the class-certification stage, Atlas renewed its jurisdictional challenge; because both named parties are Mississippi citizens, the court required Brooks to prove by a preponderance that at least one class member is from a different state.
- Brooks failed to produce any evidence identifying a non-Mississippi class member; the court held it lacked subject-matter jurisdiction and dismissed the case, denying the class-certification motion as moot.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether CAFA minimal diversity exists | Brooks relied on his complaint’s inference that non-Mississippi class members plausibly exist and objected to raising jurisdiction at class-cert stage | Atlas argued both named parties are Mississippi citizens and Brooks must prove at least one non-Mississippi class member by a preponderance | Court held Brooks failed to meet burden; no minimal diversity proven and court lacks subject-matter jurisdiction |
| Proper timing/vehicle to raise jurisdictional challenge | Brooks argued class-cert motion is not the proper vehicle to litigate jurisdiction | Atlas maintained subject-matter jurisdiction can be attacked at any stage and did so in its class-cert response | Court confirmed subject-matter jurisdiction must exist throughout and Atlas properly raised the issue |
Key Cases Cited
- Garcia v. Copenhaver, Bell & Assocs., M.D.'s P.A., 104 F.3d 1256 (11th Cir. 1997) (distinguishes facial and factual jurisdictional attacks)
- Lawrence v. Dunbar, 919 F.2d 1525 (11th Cir. 1990) (describes standards for facial vs. factual attacks on jurisdiction)
- Menchaca v. Chrysler Credit Corp., 613 F.2d 507 (5th Cir. 1980) (facial-attack framework quoted regarding pleading truthfulness)
- Williamson v. Tucker, 645 F.2d 404 (5th Cir. 1981) (procedural safeguards for plaintiffs on facial jurisdictional attacks)
- Scarfo v. Ginsberg, 175 F.3d 957 (11th Cir. 1999) (court may resolve disputed jurisdictional facts)
- Evans v. Walter Indus., Inc., 449 F.3d 1159 (11th Cir. 2006) (explains CAFA jurisdictional requirements)
- Lowery v. Alabama Power Co., 483 F.3d 1184 (11th Cir. 2007) (minimal diversity may be satisfied by one class member)
- Steel Co. v. Citizens for a Better Env’t, 523 U.S. 83 (1998) (party invoking federal jurisdiction bears burden of establishing it)
