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5:19-cv-01745
C.D. Cal.
Sep 18, 2019
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Background

  • Plaintiff Jacob E. Yeagle filed an unlawful detainer action in Riverside County Superior Court.
  • Defendants (including David Groffo) removed the action to federal court.
  • The state complaint asserted only state-law unlawful detainer claims; no federal question was pled.
  • Defendants relied on affirmative defenses invoking federal law and asserted removal jurisdiction.
  • The complaint alleges a limited civil unlawful detainer (under $25,000); diversity and amount-in-controversy were not plausibly established by defendants.
  • The district court sua sponte found lack of subject-matter jurisdiction and remanded the case to state court on September 18, 2019.

Issues

Issue Yeagle's Argument Groffo's Argument Held
Whether federal-question jurisdiction exists Complaint raises only state unlawful detainer claims Federal issues arise from defendants' affirmative defenses No — federal defenses do not create federal-question jurisdiction
Whether complete diversity exists Parties are not all diverse Removal satisfies diversity (asserted) No — complete diversity not shown
Whether amount-in-controversy meets $75,000 threshold Underlying case is limited civil under $25,000 Amount-in-controversy met (asserted) No — defendants failed to plausibly allege >$75,000
Whether the court must remand if it lacks subject-matter jurisdiction Case should remain in state court Removal justified (asserted) Court must remand sua sponte and did remand to state court

Key Cases Cited

  • Syngenta Crop Protection, Inc. v. Henson, 537 U.S. 28 (2002) (removal is statutory and strictly construed)
  • Great Northern R. Co. v. Alexander, 246 U.S. 276 (1918) (suit begun in state court remains unless Congress provides removal)
  • Nevada v. Bank of Am. Corp., 672 F.3d 661 (9th Cir. 2012) (statutes construed against removal)
  • Gaus v. Miles, Inc., 980 F.2d 564 (9th Cir. 1992) (burden on removing party to show jurisdiction)
  • Dennis v. Hart, 724 F.3d 1249 (9th Cir. 2013) (defendant may remove civil actions where federal courts have original jurisdiction)
  • Abrego Abrego v. Dow Chem. Co., 443 F.3d 676 (9th Cir. 2006) (removing defendant bears burden of establishing federal jurisdiction)
  • Kelton Arms Condo. Owners Ass'n v. Homestead Ins. Co., 346 F.3d 1190 (9th Cir. 2003) (subject-matter jurisdiction may not be waived; remand required if lacking)
  • Emrich v. Touche Ross & Co., 846 F.2d 1190 (9th Cir. 1988) (court may raise lack of subject-matter jurisdiction sua sponte)
  • ARCO Envtl. Remediation, L.L.C. v. Dep't of Health & Envtl. Quality, 213 F.3d 1108 (9th Cir. 2000) (federal jurisdiction depends on plaintiff's claims, not anticipated defenses)
  • Berg v. Leason, 32 F.3d 422 (9th Cir. 1994) (affirmative federal-law defense does not render state action removable)
  • Franchise Tax Bd. v. Construction Laborers Vacation Trust, 463 U.S. 1 (1983) (federal defense, even if central, cannot create federal-question jurisdiction)
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Case Details

Case Name: Jacob Edward Yeagle v. David Groffo
Court Name: District Court, C.D. California
Date Published: Sep 18, 2019
Citation: 5:19-cv-01745
Docket Number: 5:19-cv-01745
Court Abbreviation: C.D. Cal.
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