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Johnson v. Ortho-McNeil-Janssen Pharmaceuticals, Inc.
4:17-cv-02014
E.D. Mo.
Aug 28, 2017
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Background

  • Plaintiffs (individuals from 32 states) sued Janssen and related defendants in Missouri state court alleging injuries from Risperdal/Invega and asserting product-liability, negligence, fraud, breach of warranty, and consumer-protection claims.
  • One plaintiff (Timothy Wiley) shared Pennsylvania citizenship with defendant Janssen Pharmaceuticals, so the original state-court action was not completely diverse.
  • Defendants removed the case to federal court more than one year after the state action began, asserting diversity jurisdiction only after seeking dismissal of non-Missouri plaintiffs for lack of personal jurisdiction based on Bristol-Myers.
  • Plaintiffs moved to remand, arguing removal was untimely under 28 U.S.C. § 1446(c)(1); they also sought a stay pending the remand decision.
  • Defendants argued (1) the one-year removal bar did not apply because plaintiffs acted in bad faith to prevent removal, and (2) Bristol-Myers (or related court papers) triggered a new 30-day removal period under § 1446(b)(3).
  • The Court found no bad-faith conduct by plaintiffs, concluded defendants’ removal was untimely under § 1446(c)(1), granted remand, denied defendants’ jurisdictional motion as premature, and denied other pending motions as moot.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Timeliness of removal under 28 U.S.C. § 1446(c)(1) (one-year bar) Removal untimely; plaintiffs did not act in bad faith so § 1446(c)(1) bars removal after one year Removal timely because Bristol-Myers created grounds for removal; bad-faith exception applies due to forum-shopping Held: Removal untimely. No bad faith shown; remand required under § 1446(c)(1).
Does Bristol-Myers or related court papers trigger a new 30-day removal period under § 1446(b)(3)? N/A (plaintiffs oppose new removal window) Bristol-Myers (and related filings) constituted an "order or other paper" enabling a new 30-day removal window Held: Court did not accept this as a sufficient basis to avoid the one-year bar; removal remained untimely.
Personal jurisdiction over non-Missouri plaintiffs (Bristol-Myers rule) Plaintiffs implicitly oppose dismissal of non-residents as a remedy to create diversity Defendants sought dismissal of non-Missouri plaintiffs for lack of specific jurisdiction per Bristol-Myers to create complete diversity Held: Court declined to decide jurisdictional dismissal because remand was required; defendants’ motion to dismiss was denied.

Key Cases Cited

  • Bristol-Myers Squibb Co. v. Superior Court of California, 137 S. Ct. 1773 (2017) (limits on state-court specific personal jurisdiction over nonresident plaintiffs)
  • Dahl v. R.J. Reynolds Tobacco Co., 478 F.3d 965 (8th Cir. 2007) (removal statutes construed narrowly; doubts resolved in favor of remand)
  • Bowler v. Alliedbarton Sec. Servs. LLC, 123 F. Supp. 3d 1152 (E.D. Mo. 2015) (defendant bears burden to establish federal jurisdiction on removal)
Read the full case

Case Details

Case Name: Johnson v. Ortho-McNeil-Janssen Pharmaceuticals, Inc.
Court Name: District Court, E.D. Missouri
Date Published: Aug 28, 2017
Docket Number: 4:17-cv-02014
Court Abbreviation: E.D. Mo.