Taylor Newman Cabinetry, inc. v. Classic Soft Trim, Inc., 436 F. App'x 888

TNC and ALS sued CST and Valencia in Florida state court for damages from a warehouse fire; CST lease and Valencia allegedly participated in negligent conduct.
Defendants removed to federal court asserting Valencia was fraudulently joined to defeat diversity.
District court remanded to state court and awarded Plaintiffs $2,500 in attorneys’ fees under 28 U.S.C. § 1447(c).
Defendants appealed, challenging both entitlement to fees and the amount awarded.
Court must determine whether removal was objectively reasonable and whether fee amount is supportable in the record.
Court concludes fraudulent-joinder claim does not defeat remand and affirms fee award; it also upholds amount as reasonable.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether fees under § 1447(c) were appropriate	Newman argued there was no objectively reasonable basis for removal.	Valencia’s alleged fraudulent joinder gave a reasonable removal basis.	Yes; district court did not abuse its discretion in awarding fees.
Whether Valencia was fraudulently joined	Plaintiffs alleged Valencia personally participated in torts and should be liable.	Valencia’s deposition contradicted liability; joinder improper.	No; fraud not established; plea for remand proper based on light of the pleadings.
Timeliness of removal	Removal timely; Valencia deposition triggered § 1446(b) briefly but not first removable moment.	Removal timely only if based on first ascertainable removable facts; deposition should not delay removal.	Untimely removal; but still valid basis for fee award and not fatal to remand findings.
Amount of attorneys’ fees	Actual hours and rates should be documented; court may use its expertise if records are inadequate.	Amount ($2,500) was arbitrary and not supported by evidence.	District court did not abuse discretion; using its independent judgment is permissible.

Crowe v. Coleman, 113 F.3d 1536 (11th Cir. 1997) (fraudulent-joinder standard; burden on removing party)
Martin v. Franklin Capital Corp., 546 U.S. 132 (U.S. 2005) (objective basis required for § 1447(c) fees)
Legg v. Wyeth, 428 F.3d 1317 (11th Cir. 2005) (district court may rely on affidavits; removal validity depends on objective facts)
Pacheco de Perez v. AT&T Co., 139 F.3d 1368 (11th Cir. 1998) (use pleadings and record to assess fraudulent joinder)
Hensley v. Eckerhart, 461 U.S. 424 (U.S. 1983) (reasonableness of fee and avoidance of unnecessary litigation)
Norman v. Housing Authority of City of Montgomery, 836 F.2d 1292 (11th Cir. 1988) (court may use its own expertise to determine reasonable fees)