539 F. App'x 325
5th Cir.2013Background
- Nguyen, pro se, sues Bank of America for wrongful foreclosure of residential Property in Galveston County, Texas.
- This is Nguyen's third lawsuit challenging the same foreclosure; First Lawsuit was filed in 2011 and dismissed with prejudice after removal to federal court.
- Second Lawsuit (2012) also ended in summary judgment for the Bank and dismissal with prejudice on res judicata grounds.
- Third Lawsuit (2012) in Texas state court was removed to federal court; Nguyen moved to remand alleging lack of federal jurisdiction and forum defendant rule issues.
- District court denied remand, granted Bank’s motion to dismiss, and warned Nguyen against frivolous future litigation, which is the subject of this appeal.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether removal was proper under federal jurisdiction. | Nguyen argues lack of federal question and forum defendant rule blocks removal. | Bank contends diversity jurisdiction existed and forum defendant rule does not apply. | Remand denial affirmed; removal proper under diversity jurisdiction. |
| Whether Nguyen was denied due process by limited evidentiary opportunity. | Amended response and evidence were not adequately considered. | Record shows Nguyen’s evidence was considered and briefed; no due process violation. | Due process not violated; district court considered Nguyen’s submissions. |
| Whether res judicata bars Nguyen’s current claims. | Current claims are distinct quiet-title relief not barred by prior judgments. | Same nucleus of operative facts; prior final judgments on the merits foreclose current claims. | Yes, res judicata bars the action; prior final judgments foreclose the current claims. |
Key Cases Cited
- Atchafalaya Basinkeeper v. Chustz, 682 F.3d 356 (5th Cir. 2012) (de novo review of district court rulings on jurisdiction and remand)
- Preston v. Tenet Healthsystem Mem’l Med. Ctr., Inc., 485 F.3d 793 (5th Cir. 2007) (de novo review of remand rulings)
- Test Masters Educ. Servs., Inc. v. Singh, 428 F.3d 559 (5th Cir. 2005) (claim preclusion elements for res judicata)
- Duffie v. United States, 600 F.3d 362 (5th Cir. 2010) (application of res judicata, same nucleus of operative facts)
- Wachovia Bank, Nat’l Ass’n v. Schmidt, 546 U.S. 303 (U.S. 2006) (bank citizen status for diversity; main office rule)
- Nationstar Mortg. LLC v. Knox, 351 F. App’x 844 (5th Cir. 2009) (value of property controls amount in controversy)