MICHAEL G. PRUITT, et al., v. HANSEN & ADKINS, INC., et al.
CIVIL CASE NO. 2:23-cv-167-ECM (WO)
IN THE UNITED STATES DISTRICT COURT FOR THE MIDDLE DISTRICT OF ALABAMA NORTHERN DIVISION
July 12, 2023
EMILY C. MARKS, CHIEF UNITED STATES DISTRICT JUDGE
MEMORANDUM OPINION and ORDER
I. INTRODUCTION
Now pending before the Court is the Plaintiffs’ motion to remand. (Doc. 26). On February 27, 2023, the Plaintiffs sued various defendants in the Circuit Court of Butler County, Alabama, for claims stemming from a traffic accident. (Doc. 26-2 at 4-39). Relevant to this motion, the Plaintiffs sued Defendant MoLo Solutions, LLC (“MoLo“), for negligently or wantonly hiring a tractor-trailer operator to haul freight for its clients (Count XIV) and for vicarious liability (Count XV). MoLo removed the case to this Court, asserting federal-question jurisdiction and supplemental jurisdiction. (Doc. 1). MoLo argues this Court has federal jurisdiction because the Federal Aviation Administration Authorization Act of 1994 (“FAAAA“),
II. STANDARD OF REVIEW
Though a plaintiff is the master of his claim, his power is not plenary. Instead, a defendant may remove from state court to federal court any “action[] that originally could have been filed” in that federal court. Caterpillar Inc. v. Williams, 482 U.S. 386, 392 (1987) (citing
III. FACTS AND PROCEDURAL HISTORY
This matter arises from a tragic vehicular accident that occurred on July 19, 2021. The adult Plaintiffs in this case attempted to rescue children from a van that caught on fire as a result of this accident. Unable to do so, all Plaintiffs, including the minor children, witnessed the fire engulf the van and kill its eight minor occupants. The accident occurred
In their complaint filed in state court, among claims against other defendants, the Plaintiffs sued MoLo for negligently hiring Takelu and Asmat to haul freight (Count XIV) and for vicarious liability as the motor carrier for the driver allegedly causing the accident (Count XV). These claims, along with all other claims in the complaint, were brought under state law. MoLo removed the case, arguing that this Court has federal-question jurisdiction and supplemental jurisdiction because the Plaintiffs’ claims against it are completely preempted by
IV. DISCUSSION2
A. Complete Preemption
MoLo contends that this Court has jurisdiction because the FAAAA completely preempted all state-law negligent hiring claims against freight brokers. MoLo argues, the Court has federal-question jurisdiction, which requires that the action “aris[e] under the Constitution, laws, or treaties of the United States.” See
The Plaintiffs do not raise any federal issues on the face of the complaint. However, an exception to the well-pleaded complaint rule is the “complete preemption” doctrine. Id. at 393. Complete preemption occurs in the rare instance that Congress so “completely pre-empt[s] a particular area that any civil complaint . . . is necessarily federal in character.” Metro. Life Ins. Co. v. Taylor, 481 U.S. 58, 63, 67 (1987). Complete preemption is jurisdictional in nature and focuses on whether Congress intended to make a plaintiff‘s cause of action federal and removable even though the complaint only pleads state-law claims. Cotton v. Mass. Mut. Life Ins. Co., 402 F.3d 1267, 1281 (11th Cir. 2005).
MoLo argues that the Plaintiffs’ claims are completely preempted under the FAAAA because the claims against MoLo regarding its hiring of Takelu and Asmat
However, MoLo focuses much of its argument on the contention that
Complete preemption, rather, is “a rare doctrine.” Cmty. State Bank, 651 F.3d at 1261 n.16. The Supreme Court has applied the doctrine “to only three federal statutes:
Three main factors are critical to finding complete preemption. First, the “touchstone of the federal district court‘s removal jurisdiction is . . . the intent of Congress.” Metro. Life, 481 U.S. at 66. Second, the federal law at issue must not simply preempt the state-law claim; it must also “displace” the state-law claim with a federal cause of action. Id. at 64. Third, the federal law at issue must be similar to the jurisdictional grant provisions of the Employee Retirement Income Security Act (“ERISA“) and the Labor-Management Relations Act (“LMRA“), two of the statutes in which the Supreme Court held complete preemption. Id. at 65; see also Blab T.V. of Mobile, Inc. v. Comcast Cable Comms., Inc., 182 F.3d 851, 856 (11th Cir. 1999) (“[C]omplete preemption occurs only when a federal cause of action features jurisdictional language that closely parallels that of section 301 of the LMRA as well as an express statement within the legislative history that Congress intends for all related claims to arise under federal law in the same manner as section 301.“).
Therefore, courts must first “identify the domain expressly pre-empted” by Congress. Dan‘s City Used Cars, Inc. v. Pelkey, 569 U.S. 251, 260 (2013) (citation omitted). This task requires courts to “focus first on the statutory language, which necessarily contains the best evidence of Congress’ pre-emptive intent.” Id. (quotations
The Supreme Court in Rowe has already identified the domain expressly preempted by the statute relevant to this case. The FAAAA preempted state trucking regulation because Congress found “state governance of intrastate transportation of property had become unreasonably burdensome to free trade, interstate commerce, and American consumers.” Dan‘s City Used Cars, 569 U.S. at 256 (alteration adopted) (quotation and citation omitted) (quoting Rowe, 552 U.S. at 370). The phrase “related to a price, route, or service of any motor carrier” in
The Eleventh Circuit recently held that a state-law negligent hiring claim is connected to a freight broker‘s services regarding the transportation of property, and such a claim is thus preempted by the FAAAA. See Aspen Am. Ins. Co. v. Landstar Ranger, Inc., 65 F.4th 1261 (11th Cir. 2023). Selecting a carrier to transport shipments, according to Aspen, “is precisely the brokerage service that” a negligence hiring claim against a freight broker challenges: the broker‘s “allegedly inadequate selection of a motor carrier
While Aspen may inform this Court as to the standard for ordinary preemption under
A court‘s second task in complete preemption analysis is to determine whether Congress introduced federal remedies for the underlying claims. Metro. Life, 481 U.S. at 64; Ingersoll-Rand Co. v. McClendon, 498 U.S. 133, 144 (1990) (holding relevant to complete preemption analysis is whether the federal statute “set[s] forth a comprehensive civil enforcement scheme“). The Supreme Court noted in Ingersoll-Rand that § 502(a) of ERISA completely preempted state laws by providing the exclusive remedy for employee retirement rights guaranteed by ERISA. Id. According to the Court, Congress’ policy choice in “the inclusion of certain remedies and the exclusion of others under the federal scheme” provided “strong evidence that Congress did not intend to authorize other remedies” under state law. Id. Therefore, “the exclusive remedy provided by § 502(a)” in ERISA was precisely the kind of special feature that warranted complete preemption in that case. Id. (alteration adopted).
There is no “special feature” providing for a federal cause of action in the FAAAA for injuries stemming from freight brokers’ negligent acts. Congress’ decision not to provide express remedies for the Plaintiffs’ negligence claims against MoLo, as a freight broker, “provides compelling evidence that Congress did not intend to completely preempt this area of law.” Hentz v. Kimball Transp., Inc., 2018 WL 5961732, at *4 (M.D. Fla. Nov. 14, 2018); cf. Hodges v. Delta Airlines, Inc., 44 F.3d 334, 338 (5th Cir. 1995) (en banc) (noting that Congress’ failure to provide remedies in the ADA for injuries stemming from
The third and final task for the Court is to compare the jurisdictional grant in the FAAAA to the grants in ERISA and the LMRA. In Blab T.V., the Eleventh Circuit held that Congress did not intend the Cable Act,
The Eleventh Circuit in Blab T.V. held that the omission of this provision in the legislative history of the Cable Act indicated Congress did not intend it to completely
Finally, MoLo cites to only two federal court decisions that found complete preemption under similar circumstances; decisions which this Court finds unpersuasive. See, e.g., Gillum v. High Standard, LLC, 2020 WL 444371 (W.D. Tex. Jan. 27, 2020); Zamorano v. Zyna LLC, 2020 WL 2316061 (W.D. Tex. May 11, 2020) (providing the same analysis as the Gillum decision). MoLo asserts that Gillum is directly on point as to whether negligence hiring claims against freight brokers stemming from traffic accidents are preempted by
This Court finds the Gillum decision and its progeny unpersuasive for two reasons. First, the Gillum court did not satisfactorily consider the distinction between ordinary and complete preemption. See Estate of Peterson, 2023 WL 4053599, at *4 (“While the court in Gillum discussed the complete preemption doctrine, the court‘s decision was based on an ordinary preemption analysis and courts have declined to find the decision persuasive on that basis.“); Estate of Mergl v. Lee, 2022 WL 16550316, at *4 (E.D.N.C. Oct. 31, 2022) (”Gillum‘s analysis, however, fails to distinguish between complete preemption and ordinary preemption, and draws upon ordinary preemption principles in its complete preemption analysis.“). Specifically, the two Supreme Court cases on which Gillum relies for its complete preemption analysis dealt with ordinary preemption. See, e.g., Rowe, 552 U.S. at 370; Dan‘s City Used Cars, 569 U.S. at 261. Therefore, like the Eleventh Circuit‘s decision in Aspen, while Gillum‘s reasoning may be persuasive regarding ordinary preemption, it is not persuasive in determining whether the Plaintiffs’ negligent hiring claim against MoLo is completely preempted under the FAAAA.
Second, this Court disagrees with Gillum‘s conclusion, after discussing the divergent case law on whether the FAAAA preempts personal injury negligence claims against freight brokers, “that a conflict of authority renders retaining jurisdiction the better approach.” Popal v. Reliable Cargo Delivery, Inc., 2021 WL 1100097, at *3 (W.D. Tex. Mar. 10, 2021) (disagreeing with the Gillum court‘s complete preemption analysis). The Gillum court predicated its approach to complete preemption, in part, on the fact that there had been no decision from any circuit discussing the issue. However, when faced with any questions or doubts as to whether to retain jurisdiction, as the Gillum court faced here, a court should resolve the dispute in favor of returning the matter to state court rather than retaining jurisdiction. See Burns, 31 F.3d at 1095. Accordingly, this Court declines to following the reasoning in Gillum.
Given the doubts as to whether Congress intended
B. Attorney‘s Fees
The Plaintiffs request that, in conjunction with a remand order, the Court award attorney‘s fees based on the lack of an objectively reasonable basis for removal. A district court may require “payment of just costs and any actual expenses, including attorney fees, incurred as a result of the removal.”
The Court finds that MoLo had an objectively reasonable basis for seeking removal. Neither the Eleventh Circuit nor the Supreme Court has weighed in on this complete preemption matter. At least some case precedent, albeit nonbinding, supports MoLo‘s contention that
V. CONCLUSION
Accordingly, for the reasons stated, and for good cause, it is
ORDERED as follows:
- The Plaintiffs’ motion to remand (doc. 26) is GRANTED.
- The Plaintiffs’ motion for attorney‘s fees (doc. 26) is DENIED.
- This action is REMANDED to the Circuit Court of Butler County, Alabama.
- The Clerk of the Court is DIRECTED to take the appropriate steps to effectuate the remand.
DONE this 12th day of July, 2023.
/s/ Emily C. Marks
EMILY C. MARKS
CHIEF UNITED STATES DISTRICT JUDGE
