Accident Insurance Company v. Greg Kennedy Builder, Inc. et al

Filing 32

Order re: 30 Second Amended Complaint & 31 Brief. The Court concludes that damages would exceed $75,000 and that subject matter jurisdiction exists. Should the defendants wish to dispute the Court's conclusion, a motion to remand is due by 10/30/2015. Signed by Chief Judge William H. Steele on 10/19/2015. (tgw)

IN THE UNITED STATES DISTRICT COURT
FOR THE SOUTHERN DISTRICT OF ALABAMA
SOUTHERN DIVISION
ACCIDENT INSURANCE COMPANY, )
)
Plaintiff,
)
)
v.
) CIVIL ACTION 15-0306-WS-B
)
GREG KENNEDY BUILDER, INC.,
)
et al.,
)
)
Defendants.
)
ORDER
In response to the Court’s sua sponte questioning of its subject matter
jurisdiction, (Doc. 27), the plaintiff has filed a second amended complaint
specifying that the individual defendant has at all relevant times been a citizen
(and not merely a resident) of Alabama. (Doc. 30). The plaintiff has also filed a
demand letter from counsel for the underlying plaintiff, which communicates an
offer to settle for $1 million. (Doc. 31-1). While the superficiality of the letter
makes it difficult to accept that figure as the amount in controversy, the letter
details over $100,000 in medical bills and attaches a hospital bill (dated prior to
the filing of this action) for over $80,000. (Id. at 5-6). The Court concludes that
the monetary value of the benefit that would flow to the plaintiff from a
declaration that it owes its insured no duty to indemnify against the underlying
plaintiff’s damages would thus exceed $75,000 and that subject matter jurisdiction
therefore exists. Should the defendants wish to dispute the Court’s conclusion,
they are ordered to file and serve a fully briefed motion to remand on or before
October 30, 2015, failing which the case will remain in this forum.
DONE and ORDERED this 19th day of October, 2015.
s/ WILLIAM H. STEELE
CHIEF UNITED STATES DISTRICT JUDGE