Wendy Knecht v. Max R. Lehfeldt et al

Filing 19

MINUTES OF IN CHAMBERS - ORDER REMANDING ACTION TO STATE COURT FOR LACK OF SUBJECT MATTER JURISDICTION by Judge Dolly M. Gee: On 1/17/2017, this Court ordered Defendant Allergan, Inc. ("Allergan") to show cause why the action should not be remanded for lack of jurisdiction in light of Defendants Max R. Lehfeldt and Teleos Plastic Surgery's ("the Healthcare Defendants") California citizenship #15 . On 2/2/2017, Plaintiff Wendy Knecht moved to remand the case to state court #18 . The Court concludes that Allergan has failed to satisfy its burden of demonstrating the existence of diversity jurisdiction. The Healthcare Defendants' California citizenship defeats diversity in this case. Given the absence of diversity jurisdiction, the Court REMANDS this action to the Los Angeles County Superior Court, Case Number BC641979. Knecht's motion to remand is DENIED as moot and the March 3, 2017 hearing on that motion is VACATED. ( Case Terminated. Made JS-6 ) Court Reporter: Not Reported. (gk)

UNITED STATES DISTRICT COURT
CENTRAL DISTRICT OF CALIFORNIA
CIVIL MINUTES - GENERAL
Case No.

Date

CV 17-71 DMG (RAOx)

Title Wendy Knecht v. Max R. Lehfeldt, et al.
Present: The Honorable

JS-6 / REMAND

February 3, 2017
Page

1 of 3

DOLLY M. GEE, UNITED STATES DISTRICT JUDGE

KANE TIEN
Deputy Clerk

NOT REPORTED
Court Reporter

Attorneys Present for Plaintiff(s)
None Present

Attorneys Present for Defendant(s)
None Present

Proceedings: IN CHAMBERS - ORDER REMANDING ACTION TO STATE COURT
FOR LACK OF SUBJECT MATTER JURISDICTION [15]
On November 28, 2016, Plaintiff Wendy Knecht filed a complaint in Los Angeles
County Superior Court against Defendants Max R. Lehfeldt, Teleos Plastic Surgery (“Teleos”
and, Lehfeldt and Teleos together, “Healthcare Defendants”), and Allergan, Inc. (“Allergan”).
[Doc. # 1-1.] The action raises ten state law tort claims relating to mastectomy and
reconstructive surgeries Knecht underwent in February and November 2015.
On January 4, 2017, Allergen removed the action to federal court on the basis of diversity
of citizenship and fraudulent joinder. [Doc. # 1.] On January 17, 2017, this Court ordered
Allergen to show cause why the action should not be remanded for lack of jurisdiction in light of
the Healthcare Defendants’ California citizenship. [Doc. # 15.] Allergen submitted a response
on January 27, 2017 [Doc. # 16], and Knecht filed her opposition on January 27, 2017 [Doc.
# 17]. On February 2, 2017, Knecht moved to remand the case to state court. [Doc. # 18.]
A joinder is fraudulent when the “plaintiff fails to state a cause of action against a
resident defendant, and the failure is obvious according to the settled rules of the state.” Ritchey
v. Upjohn Drug Co., 139 F.3d 1313, 1318 (9th Cir. 1998) (internal citation omitted). The
removing party has the burden of proving the existence of fraudulent joinder by “clear and
convincing evidence,” and “there is a general presumption against fraudulent joinder.” Hamilton
Materials, Inc. v. Dow Chemical Corp., 494 F.3d 1203, 1206 (9th Cir. 2007). “The defendant
must show that ‘there is no possibility that the plaintiff could prevail on any cause of action it
brought against the non-diverse defendant’” and that the “plaintiff would not be afforded leave to
amend his complaint to cure [the] purported deficiency.” Padilla v. AT&T Corp., 697 F. Supp.
2d 1156, 1159 (C.D. Cal. 2009) (emphasis added) (alteration in original) (quoting Burris v.
AT&T Wireless, Inc., No. C 06-02904 JSW, 2006 WL 2038040, at *2 (N.D. Cal. July 19, 2006));
see also Aguilera v. Target Corp., No. EDCV 15-2186-DOC (DTBx), 2015 WL 9093541, at *2
(C.D. Cal. Dec. 16, 2015) (“‘If there is any possibility that the state law might impose liability on
a resident defendant under the circumstances alleged in the complaint, the federal court cannot
CV-90

CIVIL MINUTES—GENERAL

Initials of Deputy Clerk KT

UNITED STATES DISTRICT COURT
CENTRAL DISTRICT OF CALIFORNIA
CIVIL MINUTES - GENERAL
Case No.

CV 17-71 DMG (RAOx)

Title Wendy Knecht v. Max R. Lehfeldt, et al.

JS-6 / REMAND

Date

February 3, 2017
Page

2 of 3

find that joinder of the resident defendant was fraudulent, and remand is necessary.’ Framed
another way, ‘a plaintiff need only have one potentially valid claim against a non-diverse
defendant to survive a fraudulent joinder challenge.’” (quoting Hugais v. Sara Lee Corp., NO.
C13-2368 THE, 2013 WL 3929141, at *2 (N.D. Cal. July 26, 2013))). Moreover, all doubts
concerning the sufficiency of a cause of action because of inartful, ambiguous, or technically
defective pleading must be resolved in favor of remand, and a lack of clear precedent does not
render the joinder fraudulent.” Plute v. Roadway Package Sys., Inc., 141 F. Supp. 2d 1005, 1008
(N.D. Cal. 2001).
Here, Allergen contends that Knecht cannot state a claim for medical malpractice against
the Healthcare Defendants because of California’s one-year statute of limitations under
California Code of Civil Procedure section 340.5, and that she is not entitled to the delayed
discovery rule. Response at 3–6; see Cal. Civ. Proc. Code § 340.5 (“[T]he time for the
commencement of action shall be three years after the date of injury or one year after the
plaintiff discovers, or through the use of reasonable diligence should have discovered, the injury,
whichever occurs first.”); Fox v. Ethicon Endo-Surgery, Inc., 35 Cal. 4th 797, 808 (2005) (“In
order to rely on the discovery rule for delayed accrual of a cause of action, ‘[a] plaintiff whose
complaint shows on its face that his claim would be barred without the benefit of the discovery
rule must specifically plead facts to show (1) the time and manner of discovery and (2) the
inability to have made earlier discovery despite reasonable diligence.’” (quoting McKelvey v.
Boeing North American, Inc., 74 Cal.App.4th 151, 160 (1999))).
Knecht counters that while she experienced some “unfortunate and disappointing”
symptoms following her February 2015 surgery, she believed these were normal post-surgery
complications and not due to negligence by her doctor, which is insufficient to trigger the statute
of limitations. Opposition at 9–11; see Drexler v. Petersen, 4 Cal. App. 5th 1181, 1189 (2016)
(“The one-year limitations period . . . does not begin to run until the plaintiff discovers both his
or her injury and its negligent cause.” (emphasis added) (citing Gutierrez v. Mofid, 39 Cal.3d
892, 896 (1985) (en banc))); Kitzig v. Nordquist, 81 Cal. App. 4th 1384, 1391–92 (2000)
(upholding jury’s finding that medical malpractice claim was timely filed where plaintiff
suffered some related medical problems after an implant procedure, which she did not believe
was caused by malpractice, because “[t]he best medical treatment sometimes fails, or requires
long and difficult recuperation or produces bad side effects” (quoting Gutierrez, 39 Cal. 3d at
899)). Knecht also contends that her cause of action for fraud is subject to the three-year statute
of limitations under section 338 of the California Code of Civil Procedure. Opposition at 10 &
n.3; see Unruh-Haxton v. Regents of Univ. of Cal., 162 Cal. App. 4th 343, 355–56 (2008)
(patients’ claim for fraud related to wrongful intentional conduct and not mere negligence, and
was therefore subject to the one-year statute of limitations in section 340.5); Nelson v. Gaunt,
CV-90

CIVIL MINUTES—GENERAL

Initials of Deputy Clerk KT

UNITED STATES DISTRICT COURT
CENTRAL DISTRICT OF CALIFORNIA
CIVIL MINUTES - GENERAL
Case No.

CV 17-71 DMG (RAOx)

Title Wendy Knecht v. Max R. Lehfeldt, et al.

JS-6 / REMAND

Date

February 3, 2017
Page

3 of 3

125 Cal. App. 3d 623, 636 (1981) (longer limitations period for fraud under section 338 applied
where physician intentionally misrepresented safety information and legal ability to administer
silicone injections before administering them on plaintiff).
Knecht’s negligence and negligence-based claims give rise to factual questions that
preclude this Court from finding that there is “no possibility” she can prevail on those causes of
action due to a time-bar. Padilla, 697 F. Supp. 2d at 1159; see Timmel v. Moss, 803 F.2d 519,
521 (9th Cir. 1986) (belated discovery of cause of action is a question of fact); Brown v.
Bleiberg, 32 Cal. 3d 426, 436 (1982) (“[I]t is only where reasonable minds can draw but one
conclusion from the evidence that the question [of whether there has been a belated discovery of
the cause of action in a malpractice case] becomes a matter of law.” (quoting Wozniak v.
Peninsula Hosp., 1 Cal. App. 3d 716, 725 (1969))). Further, Knecht’s cause of action for fraud
relates to Lehfeldt’s intentional misrepresentation of the propriety, safety, and effectiveness of
using the Allergan devices for permanent breast reconstruction surgery. See Complaint at ¶¶ 47–
50, 149–88. This cause of action appears to be more appropriately subject to California’s threeyear statute of limitations, such that Knecht has not fraudulently joined the Healthcare
Defendants.
In light of the foregoing, the Court concludes that Allergan has failed to satisfy its burden
of demonstrating the existence of diversity jurisdiction. The Healthcare Defendants’ California
citizenship defeats diversity in this case. Diaz v. Davis (In re Digimarc Corp. Derivative Litig.),
549 F.3d 1223, 1234 (9th Cir. 2008). Given the absence of diversity jurisdiction, the Court
REMANDS this action to the Los Angeles County Superior Court. Knecht’s motion to remand
[Doc. # 18] is DENIED as moot and the March 3, 2017 hearing on that motion is VACATED.
IT IS SO ORDERED.

CV-90

CIVIL MINUTES—GENERAL

Initials of Deputy Clerk KT