MV Transportation, Inc. v. Ameritran Service Corporation, et al.,

Filing 32

ORDER signed by Judge John A. Mendez on 2/28/2011 ORDERING that Pltf's complaint is REMANDED to the Superior Court of California, County of Solano, for all further proceedings. Plaintiffs request for an award of attorneys fees and costs is DENIED. Dfts' 5 Motion to Transfer Venue to the US Bankruptcy Court for the District of Nevada is DENIED as moot. Copy of remand order sent to other court. CASE CLOSED. (Zignago, K.)

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28

Dale C. Campbell, State Bar No. 99173 Zachary J. Wadlé, State Bar No. 231404 WEINTRAUB GENSHLEA CHEDIAK Law Corporation 400 Capitol Mall, 11th Floor Sacramento, California 95814 [phone] ­ Main [phone] ­ Facsimile Attorneys for Plaintiff MV Transportation, Inc. UNITED STATES DISTRICT COURT EASTERN DISTRICT OF CALIFORNIA MV TRANSPORTATION, INC., a California corporation, Plaintiff, vs. AMERITRAN SERVICE CORPORATION, a Florida corporation, dba TRANSIT RESOURCE CENTER; TRANSIT RESOURCE CENTER OF NEVADA, INC., a Nevada corporation; and BLUEGO TRANSIT MANAGEMENT, INC., a Nevada corporation, Defendants. ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) Case No. 2:10-cv-03078-JAM-EFB ORDER ON PLAINTIFF'S MOTION TO REMAND AND DEFENDANTS' MOTION TO TRANSFER VENUE

Date: February 23, 2011 Time: 9:30 a.m. Dept: Courtroom 6

The motion of plaintiff MV TRANSPORTATION, INC. ("Plaintiff") requesting remand of Plaintiff's complaint to the Superior Court of California in and for the County of Solano, and the related motion of defendants AMERITRAN SERVICE CORPORATION dba TRANSIT RESOURCE CENTER, TRANSIT RESOURCE CENTER OF NEVADA, INC., and BLUEGO TRANSIT MANAGEMENT, INC. (collectively,

"Defendants") to transfer venue of Plaintiff's complaint to the United States Bankruptcy Court for the District of Nevada both having been duly noticed and served on all interested parties, came on regularly for hearing before this Court, the Honorable John A. Mendez, presiding, at 9:30 a.m., on February 23, 2011.
{1290697.DOCX;}

1 PDF created with pdfFactory trial version www.pdffactory.com

[Proposed] Order on Plaintiff's Motion for Remand and Defendants' Motion to Transfer Venue

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28

Zachary J. Wadlé appeared on behalf of Plaintiff. behalf of Defendants.

Cecilia Lee appeared on

All arguments, papers, and evidence considered and good cause appearing, Plaintiff's Motion to Remand is hereby GRANTED for all of the reasons stated by the Court on the record at the hearing, including the Court's specific findings that: (1) Plaintiff's complaint against Defendants is based upon state law and does not in any way involve federal law; (2) there is no "related-to" bankruptcy court jurisdiction over Plaintiff's complaint under 28 U.S.C. § 1334(b) in connection with the bankruptcy of third-party debtor South Tahoe Area Transit Authority ("STATA") filed in the District of Nevada (Case No. BK-N-10-53666-GWZ); (3) Defendants' claims of indemnity rights against third-party debtor STATA arising out of Plaintiff's complaint allegations are speculative, contingent, and uncertain, and do not create "related to" jurisdiction under 28 U.S.C. § 1334(b); 4) defendant Ameritran Service Corporation does not have any right to contractual indemnification from third-party debtor STATA; and (5) even if Defendants could demonstrate a prima facie case of "related to" bankruptcy court jurisdiction over Plaintiff's complaint, equitable remand under 28 U.S.C. § 1452(b) is appropriate given the facts and circumstances of this case. Plaintiff's complaint is hereby remanded to the Superior Court of California, in and for the County of Solano, for all further proceedings. Plaintiff's accompanying request for an award of attorneys' fees and costs pursuant to 28 U.S.C. § 1447(c) is hereby DENIED. In light of the Court's decision on Plaintiff's Motion to Remand, Defendants' Motion to Transfer Venue to the United States Bankruptcy Court for the District of Nevada is hereby DENIED as moot. IT IS SO ORDERED. Dated: 2/28/2011 /s/ John A. Mendez______________ Honorable John A. Mendez

2 PDF created with pdfFactory trial version www.pdffactory.com
{1290697.DOCX;}

[Proposed] Order on Plaintiff's Motion for Remand and Defendants' Motion to Transfer Venue