Nationstar Mortgage, LLC v. Stolte
Filing
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ORDER ADOPTING REPORT AND RECOMMENDATION AND REMANDING CASE TO STATE COURT. Signed by Judge Jon S. Tigar on September 17, 2014. (Attachments: # 1 Certificate/Proof of Service)(wsn, COURT STAFF) (Filed on 9/17/2014)
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UNITED STATES DISTRICT COURT
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NORTHERN DISTRICT OF CALIFORNIA
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NATIONSTAR MORTGAGE, LLC,
Case No. 14-cv-02138-JST
Plaintiff,
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v.
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JEFFREY M. STOLTE,
Defendant.
Re: ECF Nos. 8, 11
United States District Court
Northern District of California
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ORDER ADOPTING REPORT AND
RECOMMENDATION AND
REMANDING CASE TO STATE
COURT
Plaintiff filed this unlawful detainer action in Contra Costa County Superior Court in
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August 2013. ECF No. 1, ¶ 2. Defendant, who is proceeding pro se, removed the case to the
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Northern District of California in May 2014, where the case was initially assigned to Magistrate
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Judge Kandis Westmore. Id. On August 5, 2014, Judge Westmore issued an Order to Show
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Cause, asking Defendant to show that he correctly invoked federal diversity jurisdiction pursuant
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to 28 U.S.C. § 1332(a). ECF No. 7. Defendant did not file a response to that Order.
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On August 26, 2014, the case was reassigned to this Court. ECF Nos. 8, 9. In conjunction
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with the order reassigning the case, Judge Westmore issued a Report and Recommendation To
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Remand the Case To State Court. ECF No. 8. The Report indicated that the case should be
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remanded due to a lack of federal subject matter jurisdiction; in particular, a lack of diversity
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jurisdiction. Id. On August 28, 2014, this Court set September 11, 2014 as the deadline for the
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parties to respond to Judge Westmore’s Report. ECF No. 11. Neither party filed a response.
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In her Report and Recommendation, Judge Westmore noted that Defendant once before
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removed this case to federal court, and in that instance, the case was remanded to state court for
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lack of jurisdiction. ECF No. 8 at 1. Further, as Judge Westmore noted, Plaintiff declared the
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action a “Limited Civil Case” under California law, with the complaint seeking not more than
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$10,000. Id.; see also ECF No. 1, Ex. A at 7.
In order for this Court to have diversity jurisdiction over this action, the parties must be
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completely diverse—i.e., be citizens of different states—and more than $75,000 must be in
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controversy in the action. 28 U.S.C. § 1332(a). Despite Plaintiff’s assertion that it seeks no more
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than $10,000, Defendant states in his notice of removal that diversity jurisdiction is satisfied
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because the amount in controversy exceeds $75,000. ECF No. 1 at 3. Defendant provides no
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support for this allegation, which therefore is inadequate to support jurisdiction. See 28 U.S.C. §
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1446(c)(2) (“If removal of a civil action is sought on the basis of the jurisdiction conferred by
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section 1332(a), the sum demanded in good faith in the initial pleading shall be deemed to be the
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amount in controversy, except [in circumstances not applicable here]”). Likewise, Defendant has
not sufficiently alleged that the parties are completely diverse: in the notice of removal,
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United States District Court
Northern District of California
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Defendant states that “Plaintiff is a Corporation doing business in California,” but mentions
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nothing regarding Plaintiff’s citizenship—i.e., its state of incorporation or its principal place of
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business. See London v. Standard Oil Co. of Cal., 417 F.2d 820, 822 (9th Cir. 1969) (holding that
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diversity jurisdiction was not adequately alleged where notice of removal failed to allege corporate
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party’s principal place of business).
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Given that Defendant has failed to adequately allege the basis of diversity jurisdiction in
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this Court or to respond to Judge Westmore’s Report and Recommendation1, and that the Court
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can find no other basis for its jurisdiction, the Court finds that it lacks subject-matter jurisdiction
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under 28 U.S.C. § 1332 over this action. Accordingly, the Court hereby ADOPTS Judge
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The Court notes that mail sent from the Court to the Defendant was recently returned as
undeliverable. See ECF No. 12. Civil Local Rule 3-11(a) provides that any attorney or party
proceeding pro se “whose address changes while an action is pending must promptly file with the
Court and serve upon all opposing parties a Notice of Change of Address specifying the new
address.”
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Westmore’s Report and Recommendation and REMANDS this case, No. 14-cv-02138-JST, to the
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Contra Costa County Superior Court from which it was removed.
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IT IS SO ORDERED.
Dated: September 17, 2014
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JON S. TIGAR
United States District Judge
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United States District Court
Northern District of California
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