Wells Fargo Bank, N.A. v. Eberwein
Filing
5
ORDER TO SHOW CAUSE. Signed by Judge Jeffrey S. White on 5/16/17. Show Cause Response due by 5/31/2017. (Attachments: # 1 Certificate/Proof of Service)(jjoS, COURT STAFF) (Filed on 5/16/2017)
1
2
3
4
5
IN THE UNITED STATES DISTRICT COURT
6
FOR THE NORTHERN DISTRICT OF CALIFORNIA
7
8
WELLS FARGO BANK, N.A. ET AL.,,
10
Plaintiffs,
11
For the Northern District of California
United States District Court
9
12
13
No. C 17-02619 JSW
v.
ORDER TO SHOW CAUSE
ROBERT EBERWEIN,
Defendant.
/
14
15
Federal courts have a duty to raise and decide issues of subject matter jurisdiction sua sponte
16
at any time it appears subject matter jurisdiction may be lacking. Fed. R. Civ. P. 12; Augustine v.
17
United States, 704 F.2d 1074, 1077 (9th Cir. 1983). It appears that this Court lacks jurisdiction to
18
hear this matter.
19
On April 10, 2017, Plaintiffs filed a complaint for unlawful detainer in Superior Court for the
20
County of Mendocino (the “State Court action”) against Defendant Robert Eberwein (“Defendant”).
21
(See Notice of Removal.) On May 5, 2017, Defendant removed the State Court action on the basis
22
that jurisdiction is premised upon a federal question. (See id.) “[A]ny civil action brought in a State
23
court of which the district courts of the United States have original jurisdiction, may be removed by
24
the defendant . . . to the district court of the United States for the district and division embracing the
25
place where such action is pending.” Franchise Tax Bd. v. Constr. Laborers Vacation Trust, 463
26
U.S. 1, 7-8 (1983) (citation omitted); see also 28 U.S.C. § 1441.
27
28
However, federal courts are courts of limited jurisdiction. See, e.g., Kokkonen v. Guardian
Life Ins. Co. of Am., 511 U.S. 375, 377 (1994). Accordingly, the burden of establishing federal
1
jurisdiction for purposes of removal is on the party seeking removal, and the removal statute is
2
strictly construed against removal jurisdiction. Valdez v. Allstate Ins. Co., 372 F.3d 1115, 1117 (9th
3
Cir. 2004); see also Gaus v. Miles, Inc., 980 F.2d 564, 566 (9th Cir. 1992). “Federal jurisdiction
4
must be rejected if there is any doubt as to the right of removal in the first instance.” Gaus, 980 F.2d
5
at 566.
6
“The presence or absence of federal-question jurisdiction is governed by the ‘well-pleaded
7
complaint rule.’” Caterpillar Inc. v. Williams, 482 U.S. 382, 392 (1987). The well-pleaded
8
complaint rule recognizes that the plaintiff is the master of his or her claim. “[H]e or she may avoid
9
federal jurisdiction by exclusive reliance on state law.” Id. Thus, under the well-pleaded complaint
rule, federal-question jurisdiction arises where the “complaint establishes either that federal law
11
For the Northern District of California
United States District Court
10
creates the cause of action or that the plaintiff’s right to relief necessarily depends on resolution of a
12
substantial question of federal law.” Franchise Tax Bd., 463 U.S. 1, 27-28 (1983).
13
The State Court action is an unlawful detainer action and, thus, federal law does not create
14
the cause of action. Moreover, the Court finds that the claim will not necessarily depend upon the
15
resolution of a substantial question of federal law, because Plaintiffs need not prove compliance with
16
the federal law relied upon by Defendant to establish its claim. See, e.g., Grable & Sons Metal
17
Prods. v. Darue Eng. & Mfg., 545 U.S. 308, 314-15 (2005).
18
Furthermore, a court cannot exercise removal jurisdiction on the ground that the complaint
19
gives rise to a potential or an anticipated defense that might raise a federal question, even if the
20
defense is the only question truly at issue in the case. Franchise Tax Board, 463 U.S. at 10, 14; see
21
also Caterpillar, 482 U.S. at 393 (“[I]t is now settled law that a case may not be removed to federal
22
court on the basis of a federal defense, including the defense of preemption, even if the defense is
23
anticipated in the plaintiff’s complaint, and even if both parties concede that the federal defense is
24
the only question truly at issue.”) (emphasis in original). Therefore, the Court finds that it lacks
25
subject matter jurisdiction to hear this matter as currently pled and must remand to the state court.
26
See 28 U.S.C. § 1447(c); see also Maniar v. FDIC, 979 F.2d 782, 785 (9th Cir. 1992).
27
28
2
1
Accordingly, the Court HEREBY ISSUES this order to show cause to Defendant to respond
2
in writing by no later than May 31, 2017 why this case should not be remanded to the Superior
3
Court of the State of California for the County of Mendocino. Should Defendant fail to respond, this
4
case shall be remanded for lack of subject matter jurisdiction.
5
6
IT IS SO ORDERED.
Dated: May 16, 2017
JEFFREY S. WHITE
UNITED STATES DISTRICT JUDGE
7
8
9
11
For the Northern District of California
United States District Court
10
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
3
Disclaimer: Justia Dockets & Filings provides public litigation records from the federal appellate and district courts. These filings and docket sheets should not be considered findings of fact or liability, nor do they necessarily reflect the view of Justia.
Why Is My Information Online?