Snow v. Forest River, Inc.

Filing 27

OPINION AND ORDER: The amount in controversy requirement has been satisfied and this Court properly has subject matter jurisdiction over this controversy. Signed by Judge Philip P Simon on 11/27/18. (ksp)

UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF INDIANA
SOUTH BEND DIVISION
STEPHEN SNOW,
Plaintiff,
vs.
FOREST RIVER, INC., et al.,
Defendants.

)
)
)
)
)
)
)
)
)

3:18-cv-00127-PPS

OPINION AND ORDER
On October 30, 2018, I issued a rule to show cause ordering the parties to file
memoranda regarding whether this Court properly has subject matter jurisdiction over
this controversy. [DE 24.] Specifically, the amended complaint alleges diversity
jurisdiction under 28 U.S.C. § 1332(a)(1), but the total sales prices of the RV was
$64,645.80, and I was unsure how the amount in controversy exceeds $75,000. Both
Plaintiff, Stephen Snow, and Defendant, Forest River, Inc., filed memoranda. [DE 25,
26.]
Plaintiff claims he has met the jurisdictional minimum because he is seeking
punitive damages under state law. [DE 26 at 2.] “[W]here punitive damages are relied
upon to satisfy the amount in controversy requirement, the court must first determine
whether punitive damages are available under state law.” LM Ins. Corp. v. Spaulding
Enters. Inc., 533 F.3d 542, 551 (7th Cir. 2008). Plaintiff has alleged a cause of action

pursuant to Missouri’s Unfair or Deceptive Trade Practices Act, § 407.020, which
provides for the award of punitive damages pursuant to § 407.025. [Am. Compl., DE 14
at 9-11; see Mo. Rev. Stat. § 407.025.] Where, like here, punitive damages are available,
subject matter jurisdiction exists unless it is “legally certain” that the plaintiff will be
unable to recover the requisite jurisdiction amount. LM Ins., 533 F.3d at 551 (citing Del
Vecchio v. Conseco, Inc., 230 F.3d 974, 978 (7th Cir. 2000)). I cannot say it is legally certain
that Plaintiff will be unable to recover the jurisdictional amount in this case.
Accordingly, the amount in controversy requirement has been satisfied and this
Court properly has subject matter jurisdiction over this controversy.

ENTERED: November 27, 2018.
/s/ Philip P. Simon
PHILIP P. SIMON, JUDGE
UNITED STATES DISTRICT COURT

2