Addison v. Illinois Central Railroad

967 F. Supp. 173, 1997 U.S. Dist. LEXIS 5716, 1997 WL 340735
CourtDistrict Court, E.D. Louisiana
DecidedApril 4, 1997
DocketCivil Action 96-4142
StatusPublished
Cited by5 cases

This text of 967 F. Supp. 173 (Addison v. Illinois Central Railroad) is published on Counsel Stack Legal Research, covering District Court, E.D. Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Addison v. Illinois Central Railroad, 967 F. Supp. 173, 1997 U.S. Dist. LEXIS 5716, 1997 WL 340735 (E.D. La. 1997).

Opinion

ORDER AND REASONS

DUVAL, District Judge.

Before the Court is a Motion to Remand filed on behalf of plaintiffs. Having reviewed the pleadings, memoranda, and the relevant law, the Court finds merit in the motion.

BACKGROUND

On or about December 1, 1995, a freight train owned, organized and/or operated by the Illinois Central Railroad (“Illinois Central”) was allegedly brought to a halt after numerous tank cars derailed and/or overturned in or around Tangipahoa, Louisiana. Some of the tank cars involved contained chlorine and acrylonitrile threatening the approximately 1,170 plaintiffs (“plaintiffs”) with exposure.

On December 2, 1996, plaintiffs brought this suit against Illinois Central, Union Tank Car Company (“Union Tank”), ACF Industries, Inc. (“ACF”) and General American Transportation Corp. (“GATC”). In the instant petition, plaintiffs bring suit pursuant to La.Civ.Code art. 2315.3 1 . They allege that all defendants are liable, jointly and in solido, for compensatory and exemplary damages for exposure and/or risk of exposure to hazardous and noxious vapors. (Petition, ¶ V). Such exposure allegedly “includes possible eye, nose, and respiratory limitations which requires immediate and/or long-term medical care and attention.” (Petition, ¶ VI). Plaintiffs also contend that they have “sustained injuries to their person, including psychological trauma, i.e., fear of exposure to hazardous and toxic materials, and inconvenience, i.e., being deprived of their ability to peacefully enjoy and occupy their homes and residences.” (Petition ¶ VIII). With respect to the damages sought, the plaintiffs opine specifically that “these claims described hereinabove are less the FORTY-FIVE THOUSAND AND NO/100 DOLLARS($45,000.00) inclusive of both compensatory and exemplary damages but exclusive interest and cost.” (Petition, ¶X1V) (emphasis added). This position is repeated specifically in the ad damnum clause of the petition.

ACF timely removed this matter to this Court on December 23,1996. All defendants joined in the removal. In the Notice of Removal, defendants contend that the matter is properly removed because “the claims of Plaintiffs must exceed $50,000.” (Notice of Removal, ¶ IS). They based the removal on four contentions:

1. the recovery of damages is not restricted by the prayer and that the recitation of the value of the claims does not control for purposes of removal;

2. under Allen v. R & H Oil & Gas Co., 63 F.3d 1326 (5th Cir.1995), exemplary or punitive damages can be aggregated to meet the amount of punitive damages to meet the required jurisdictional amount;

3. because defendants have moved for consolidation of this suit with Self, et al. v. Illinois Central Railroad, et al., C.A. No. 96-4141 and they have sought the conditional certification of that suit, *175 the court could exercise jurisdiction because of the possibility of attorneys fees and supplemental jurisdiction over certain claims pursuant to 28 U.S.C. § 1367.

Plaintiffs have filed the instant motion seeking the remand of this case. They contend that:

1. the Court does not have subject matter jurisdiction because defendants have failed to show the existence of an amount in controversy in excess of $50,000; and

2. punitive damages cannot be aggregated so as to reach the jurisdictional amount; and

As they state in the body of their memorandum:

Plaintiffs, in their state court Petition for Damages, have availed themselves of the provisions of LSA-C.C.P. Art. 893(A)(1) and have plead individual damages below the “in excess of $50,0000” threshold for diversity-based subject matter jurisdiction. By this motion for remand, they also represent under Rule 11 to this Court that their claims are individually worth less that (sic) the required amount in controversy. Accordingly, as a condition of remand, Plaintiffs request that the Court’s remand Order contain language expressly limiting — under penalty of Rule 11 — the damages which they may seek and recover to not more than $50,000 exclusive of costs and interest.

(Doc. 9, ¶ VII). In addition, they contend that Allen is only applicable to causes arising out of Mississippi law and should not be applied in this instance.

BURDEN OF PROOF — AMOUNT IN CONTROVERSY

Under 28 U.S.C. § 1441, any civil action may be removed from state court to federal courts where the federal courts have original jurisdiction. Diversity of citizenship provides such jurisdiction where the amount-in-controversy is more than $50,000.00 2 and suit is between citizens of different states. There is no question that there is diversity with respect to the parties. The issue is whether the jurisdictional amount-in-controversy is met.

As noted above, plaintiffs have specifically alleged that each person’s damages, including exemplary damages, is less than $45,000. However, the Court notes that under Louisiana law, this allegation “does not preclude plaintiffs from recovering a larger sum than they seek in their complaints.” Kliebert v. Upjohn Co., 915 F.2d 142, 147 (5th Cir.1990), vacated by granting reh’g en banc, 923 F.2d 47 (5th Cir.1991), appeal dismissed by joint stipulation settlement, 947 F.2d 736 (5th Cir.1991). Thus, where an exact amount has be pled:

if a defendant can prove by a preponderance of the evidence that the amount in controversy exceeds the jurisdictional amount, removal is proper unless the plaintiff shows that at the time of removal he was legally certain not to be able to recover that amount.... In other words, where the plaintiff’s claims can be proved to be of the type that are worth more than $50,000, they can be removed unless the plaintiff can show he is legally bound to accept less.

Allen v. R & H Oil & Gas Co., 63 F.3d 1326, 1335 n. 11 citing De Aguilar v. Boeing Co., 47 F.3d 1404, 1412 (5th Cir.1995), cert. denied, — U.S. -, 116 S.Ct. 180, 133 L.Ed.2d 119 (1995) (rule necessitated to avoid manipulation) (De Aguilar II) 3 The *176

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Bluebook (online)
967 F. Supp. 173, 1997 U.S. Dist. LEXIS 5716, 1997 WL 340735, Counsel Stack Legal Research, https://law.counselstack.com/opinion/addison-v-illinois-central-railroad-laed-1997.