Allen v. Mercedes-Benz USA LLC

CourtDistrict Court, E.D. California
DecidedJune 24, 2025
Docket2:25-cv-01222
StatusUnknown

This text of Allen v. Mercedes-Benz USA LLC (Allen v. Mercedes-Benz USA LLC) is published on Counsel Stack Legal Research, covering District Court, E.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Allen v. Mercedes-Benz USA LLC, (E.D. Cal. 2025).

Opinion

6 7 8 UNITED STATES DISTRICT COURT 9 FOR THE EASTERN DISTRICT OF CALIFORNIA 10 11 JUAN ERIC ALLEN, No. 2:25-cv-01222-DJC-JDP 12 Plaintiff, 13 v. ORDER 14 MERCEDES-BENZ USA, LLC, a Delaware Limited Liability Company; 15 and DOES 1 through 20, inclusive, 16 Defendants. 17 In the Reply brief supporting his client’s Motion to Remand, Plaintiff’s counsel, 18 Erik Whitman, provided two fabricated quotations. The Court issued an Order to 19 Show Cause for Mr. Whitman to explain the quotations. In the Response, Mr. Whitman 20 not only failed to address the origin of these quotations, but he continued to 21 misrepresent caselaw and provided a third fabricated quotation. For the reasons 22 stated below, the Court finds that Mr. Whitman violated Federal Rule of Civil 23 Procedure 11 and Local Rule 180(e). Accordingly, the Court refers this matter to the 24 State Bar of California. 25 BACKGROUND 26 Defendant Mercedes-Benz USA LLC removed this action to federal court. 27 (Notice of Removal, ECF No. 1.) Plaintiff Juan Eric Allen, represented by Mr. Whitman, 28 1 then moved to remand this case to state court. (Motion to Remand, ECF No. 5.) Mr.

2 Whitman is a member of the State Bar of California.1 In the Reply brief in support of

3 the Motion to Remand, Mr. Whitman provided two quotations that do not appear in

4 their cited authority. First, he stated, “Jurisdiction must be determined on the basis of

5 the pleadings, viewed at the time the petition for removal was filed.” (Reply at 1

6 (quoting Crum v. Circus Circus Enterprises, 231 F.3d 1129, 1131 (9th Cir. 2000)).) 7 Second, Mr. Whitman wrote, “The Ninth Circuit expressly prohibits ‘[p]ost-removal 8 evidence may not be used to create jurisdiction, only to clarify it.’” (Id. (quoting 9 Matheson v. Progressive Specialty Ins. Co., 319 F.3d 1089, 1090 (9th Cir. 2003)).) 10 Because the Court could not locate these quotations in the cases cited, it ordered 11 Plaintiff to “explain the origin of” these quotations. (Order to Show Cause, ECF No. 12 16.) Mr. Whitman responded, albeit a day late. (Response, ECF No. 18.) 13 LEGAL STANDARD 14 A. Federal Rule of Civil Procedure 11 15 Federal Rule of Civil Procedure (“FRCP”) 11 states, “By presenting to the court a 16 pleading, written motion, or other paper — whether by signing, filing, submitting, or 17 later advocating it — an attorney or unrepresented party certifies that to the best of the 18 person’s knowledge, information, and belief, formed after an inquiry reasonable 19 under the circumstances: the claims, defenses, and other legal contentions are 20 warranted by existing law or by a nonfrivolous argument for extending, modifying, or 21 reversing existing law or for establishing new law.” Fed. R. Civ. P. 11(b)(2). FRCP 11 22 imposes on counsel an affirmative duty to investigate the caselaw before submitting a 23 court filing. Rachel v. Banana Republic, Inc., 831 F.2d 1503, 1508 (9th Cir. 1987). 24 B. Local Rule 180 25 Local Rule 180(e) provides that any attorney appearing in this Court shall 26 1 Mr. Whitman lists his California bar number on his filings as 297397. The Court confirmed his 27 registration and bar number based on a public search of the California Bar member directory. See California Attorney Search, https://apps.calbar.ca.gov/attorney/Licensee/Detail/297397 (last visited 28 June 20, 2025.). 1 “comply with the standards of professional conduct required of members of the State

2 Bar of California and contained in the State Bar Act, the Rules of Professional Conduct

3 of the State Bar of California, and court decisions applicable thereto, which are hereby

4 adopted as standards of professional conduct in this Court.” Rule 3.3 of the Rules of

5 Professional Conduct of the State Bar of California requires candor to the tribunal.

6 Rule 3.3(a)(1) provides that a lawyer shall not “knowingly make a false statement of fact 7 or law to a tribunal or fail to correct a false statement of material fact or law previously 8 made to the tribunal by the lawyer.” 9 DISCUSSION 10 In the Response, Mr. Whitman failed to address the origin of the quotations that 11 the Court ordered him to explain. (See Order to Show Cause.) Instead, he 12 confusingly provided an updated section of legal authority, which included an 13 explanation of Matheson and Crum — the two cases that Mr. Whitman represented 14 contained the quotations in the Reply brief. Mr. Whitman wrote that “the Ninth Circuit 15 made clear in Matheson” that “‘conclusory allegations as to the amount in controversy 16 are insufficient,’ and the defendant must establish removability by a preponderance of 17 the evidence at the time of removal.” (Response at 1 (citing Matheson, 319 F.3d at 18 1091.) Matheson does support these positions, but Mr. Whitman failed to explain the 19 quotation in the Reply brief that does not appear in Matheson: “[p]ost-removal 20 evidence may not be used to create jurisdiction, only to clarify it.” (See Reply at 1.) 21 Matheson does not support this proposition, as it does not address post-removal 22 evidence at all, much less narrow the purposes for which it can be introduced. 23 As for Crum, Mr. Whitman stated in the Response, “Crum cautioned against 24 using post-removal evidence to assert jurisdiction ex post facto, particularly where the 25 removing defendant failed to establish the amount in controversy at the time of 26 removal. This case supports the conclusion that late-submitted evidence not 27 referenced in the removal notice should be treated with skepticism and, when 28 untimely or inconsistent, should not be permitted to sustain federal jurisdiction.” 1 (Response at 1–2.) Crum does not stand for this proposition. In fact, the Ninth Circuit

2 in Crum did not hear a case that had been removed from state court: the words

3 “removed” or “removal” appear nowhere in the opinion. Rather, the Ninth Circuit

4 addressed whether it appeared to a legal certainty that the plaintiff’s claim was for less

5 than the jurisdictional amount. 231 F.3d at 1129. The Crum court did not address the

6 consideration of the timing of evidence, much less in the removal context. The 7 opinion’s only mention of the word “evidence” came in this sentence: “The district 8 court also cited LeBlanc v. Spector, 378 F. Supp. 301, 307–08 (D. Conn. 1973), for the 9 proposition that ‘amending a jurisdictionally defective complaint merely to raise the 10 prayer above the jurisdictional amount may be independent evidence the 11 amendment was colorable for the purpose of conferring jurisdiction.’” Id. at 1131. 12 This sentence does not support Mr. Whitman’s representation. Moreover, just as with 13 Matheson, Mr. Whitman failed to explain the origin of the quotation he attributed to 14 Crum: “Jurisdiction must be determined on the basis of the pleadings, viewed at the 15 time the petition for removal was filed.” (See Reply at 1.) Because Crum does not 16 address removal, it does not support the quotation that Mr. Whitman provided in the 17 Reply. 18 The Court finds that neither quotation from the Reply appears in the cited 19 authorities, Matheson and Crum.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
Allen v. Mercedes-Benz USA LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/allen-v-mercedes-benz-usa-llc-caed-2025.