Amos v. CitiFinancial Corp.

243 F. Supp. 2d 587, 2003 U.S. Dist. LEXIS 6748, 2003 WL 297868
CourtDistrict Court, N.D. Mississippi
DecidedFebruary 6, 2003
Docket4:02CV52-D-B
StatusPublished
Cited by1 cases

This text of 243 F. Supp. 2d 587 (Amos v. CitiFinancial Corp.) is published on Counsel Stack Legal Research, covering District Court, N.D. Mississippi primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Amos v. CitiFinancial Corp., 243 F. Supp. 2d 587, 2003 U.S. Dist. LEXIS 6748, 2003 WL 297868 (N.D. Miss. 2003).

Opinion

OPINION DENYING MOTION TO REMAND

DAVIDSON, Chief Judge.

Presently before the court is the Plaintiffs’ motion to remand this matter to the Circuit Court of Washington County, Mississippi. In the alternative, the Plaintiffs seek to have the court certify the issues presented in this case for interlocutory appeal pursuant to 28 U.S.C. § 1292(b). Upon due consideration, the court finds that the motion to remand should be denied because diversity jurisdiction exists pursuant to 28 U.S.C. § 1332(a). As for the Plaintiffs’ request that the court certify this case for interlocutory appeal, the court finds that the issues presented in the Plaintiffs’ motion do not involve any controlling questions of law as to which there is substantial ground for difference of opinion; accordingly, the court denies the Plaintiffs’ request for interlocutory appeal certification.

A. Factual Background

The 499 Plaintiffs in this action separately entered into consumer loan agreements with the Defendant CitiFinaneial. The Plaintiffs filed a complaint against Ci-tiFinancial in the Circuit Court of Washington County on February 20, 2002, al *589 leging, inter alia, fraud and intentional misrepresentation in connection with the loan transactions; in addition to compensatory and punitive- damages, the Plaintiffs seek attorneys’ fees and costs.

The Defendant removed the case to this court on February 28, 2002, asserting both diversity and bankruptcy jurisdiction as jurisdictional bases for removal. Thereafter, the Plaintiffs motioned the court to remand this matter to state court contending that because the amount in controversy requirement has not been satisfied, federal diversity jurisdiction does not exist and this court lacks subject matter jurisdiction.

B. Standard for Remand

The Judiciary Act of 1789 provides that “any civil action brought in a State court of which the district courts of the United States have original jurisdiction, may be removed by the defendant or the defendants, to the district court of the United States for the district and division embracing the place where such action is pending.” 28 U.S.C. § 1441(a). Original federal jurisdiction exists “where the matter in controversy exceeds the sum or value of $75,000.00, exclusive of interest and costs, and is between ... citizens of different states ...” 28 U.S.C. § 1332(a); Sid Richardson Carbon & Gasoline Co. v. Interenergy Res., Ltd., 99 F.3d 746, 751 (5th Cir.1996)..

Once a motion to remand has been filed, the burden is on the removing party to establish that federal jurisdiction exists. DeAguilar v. Boeing Co., 47 F.3d 1404, 1408 (5th Cir.1995). Here, the Defendant alleges that both of the two major requirements for diversity jurisdiction are present. The Plaintiffs assert, however, that diversity jurisdiction does not exist because their claims are for less than $75,000, the minimum federal diversity jurisdictional amount. 1

For the reasons set forth below, the court finds that the Plaintiffs’ contentions are incorrect. The Defendant has met its burden of establishing the existence of federal diversity jurisdiction, and the Plaintiffs’ motion to remand this cause shall therefore be denied.

C. Discussion

1. Amount in Controversy

The Plaintiffs are not seeking a specified amount of damages. Instead, the complaint simply requests that the Plaintiffs each be awarded “judgment ... for compensatory and punitive damages in an amount to be proven at trial ... not exceeding seventy-four thousand dollars ($74,000.00). The Plaintiffs further demand an award of all court costs, attorneys fees and interest applicable under Mississippi law.” See Complaint at 28.

It is axiomatic that the amount in controversy in a given action is determined from the complaint itself, unless it appears that the amount stated in the complaint is not claimed in good faith. Horton v. Liberty Mut. Ins. Co., 367 U.S. 348, 353, 81 S.Ct. 1570, 1573, 6 L.Ed.2d 890 (1961) (citing St. Paul Mercury Indem. Co. v. Red Cab Co., 303 U.S. 283, 288, 58 S.Ct. 586, 590, 82 L.Ed. 845 (1938)). When the plaintiffs complaint does not allege a specific amount of damages, however, the removing defendant may establish federal diversity jurisdiction if it can prove by a preponderance of the evidence that the amount in controversy actually exceeds $75,000. DeAguilar, 47 F.3d at 1409. This burden is deemed to be met if it is “facially apparent” from the plaintiffs complaint that the amount in controversy exceeds the jurisdictional minimum. Allen *590 v. R & H Oil & Gas Co., 63 F.3d 1326, 1335 (5th Cir.1995). The court determines whether it is facially apparent that the amount in controversy exceeds the jurisdictional minimum by simply examining the complaint and ascertaining whether the amount in controversy is likely to exceed $75,000. Allen, 63 F.3d at 1336. In conducting this analysis, the court may refer to the types of claims alleged by the plaintiff, as well as the nature of the damages sought. Id. at 1335.

If the removing defendant is able to establish that the amount in controversy exceeds $75,000, removal of the cause is deemed proper unless the plaintiff shows that, as a matter of law, it is certain that he will not be able to recover more than $75,000. Allen, 63 F.3d at 1335-36; DeAguilar, 47 F.3d at 1411. In other words, once the removing defendant has established by a preponderance of the evidence that the federal jurisdictional minimum has been met, it must appear to a “legal certainty” that the plaintiffs claim is for less than the jurisdictional amount; otherwise, the federal jurisdictional amount is deemed to have been met. DeAguilar, 47 F.3d at 1412.

It is well settled that claims for punitive damages are included in the calculation of the amount in controversy. St. Paul Reinsurance Co., Ltd. v. Greenberg, 134 F.3d 1250, 1253 (5th Cir.1998); Myers v. Guardian Life Ins. Co. of America, Inc.,

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Cite This Page — Counsel Stack

Bluebook (online)
243 F. Supp. 2d 587, 2003 U.S. Dist. LEXIS 6748, 2003 WL 297868, Counsel Stack Legal Research, https://law.counselstack.com/opinion/amos-v-citifinancial-corp-msnd-2003.