Bank of America NA v. George Arsenis

CourtCourt of Appeals for the Third Circuit
DecidedJuly 25, 2024
Docket24-1360
StatusUnpublished

This text of Bank of America NA v. George Arsenis (Bank of America NA v. George Arsenis) is published on Counsel Stack Legal Research, covering Court of Appeals for the Third Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bank of America NA v. George Arsenis, (3d Cir. 2024).

Opinion

NOT PRECEDENTIAL

UNITED STATES COURT OF APPEALS FOR THE THIRD CIRCUIT ___________

No. 24-1360 __________

BANK OF AMERICA, N.A.

v.

GEORGE ARSENIS, Appellant

_________________________________

On Appeal from the United States District Court for the District of New Jersey (D.C. Civil Action No. 3:23-cv-20402) District Judge: Honorable Michael A. Shipp ____________________________________

Submitted Pursuant to Third Circuit LAR 34.1(a) July 24, 2024

Before: SHWARTZ, RESTREPO, and FREEMAN, Circuit Judges

(Opinion filed: July 25, 2024) ___________

OPINION * ___________

* This disposition is not an opinion of the full Court and pursuant to I.O.P. 5.7 does not constitute binding precedent. PER CURIAM

In 2020, Bank of America, N.A. sued George Arsenis in the Law Division of the

Superior Court of New Jersey, seeking to recover $13,051.66 in overdue payments on a

revolving charge account. See ECF No. 4-1 at 4. The parties entered into a stipulated

agreement, under which Arsenis agreed to pay $6500 on a monthly installment plan in

consideration for the discontinuation of the suit after full payment. In July 2022, Arsenis

removed the action to the United States District Court for the District of New Jersey. The

District Court remanded the matter to state court, ruling, inter alia, that it lacked subject

matter jurisdiction to hear the case, see Bank of America, N.A. v. Arsenis, D.N.J. Civ.

No. 3:22-cv-04508 (order entered Mar. 20, 2023), and we dismissed Arsenis’s

subsequent appeal for lack of jurisdiction, see C.A. No. 23-1627 (order entered July 13,

2023).

On September 13, 2023, Arsenis filed another notice of removal. He claimed that

his suit was “not simply a breach of contract action,” but a “civil action which presents a

Federal question even though the claim is actually brought pursuant to State law.” ECF

No. 1 at 5 & 6. He explained that The National Bank Act, 12 U.S.C. § 38, was

implicated by the enforcement of the settlement agreement. See id. He asserted that

removal was therefore proper under “28 U.S.C. § 1441(b),” ECF No. 1 at 6, and he also

argued that matter could be removed under 28 U.S.C. § 1443 because Bank of America

was “misrepresenting the enforceability of the debt,” id. at 5.

On November 8, 2023, Bank of America moved to remand the action to state

court, arguing, inter alia, that the notice of removal was untimely filed and that the action

2 did not raise a federal question. Arsenis opposed the motion, repeating arguments from

his notice of removal and also contending that Bank of America had engaged in unfair

debt collection practices in violation of 15 U.S.C. § 1692e in collecting payments under

the settlement agreement. The District Court granted Bank of America’s motion and

remanded the matter to state court, agreeing that the motion to remand was untimely and

noting a procedural defect not identified by Bank of America, namely, Arsenis’s failure

to comply with the relevant procedural rules for filing a removal notice. Arsenis appeals,

raising, in his brief, the same arguments that he presented to the District Court.

There is a general prohibition on review of orders remanding a case to state court

in 28 U.S.C. § 1447. See 28 U.S.C. § 1447(d). However, that prohibition extends only to

appeals from remand orders predicated on grounds set out in 28 U.S.C. § 1447(c), namely

(1) “defect[s] in the removal process” that have been identified in a timely motion to

remand, 1 and (2) “lack of subject matter jurisdiction.” A.S. ex rel. Miller v. SmithKline

Beecham Corp., 769 F.3d 204, 209 (3d Cir. 2014); see also Things Remembered, Inc. v.

Petrarca, 516 U.S. 124, 127 (1995) (explaining that “remands based on grounds specified

in § 1447(c) are immune from review under § 1447(d)”). We have jurisdiction when a

district court remands to state court on grounds not identified in § 1447(c); i.e., on any

grounds other than lack of subject matter jurisdiction or removal defects presented in a

timely remand motion. See Thermtron Products, Inc. v. Hermansdorfer, 423 U.S. 336,

1 While a motion to remand asserting lack of subject matter jurisdiction may be made at any time, a motion to remand challenging a defect in the removal process “must be made within 30 days after the filing of the notice of removal.” 28 U.S.C. § 1447(c). 3 345 (1976); see also In re FMC, 208 F.3d 445, 448 (3d Cir. 2000) (reviewing a sua

sponte remand for a procedural defect). And, under the terms of § 1447, we also have

jurisdiction to review an order remanding a case that was removed pursuant to 28 U.S.C.

§ 1443. See 28 U.S.C. § 1447(d).

Not only was Arsenis’s case removed in part on the basis of § 1443, cf. BP P.L.C.

v. Mayor & City Council of Baltimore, 141 S. Ct. 1532, 1538 (2021) (stating that

“everyone admits that the defendants’ notice of removal [removed a case pursuant to §

1442] by citing § 1442 as one of its grounds for removal”), but also the District Court

remanded on the basis of two procedural defects, one untimely raised by Bank of

America and one raised sua sponte by the District Court. Accordingly, we have

jurisdiction over this appeal. Our review is plenary. See Lazorko v. Pa. Hosp., 237 F.3d

242, 247 (3d Cir. 2000). We may affirm on any basis supported by the record. See

Murray v. Bledsoe, 650 F.3d 246, 247 (3d Cir. 2011) (per curiam).

Upon review, we will affirm the District Court’s order remanding Arsenis’s case

to state court because the District Court lacked subject matter jurisdiction over the action.

A defendant may remove, to a federal district court, a civil action brought in a state court

if a district court has original jurisdiction over it. See 28 U.S.C. § 1441(a). The question

is whether “it could have been brought originally in federal court, either because the

complaint raises claims arising under federal law or because it falls within the court’s

diversity jurisdiction.” Home Depot U. S. A., Inc. v. Jackson, 139 S. Ct. 1743, 1748

(2019). In this case, where diversity jurisdiction does not apply, we must determine

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Related

City of Greenwood v. Peacock
384 U.S. 808 (Supreme Court, 1966)
Johnson v. Mississippi
421 U.S. 213 (Supreme Court, 1975)
Thermtron Products, Inc. v. Hermansdorfer
423 U.S. 336 (Supreme Court, 1976)
Caterpillar Inc. v. Williams
482 U.S. 386 (Supreme Court, 1987)
Things Remembered, Inc. v. Petrarca
516 U.S. 124 (Supreme Court, 1995)
Murray v. Bledsoe
650 F.3d 246 (Third Circuit, 2011)
A.S. v. SmithKline Beecham Corp.
769 F.3d 204 (Third Circuit, 2014)
Home Depot U. S. A., Inc. v. Jackson
587 U.S. 435 (Supreme Court, 2019)
BP p.l.c. v. Mayor and City Council of Baltimore
593 U.S. 230 (Supreme Court, 2021)
La Chemise Lacoste v. Alligator Co.
506 F.2d 339 (Third Circuit, 1974)

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