Bohnert v. Ben Hur Life Ass'n

9 F. Supp. 471, 1935 U.S. Dist. LEXIS 1875
CourtDistrict Court, S.D. Illinois
DecidedJanuary 17, 1935
DocketNo. 2078
StatusPublished

This text of 9 F. Supp. 471 (Bohnert v. Ben Hur Life Ass'n) is published on Counsel Stack Legal Research, covering District Court, S.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bohnert v. Ben Hur Life Ass'n, 9 F. Supp. 471, 1935 U.S. Dist. LEXIS 1875 (S.D. Ill. 1935).

Opinion

MAJOR, District Judge.

This cause was removed to this court from the circuit court of Sangamon county, Ill., and the question now presented is on the motion of plaintiff to amend the bill in certain particulars and to remand the cause to the state court. Various reasons are assigned in support.of the motion to remand, the most important of which is the jurisdictional question that the controversy does not involve, exclusive of interest and costs, the sum of $3,000. As the court has reached a conclusion on this question, it is not necessary to pass upon the other grounds assigned in said motion.

In determining the amount involved, it is necessary, of course, to consider the facts before the court so far as they pertain to this question. The bill was filed in the state court by Mary Bohnert on behalf of herself and all other persons in like or similar circumstances, and provided that such other persons might become coplaintiffs by [472]*472setting up their respective rights and interests and by adopting plaintiff’s bill. Ben Hur Life Association, a corporation, is the only defendant named, but from the allegations in the bill, it seems that other parties may be made defendants when certain requested information is obtained.

The bill is a lengthy one and deals in considerable technical phraseology concerning the rights and obligations of fraternal benefit societies and it is a matter of some difficulty to determine just what the facts are as they bear upon the jurisdictional question.

It seems from the bill that Loyal American Life Association, a fraternal beneficiary society, organized under the laws of the state of Illinois, with some 6,000 members, was merged with the defendant, Ben Hur Life Association, a similar society organized under the laws of the state of Indiana-, with some 50,000 members. Plaintiff was a member of the former society and it is alleged in the bill that the merger contract was unlawfully consummated and that defendant forced upon plaintiff and other members of Loyal American Life Insurance Company certificates different to what they originally held and that certain liens have been imposed upon said certificates,' with resultant damages. The bill is silent as to the amount of damages claimed by plaintiff or others individually, but does contain the general allegation in referring to damages sustained by plaintiff and others, “aggregating, to-wit, Two Million Five Hundred Thousand Dollars.”

In the written brief and argument submitted by counsel for defendant, it is said: “We submit that a reading of the bill here involved shows that it is a suit for $2,-500,000.00 and no less, the bill seeks to hold the corporate defendant and such other defendants as may be subsequently brought in for damages in that sum, and shows that the amount claimed is impressed with a trust in favor of the various plaintiffs, present and subsequent, as their interest may appear. Moreover, there is not a single line in the bill to indicate that any plaintiff is claiming less than $3,000.00.”

Counsel for plaintiff in his argument denies that under the allegations of the bill the amount claimed is impressed with the trust, but makes the cpntention that the trust referred to is one imposed by statute, and could not be used to liquidate any judgment, which might be obtained herein.

After the filing of the bill and before the cause was removed from the state court, Manuel Roderick and Minnie Wells intervened and became parties coplaintiff. The bill itself contained no statement as to the residence of the original plaintiff, and neither was the residence of the interveners stated. However, the petition for removal alleges that they are all residents of Illinois, while the defendant corporation is a resident of Indiana, and there is now no question raised as to diversity of citizenship.

Plaintiff now seeks to amend the complaint by striking from the bill the words “aggregating, to-wit, Two Million, Five Hundred Thousand Dollars” wherever that language may appear, andj in support of its motion to remand, presents the affidavit of the solicitor for plaintiffs in which it is expressly averred that the matter in controversy is less than $3,000; that the most which is claimed or could be recovered by the plaintiff Bohnert is the sum of $1,407.-10, the plaintiff Roderick the sum of $222.-19, and the plaintiff Wells $136.32; that each claim, demand, and matter in controversy is individual in its character; and that there is no joint or united right, title, or interest among the plaintiffs or any two or more of them.

No authority is cited and I am unable to find any directly in point by which the court can permit the amendment sought. Certainly the court should not permit a plaintiff to amend his cause of action merely for the purpose of depriving the court of jurisdiction which it might otherwise have. While I do not regard the proposed amendment as going to this extent, yet I doubt its propriety and leave to amend is denied.

The authorities are not entirely in harmony as to the procedure on a motion such as is now before the court. It seems certain, however, that the plaintiff is entitled to take issue with the allegations of the petition for removal. In different cases this issue has been raised in different ways.

In Jones v. Casey-Hedges Co. (D. C.) 213 F. 43, it is said on page 47: “The affirmative jurisdictional averments in the petition for removal may also, it seems, be sufficiently put in issue by a motion to remand, if such motion either expressly denies the. averments of the petition for removal, or is based upon a ground which, in effect, traverses or negatives such averments, or is supported by an affidavit which [473]*473constitutes a denial of such averments. [Citing cases.]”

In Wilson v. Republic Iron & Steel Co. et al., 257 U. S. 92, on page 97, 42 S. Ct. 35, 37, 66 L. Ed. 144, it is said: “If a removal is effected, the plaintiff may, by a motion to remand, plea, or answer, take issue with the statements in the petition. If he does, the issue so arising must be heard and determined by the District Court [citing cases], and at the hearing the petitioning defendant must take and carry the burden of proof, he being the actor in the removal proceeding [citing case].”

In Stone v. South Carolina, 117 U. S. 430, on page 432, 6 S. Ct. 799, 800, 29 L. Ed. 962, it is said: “All issues of fact made upon the petition for removal must be tried in the Circuit Court [now District Court], but the state court is at liberty to determine for itself whether, on the face of the record, a removal has been effected.”

From the authorities quoted, there seems to be no question but what the procedure followed by plaintiff, in submitting an affidavit in support of its motion to remand, is proper and the matters submitted in said affidavit, so far as they take issue with the allegations of defendant’s petition for removal, are properly before the court.

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Related

Stone v. South Carolina
117 U.S. 430 (Supreme Court, 1886)
Wilson v. Republic Iron & Steel Co.
257 U.S. 92 (Supreme Court, 1921)
Lion Bonding & Surety Co. v. Karatz
262 U.S. 77 (Supreme Court, 1923)
Robbins v. Western Automobile Ins. Co.
4 F.2d 249 (Seventh Circuit, 1924)
Jones v. Casey-Hedges Co.
213 F. 43 (E.D. Tennessee, 1913)
Eberhard v. Northwestern Mut. Life Ins.
241 F. 353 (Sixth Circuit, 1917)

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Bluebook (online)
9 F. Supp. 471, 1935 U.S. Dist. LEXIS 1875, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bohnert-v-ben-hur-life-assn-ilsd-1935.