Casen Carver and Everett Lee v. Nancy Grace et al.

CourtDistrict Court, E.D. Louisiana
DecidedJune 11, 2026
Docket2:24-cv-02158
StatusUnknown

This text of Casen Carver and Everett Lee v. Nancy Grace et al. (Casen Carver and Everett Lee v. Nancy Grace et al.) 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.

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Casen Carver and Everett Lee v. Nancy Grace et al., (E.D. La. 2026).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF LOUISIANA

CASEN CARVER AND EVERETT CIVIL ACTION LEE

VERSUS NO. 24-2158

NANCY GRACE ET AL. SECTION: “J”(5)

ORDER AND REASONS

This matter is before the Court on remand from the United States Court of Appeals for the Fifth Circuit. It concerns the Court’s previous award of costs, fees, and exemplary damages to Defendant Ashley Baustert under Louisiana Revised Statutes section 13:3381. Upon remand, the Court issued an order for Plaintiffs and their counsel to show cause why they should not be sanctioned under (1) Federal Rule of Civil Procedure 11(c)(3) (for violation of Rule 11(b)) in conjunction with Willy v. Coastal Corp., 915 F.2d 965 (5th Cir. 1990); (2) 28 U.S.C. § 1447(c); (3) 28 U.S.C. § 1927; and/or (4) the Court’s inherent authority (Rec. Doc. 77), and a hearing was held on Thursday, April 16, 2026. Plaintiffs responded to the show cause order (Rec. Doc. 78), as did Defendant Ashley Baustert (Rec. Doc. 79). Currently pending for decision is Ashley Baustert’s Amended Motion for Fees and Costs (Rec. Doc. 82). Plaintiffs Casen Carver and Everett Lee, along with their attorney Joseph J. Long, opposed the motion (Rec. Doc. 83). Having considered Ashley Baustert’s motion and the legal memoranda, the Fifth Circuit’s Mandate, Plaintiffs’ response to the show cause order, the arguments made at the hearing, and the 1 applicable law, the Court finds that Ashley Baustert’s Amended Motion for Fees and Costs should be GRANTED IN PART as explained below. Accordingly, the Court will exercise its inherent powers to sanction Plaintiffs and Mr. Long for their

litigation misconduct. FACTS AND PROCEDURAL BACKGROUND

Plaintiffs Casen Carver and Everett Lee initially brought defamation claims in Louisiana state court against Defendants Nancy Grace, iHeartMedia Entertainment, Inc., Fox News Network LLC, and Ashley Baustert. Plaintiffs alleged that Nancy Grace and Ashley Baustert made defamatory statements against them in a broadcast regarding Plaintiffs’ alleged involvement in the rape and tragic death of Ashley Baustert’s 19-year-old daughter, Madison Brooks. On August 30, 2024, Defendant Fox News Network LLC removed the case to this Court based on diversity jurisdiction, arguing that Plaintiffs had improperly joined Ms. Baustert. (Rec. Doc. 1, at 2). The removal took place prior to Ms. Baustert’s being served with the state-court petition, so her consent to the removal was not required. Ms. Baustert was later served on September 6, 2024.

Plaintiffs filed a motion to remand the case on October 2, 2024, which the Court ultimately denied based on improper joinder of Ashley Baustert. Prior to this date, however, Ms. Baustert had filed a Rule 12(b)(6) motion to dismiss, in which she also sought “all court costs and reasonable attorney fees incurred, as well as an award for exemplary damages” under Louisiana Revised Statutes section 13:3381 because she claimed, and the Court agreed, that Plaintiffs’ claim against her was “fraudulent and 2 frivolous.” (Rec. Doc. 20-1, at 2). Subsequently, the Court denied Plaintiffs’ motion to remand on October 25, 2024, finding that Plaintiffs had improperly joined Baustert to prevent removal, and later granted Baustert’s 12(b)(6) motion to dismiss. Then, on

July 18, 2025, the Court entered a final judgment in Defendants’ favor and awarded Baustert $10,728 in attorney’s fees and $21,456 in exemplary damages, together with legal interest from date of judgment, under Louisiana Revised Statutes section 13:3381. (Rec. Doc. 73). Plaintiffs appealed this decision, and the Fifth Circuit held that because the Court had denied Plaintiffs’ motion to remand based on the improper joinder of

Baustert, the Court never had subject matter jurisdiction over Plaintiffs’ claims against Baustert and therefore could not adjudicate her Rule 12(b)(6) motion on the merits. Additionally, the Fifth Circuit ruled that the Court could not “award fees based on its merits ruling.” Carver et al. v. Baustert, No. 25-30101, 2026 WL 581819, at *2 (5th Cir. Mar. 2, 2026). However, the Fifth Circuit concluded by saying, “Nothing in this opinion forecloses the district court from awarding sanctions or fees on any other lawful basis.” Id.

After the case was remanded, the Court issued an order for Plaintiffs and their counsel to show cause why they should not be sanctioned under (1) Federal Rule of Civil Procedure 11(c)(3) (for violation of Rule 11(b)) and Willy v. Coastal Corp., 915 F.2d 965 (5th Cir. 1990); (2) 28 U.S.C. § 1447(c); (3) 28 U.S.C. § 1927; and/or (4) the Court’s inherent authority. Plaintiffs responded in writing to the Court’s order, as did Defendant Ashley Baustert. Further, the Court held a hearing on Thursday, April 16, 3 2026, after which Baustert filed an amended motion for fees and costs (Rec. Doc. 82), which Plaintiffs opposed (Rec. Doc. 83). LEGAL STANDARD

Certain Federal Rules of Civil Procedure and statutes such as 28 U.S.C. § 1927 expressly grant courts the power to impose sanctions for specified litigation misconduct. It is also well established, however, that the Federal Rules of Civil Procedure and other statutes do not delineate the full scope of an Article III court’s power. Instead, federal courts retain their inherent powers, which are defined as those that “are necessary to the exercise of all others.” Roadway Express, Inc. v. Piper,

447 U.S. 752, 764 (1980) (quoting United States v. Hudson, 11 U.S. 32, 34 (1812)), superseded by statute on other grounds. The Fifth Circuit has emphasized the Supreme Court’s holding that a federal court’s inherent authority is “‘governed not by rule or statute but by the control necessarily vested in courts to manage their own affairs so as to achieve the orderly and expeditious disposition of cases.’” Nat. Gas Pipeline Co. of Am. v. Energy Gathering, Inc., 2 F.3d 1397, 1406 (5th Cir. 1993) (quoting Link v. Wabash R.R. Co.,

370 U.S. 626, 630–31 (1962)). Although these inherent powers are necessary, they “must be exercised ‘with restraint and discretion.’” Id. (quoting Roadway Express, 447 U.S. at 764). “[I]nherent authority ‘is not a broad reservoir of power, ready at an imperial hand, but a limited source; an implied power squeezed from the need to make the court function.’” Id. at 1406–07 (quoting NASCO, Inc. v. Calcasieu

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Casen Carver and Everett Lee v. Nancy Grace et al., Counsel Stack Legal Research, https://law.counselstack.com/opinion/casen-carver-and-everett-lee-v-nancy-grace-et-al-laed-2026.