Culotta v. State Farm Fire and Casualty Company

CourtDistrict Court, M.D. Louisiana
DecidedSeptember 4, 2025
Docket3:24-cv-00755
StatusUnknown

This text of Culotta v. State Farm Fire and Casualty Company (Culotta v. State Farm Fire and Casualty Company) is published on Counsel Stack Legal Research, covering District Court, M.D. Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Culotta v. State Farm Fire and Casualty Company, (M.D. La. 2025).

Opinion

UNITED STATES DISTRICT COURT MIDDLE DISTRICT OF LOUISIANA

BRAD CULOTTA, ET AL. CIVIL ACTION VERSUS NO. 24-755-BAJ-SDJ STATE FARM FIRE AND CASUALTY COMPANY, ET AL. NOTICE Please take notice that the attached Magistrate Judge’s Report has been filed with the Clerk of the U.S. District Court.

In accordance with 28 U.S.C. § 636(b)(1), you have 14 days after being served with the attached report to file written objections to the proposed findings of fact, conclusions of law, and recommendations set forth therein. Failure to file written objections to the proposed findings, conclusions, and recommendations within 14 days after being served will bar you, except upon grounds of plain error, from attacking on appeal the unobjected-to proposed factual findings and legal conclusions accepted by the District Court.

ABSOLUTELY NO EXTENSION OF TIME SHALL BE GRANTED TO FILE WRITTEN OBJECTIONS TO THE MAGISTRATE JUDGE’S REPORT.

Signed in Baton Rouge, Louisiana, on September 4, 2025.

S

SCOTT D. JOHNSON UNITED STATES MAGISTRATE JUDGE UNITED STATES DISTRICT COURT MIDDLE DISTRICT OF LOUISIANA

BRAD CULOTTA, ET AL. CIVIL ACTION VERSUS NO. 24-755-BAJ-SDJ STATE FARM FIRE AND CASUALTY COMPANY, ET AL.

MAGISTRATE JUDGE’S REPORT AND RECOMMENDATION Before the Court is Plaintiffs’ Motion to Remand (R. Doc. 9). Defendants oppose (R. Doc. 12), and Plaintiffs have filed a Reply (R. Doc. 16). For the reasons discussed below, the undersigned recommends that the Motion to Remand be DENIED. I. Background The Plaintiffs initiated this action on or about June 16, 2024, in the 19th Judicial District Court for the Parish of East Baton Rouge, Louisiana.1 The Petition alleges that in June 2023, a toilet in the Plaintiffs’ home overflowed due to a burst drain line, repair of which involved significant drilling through the foundation of the home.2 The Plaintiffs filed a home insurance claim, and their insurance agent, Steven Brooksher, and adjuster Roderick Philson, both assured them that their policy would cover the repairs.3 After a first estimate that failed to cover the cost of the broken drain line, a second inspection was performed by Mr. Philson, and a third by adjuster Jennifer Armstrong.4 The Petition alleges that all estimates were deficient in some way, e.g.,

1 R. Doc. 1-4. 2 Id. at 3. 3 Id. at 4. 4 Id. failing to include the full scope of damage, or suggesting repair rather than replacement of flooring, etc.5 The Petition alleges that Ms. Armstrong’s inspection resulted in “an estimate of damages which grossly misrepresented the true nature, scope, and/or extent of the covered damages to the property caused by the water damage.”6 The final explanation of benefits accounted for $38,573.77 in repairs, while Plaintiffs’ repair estimate was $118,000.00.7 The Petition alleges that State Farm

Fire & Casualty Insurance Co. claims that the policy does not, in fact, cover water, sewage, or drainage backup inside the home.8 The Plaintiffs brought this suit to recover damages, naming as Defendants Armstrong, Brooksher, Philson, and State Farm, alleging that: 1) Brooksher, when selling the Plaintiffs their policy, intentionally fabricated details of the additional policy coverage included under the “Back-up of Sewer or Drain Endorsement” policy; 2) that Philson and Armstrong intentionally or negligently performed inadequate inspections and provided insufficient estimates of damage; and 3) that State Farm arbitrarily and capriciously denied further coverage and failed to timely pay the Plaintiffs’ claim. The Plaintiffs’ alleged damages include unpaid amounts owed under the policy, penalties for delay of payment, mental anguish, emotional distress, inconvenience, statutory penalties, and attorney’s fees.9

The Defendants timely removed to this Court on September 10, 2024, at least one Removing Defendant having been served on August 13, 2024.10 See 28 U.S.C. § 1446(b)(2)(C). Defendant State Farm invokes this Court’s jurisdiction on the basis of diversity of citizenship, claiming that the individual agent, Brooksher, and adjuster Defendants Philson and Armstrong— all of the same citizenship as the Plaintiffs—are improperly joined, leaving only State Farm and

5 Id. 6 Id. 7 Id. at 5. 8 Id. 9 Id. at 7. 10 R. Doc. 1-1 at 1. the Plaintiffs, citizens of Illinois and Louisiana respectively.11 In support of its claims of improper joinder, State Farm argues that the Plaintiffs have no plausible claims against Armstrong and Philson, and that any plausible claim against Brooksher is prescribed.12

II. Legal Standards A. Removal A defendant may remove “any civil action brought in a state court of which the district courts of the United States have original jurisdiction.” 28 U.S.C. § 1441(a). When original jurisdiction is based on diversity of citizenship, the cause of action must be between “citizens of different States,” and the amount in controversy must exceed “the sum or value of $75,000, exclusive of interest and costs.” 28 U.S.C. § 1332(a)(1). Subject matter jurisdiction must exist at the time of removal to federal court, based on the facts and allegations contained in the complaint. See St. Paul Reinsurance Co., Ltd. v. Greenberg, 134 F.3d 1250, 1253 (5th Cir. 1998)

(“jurisdictional facts must be judged as of the time the complaint is filed”). “The removal statute is therefore to be strictly construed, and any doubt about the propriety of removal must be resolved in favor of remand.” Gasch v. Hartford Acc. & Indem. Co., 491 F.3d 278, 281-82 (5th Cir. 2007). The removing party has the burden of proving federal diversity jurisdiction. Garcia v. Koch Oil Co. of Tex. Inc., 351 F.3d 636, 638 (5th Cir. 2003); Manguno v. Prudential Property and Cas. Ins. Co., 276 F.3d 720, 723 (5th Cir. 2002). Remand is proper if, at any time, the court lacks subject matter jurisdiction. 28 U.S.C. § 1447(c).

11 Id. at 4. 12 Id. at 5. B. Improper Joinder “Ordinarily, diversity jurisdiction requires complete diversity—if any plaintiff is a citizen of the same State as any defendant, then diversity jurisdiction does not exist.” Flagg v. Stryker Corp., 819 F.3d 132, 136 (5th Cir. 2016). But, if the plaintiff improperly joins a non-diverse defendant, then the court may disregard the citizenship of that defendant, dismiss them from the

litigation, and exercise subject matter jurisdiction over the remaining diverse defendants. See Williams v. Homeland Ins. Co. of N.Y., 18 F.4th 806, 810 n.5 (5th Cir. 2021) (“[T]he proper mechanism of handling an improperly joined party is to dismiss it, not send it to another court to decide the merits.”). “The party seeking removal bears a heavy burden of proving that the joinder of the in-state party was improper.” Smallwood v. Ill. Cent. R.R.

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

Related

Manguno v. Prudential Property & Casualty Insurance
276 F.3d 720 (Fifth Circuit, 2002)
Travis v. Irby
326 F.3d 644 (Fifth Circuit, 2003)
Garcia v. Koch Oil Co. of Texas Inc.
351 F.3d 636 (Fifth Circuit, 2003)
Roger v. Dufrene
613 So. 2d 947 (Supreme Court of Louisiana, 1993)
Isidore Newman School v. J. Everett Eaves, Inc.
42 So. 3d 352 (Supreme Court of Louisiana, 2010)
Becnel v. Grodner
982 So. 2d 891 (Louisiana Court of Appeal, 2008)
Karam v. St. Paul Fire & Marine Insurance Company
281 So. 2d 728 (Supreme Court of Louisiana, 1973)
Pellerin v. Cashway Pharmacy of Franklin, Inc.
396 So. 2d 371 (Louisiana Court of Appeal, 1981)
Kale Flagg v. Denise Elliot
819 F.3d 132 (Fifth Circuit, 2016)
Williams MD v. Homeland Insurance
18 F.4th 806 (Fifth Circuit, 2021)

Cite This Page — Counsel Stack

Bluebook (online)
Culotta v. State Farm Fire and Casualty Company, Counsel Stack Legal Research, https://law.counselstack.com/opinion/culotta-v-state-farm-fire-and-casualty-company-lamd-2025.