Ellis v. Evonik Corporation

CourtDistrict Court, E.D. Louisiana
DecidedMarch 15, 2022
Docket2:21-cv-01089
StatusUnknown

This text of Ellis v. Evonik Corporation (Ellis v. Evonik Corporation) 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.

Bluebook
Ellis v. Evonik Corporation, (E.D. La. 2022).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF LOUISIANA

LAMAR ELLIS, ET AL. CIVIL ACTION

VERSUS NO. 21-1089

EVONIK CORPORATION, ET AL. SECTION “R” (3)

ORDER AND REASONS

Before the Court is plaintiffs’ motion for reconsideration of the Court’s October 19, 2021 denial of plaintiffs’ motion to remand.1 Defendants, Evonik Corporation (“Evonik”) and Shell Oil Company (“Shell”), oppose the motion.2 For the following reasons, the Court denies plaintiffs’ motion.

I. BACKGROUND This case arises out of alleged exposure to ethylene oxide (“EtO”) near a petrochemical plant in Reserve, Louisiana (the “facility”), owned and operated by defendants Evonik and Shell.3 Plaintiffs are fourteen Louisiana residents who live within seven miles of the facility,4 and who have either

1 R. Doc. 32. 2 R. Docs. 39 & 40. 3 R. Doc. 1-1 ¶ 1. 4 Id. ¶¶ 12-25, 80-93. contracted cancer, or had a spouse die from cancer, allegedly because of unknowing exposure to dangerous levels of EtO emitted by the facility.5

On April 26, 2021, plaintiffs filed suit in the Civil District Court for the Parish of St. John the Baptist, alleging that inhalation of EtO emitted from the facility was a substantial factor in causing plaintiffs’ cancer, or their spouses’ cancer.6 In their complaint, plaintiffs named as defendants Evonik

Corporation and Shell Oil Company,7 as well as four individual defendants (the “employee defendants” or the “employees”): Randy Cashio,8 James Carter,9 Artis Williams,10 and Kerry Harrison.11 Plaintiffs alleged that the

employee defendants were designated as Responsible Officials (“ROs”) who provided emissions information to state regulators at the Louisiana Department of Environmental Quality (“LDEQ”), and who knew or should

5 Id. ¶¶ 1, 7-8. 6 Id. ¶¶ 1-9. 7 Id. ¶¶ 26, 31. In their complaint, plaintiffs named other corporate entities, including Evonik Materials Corporation, Versum Materials Performance Manufacturing, Inc., Air Products Performance Manufacturing, Inc., and Tomah Reserve, Inc. Id. ¶¶ 27-30. Defendants represent, and plaintiffs do not dispute, that Evonik Corporation is the successor in interest of those entities. R. Doc. 1 ¶¶ 5- 6; R. Doc. 19-1 at 1 n.1. Accordingly, the only corporate defendants in this matter are Evonik Corporation and Shell Oil Company. 8 R. Doc. 1-1 ¶ 32. 9 Id. ¶ 33. Defendant James Carter has not been served in this action. See id. at 59-60. 10 Id. ¶ 34. 11 Id. ¶ 35. have known that the facility was emitting unsafe levels of EtO into the surrounding community.12 Plaintiffs alleged negligence13 and civil battery14

against the four employee defendants. The employee defendants are residents of Louisiana.15 On June 4, 2021, Evonik removed the case to federal court, contending that the non-diverse employee defendants were improperly joined, and that,

therefore, this Court has diversity jurisdiction under 28 U.S.C. § 1332.16 On June 30, 2021, plaintiffs moved to remand the case to state court.17 They argued that the employee defendants were not improperly joined

because plaintiffs have shown a possibility of recovery against the employee defendants under Louisiana law.18 They contended that, because the in-state employee defendants were properly joined, the parties in the case are not completely diverse, and the Court should therefore remand for lack of

12 Id. ¶¶ 61-71. 13 Id. ¶¶ 203-207 (“Count 19 – Negligence of James Carter”); id. ¶¶ 215- 219 (“Count 21 – Negligence of Artis Williams”); id. ¶¶ 226-230 (“Count 23 – Negligence of Randy Cashio”); id. ¶¶ 237-240 (“Count 25 – Negligence of Kerry Harrison”). 14 Id. ¶¶ 208-213 (“Count 20 – Civil Battery by James Carter”); id. ¶¶ 220-225 (“Count 22 – Civil Battery by Artis Williams”); id. ¶¶ 231- 236 (“Count 24 – Civil Battery by Randy Cashio”); id. ¶¶ 241-246 (“Count 26 – Civil Battery by Kerry Harrison”). 15 See id. ¶¶ 32-35; R. Doc. 1 ¶ 20. 16 R. Doc. 1 ¶¶ 20-37. 17 R. Doc. 19. 18 R. Doc. 19-1 at 9-18. subject-matter jurisdiction.19 Defendants Evonik, Shell, and Williams opposed the motion to remand, and argued that the employee defendants

were improperly joined, and should be dismissed.20 On October 19, 2021, the Court denied the motion to remand, and dismissed plaintiffs’ claims against the employee defendants.21 On November 5, 2021, plaintiffs filed a motion for reconsideration of

the Court’s denial of the motion to remand.22 They contend that the Court’s Order and Reasons denying remand contained multiple legal errors, and the motion should therefore be reconsidered.23 Defendants Evonik and Shell

oppose the motion.24 The Court considers the motion below.

II. LEGAL STANDARD

The Fifth Circuit has consistently recognized that parties may challenge a court’s order under Rules 54(b), 59(e), or 60(b). Reyes v. Julia

19 Id. at 25. Plaintiffs also argued that this Court did not have federal- officer jurisdiction, id. at 18-25, but the Court did not address that contention in ruling on the motion to remand, and it is not at issue on the present motion for reconsideration. 20 R. Doc. 20. 21 R. Doc. 28. 22 R. Doc. 32. 23 R. Doc. 32-1. 24 R. Docs. 39 & 40. Place Condo. Homeowners Ass’n, Inc., No. 12-2043, 2016 WL 4272943, at *2 (E.D. La. Aug. 15, 2016) (collecting cases). “Rules 59 and 60, however,

apply only to final judgments.” Id. (citing S. Snow Mfg. Co., Inc. v. Snowizard Holdings, Inc., 921 F. Supp. 2d 548, 563-64 (E.D. La. 2013)). If a party seeks reconsideration of an order that adjudicates fewer than all the claims among all the parties, then Rule 54(b) controls.

Here, plaintiffs seek reconsideration of an interlocutory order that denied remand, and dismissed some, but not all, of the defendants from this case. Accordingly, Rule 54(b) is the appropriate standard under which to

evaluate the motion. See Adams v. Columbia/HCA of New Orleans, Inc., No. 20-3030, 2021 WL 809372, at *1 (E.D. La. Mar. 3, 2021) (applying Rule 54(b) to plaintiff’s motion to reconsider the court’s order granting a Rule 12(b)(6) motion to dismiss that dismissed some but not all of plaintiff’s

claims); Butler v. Denka Performance Elastomer LLC, No. 18-6685, 2019 WL 697164, at *1 (E.D. La. Feb. 20, 2019) (applying Rule 54(b) to a motion for reconsideration of the denial of plaintiff’s motion to remand); Hill v. Travelers Indem. Co., No. 11-4146, 2012 WL 12895265, at *1 (S.D. Tex. Sept.

5, 2012) (same). Rule 54(b) provides that an order that adjudicates fewer than all of the claims among all of the parties “may be revised at any time” before the entry of a final judgment. Fed. R. Civ. P. 54(b). As Rule 54 recognizes, a district court “possesses the inherent procedural power to reconsider, rescind, or

modify an interlocutory order for cause seen by it to be sufficient.” Melancon v. Texaco, 659 F.2d 551, 553 (5th Cir. 1981). Under Rule 54(b), the court “is free to reconsider and reverse its decision for any reason it deems sufficient, even in the absence of new evidence or an intervening change in or

clarification of the substantive law.” Austin v. Kroger Tex., L.P., 864 F.3d 326, 336 (5th Cir. 2017). Although reconsideration under Rule 54(b) is within the trial court’s broad discretion, reconsideration “is not provided

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