Gould v. National Life Insurance

990 F. Supp. 1354, 1998 U.S. Dist. LEXIS 320, 1998 WL 13537
CourtDistrict Court, M.D. Alabama
DecidedJanuary 13, 1998
DocketCiv.A. 97-A-1370-N
StatusPublished
Cited by32 cases

This text of 990 F. Supp. 1354 (Gould v. National Life Insurance) is published on Counsel Stack Legal Research, covering District Court, M.D. Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gould v. National Life Insurance, 990 F. Supp. 1354, 1998 U.S. Dist. LEXIS 320, 1998 WL 13537 (M.D. Ala. 1998).

Opinion

MEMORANDUM OPINION

ALBRITTON, District Judge.

There are five motions pending before the court in this case. Although there are several disputed issues in the briefs, the parties agree on at least one thing — they want this case to go elsewhere. Plaintiff wants the case remanded to the Montgomery County *1356 Circuit Court, where it was originally filed. Defendant wants the court to transfer the case to Vermont’s federal district court, where there are similar consolidated actions. Each side wants the court to rule on its motion first, asking the court to stay a decision on the other side’s motion until after the case is remanded or transferred. 1

For the reasons discussed herein, the court decides that transfer of this action to the Federal District Court for the District of Vermont is the most appropriate action. Plaintiff’s motion to stay the court’s decision to transfer is DENIED. Defendant’s motion to transfer and its motion to stay the decision to remand until after a decision to transfer are GRANTED. All other pending motions, including the motion to remand, are transferred along with the case.

I. FACTS

This case was originally filed as a nationwide class action on August 20, 1997, in Montgomery County, Alabama, Circuit Court.. The plaintiff brings our claims: (1) fraud, (2) fraudulent suppression and .concealment, (3) unjust enrichment, and (4) breach of contract. The allegations arise from sales of certain “vanishing premium” life insurance policies. Named as defendants are National Life insurance Company of Vermont, and twenty fictitious defendants. Plaintiff has attempted to “de-federalize” the action, disclaiming all aspects of federal question jurisdiction and attempting to disclaim an amount of damages which may make this case appropriate for federal diversity jurisdiction. 2

Despite Plaintiff’s attempts to strip the case of federal jurisdiction, defendant National Life removed the action to federal court on September 10, and shortly thereafter, sought to have the case transferred to the Federal District Court for the District of Vermont. Defendant seeks to have the action transferred to Vermont for two basic reasons: (1) most of the witnesses, documents, and policy holders are located closer to National Life’s headquarters in Montpelier, Vermont, and (2) there is already a pending, nation-wide class action involving many of the same allegations in Vermont District Court. See Defendant National Life Insurance Company of Vermont’s Motion for Transfer of Venue, September 19,1997.

In fact, Vermont’s district court has consolidated two cases involving these same facts. See Consolidation Order, No. 97-CV-31b (D.Vt., December 11, 1997) (consolidating Birdsall v. National Life, 97-CV-314, with Akerley v. National Life, No. 97-CV-364). 3 The first consolidated ease, Birdsall, was originally filed in the 17th Judicial District Court of Louisiana, Parish of La-Fourehe, as a nationwide class action on April 17, 1997 — four months before the filing *1357 of this case. See Birdsall Complaint. 4 Birdsall was subsequently removed to federal court and transferred to Vermont, without opposition. See Order Transferring Venue, No. 97-1691 (E.D .La., Sept. 15, 1997). 5 Ak-erley was filed as a nation-wide class action in the District of Vermont on November 5, 1997. See Akerley Complaint. 6

Besides the consolidated nation-wide class action, the Vermont District Court also has pending before it two other nation-wide class actions which concern the same facts. These are Moore v. National Life Insurance Company, No. 3-97-0998 (M.D.Tenn.), which was filed on September 26, 1997, in the Middle District of Tennessee. See Moore Complaint. 7 Judge Campbell of the Middle District of Tennessee subsequently transferred Moore to the District of Vermont on December 5, 1997. See Order, Moore v. Nat’l Life (M.D.Tenn.). 8 Judge Campbell’s decision was based on his “desire to avoid multiplicity of litigation involving a single transaction.” Moore Memorandum at 2, (M.D.Tenn., Dec. 5,1997) (citing to West Gulf Maritime Assoc. v. ILA Deep Sea Local 24, 751 F.2d 721, 728-29 (5th Cir.1985)). 9 Another nation-wide class action has also been filed subsequently in the District of Vermont. That action, styled Venne v. National Life Insurance Co., No. 1:97-CV-399 (D.Vt.), was filed on November 24, 1997. See Venne Complaint. 10 It also concerns the same facts as the present suit.

II. STANDARD OF REVIEW

Under 28 U.S.C. § 1404(a), a district court may transfer any civil action to a district where it could have been brought for: (1) the convenience of the parties; (2) the convenience of the witnesses; and, (3) the interests of justice. Robinson v. Giarmarco & Bill, P.C., 74 F.3d 253, 260 (11th Cir.1996). The Eleventh Circuit has determined that a court should be somewhat restrictive in transferring actions; indeed, “[t]he plaintiffs choice of forum should not be disturbed unless” the movant can show that “it is clearly outweighed by other considerations.” Id., quoting Howell v. Tanner, 650 F.2d 610 (5th Cir. Unit B 1981), cert. den. 456 U.S. 918, 102 S.Ct. 1775, 72 L.Ed.2d 178 (1982) (emphasis added).

Nevertheless, the decision whether to transfer is within the discretion of the trial court, and each ease should be decided on its particular facts. See Brown v. Connecticut General Life Insurance Co., 934 F.2d 1193 (11th Cir.1991); Hutchens v. Bill Heard Chevrolet Co., 928 F.Supp. 1089 (M.D.Ala.1996).

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990 F. Supp. 1354, 1998 U.S. Dist. LEXIS 320, 1998 WL 13537, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gould-v-national-life-insurance-almd-1998.