Nand v. FedEx Ground Package System, Inc.

District Court, E.D. California·Decided March 26, 2024·No. 2:23-cv-01142·Unknown

Opinion

UNITED STATES DISTRICT COURT

NICHOLAS NAND, No. 2:23-cv-01142 DJC AC

Plaintiff, v. FEDEX GROUND PACKAGE

Defendant.

Plaintiff originally filed this action in San Joaquin County Superior Court

alleging a variety of claims connected to Plaintiff Nicholas Nand’s employment with

Defendant Fedex Ground Package Systems, Inc. and events related to an injury he

suffered during his employment. Defendant removed the case to this Court on the

basis of diversity jurisdiction. Plaintiff now seeks to amend the complaint to add an

additional non-diverse defendant, Joe Bermeo, and claim for disability harassment in

violation of the Fa ir Employment and Housing Act (“FEHA”) against Defendant and Bermeo. For the reasons stated below, the Court grants Plaintiff’s Motion to Amend the Complaint (ECF No. 4) and remands this action to the San Joaquin County Superior Court.

Plaintiff filed the Complaint in this action in San Joaquin County Superior Court

on May 2, 2023. (Compl. (ECF No. 1-1 at 5–22) at 1.) Therein, Plaintiff asserts a total of

fifteen claims for (1) disability discrimination in violation of FEHA, (2) failure to prevent

disability discrimination in violation of FEHA, (3) failure to accommodate in violation of

FEHA, (4) failure to engage in the good faith interactive process, (5) retaliation in

violation of FEHA, (6) wrongful termination in violation of public policy, (7) failure to

pay all wages owed, (8) failure to pay overtime compensation, (9) failure to pay

minimum wage, (10) failure to provide meal periods, (11) failure to provide rest

breaks, (12) failure to pay wages due upon termination; waiting time penalties, (13)

failure to issue accurate and itemized wage statements, (14) failure to indemnify, and

(15) unlaw business practices in violation of California Business and Professions Code

§ 17200. (Id.) These claims stem from a work-related foot injury Plaintiff allegedly

suffered on or around June 11, 2022, when “a heavy barbeque grill caused the

conveyor belt to drop onto Plaintiff’s foot[ ]” and he was left “unable to walk or move

his foot and experienced unbearable pain.” (Id. ¶¶ 9–10.) Plaintiff claims that after he

was injured, he was instructed by “Joe” to “not go to the emergency room and to stay

out of work as Defendant worked to find a workers’ compensation doctor to examine

Plaintiff’s work-related foot injury.” (Id. ¶ 12.) After remaining out of work for a week

utilizing his paid time off, Plaintiff “attempted to return to work but was instructed by

Defendant’s management, Michelle, Joe, and Adrian, that he needed to stay out of

work until he was cleared by a workers’ compensation doctor provided to him by

Defendant[ ]” and “. . . that he needed to wait to be contacted by Defendant’s workers’

compensation doctor and could not seek medical treatment from an emergency room

or his personal doctor, otherwise, Plaintiff’s work-related injury would be ‘out of [Defendant’s management’s] hands.’” (Id. ¶¶ 13–16.) Defendant alleges that his employment was terminated on July 8, 2022, due to his disability even though the stated reason was “for being a no call, no show[.]” (Id. ¶¶ 18–19.) Defendant removed this action to federal court on June 15, 2023, on the basis

of diversity jurisdiction. (Notice of Removal (ECF No. 1).) Plaintiff has now filed a

Motion to Amend the Complaint. (Pl.’s Mot. (ECF No. 4).) Defendant has filed an

opposition (Def.’s Opp’n (ECF No. 6)) and Plaintiff has filed a reply (Pl.’s Reply (ECF

No. 7)).

Plaintiff seeks to amend the complaint to add a defendant, Joe Bermeo, and a

new claim for disability harassment under FEHA against Defendant and Bermeo. (Pl.’s

Mot. at 3.) Bermeo was previously mentioned in the Complaint as a member of

Defendant’s management team. (See Compl. ¶¶ 12, 15.) Plaintiff’s Proposed

Amended Complaint (“PAC”) adds an allegation that when Plaintiff informed Bermeo

that he was unable to work after his injury, “Bermeo started yelling at Plaintiff, stating,

‘Hey, you need to come to f***ing work, and if you don’t, we are going to f***ing

terminate you. I don’t believe that you’re injured.’” (PAC (ECF No. 4-1 at 4–24) ¶ 12.)

Plaintiff’s Proposed Amended Complaint specifies that “Joe” in the original

Complaint, who told Plaintiff to not go to the emergency room and was a part of the

management team that later told Plaintiff he could not return to work until he was

cleared by the worker’s compensation doctor, was Bermeo. (Id. ¶ 13.) Based on these

allegations, Plaintiff seeks to add a claim against all defendants (Defendant and

Bermeo) for disability harassment in violation of FEHA. (Id. ¶ 32–42.)

Plaintiff’s Motion requests that the Court grant leave to amend under Federal

Rule of Civil Procedure 15. (Pl.’s Mot. at 4–9.) Defendant opposes the Motion arguing

that Plaintiff seeks to join Bermeo, a non-diverse individual, in order to destroy

diversity jurisdiction and have this action remanded back to state court. (Def.’s Opp’n

at 4.) Defendant argues that as the amendment would join a non-diverse defendant, the Court should apply the standard for joinder of such parties under 28 U.S.C. § 1447(e), not the Rule 15 amendment standard, and that the Court should exercise its discretion under Section 1447(e) to deny Plaintiff’s Motion. (Id. at 5–6.) In his reply, Plaintiff does not contest that joining Bermeo would destroy diversity but argues that

Rule 15 is the appropriate standard as he is seeking to amend the complaint but that

the Court should still grant his motion even if it determines the Section 1447(e) joinder

standard applies. (Pl.’s Reply at 3–9.) On October 12, 2023, the Court held oral

argument. (ECF No. 9.) Karen Hakobyan appeared on behalf of Plaintiff and

Defendant Gregory L. Blueford appeared on behalf of Defendant. (Id.)

I. Legal Standard

Generally, “[t]he court should freely give leave [to amend] when justice so

requires.” Fed. R. Civ. P. 15(a)(2). “[T]his mandate is to be heeded” and leave to

amend should be freely given in the absence of “any apparent or declared reason—

such as undue delay, bad faith or dilatory motive on the part of the movant, repeated

failure to cure deficiencies by amendments previously allowed, undue prejudice to

the opposing party by virtue of allowance of the amendment, futility of amendment,

etc.” Foman v. Davis, 371 U.S. 178, 182 (1962). However, 28 U.S.C. § 1447(e) states

that where after removal a plaintiff seeks to join additional defendants “whose joinder

would destroy subject matter jurisdiction, the court may deny joinder, or permit

joinder and remand the action to the State court.”

Historically, there has been disagreement between courts in this circuit as to

what standard to apply when a Plaintiff seeks to amend a complaint to add defendants

who would destroy diversity jurisdiction. See McGrath v. Home Depot USA, Inc., 298

F.R.D. 601, 606–07 (S.D. Cal. 2014) (detailing the split of authorities amongst courts in

the Ninth Circuit). Some courts have applied a standard analysis for granting leave to

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