Starr Indemnity and Liability Company v. Signature Flight Support Corporation

District Court, D. Nevada·Decided December 1, 2022·No. 2:22-cv-02011·Unknown

Opinion

] oR STARR INDEMNITY AND LIABILITY Case No. 3:22-cv-00179-LRH-CLB COMPANY, dba STARR INSURANCE COMPANIES as Subrogee of GLF AIR, ORDER LLC., and 60-206, LLC, Plaintiffs, “ SIGNATURE FLIGHT SUPPORT CORPORATION, a Nevada corporation; SIGNATURE FLIGHT SUPPORT, LLC, a Nevada limited liability company; SIGNATURE FLIGHT SUPPORT OF NEVADA, INC., a Nevada corporation; DOES 1 — X, inclusive, and ROW CORPORATIONS 1 — X, inclusive, Defendants Before the Court is Plaintiff Starr Indemnity and Liability Company’s (“Starr”) Motion to Remand to State Court. ECF No, 18. Signature Flight Support, LLC (“Signature”) opposed the motion (ECF No. 21) and Starr replied to the opposition (ECF No. 26). Also before the Court is Signature’s Motion for Intradistrict Transfer of Venue to the Southern Division. ECF No. 33. Starr opposed the motion (ECF No. 34) and Signature replied to the opposition (ECF No. 38). For the } reasons articulated herein, the Court denies Starr’s Motion to Remand and grants Signature’s Motion for Transfer, Although Signature’s Motion for Transfer to the Southern Division is granted, this action shall remain before the current presiding District Court and Magistrate Court judges, as explained below. H/ iv

BACKGROUND In May of 2019, a 2000 Bombardier 60 Lear Jet (“Lear Jet”) parked at the Las Vegas airport } was hit and damaged by another plane being towed by Signature employees. ECF No. 18 at 3. Starr insured the Lear Jet and paid the following post-accident costs to the policy holder: $61, 277.31 in repair damages, and $279,413.23 in rental aircraft expense and use costs, Jd. In December of 2019, Starr demanded Signature pay for the post-accident costs it incurred. Jd, The demand included sworn proof of loss statements which named “Starr Indemnity & Liability Company” as the insurer. ECF No. 18-10 at 7. Signature rejected the demand. ECF No. 18 at 3. On January 31, 2022, Starr filed its original complaint in State court alleging that Signature negligently cared for and maintained the Lear Jet and seeking declaratory relief regarding a parking waiver card (“Landing Card”) the parties executed in Las Vegas that effectively absolved Signature of tort liability should the Lear Jet be damaged. See generally, ECF No. 18-1. The } complaint named “Starr Insurance Companies” as plaintiff, included a broad description of Starr Insurance Companies’ business, and named five defendants: (1) Signature Flight Support Corporation; (2) Signature Flight Support, LLC; (3) Signature Flight Support of Nevada, Inc.; (4) } DOES I-X, inclusive; and (5) ROE Corporations I-X, inclusive, Jd. at 1. Signature was served with the original complaint on March 8, 2022. ECF No. 18-6 at 7, 11. On March 21, 2022, Signature’s counsel emailed Starr’s counsel and asked for clarification on who the proper plaintiff was because Signature could not find business registration information for “Starr Insurance Companies” in Nevada or elsewhere. ECF No. 18-8 at 2. Signature’s counsel also conveyed its belief that “Starr Indemnity & Liability Company” was the proper plaintiff because that entity was listed on the sworn proof of loss statements it received as part of the December 2019 demand. /d. at 2-3. Finally, Signature’s counsel informed Starr’s counsel that “Signature Flight Support, LLC” was the only proper defendant in the matter because “Signature Flight Support Corporation” had been converted into “Signature Flight Support, LLC,” and “Signature Flight Support of Nevada, Inc.,” had been merged into “Signature Flight Support, LLC,” long before Starr filed the original complaint. Id. at 2. On March 22, 2022, Starr’s counsel replied to the email and agreed to file an amended complaint. Jd.

Starr’s counsel emailed an amended complaint to Signature’s counsel on March 28, 2022. See generally, ECF No.18-9. The amended complaint named “Starr Indemnity & Liability Company” as the plaintiff, but all three Signature defendant entities remained. /d. at 6. Starr’s counsel refused to dismiss any defendants because counsel checked the Nevada Secretary of State website which listed the Signature Flight Support of Nevada, Inc.-Signature Flight Support, LLC, merger as “never completed.” Id. at 2. On April 20, 2022, Signature filed a notice of removal from the Second Judictal District Court for the State of Nevada based on diversity jurisdiction. See generally, ECF No. 1. The case was randomly assigned to the Honorable James C. Mahan of Nevada’s unofficial Southern } Division until it was ordered “administratively closed and transferred to the unofficial northern division in Reno for further action per LR IA 1-8(c)[.J” ECF No, 5; See LR JA 1-8(c) (requiring filings and proceedings to be held in the division of the court in which the original case was filed); see also 28 U.S.C. § 1441 (a) (requiring civil actions brought in state court be removed to the District Court embracing the state court where the action is pending). The Honorable Larry R. Hicks and Magistrate Judge Carla L. Baldwin of the unofficial Northern Division were randomly reassigned the matter for all further proceedings. ECF No. 17. Starr filed its Motion to Remand on May 9, 2022, (ECF No. 18), and Signature filed its Motion for Intradistrict Transfer on August 29, 2022 (ECF No. 33). The Court addresses these motions in turn below. II. LEGAL STANDARD A. Motion to Remand Under 28 U.S.C. § 1441, “any civil action brought in a State court of which the district courts of the United States have original jurisdiction, may be removed by the defendant or the defendants, to the district court of the United States for the district and division embracing the place where such action is pending.” 28 U.S.C. § 1441(a). A district court has original jurisdiction over civil actions where the suit is between citizens of different states and the amount in controversy, exclusive of interests and costs, exceeds $75,000.00. 28 U.S.C. § 1332(a).

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Starr Indemnity and Liability Company v. Signature Flight Support Corporation, (D. Nev. 2022).

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