Franco v. FCA US, LLC

Summary

The court denied Plaintiff Karla Franco’s motion to remand her Song-Beverly Act claims against FCA US, LLC to California state court. It held that diversity jurisdiction was established because Plaintiff was domiciled in California, FCA was a citizen of the Netherlands, and the amount in controversy exceeded $75,000 based on actual damages and potential civil penalties. The court also rejected Plaintiff’s argument that comity warranted declining jurisdiction.

Holdings

1. Complete diversity was established because Franco was shown by a preponderance of the evidence to be domiciled and therefore a citizen of California, while FCA was a citizen of the Netherlands.
2. The amount in controversy exceeded $75,000 because the evidence established approximately $65,109.78 in actual damages and a potential Song-Beverly civil penalty of approximately $130,219.56, for a total of approximately $195,329.34.
3. The court could not decline to exercise otherwise proper diversity jurisdiction merely because the claims arose under California law or because a state forum might be more convenient.

Questions Presented

1. Whether FCA established complete diversity of citizenship for purposes of removal.
2. Whether FCA established by a preponderance of the evidence that the amount in controversy exceeded $75,000.
3. Whether the district court could decline to exercise otherwise proper diversity jurisdiction based on comity because the claims arose under California law.

Disposition

other