Nensi Stagnaro v. Hollywood Park Management Company, LLC, et al.

Summary

The United States District Court for the Central District of California grants Nensi Stagnaro’s motion to remand a putative consumer class action to Los Angeles County Superior Court. The court holds that removal under the Class Action Fairness Act was timely but that defendants failed to establish by a preponderance of the evidence that the amount in controversy exceeded $5 million. The court denies attorney’s fees and denies defendants’ pending motions as moot.

Holdings

1. Removal was timely because the Second Amended Complaint materially expanded the putative class by including consumers charged a transaction fee regardless of whether they received prior notice, thereby triggering a new 30-day removal period under 28 U.S.C. § 1446(b)(3).
2. Defendants failed to establish by a preponderance of the evidence that the amount in controversy exceeded CAFA's $5 million threshold.
3. Plaintiff was not entitled to attorney's fees under 28 U.S.C. § 1447(c) because Defendants had an objectively reasonable basis for removal.
4. Defendants' motions to bifurcate discovery and dismiss the Third Amended Complaint were denied as moot after the case was remanded to state court.

Questions Presented

1. Whether Defendants timely removed the putative class action under 28 U.S.C. § 1446(b)(3).
2. Whether Defendants established by a preponderance of the evidence that the amount in controversy exceeded CAFA's $5 million jurisdictional threshold.
3. Whether Plaintiff was entitled to attorney's fees and costs under 28 U.S.C. § 1447(c) after remand.
4. Whether Defendants' motions to bifurcate discovery and dismiss the Third Amended Complaint remained justiciable after remand.

Disposition

remanded