Saul Romero v. Wayfair, LLC

Summary

The United States District Court for the Central District of California granted Plaintiff Saul Romero’s motion to remand an employment discrimination and wrongful termination action to state court. The court held that Wayfair had not met its heavy burden to establish fraudulent joinder of the nondiverse individual defendants because the pleading deficiencies might be cured by amendment, but denied fees and costs because Wayfair had an objectively reasonable basis for removal.

Holdings

1. The individual California defendants were not shown to have been fraudulently joined because Wayfair failed to establish that there was no possibility that a state court would find that Plaintiff stated, or could cure to state, a harassment claim against them.
2. The motion to remand was granted because complete diversity was lacking and Wayfair did not establish fraudulent joinder of the nondiverse defendants.
3. Plaintiff was not entitled to fees and costs because Wayfair had an objectively reasonable basis for removal.

Questions Presented

1. Whether the individual California defendants were fraudulently joined such that their citizenship could be disregarded for purposes of diversity jurisdiction.
2. Whether the alleged pleading deficiencies and the absence of proposed amendment details established that Plaintiff could not possibly cure the harassment claim against the nondiverse defendants.
3. Whether Plaintiff was entitled to fees and costs incurred as a result of the removal.

Disposition

remanded