Marcus D. Stinnett, et al. v. Commonwealth Annuity & Life Insurance Company, et al.

Summary

The United States District Court for the Eastern District of Tennessee grants Plaintiffs’ motions to remand an insurance-related action to the Circuit Court of Cocke County, Tennessee. The court concludes that Plaintiffs have a colorable basis for claims against nondiverse Tennessee defendants and that factual disputes concerning the policy representations and accrual of the claims preclude a finding of fraudulent joinder. The court therefore determines that complete diversity is lacking and remands the case.

Holdings

1. The Tennessee Defendants were not fraudulently joined because Plaintiffs asserted at least a colorable cause of action against them, defeating complete diversity.

Questions Presented

1. Whether the Tennessee Defendants were fraudulently joined, thereby destroying complete diversity and requiring remand to state court.
2. Whether Plaintiffs stated colorable negligence and misrepresentation claims against the Tennessee Defendants.
3. Whether Plaintiffs' claims were time-barred under the applicable statute of limitations.

Disposition

remanded