Watson Brickell Development, LLC v. ACE American Insurance Company, et al.

Summary

The United States District Court for the Southern District of Florida granted in part Plaintiff’s motion to remand an insurance-related action because the parties were not completely diverse under 28 U.S.C. § 1332. The court denied the request for attorney’s fees and costs, finding that Defendants had an objectively reasonable basis for removal at the time of removal, and remanded the matter to state court.

Holdings

1. The court lacked diversity subject matter jurisdiction because Plaintiff's members included citizens of Pennsylvania, New York, and Illinois, the same states of citizenship as the defendants. The action therefore had to be remanded under 28 U.S.C. § 1447(c).
2. Plaintiff was not entitled to attorney's fees and costs because Defendants had an objectively reasonable basis for removal at the time of removal.
3. Defendants were not entitled to jurisdictional discovery before remand.

Questions Presented

1. Whether the action should be remanded because Plaintiff and Defendants were not completely diverse for purposes of 28 U.S.C. § 1332.
2. Whether Plaintiff was entitled to attorney's fees and costs under 28 U.S.C. § 1447(c) after remand.
3. Whether Defendants were entitled to jurisdictional discovery concerning Plaintiff's citizenship before the court ruled on remand.

Disposition

remanded