Annette Florence v. Crescent Resources, LLC, 484 F.3d 1293 (11th Cir. 2007). · Go Syfert
Annette Florence v. Crescent Resources, LLC, 484 F.3d 1293 (11th Cir. 2007). Cases Citing This Book View Copy Cite
“if there is any possibility that the state law might impose liability 3 on a resident defendant under the circumstances alleged in the complaint, the federal 4 court cannot find that joinder of the resident defendant was fraudulent, and remand is 5 necessary”
96 citation events (96 in the last 25 years) across 16 distinct courts.
Strongest positive: City of Phenix City v. Master Meter, Inc. (CONSENT) (almd, 2022-01-26) · Strongest negative: Brawley v. Nw. Mut. Life Ins. Co. (alnd, 2017-12-21)
Treatment trajectory · 2007 → 2026 · click a year to view as-of
2007 2016 2026
Top citers, strongest first. 50 distinct citers. How cited ↗
discussed Cited "but see" Brawley v. Nw. Mut. Life Ins. Co.
N.D. Ala. · 2017 · signal: but cf. · confidence high
But cf. Florence v. Crescent Res., LLC , 484 F.3d 1293 , 1296, 1299 (11th Cir. 2007) (acknowledging that purportedly fraudulently-joined party moved for a dismissal with prejudice which district court granted, but ultimately reversing jurisdictional determination as erroneous, vacating all judgments, and remanding consolidated cases to district court for return to state court).
examined Cited as authority (verbatim quote) City of Phenix City v. Master Meter, Inc. (CONSENT)
M.D. Ala. · 2022 · quote attribution · 1 verbatim quote · confidence high
when a defendant removes a case to federal court on diversity grounds, a court must remand the matter back to state court if any of the properly joined parties in interest are citizens of the state in which the suit was filed.
examined Cited as authority (verbatim quote) Sawyer v. Cooper Tire & Rubber Company
S.D. Ala. · 2021 · signal: see also · quote attribution · 1 verbatim quote · confidence high
f there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.
examined Cited as authority (quoted) Universal North America Ins. Co. v. Zuniga
E.D. Cal. · 2021 · quote attribution · 1 verbatim quote · confidence low
if there is any possibility that the state law might impose liability 3 on a resident defendant under the circumstances alleged in the complaint, the federal 4 court cannot find that joinder of the resident defendant was fraudulent, and remand is 5 necessary
discussed Cited as authority (rule) Wynfrey Cordell Robinson v. Hyundai Motor Manufacturing Alabama, LLC, et al.
M.D. Ala. · 2026 · confidence medium
Co. v. Roche, 546 U.S. 81, 90 (2005) (citing 28 U.S.C. § 1441 (b)). “[R]emand is the necessary corollary of a federal district court’s diversity jurisdiction, which requires complete diversity of citizenship.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir. 2007) (citation omitted).
discussed Cited as authority (rule) Estate of John Martin Campbell, Deceased, by and through James William McFarland, Jr., Executor v. Metropolitan Life Insurance Company, et al.
M.D. Ala. · 2026 · confidence medium
The Alabama Supreme Court has explained that “a Rule 12(b)(6) dismissal is proper only when it appears beyond doubt that the plaintiff can prove no set of facts in support of the claim that would entitle the plaintiff to relief.” Haywood v. Alexander, 121 So. 3d 972 , 974–75 (Ala. 2013) (citation omitted). “[I]f there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Florence v. Crescent Res…
discussed Cited as authority (rule) Wade Williams, et al. v. State Farm Fire & Casualty Company, et al.
M.D. Ala. · 2025 · confidence medium
Assuming the district court has subject matter jurisdiction, the case may proceed in federal court. “[R]emand is the necessary corollary of a federal district court’s diversity jurisdiction, which requires complete diversity of citizenship.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir. 2007) (citation omitted).
cited Cited as authority (rule) Neiman v. AllState Insurance Co.
S.D. Fla. · 2025 · confidence medium
Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir. 2007); Henderson v. 3 Allstate has been given an opportunity to cure the notice of removal deficiencies.
discussed Cited as authority (rule) Hammad v. LOWE'S HOME CENTERS LLC
S.D. Fla. · 2024 · confidence medium
As Judge Ruiz astutely explained in Korman: The Eleventh Circuit has held that “if there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007) (emphasis added).
discussed Cited as authority (rule) Poole v. State Farm Fire and Casualty Company
M.D. Ala. · 2024 · confidence medium
Co. v. Roche, 546 U.S. 81, 90 (2005) (citing 28 U.S.C. § 1441 (b)). “[R]emand is the necessary corollary of a federal district court’s diversity jurisdiction, which requires complete diversity of citizenship.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir. 2007) (citation omitted).
discussed Cited as authority (rule) Ennix v. Abbott Laboratories
S.D. Fla. · 2024 · confidence medium
So, “if there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007).
discussed Cited as authority (rule) Bagnall v. Dick's Sporting Goods Inc
N.D. Ala. · 2024 · confidence medium
The Eleventh Circuit has stated that when the court finds fraudulent joinder because the plaintiff cannot possibly establish a cause of action against the resident defendant, “the federal court must dismiss the non-diverse defendant.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir. 2007).
discussed Cited as authority (rule) Whitehead v. Southerland, Inc.
N.D. Ga. · 2024 · confidence medium
The second is that if a court determines that a resident defendant is fraudulently joined, then “the federal court must dismiss the [resident] defendant and deny any motion to remand the matter back to state court.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir. 2007) (emphasis added).
discussed Cited as authority (rule) Kathryn Engles v. Premium Brands OPCO LLC
C.D. Cal. · 2023 · confidence medium
Corp., 494 F.3d 1203, 1206 (9th Cir. 2007). “[I]f there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Hunter v. Philip Morris USA, 582 F.3d 1039, 1044 (9th Cir. 2009) (quoting Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007)).
discussed Cited as authority (rule) Watson v. HomeFirst Agency, Inc.
M.D. Ala. · 2023 · confidence medium
Coker, 709 F.2d at 1440 . “[I]f there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007).
discussed Cited as authority (rule) Katrina Wright v. Q Squared Solutions LLC
C.D. Cal. · 2023 · confidence medium
Corp., 494 F.3d 1203, 1206 (9th Cir. 2007). “[I]f there is any possibility that the state law might impose liability on a resident defendant under the _____________________________________________________________________________ UNITED STATES DISTRICT COURT CENTRAL DISTRICT OF CALIFORNIA CIVIL MINUTES – GENERAL Case No.: 8:23-cv-00506-FWS-ADS Date: August 17, 2023 Title: Katrina Wright v. Q Squared Solutions LLC et al. circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Hunter v. Philip Mor…
discussed Cited as authority (rule) Gustafson v. Home Depot U.S.A., Inc.
E.D. Cal. · 2023 · confidence medium
“The standard is not whether plaintiffs will actually or even probably 17 prevail on the merits, but whether there is a possibility that they may do so.” Id. (citing 18 Lieberman v. Meshkin, Mazandarani, No. C-96-3344 SI, 1996 WL 732506 , at *3 (N.D. 19 Cal. Dec. 11, 1996)); Hunter, 582 F.3d at 1044 (citing Florence v. Crescent Res., LLC, 20 484 F.3d 1293, 1299 (11th Cir. 2007)) (“[I]f there is any possibility that the state law 21 might impose liability on a resident defendant under the circumstances alleged in the 22 complaint, the federal court cannot find that joinder of the resident…
discussed Cited as authority (rule) Bryant v. Argon Medical Devices, Inc.
M.D. Ala. · 2023 · confidence medium
“If there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Florence v. Crescent Resources, LLC, 484 F.3d 1293, 1299 (11th Cir. 2007).
discussed Cited as authority (rule) Barger v. Target Corporation
M.D. Fla. · 2023 · confidence medium
Tobacco Co., 168 F.3d 405, 412 (11th Cir. 1999).1 “When a defendant removes an action to federal court on diversity grounds, a court must remand the matter to state court if complete diversity is lacking 1 Section 1332 confers jurisdiction to the district courts over “all civil actions where the matter in controversy exceeds the sum or value of $75,000 . . . and is between citizens of different States.” 28 U.S.C. § 1332 (a)(1). between the parties or if any of the properly served defendants are citizens of the state in which the suit was filed.” Florence v. Crescent Res., LLC, 484 F.3…
discussed Cited as authority (rule) Valeria Valenzuela v. Target Corporation
C.D. Cal. · 2023 · confidence medium
Corp., 494 F.3d 1203, 1206 (9th Cir. 2007). “[I]f there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Hunter v. Philip Morris USA, 582 F.3d 1039, 1044 (9th Cir. 2009) (quoting Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007)).
discussed Cited as authority (rule) Jensen v. Hardwoods Specialty Products US LP
E.D. Cal. · 2022 · confidence medium
Cal. Dec. 11, 1996)); Hunter, 582 F.3d at 1044 16 (citing Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007)) (“If there is 17 any possibility that the state law might impose liability on a resident defendant under the 18 circumstances alleged in the complaint, the federal court cannot find that joinder of the 19 resident defendant was fraudulent, and remand is necessary.”). 20 Plaintiff moves to remand on the basis that he has stated viable causes of action 21 for harassment against individual Defendants Lavrador and Clausen.
discussed Cited as authority (rule) Aguinaldo v. Dick's Sporting Goods, Inc.
E.D. Cal. · 2022 · confidence medium
Cal. Dec. 11, 1996)); Hunter, 582 F.3d 21 at 1044 (citing Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007)) 22 (“[I]f there is any possibility that the state law might impose liability on a resident 23 defendant under the circumstances alleged in the complaint, the federal court cannot 24 find that joinder of the resident defendant was fraudulent, and remand is necessary.”). 25 Defendant Ziebart is a district manager for Dick’s who oversaw several stores in 26 California’s Central Valley at the time Plaintiff purchased the golf club in question.
discussed Cited as authority (rule) Korman v. Berkshire Life Insurance Company of America (2×)
S.D. Fla. · 2022 · confidence medium
So, any ambiguity or doubt about the substantive state law favors remand to state court.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007) (citing Crowe v. Coleman, 113 F.3d 1536, 1539 (11th Cir. 1997)).
discussed Cited as authority (rule) Cameron Lowe v. Michaels Stores, Inc.
C.D. Cal. · 2022 · confidence medium
Hunter, 582 F.3d at 1046 (“[I]f there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.”) (quoting Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007)); see Ashcroft v. Iqbal, 555 U.S. 662 , 678 (2009) (“A claim has facial plausibility when the plaintiff pleads factual content that allows the court to draw the reasonable inference that the defendant is liable for the misconduct a…
discussed Cited as authority (rule) Stockman v. Safford Trading Company LLC
S.D. Ala. · 2022 · confidence medium
Id. at 1332-33 . “[I]f there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Florence v. Crescent Resources, LLC, 484 F.3d 1293, 1299 (11th Cir. 2007).
discussed Cited as authority (rule) Davis v. Frank
E.D. Cal. · 2022 · confidence medium
Cal. Dec. 11, 1996)); Hunter, 582 F.3d 13 at 1044 (citing Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007)) 14 (“If there is any possibility that the state law might impose liability on a resident 15 defendant under the circumstances alleged in the complaint, the federal court cannot 16 find that joinder of the resident defendant was fraudulent, and remand is necessary.”). 17 While fraudulent joinder claims typically concern nondiverse defendants, a 18 handful of cases have applied the doctrine to nonresident plaintiffs.
discussed Cited as authority (rule) French v. Davenport Agency, Inc.
M.D. Ala. · 2021 · confidence medium
The presence of a fraudulently joined, non-diverse defendant does not defeat diversity jurisdiction because where the joinder is fraudulent, the court “must dismiss the non- diverse defendant and deny any motion to remand the matter back to state court.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir. 2007).
discussed Cited as authority (rule) Seanez v. Union Pacific Railroad Company
E.D. Cal. · 2021 · confidence medium
The Ninth Circuit has cited Eleventh Circuit precedent for the 10 proposition that “if there is any possibility that the state law might impose liability on a resident 11 defendant under the circumstances alleged in the complaint, the federal court cannot find that 12 joinder of the resident defendant was fraudulent, and remand is necessary.” Hunter, 582 F.3d at 13 1044 (quoting Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007) (internal 14 quotation marks omitted)); see also, McGrann v. AT&T Mobility Servs., LLC, 2016 WL 6205596 , 15 at *3 (E.D.
discussed Cited as authority (rule) Jolly v. Hoegh Autoliners Shipping AS
M.D. Fla. · 2021 · confidence medium
If a court finds that a defendant is fraudulently joined, it “must dismiss the non-diverse defendant and deny any motion to remand the matter back to state court.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir. 2007).
discussed Cited as authority (rule) Stubbs v. Parcel 1
M.D. Ala. · 2021 · confidence medium
The presence of a fraudulently joined, non-diverse defendant does not defeat diversity jurisdiction because where the joinder is fraudulent, the court “must dismiss the non- diverse defendant and deny any motion to remand the matter back to state court.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir. 2007).
discussed Cited as authority (rule) Janet Snyder v. Teva Pharmaceuticals USA, Inc.
C.D. Cal. · 2020 · confidence medium
In evaluating whether there is fraudulent joinder, the bar is simply whether “there is any possibility that the state law might impose liability on a resident defendant,” Hunter, 582 F.3d at 1044 (9th Cir. 2009) (quoting Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007)) (emphasis added).
discussed Cited as authority (rule) Janet Snyder v. Teva Pharmaceuticals USA, Inc.
C.D. Cal. · 2020 · confidence medium
In evaluating whether there is fraudulent joinder, the bar is simply whether “there is any possibility that the state law might impose liability on a resident defendant,” Hunter, 582 F.3d at 1044 (9th Cir. 2009) (quoting Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007)) (emphasis added).
discussed Cited as authority (rule) Chambers v. State Farm Fire & Casualty Company
N.D. Ga. · 2020 · confidence medium
“If there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” , 484 F.3d 1293, 1299 (11th Cir. 2007).
discussed Cited as authority (rule) ERC Properties LLC v. Cousins Insurance Agency Inc
N.D. Ala. · 2020 · confidence medium
But “if a defendant shows that ‘there is no possibility the plaintiff can establish a cause of action against the resident defendant,’ then the plaintiff is said to have fraudulently joined the non-diverse defendant.” Florence v. Crescent Resources, Inc., 484 F.3d 1293, 1297 (11th Cir. 2007) (quoting Henderson v. Washington Nat.
discussed Cited as authority (rule) Frasier v. Blackboard Insurance Company, LLC
S.D. Ala. · 2020 · confidence medium
A fraudulently joined non-diverse defendant does not defeat diversity because his citizenship is not considered and if fraudulent joinder is found, the court “must dismiss the non-diverse defendant and deny any motion to remand the matter back to state court.” Florence v. Crescent Resources, LLC, 484 F.3d 1293, 1297 (11th Cir. 2007).
discussed Cited as authority (rule) Terry Holbrook v. Ford Motor Company (2×)
C.D. Cal. · 2020 · confidence medium
However, “if there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Id. at 1044 (quoting Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007)).
discussed Cited as authority (rule) Alejandra Arteaga v. FCA US LLC (2×)
C.D. Cal. · 2020 · confidence medium
However, “if there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Id. at 1044 (quoting Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007)).
discussed Cited as authority (rule) Gilbert v. ADT Alabama Corp
N.D. Ala. · 2019 · confidence medium
But “if a defendant shows that ‘there is no possibility the plaintiff can establish a cause of action against the resident defendant,’ then the plaintiff is said to have fraudulently joined the non-diverse defendant.” Florence v. Crescent Resources, Inc., 484 F.3d 1293, 1297 (11th Cir. 2007) (quoting Henderson v. Washington Nat.
discussed Cited as authority (rule) BAGGETT v. GREGORY
M.D. Ga. · 2019 · confidence medium
“However, if a defendant shows that ‘there is no possibility the plaintiff can establish a cause of action against [a non-diverse] defendant,’ then the plaintiff is said to have fraudulently joined the non-diverse defendant.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir. 2007) (quoting Henderson v. Wash. Nat’l Ins.
discussed Cited as authority (rule) Lett v. Wells Fargo Bank, N.A.
S.D. Fla. · 2017 · confidence medium
Co., 454 F.3d 1278, 1281 (11th Cir. 2006) (vacating the grant of a motion to dismiss state law claims and reversing denial of remand motion and holding that a decision as to the sufficiency of the pleadings regarding state law claims against non-diverse defendants should be made by the state court); Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir. 2007) (holding the same because it was unclear under Florida state law whether the plaintiffs could recover for the torts they pled).
cited Cited as authority (rule) Donald H. Kimball v. Better Business Bureau of West Florida
11th Cir. · 2015 · confidence medium
Res., LLC, 484 F.3d 1293, 1297 (11th Cir.2007).
cited Cited as authority (rule) Stephanie Johnson v. Bank of America, N.A.
11th Cir. · 2014 · confidence medium
Florence v. Crescent Res., L.L.C., 484 F.3d 1293, 1297 (11th Cir.2007).
discussed Cited as authority (rule) Manley v. Ford Motor Co.
N.D. Ga. · 2014 · confidence medium
Remand is required so long as the plaintiff has even “an arguable claim,” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1298-99 (11th Cir.2007)—that is, “if there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint,” id. at 1299 .
discussed Cited as authority (rule) Silverman v. Wells Fargo Insurance Services USA, Inc.
S.D. Fla. · 2014 · confidence medium
The standard is high. “[I]f there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir.2007); see also Crowe, 113 F.3d at 1542 (“there need only be a reasonable basis for predicting that the state law might impose liability on the facts involved”) (emphasis in. original).
cited Cited as authority (rule) CSDVRS, LLC v. Purple Communications, Inc.
M.D. Fla. · 2013 · confidence medium
Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir.2007).
discussed Cited as authority (rule) Simon v. Howmedica Osteonics Corp.
S.D. Fla. · 2012 · confidence medium
To prevent an order of remand, Howmedica must show “there is no possibility the plaintiff can establish a cause of action against the resident defendant.” Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir.2007) (quoting Crowe, 113 F.3d at 1538 ).
cited Cited as authority (rule) In re Accutane Products Liability
M.D. Fla. · 2012 · confidence medium
Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir.2007).
discussed Cited as authority (rule) John Walker v. Philip Morris USA Inc.
6th Cir. · 2011 · confidence medium
See also Schur, 577 F.3d at 764 ("Fraudulent joinder is difficult to establish— a defendant must demonstrate that, after resolving all issues of fact and law in favor of the plaintiff, the plaintiff cannot establish a cause of action against the in-state defendant.”) (quotation omitted); Florence v. Crescent Res., LLC, 484 F.3d 1293, 1299 (11th Cir.2007) ("We hold that, if there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudu…
cited Cited as authority (rule) Toskich v. J.H. Investment Services, Inc.
M.D. Fla. · 2011 · confidence medium
Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir.2007).
cited Cited as authority (rule) Moore Ex Rel. Estate of Rice v. North America Sports, Inc.
11th Cir. · 2010 · confidence medium
Dial v. Healthspring of Ala., Inc., 541 F.3d 1044, 1047 (11th Cir.2008); Florence v. Crescent Res., LLC, 484 F.3d 1293, 1297 (11th Cir.2007).
Retrieving the full opinion text from the archive…
Annette FLORENCE, Plaintiff-Appellant,
v.
CRESCENT RESOURCES, LLC, a Foreign Corporation, Rinehart Development & Investment Group, LLC, a Florida Corporation, Defendants-Appellees; William Burke, Plaintiff-Appellant, v. Crescent Resources, LLC, a Foreign Corporation, Rinehart Development & Investment Group, LLC, a Florida Corporation, Defendants-Appellees; Lethesa Reliford, as Personal Representative for the Estate of Ceola Reliford, Plaintiff-Appellant, v. Crescent Resources, LLC, a Foreign Corporation, Rinehart Development & Investment Group, LLC, a Florida Corporation, Defendants-Appellees; Robert Burns, Plaintiff-Appellant, v. Crescent Resources, LLC, a Foreign Corporation, Rinehart Development & Investment Group, LLC, a Florida Corporation, Defendants-Appellees
06-13587, 06-13588, 06-13589 and 06-14206.
Court of Appeals for the Eleventh Circuit.
Apr 18, 2007.
484 F.3d 1293
Elizabeth Koebel Russo, Russo App. Firm, P.A., South Miami, FL, John R. Overchuck, Paul G. Byron, Overchuck, De Marco, Byron & Overchuck, P.A., Winter Park, FL, for Plaintiffs-Appellants., David A. Shontz, Michael L. Gore, Alfred J. Bennington, Jr., Shutts & Bowen, LLP, Orlando, FL, Sylvia H. Walbolt, Carlton Fields, P.A., Tampa, FL, for Defendants-Appellees., Jonathan L. Gaines, Russo App. Firm, P.A., South Miami, FL, for Burns.
Cox, Dubina, Schlesinger.
Cited by 72 opinions  |  Published
1 passage pin-cited by 1 case
Pinpoint authority: bottom 79%
Citer courts: E.D. California (1)
COX, Circuit Judge:

We address in these appeals the question of fraudulent joinder of a resident defendant in the context of removal jurisdiction. Applying the rule that any ambiguity or doubt about whether state law might impose liability on a resident defendant favors remand, we conclude that the district court should have remanded these cases to state court.

I. PROCEDURAL HISTORY

Plaintiffs Annette Florence, William Burke, Robert Burns, and Lethesa Reli-ford as personal representative of the estate of Ceola Reliford filed individual lawsuits against Crescent Resources, LLC (“Crescent”) and Rinehart Development & Investment Group, LLC (“Rinehart”) in Florida state court. The complaint in each case alleged that: (1) land owned by Crescent and Rinehart at the time the lawsuits were filed had been used by its previous owners as a manufacturing facility and waste water treatment plant; (2) each Plaintiff had sustained personal injury or death caused by exposure to hazardous substances that were stored on the land prior to Crescent’s and Rinehart’s ownership of it; and (3) Crescent and Rinehart were liable pursuant to § 376.313 Florida Statutes, a statute that creates a strict liability cause of action against owners of real property in Florida for damages caused by surface or ground water contaminants on the property.

Crescent removed the cases to federal court, alleging that jurisdiction existed over each case, pursuant to 28 U.S.C. § 1441, as the amount in controversy exceeded $75,000; Crescent was diverse from each Plaintiff; and Rinehart, a citizen of Florida, had been fraudulently joined in the lawsuits. In its notices of removal, Crescent stated (and Rinehart joined the argument) that Plaintiffs could not state causes of action under the Florida statute against Rinehart because, as a matter of law, Plaintiffs could prove no causal connection between Plaintiffs’ exposure to hazardous substances, pollutants, and chemicals and Rinehart’s use of the land, which it acquired years later.

Each Plaintiff moved to remand to state court, arguing that § 376.313, Fla. Stat. imposes strict liability on the owners of contaminated land and does not require Plaintiffs to prove any causal connection between their exposure to hazardous substances and the current owners’ use of the land. At the very least, Plaintiffs argued, there was a possibility that their complaints stated causes of action under Florida law. Therefore, Plaintiffs concluded, Rinehart had not been fraudulently joined, its Florida citizenship destroyed diversity jurisdiction, and remand was proper.

Crescent opposed Plaintiffs’ motions to remand. While the motions to remand were pending, Crescent filed motions to[*1296] dismiss Plaintiffs’ complaints with prejudice or, in the alternative, for summary-judgment. In these filings, Crescent again argued that the Florida statute does not impose liability on property owners who acquire the property after a plaintiffs exposure to pollution on the property. It also argued that the Florida statute: (1) does not create a cause of action for personal injury, and (2) provides an affirmative defense — the Third Party Defense— that applied to bar Plaintiffs’ claims against both Rinehart and Crescent. According to Crescent, the Third Party Defense, found at § 376.308(2)(d), Fla. Stat., required dismissal of Rinehart (as a fraudulently joined non-diverse Defendant) and judgment in favor of Crescent.

The district court denied Plaintiffs’ motions to remand, dismissed Rinehart, and entered judgment for Crescent in each of the cases. In its orders, the district court adopted by reference the reasoning it expressed in a related case that alleged the same cause of action against Defendants, Brottem v. Crescent Resources, LLC, No. 6:06-cv-306-Orl-31KRS, 2006 WL 1529327 (M.D.Fla. May 24, 2006). In Brottem, the district court said that there was a “distinct possibility that a Florida court could find that a private cause of action exists under Florida law for the personal injury damages suffered by the Plaintiffs.” Id. at *4. And, the court rejected Defendants’ argument that Plaintiffs must prove that the pollution that caused their injuries was created by Defendants. Id. However, in Brottem and the cases now on appeal, the district court found that the statutory Third Party Defense barred the claims against Defendants. [1]

Plaintiffs appeal the denial of their motions to remand and the judgments in favor of Crescent. We consolidated the four cases on appeal.

II. ISSUES ON APPEAL & CONTENTIONS OF THE PARTIES

Plaintiffs argue that their complaints state viable claims under the Florida statute against both Rinehart and Crescent, claims that are not barred by the statutory Third Party Defense. At the very least, they argue, the complaints present color-able claims under Florida law. Thus, they argue that their cases should have been remanded to state court because Rinehart (the non-diverse Defendant) was not fraudulently joined, there was not complete diversity between the parties, and the district court lacked subject matter jurisdiction. For the same reasons, Plaintiffs also argue that the district court erred in granting summary judgment to Crescent.

Rinehart and Crescent argue that the district court properly concluded that Plaintiffs could not maintain a cause of action against them pursuant to § 376.313, Fla. Stat. They argue that the Florida statute does not impose liability on owners[*1297] of real property for personal injuries caused by a plaintiffs exposure to hazardous waste or toxic chemicals prior to the defendant’s ownership of the property. And, they argue that the statutory Third Party Defense bars the Plaintiffs’ claims against them. Therefore, they conclude, the district court did not err in dismissing Rinehart, denying the motions to remand, and granting summary judgment for Crescent.

Concluding that the court erred in denying Plaintiffs’ motions to remand, we address only the jurisdictional issues in this case.

III. STANDARD OF REVIEW

We review denial of a plaintiffs motion to remand de novo. See Henderson v. Washington Nat Ins. Co., 454 F.3d 1278, 1281 (11th Cir.2006) (citing Pacheco de Perez v. AT&T Co., 139 F.3d 1368, 1373 (11th Cir.1998)).

IV. DISCUSSION

“When a defendant removes a case to federal court on diversity grounds, a court must remand the matter back to state court if any of the properly joined parties in interest are citizens of the state in which the suit was filed. Such a remand is the necessary corollary of a federal district court’s diversity jurisdiction, which requires complete diversity of citizenship.” Henderson, 454 F.3d at 1281 (citing Lincoln Prop. Co. v. Roche, 546 U.S. 81, 126 S.Ct. 606, 613, 163 L.Ed.2d 415 (2005); 28 U.S.C. § 1441(b)). However, if a defendant shows that “there is no possibility the plaintiff can establish a cause of action against the resident defendant,” then the plaintiff is said to have fraudulently joined the non-diverse defendant. Id. (quoting Crowe v. Coleman, 113 F.3d 1536, 1538 (11th Cir.1997)). [2] In that situation, the federal court must dismiss the non-diverse defendant and deny any motion to remand the matter back to state court. Id.

Crescent removed these cases to federal court based solely on its allegation that diversity jurisdiction exists in the federal court. Thus, in the face of Plaintiffs’ motions to remand, Crescent had to demonstrate that Rinehart (a citizen of Florida) was fraudulently joined in the cases. As we stated in Henderson, “the district court was correct to deny the motion to remand only if there was no possibility that [the Plaintiffs] could have maintained a cause of action against [the resident defendant] in ... state court.” 454 F.3d at 1281-82.

We turn now to consideration of the cause of action asserted in Plaintiffs’ complaints. Section 376.313, Fla. Stat. states, in pertinent part:

(3) ... [N]othing contained in [sections] 376.30-376.319 prohibits any person from bringing a cause of action in a court of competent jurisdiction for all damages resulting from a discharge or other condition of pollution covered by [sections] 376.30-376.319. Nothing in this chapter shall prohibit or diminish a party’s right to contribution from other parties jointly or severally liable for a prohibited discharge of pollutants or hazardous substances or other pollution conditions. Except as otherwise provided in subsection (4) or subsection (5), in any such suit, it is not necessary for[*1298] such person to plead or prove negligence in any form or manner. Such person need only plead and prove the fact of the prohibited discharge or other pollutive condition and that it has occurred. The only defenses to such cause of action shall be those specified in [section] 376.308.

The plain language of the statute does not indicate whether a plaintiff can maintain a personal injury cause of action against a defendant that acquires polluted property after the plaintiffs exposure. To support their contention that they can maintain such an action, Plaintiffs cite Aramark Uniform and Career Apparel, Ine. v. Easton, 894 So.2d 20 (Fla.2004), which holds that the statute creates a strict liability cause of action. In Aramark, the Florida Supreme Court stated that section 376.313 “creatfes] a damages remedy for the non-negligent discharge of pollution without proof that the defendant caused it.” Id. at 24 (emphasis added). However, Aramark does not state that a personal injury plaintiff can maintain the statutory cause of action against a defendant who not only did not cause the pollution but also did not own the contaminated property at the time the plaintiff was exposed to the pollution. On the other hand, Ara-mark does not eliminate the possibility that such a claim is viable. And, Defendants cite no other Florida statute or case that does so. As the district court said, there is a “distinct possibility that a Florida court could find that a private cause of action exists under Florida law for the personal injury damages suffered by the Plaintiffs.” Brottem, 2006 WL 1529327, at *4. But, it is also possible that a Florida court could find otherwise, holding that, in order to be held liable, a defendant must have owned the property at the time of plaintiffs exposure to the pollution. Florida law is unclear on this point.

Defendants argue, and the district court found, that Plaintiffs cannot maintain a cause of action against them because the statutory Third Party Defense acts as a total bar to Plaintiffs’ claims against both Rinehart and Crescent. [3] That affirmative defense allows a defendant to escape liability by proving that: (1) the pollution was solely the result of an act or omission of a third party unrelated to the defendant, (2) the defendant “exercised due care with respect to the pollutant concerned, taking into consideration the characteristics of such pollutant, in light of all relevant facts and circumstances,” and (3) the defendant “took precautions against any foreseeable acts or omissions of any such third party and against the consequences that could foreseeably result from such acts or omissions.” § 376.308(2)(d), Fla. Stat. The district court acknowledged that owners like Rinehart, who later acquire contaminated property, cannot prove the last two elements of the Third Party Defense as enumerated in the statute. Brottem, 2006 WL 1529327, at *6 n. 14. In finding that the defense should nonetheless apply to bar actions against those defendants, the district court posited an answer to the question that we find remains unanswered in Florida law: whether a cause of action for personal injury caused by environmental contamination can be maintained against property owners who did not own the property at the time of the plaintiffs exposure to the contamination.

As we have previously cautioned, on a motion for remand, the federal court’s analysis “must be limited to determining whether Plaintiffs have even an arguable[*1299] claim. So, any ambiguity or doubt about the substantive state law favors remand to state court.” Crowe v. Coleman, 113 F.3d 1536, 1539 (11th Cir.1997). We hold that, if there is any possibility that the state law might impose liability on a resident defendant under the circumstances alleged in the complaint, the federal court cannot find that joinder of the resident defendant was fraudulent, and remand is necessary. Henderson, 454 F.3d at 1284; Crowe, 113 F.3d at 1540; see also Parks v. The New York Times Co., 308 F.2d 474, 477 (5th Cir.1962) (“[Djetermination of fraudulent joinder is to be based on whether there was a real intention on colorable grounds to procure a joint judgment. Doubt as to whether under the state law a case of joint liability is stated ... will not render the joinder fraudulent.”). [4]

Because we conclude that Florida law is unclear as to whether Rinehart and Crescent could, as a matter of law, be held liable for personal injury damages suffered by Plaintiffs as a result of their exposure to environmental contaminants prior to the Defendants’ ownership of the contaminated land, the district court erred in concluding that Rinehart was fraudulently joined. [5] Because Rinehart is a citizen of Florida, complete diversity does not exist, and the district court lacked subject matter jurisdiction to adjudicate the cases. The motions to remand should have been granted.

V. CONCLUSION

For the foregoing reasons, the dismissals and judgments are vacated, and the cases are remanded to the district court with instructions to remand them to the state court for further proceedings.

VACATED AND REMANDED.

1

. In Brottem, the court stated that because Rinehart and Crescent acquired ownership of the land in question after the pollution occurred, they could not prove two elements of the statutory defense, namely that they: (1) exercised due care with respect to the pollutant in question; and (2) took precautions against foreseeable acts or omissions of the third party responsible for the discharge. See § 376.308(2)(d), Fla. Stat.; Brottem, 2006 WL 1529327, at *6 n. 14. However, the district court decided that the consequence of subjecting innocent subsequent purchasers to liability could not have been intended by the Florida legislature. Brottem, 2006 WL 1529327, at *6. The district court concluded that it should interpret the Third Party Defense such that it nevertheless bars the actions against Rinehart. Id. Because there was no possibility that the Plaintiffs could state a valid claim against Rinehart, the court said, Rinehart was fraudulently joined and must be dismissed. Id.

2

. A defendant may also demonstrate fraudulent joinder by showing, by clear and convincing evidence, that “the plaintiff has fraudulently pled jurisdictional facts to bring the resident defendant into state court.” Henderson, 454 F.3d at 1281. Crescent has not argued that Plaintiffs fraudulently pled jurisdictional facts; rather, it has pursued only the argument that there is no possibility Plaintiffs could establish a cause of action against Rinehart under the Florida law.

3

. We have acknowledged that, under some circumstances, application of an affirmative defense can support a finding of fraudulent joinder. See Henderson, 454 F.3d at 1283-84.

4

. In Bonner v. City of Prichard, 661 F.2d 1206, 1207 (11th Cir.1981) (en banc), we adopted as binding precedent all decisions of the former Fifth Circuit rendered prior to October 1, 1981.

5

. The district court may have reached the correct conclusion in holding that Florida law does not impose liability on a defendant that did not own the contaminated property at the time of a plaintiff's exposure to the contamination. We express no opinion as to whether that conclusion is correct; we simply observe that it is not mandated by existing Florida law.