Fraser v. Team Health Holdings, Inc.

Background

The case concerns defendants’ motion to dismiss the plaintiffs’ First Amended Complaint. The plaintiffs asserted a claim under the Racketeer Influenced and Corrupt Organizations Act, commonly called RICO. They alleged that venue was proper under 28 U.S.C. §§ 1391(b) and (c), and 18 U.S.C. § 1965(a).

The court stated that the only connection to the Northern District of California was that TeamHealth West, an alleged member of the RICO enterprise, was located in Pleasanton, California. TeamHealth West owns the provider group that provided care to plaintiff Sia Fraser. The court also stated that none of the plaintiffs and none of the named defendants resided in the district.

Court’s Action

The court found that the defendants’ motion to dismiss could be decided without oral argument and vacated the hearing scheduled for April 23, 2021.

The court then ordered the parties to show cause—meaning to explain—why the case should not be transferred under 28 U.S.C. § 1404(a). The court cited authority allowing a court to consider transferring a case on its own initiative under the federal venue-transfer statute, provided the parties first have an opportunity to present their views.

The parties were ordered to file responses of no more than ten pages by May 3, 2021. The court stated that, after receiving the responses, it would consider the matter submitted and issue a written ruling.

Disposition and Scope

This order vacated the hearing and issued an order to show cause concerning possible transfer. It did not grant or deny the motion to dismiss, and it did not decide whether the case should be transferred.