Reece v. Thomas

Background

Laverne Reece, appearing without a lawyer, sued attorney Alvin Thomas under the court’s federal-question jurisdiction. She alleged that Thomas filed bankruptcy proceedings in 2017 and 2018 on her behalf without her knowledge or authorization. She said she had not met with Thomas for more than a decade and that the filings had damaged her credit. She also alleged that she had not authorized Thomas to file for bankruptcy.

Reece described the action as a follow-up to an earlier related proceeding against Thomas. In that earlier proceeding, she had alleged problems involving rental property, mortgages, and rental income. The earlier case was dismissed because the federal court lacked subject-matter jurisdiction, and the state-law claims were dismissed without prejudice to pursuing them in state court.

Reece was allowed to proceed without paying the filing fee. She named Thomas as the only defendant and did not specify the relief she sought.

Jurisdictional analysis

The court explained that federal courts have limited subject-matter jurisdiction. Federal-question jurisdiction exists when a claim arises under the Constitution, federal laws, or treaties. Merely identifying federal-question jurisdiction does not create jurisdiction unless the complaint alleges facts supporting a federal claim.

The court concluded that Reece had not identified a federal law that applied to her allegations. Although her allegations involved bankruptcy filings in federal Bankruptcy Court, the court said her claim that Thomas defrauded her arose under state law. The court noted that Reece might be able to seek relief concerning the bankruptcy proceedings in Bankruptcy Court. It also explained that a private person cannot prosecute a federal criminal case, although information about possible criminal conduct could be reported to authorities.

The court further stated that diversity jurisdiction was unavailable because the complaint alleged that both parties resided in Westchester County, New York, and therefore were citizens of the same state.

Ruling

The court dismissed Reece’s complaint for lack of subject-matter jurisdiction under Federal Rule of Civil Procedure 12(h)(3). It directed the Clerk to hold the case open for 30 days. Reece could file an amended complaint during that period alleging facts showing that her claims arose under federal law. If she did not do so, the court stated that it would enter judgment dismissing the action without prejudice.

Judge Swain also certified that any appeal would not be taken in good faith and denied Reece permission to proceed without prepaying fees for an appeal. The order directed the Clerk to mail Reece a copy of the order and record service on the docket.