Williams v. Venture Tours, Inc.

Background

Defendants removed this action from the New York Supreme Court for Bronx County to the U.S. District Court for the Southern District of New York on July 28, 2021, asserting diversity jurisdiction. Jacqueline Williams moved to remand, meaning she asked the federal court to return the case to state court because the notice of removal was filed too late.

Analysis

Under 28 U.S.C. § 1446(b), a defendant generally must file a notice of removal within 30 days after receiving a document from which it can first determine that the case is removable. The parties disputed when defendants learned that the amount in controversy exceeded $75,000.

The court found that date was March 15, 2021. In discovery responses, Williams stated that she sought up to $500,000 for past and future medical expenses and up to $3,000,000 for past and future non-economic losses. Although defendants argued that this response stated only an upper limit rather than a specific demand, the court concluded that the response made clear that Williams sought more than $75,000. Applying the requirement that defendants use reasonable intelligence to determine whether a case is removable, the court held that the 30-day removal period began on March 15, 2021.

Ruling

Judge J. Paul Oetken held that defendants did not remove the action within the required 30-day period. The court granted Williams’s motion to remand and directed the Clerk of Court to remand the action to the Supreme Court of the State of New York, Bronx County, under index case number 34163/2020E. The court did not decide the merits of the underlying action.