Retzlaff v. Heartland Financial USA, Inc.
- Laura Swain
- 1:22-cv-03755
- U.S. District Court · Southern District of New York
- 5
In Retzlaff v. Heartland, Judge Swain transferred the lawsuit to Wisconsin because the property and events were there.
Ann-Marie Retzlaff’s case was transferred from the Southern District of New York to the Eastern District of Wisconsin. The transfer affected Retzlaff, Heartland Financial USA, Inc., Bank First, and the unidentified defendants; the merits of Retzlaff’s claims were left for the transferee court.
What happened
In Retzlaff v. Heartland Financial USA, Inc., Ann-Marie Retzlaff, representing herself, sued Heartland Financial USA, Inc., Bank First, and unidentified defendants over alleged violations connected to a mortgage for her campground. She cited federal securities laws and the Truth in Lending Act.
The court said it was unclear whether venue was proper in the Southern District of New York. It concluded that the Eastern District of Wisconsin was also a proper and more convenient place because the property and alleged events were there, and because Retzlaff and Bank First appeared to be located there.
Judge Laura Taylor Swain ordered the case transferred to the Eastern District of Wisconsin and closed the case in New York. She left Retzlaff’s requests for relief for the Wisconsin court to decide and denied fee-free appeal status.
The detailed version
- Retzlaff v. Heartland Financial USA, Inc. · No. 1:22-cv-03755
- Laura Swain
- June 21, 2022
Background
Ann-Marie Retzlaff, who paid the filing fees and represented herself, sued Heartland Financial USA, Inc., Bank First, and John Doe or Jane Doe defendants. She alleged that the defendants violated federal securities laws and other federal statutes in connection with a mortgage for her campground. Her claims principally cited Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and the Truth in Lending Act.
Retzlaff resides in Shawano County, Wisconsin, and alleged that the campground property is there. She also alleged that the events giving rise to her claims occurred in Waupaca County, Wisconsin. The opinion identifies Heartland as incorporated in Iowa with its principal place of business in Dubuque County, Iowa, and describes Bank First as having addresses in Manitowoc and Waupaca Counties, Wisconsin.
Venue analysis
Venue is the legally proper location for a lawsuit. The court explained that the Securities Exchange Act has a specific venue rule allowing an action where an alleged securities-law violation occurred or where a defendant resides or transacts business. The Truth in Lending Act claims are governed by the general federal venue statute, which includes districts where a defendant resides or where a substantial part of the events occurred.
The court said it was unknown whether the defendants transacted business in the Southern District of New York or whether any events connected to Retzlaff’s claims occurred there. Thus, it was unclear whether venue was proper in that district. Even assuming venue was proper in New York, the court found that venue was also proper in the Eastern District of Wisconsin because one defendant appeared to reside there and the alleged events occurred there.
Transfer decision
Under 28 U.S.C. § 1404(a), a court may transfer a case to another district where it could have been brought when doing so would serve the convenience of the parties and witnesses and the interests of justice. The court found transfer appropriate because the underlying events occurred in Waupaca County, relevant documents and witnesses could reasonably be expected to be there, Retzlaff lives in nearby Shawano County, and the property at issue is there. The court concluded that the Eastern District of Wisconsin appeared to be a more convenient forum.
Disposition
The court ordered the Clerk of Court to transfer the action to the United States District Court for the Eastern District of Wisconsin under Section 1404(a). It left the question whether Retzlaff’s requests for relief should be granted or denied to the transferee court. The order closed the case in the Southern District of New York. The court also certified that an appeal would not be taken in good faith and denied fee-free appeal status. Judge Laura Taylor Swain signed the order.
Read the full 5-page opinion on CourtListener, the free public archive maintained by the Free Law Project.