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Romero v. Indymac Federal Bank

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF CALIFORNIA


March 26, 2010

JORGE ROMERO AND LUCIA OROZCO, PLAINTIFFS,
v.
INDYMAC FEDERAL BANK; CITIMORTGAGE; SECURITY MORTGAGE FUNDING CORP.; QUALITY LOAN SERVICE CORP.; ONEWEST BANK, FSB; MORTGAGE ELECTRONIC REGISTRATION SYSTEMS, INC.; HUONG LO; AND DOES 1-20 INCLUSIVE, DEFENDANTS.

The opinion of the court was delivered by: Morrison C. England, Jr. United States District Judge

MEMORANDUM AND ORDER

Through the present action, Plaintiffs Jorge Romero and Lucia Orozco ("Plaintiffs") seek monetary and injunctive relief from Defendants CitiMortgage, Inc. and Mortgage Electronic Registration Systems, Inc. in its capacity as nominee/beneficiary of Plaintiffs' CitiMortage-administered Deed of Trust (collectively "Defendants") for a litany of state and federal claims arising out of Plaintiffs' financing of their home in 2006.

Presently before the Court is a Motion by Defendants to Dismiss the claims alleged against them in Plaintiffs' First Amended Complaint for failure to state a claim upon which relief may be granted pursuant to Federal Rule of Civil Procedure 12(b)(6). Additionally, Defendants move to strike portions of Plaintiffs' Amended Complaint pursuant to Federal Rule of Civil Procedure 12(f).*fn1

As alleged against Defendants, Plaintiffs' only federal cause of action is for violation of the Real Estate Settlement Procedures Act ("RESPA"), 12 U.S.C. § 2605. However, Plaintiffs' Opposition to Defendants' Motion to Dismiss specifically concedes this point and respectfully requests that the RESPA claim be dismissed.

Plaintiffs are cautioned against filing a complaint in this Court and then dismissing the federal claims as soon as a Motion to Dismiss is filed. Nonetheless, with only state law claims remaining, this Court ceases to have subject matter jurisdiction over the Plaintiffs' suit as alleged against Defendants. The Court declines to exercise its supplemental jurisdiction over the remaining state causes of action and they are dismissed without prejudice.

The Court need not address the merits of Defendants' Motion to Dismiss (Docket No. 21) as those issues are now moot. Similarly, Defendants' Motion to Strike (Docket No. 23) is DENIED as moot.

For the reasons stated above, the Court dismisses Defendants CitiMortgage, Inc. and Mortgage Electronic Registration Systems, Inc. in its capacity as nominee/beneficiary of Plaintiffs' CitiMortage-administered Deed of Trust. The suit brought against Defendants is REMANDED to Superior Court of California, County of Sacramento. The Clerk is directed to terminate the Defendants.

IT IS SO ORDERED.


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