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Owb Reo LLC v. Joseph Q Octaviano et al.

March 23, 2012

OWB REO LLC
v.
JOSEPH Q OCTAVIANO ET AL.



The opinion of the court was delivered by: Present: The Honorable Gary Allen Feess

LINK: 1

CIVIL MINUTES - GENERAL

Renee Fisher None N/A Deputy Clerk Court Reporter / Recorder Tape No.

Attorneys Present for Plaintiffs: Attorneys Present for Defendants: None None

Proceedings: (In Chambers)

ORDER REMANDING CASE

I.

INTRODUCTION & BACKGROUND

On August 9, 2011, Plaintiff OWB REO, LLC ("OWB") filed this unlawful detainer action against Defendant Joseph Q. Octaviano in Los Angeles County Superior Court. (Docket No. 1, Not., Ex. A [Compl.].) Plaintiff alleges that it purchased Defendants' real property in Los Angeles by virtue of a lawful foreclosure sale on April 28, 2011, and that Defendants refuse to quit the premises. (Id. ¶¶ 5--6.) Defendant removed the action to this Court on February 23, 2012, asserting that the Court has jurisdiction pursuant to 28 U.S.C. §§ 1441 and 1446, and diversity jurisdiction pursuant to 28 U.S.C. § 1332. (Not.) For the reasons set forth below, the Court concludes that Defendant has failed to establish that the suit arises under federal law, or that the parties are diverse. Accordingly, the case is REMANDED to Los Angeles County Superior Court.

II.

DISCUSSION

LEGAL STANDARDS

Under Federal Rule of Civil Procedure 12(h)(3), "[i]f the court determines at any time that it lacks subject-matter jurisdiction, the court must dismiss the action." Fed. R. Civ. P. 12(h)(3). "[A] court may raise the question of subject matter jurisdiction, sua sponte, at any time during the pendency of the action . . . ." Snell v. Cleveland, Inc., 316 F.3d 822, 826 (9th Cir. 2002); see also United Investors Life Ins. Co. v. Waddell & Reed, Inc., 360 F.3d 960, 966 (9th Cir. 2004) ("Here the district court had a duty to establish subject matter jurisdiction over the removed action sua sponte, whether the parties raised the issue or not.").

The Ninth Circuit has held that courts must "strictly construe the removal statute against removal jurisdiction" and reject federal jurisdiction "if there is any doubt as to the right of removal in the first instance." Gaus v. Miles, Inc., 980 F.2d 564, 566 (9th Cir. 1992) (citation omitted). "The strong presumption against removal jurisdiction means that the defendant always ...


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