Michael Mayes v. American Hallmark Insurance Co

I. Background

Plaintiff Michael Mayes filed a complaint against American Hallmark Insurance Company (“American Hallmark”) in state court. After American Hallmark received a copy of the complaint, but before it was formally served, it removed the case to federal court based on diversity jurisdiction. Mayes moved to remand the case, arguing that removal was improper because American Hallmark had not yet been formally served.

1 We address the remainder of Mayes’ appeal and American Hallmark’s cross-appeal in a concurrently filed memorandum disposition, Mayes v. Am. Hallmark Ins. Co., Nos. 22-35075, 22-35120, 2024 WL --- (9th Cir. 2024) (affirming in part and reversing and remanding in part). A magistrate judge concluded that § 1446(b)(1) does not require formal service before removal and recommended denying the motion to remand. After reviewing the issue de novo, the district court agreed with the magistrate judge’s reading of § 1446(b)(1) and denied the motion.

II. Discussion

28 U.S.C. § 1446(b)(1) provides, in relevant part: “The notice of removal of a civil action or proceeding shall be filed within 30 days after the receipt by the defendant, through service or otherwise,…