Rabbit Ridge Wine Sales, Inc. v. Unigard Insurance Company

UNITED STATES DISTRICT COURT

CENTRAL DISTRICT OF CALIFORNIA

RABBIT RIDGE WINE SALES, CV 19-5440 DSF (SSx) INC., et al., Plaintiffs, Order REMANDING Case to State Court v.

UNIGARD INSURANCE

COMPANY, et al., Defendants.

This case was removed from state court based on diversity jurisdiction. The removing defendants admit that not all plaintiffs are diverse from all defendants. They claim, however, that defendant Relation Insurance Services of Central California, Inc. (Relation) is fraudulently joined because it is a “sham defendant” and the single cause of action for negligence against Broker is a “sham cause of action.” Dkt. 1, Notice of Removal, ¶ 11. The Court deems this matter appropriate for decision without oral argument. See Fed. R. Civ. P. 78; Local Rule 7-15. For purposes of diversity jurisdiction, the Court need not consider the citizenship of any defendant who has been fraudulently joined. Ritchey v. Upjohn Drug Co., 139 F.3d 1313, 1318 (9th Cir. 1998). Further, a fraudulently joined defendant is not required to join in a notice of removal, even if that defendant has been served. Emrich v. Touche Ross & Co., 846 F.2d 1190, 1193 n.1 (9th Cir.…