Federico Magana v. FCA US LLC

UNITED STATES DISTRICT COURT

CENTRAL DISTRICT OF CALIFORNIA

FEDERICO MAGANA, CV 20-2223 DSF (Ex) Plaintiff, Order Remanding Case to State v. Court

FCA US, LLC, et al., Defendants.

This case was removed on the basis of diversity. It is undisputed that one of the Defendants, Stevens Creek Chrysler Jeep Dodge, is not diverse from Plaintiff. Removing Defendant FCA US, LLC argues that Stevens Creek is fraudulently joined. A defendant who is a resident of the forum state is fraudulently joined “‘if the plaintiff fails to state a cause of action against [the] resident defendant, and the failure is obvious according to the settled rules of the state.’” Morris v. Princess Cruises, Inc., 236 F.3d 1061, 1067 (9th Cir. 2001) (quoting McCabe v. Gen. Foods Corp., 811 F.2d 1336, 1339 (9th Cir. 1987)). “[T]he test for fraudulent joinder and for failure to state a claim under Rule 12(b)(6) are not equivalent.” Grancare, LLC v. Thrower, 889 F.3d 543, 549 (9th Cir. 2018). In evaluating a claim of fraudulent joinder, “a federal court must find that a defendant was properly joined and remand the case to state court if there is a ‘possibility that a state court…