Seventh Circuit Discusses “Nerve Center” Test for Diversity Jurisdiction as Applied to Corporate Subsidiaries

In Big Shoulders Capital LLC v. San Luis & Rio Grande Rd., No. 20-1503 (7th Cir. Sept. 3, 2021), the court remands a diversity action to determine whether the subsidiaries of a railroad – under the “nerve center” test – are citizens (1) of Illinois where the parent is headquartered, or (2) of Oregon, Delaware,Continue reading “Seventh Circuit Discusses “Nerve Center” Test for Diversity Jurisdiction as Applied to Corporate Subsidiaries”

Tenth Circuit Holds That a Single Phone Call That the Debtor Didn’t Even Answer Created Standing Under the FDCPA, Breaking with the Seventh Circuit

In a blog entry dated December 16, 2020, I summarized five decisions by the Seventh Circuit that dramatically crimped Article III standing in Fair Debt Collection Practices Act (FDCPA) cases. In yesterday’s decision, Lupia v. Medicredit, No. 20-1294 (10th Cir. Aug. 17, 2021), the Tenth Circuit expressly rejects the Seventh Circuit’s approach and holds thatContinue reading “Tenth Circuit Holds That a Single Phone Call That the Debtor Didn’t Even Answer Created Standing Under the FDCPA, Breaking with the Seventh Circuit”

Seventh Circuit Affirms Remand of City’s Royalty Lawsuit Against Video Streaming Services Back to State Court, Based on “Comity Abstention”

In City of Fishers, Indiana v. DIRECTTV, No.20-3478 (7th Cir. July 21, 2021), the Seventh Circuit holds that a suit involving “state taxation of commercial activity” belonged in state court, and should not have been removed to federal court, under the seldom-invoked “comity abstention” doctrine. This action was brought under Indiana’s Indiana Video Service FranchisesContinue reading “Seventh Circuit Affirms Remand of City’s Royalty Lawsuit Against Video Streaming Services Back to State Court, Based on “Comity Abstention””

Law Firm With “Stateless Partners” Not A Citizen for Purposes of Diversity, Holds Seventh Circuit

In Page v. Democratic Nat’l Comm., No. 20-2781 (7th Cir. June 21, 2021), the Seventh Circuit affirms dismissal of a defamation action against a law partnership with partners domiciled overseas, holding that it is not the citizen of any state for diversity jurisdiction purposes. Carter Page, “a foreign policy advisor to former President Donald Trump’sContinue reading “Law Firm With “Stateless Partners” Not A Citizen for Purposes of Diversity, Holds Seventh Circuit”

Two Judges of the Seventh Circuit Say That They, Too, Are Getting Fed Up with Spokeo and Standing

A couple of weeks ago, Judge Newsom of the Eleventh Circuit made a splash with a long, scholarly concurring opinion suggesting a complete refurbishing of standing doctrine. (See May 6, 2021 entry.) Last Friday, in Markakos v. Medicredit, Inc., No. 20-2350 (7th Cir. May 14, 2021), two more judges of the Seventh Circuit express theirContinue reading “Two Judges of the Seventh Circuit Say That They, Too, Are Getting Fed Up with Spokeo and Standing”

Seventh Circuit Recounts Saga of Lawyer Who Asked to Withdraw from Case Right Before Closing Argument

In Black v. Wrigley, No. 20-2656 (7th Cir. May 10, 2021), the Seventh Circuit affirms a defense jury verdict in a defamation case in which plaintiff’s counsel tried to withdraw at the close of a jury trial due to an apparent  conflict with his client. On Friday, “the day of closing arguments, when [plaintiff]’s trialContinue reading “Seventh Circuit Recounts Saga of Lawyer Who Asked to Withdraw from Case Right Before Closing Argument”

Seventh Circuit Goes Off-Script to Express “Grave … Concerns” About Continuation of 1972 Consent Decree

In Shakman v. Clerk of Cook Cnty., No. 20-1828  (7th Cir. Apr. 16, 2021), while affirming the district court’s denial of a motion to vacate a consent decree over hiring in Cook County, Illinois, the panel urges “[d]iligence, not dormancy” in future proceedings. For those living in Northeastern Illinois, the Shakman Decrees are well-known toContinue reading “Seventh Circuit Goes Off-Script to Express “Grave … Concerns” About Continuation of 1972 Consent Decree”

District Court Cannot Grant Rule 12(b)(6) Motion Solely Because It Struck Plaintiff’s Brief Under Rule 11(a), Holds Seventh Circuit

In Marcure v. Lynn, No. 19-2978 (7th Cir. Mar. 25, 2021), the panel addresses two unresolved issues in the circuit, holding that (1) the striking of unsigned briefs is mandatory under Fed. R. Civ. P. 11(a), but (2) even if a motion to dismiss for failure to state a claim under Fed. R. Civ. P.Continue reading “District Court Cannot Grant Rule 12(b)(6) Motion Solely Because It Struck Plaintiff’s Brief Under Rule 11(a), Holds Seventh Circuit”

Seventh Circuit Vacates District Court’s Rejection of Magistrate Judge’s Credibility Findings Without a Hearing

In McIntosh v. Wexford Health Sources, Inc., No. 19-1095 (7th Cir. Feb. 5, 2021), the Seventh Circuit holds that the district court erred by reversing a magistrate judge’s ruling that a prisoner exhausted his remedies under the Prison Litigation Reform Act (PLRA) “without itself holding a new hearing upon which to base its own credibilityContinue reading “Seventh Circuit Vacates District Court’s Rejection of Magistrate Judge’s Credibility Findings Without a Hearing”

Seventh Circuit Endorses 40-Person Rule of Thumb for Rule 23 Numerosity, Holds That 37 Was Too Few

In Anderson v. Weinert Enterprises Inc., No. 20-1030 (7th Cir. Jan. 28, 2021), the panel affirms denial of class certification under Fed. R. Civ. P. 23, where the proposed class fell below the 40-person threshold normally considered the standard for numerosity. The putative class was a state-law wage-and-hour case against a roofing company in northeastContinue reading “Seventh Circuit Endorses 40-Person Rule of Thumb for Rule 23 Numerosity, Holds That 37 Was Too Few”