Linda Rose Johnson v. Costco Wholesale Corporation ( 2024 )

UNITED STATES DISTRICT COURT CENTRAL DISTRICT OF CALIFORNIA CIVIL MINUTES— GENERAL Case No. 5:24-cv-01392-SSS-DTBx Date July 8, 2024 Title Linda R. Johnson v. Costco Wholesale Corp., et al. Present: The Honorable SUNSHINE S. SYKES, UNITED STATES DISTRICT JUDGE Irene Vazquez Not Reported Deputy Clerk Court Reporter Attorney(s) Present for Plaintiff(s): Attorney(s) Present for Defendant(s): None Present None Present Proceedings: (IN CHAMBERS) ORDER TO SHOW CAUSE WHY THIS CASE SHOULD NOT BE REMANDED FOR LACK OF SUBJECT MATTER JURISDICTION Plaintiff Linda R. Johnson filed this personal injury lawsuit against Defendant Costco Wholesale Corporation and numerous Doe defendants. [Dkt. 1-1, Compl.]. On July 3, 2024, Costco timely removed the case to this Court, alleging diversity jurisdiction exists. [Dkt. 1, Notice of Removal at 2–3]. Relevant here, Costco alleges in conclusory fashion that the amount in controversy exceeds $75,000. [Id. at 2]. Federal district courts “have an independent obligation to determine whether subject-matter jurisdiction exists, even in the absence of a challenge from any party.” Arbaugh v. Y&H Corp., 546 U.S. 500, 514 (2006). For diversity jurisdiction to exist, the amount in controversy must exceed $75,000. 28 U.S.C. § 1332(a). This amount is generally determined from the face of the pleadings. See Crum v. Circus Circus Enters., 231 F.3d 1129, 1131 (9th Cir. 2000). Conclusory allegations of the amount in controversy are insufficient to invoke diversity jurisdiction. Matheson v. Progressive Specialty Ins. Co., 319 F.3d 1089, 1090–91 (9th Cir. 2003). The party who invokes jurisdiction bears the burden of demonstrating its existence. Kokkonen v. Guardian Life Ins. Co. of Am., 511 U.S. 375, 377 (1994). Here, Costco’s conclusory allegation that the amount in controversy exceeds $75,000 is insufficient to invoke diversity jurisdiction. Accordingly, Costco is ORDERED TO SHOW CAUSE in writing why this case should not be remanded to San Bernardino Superior Court for lack of subject matter jurisdiction. Costco’s response is due July 19, 2024. Johnson may file a response, if any, by July 26, 2024. A hearing is set on this matter for August 2, 2024, at 1:00 p.m. via Zoom videoconference. IT IS SO ORDERED.