Facts
- Barzelatto sued Spire Securities, LLC in a case later docketed in the U.S. District Court for the Southern District of New York as Case No. 19 Civ. 6238 (CM).
- The action originated in state court and was removed to federal court by a notice of removal invoking 28 U.S.C. § 1441.
- The federal docket categorized the matter as a securities-related civil case (Nature of Suit code 850: Securities/Commodities/Exchange).
- The case was assigned to Chief Judge Colleen McMahon.
- The district court issued a written decision indexed at 2019 U.S. Dist. LEXIS 231274.
- The federal case was filed on July 3, 2019 and terminated on November 6, 2019, after the court’s order resolved the proceeding.
Issues
- Whether the removed action had a sufficient basis for federal subject-matter jurisdiction under the removal statutes for it to proceed in federal court.
Decision
- The court issued a written order (2019 U.S. Dist. LEXIS 231274) disposing of the removed action.
- The case was terminated on the federal docket on November 6, 2019.
Legal Principles
- Removal under 28 U.S.C. § 1441 requires an independent basis for federal subject-matter jurisdiction.
- Federal-question jurisdiction generally depends on the well-pleaded complaint; a federal defense ordinarily does not create removal jurisdiction.
- If subject-matter jurisdiction is lacking at any time, the federal court must remand or otherwise dispose of the action consistent with its limited power to act.
- In removed cases, the removing party bears the burden of showing that federal jurisdiction exists.
Conclusion
Barzelatto v. Spire Securities, LLC is an S.D.N.Y. securities-related civil action removed from state court under 28 U.S.C. § 1441 and assigned to Chief Judge McMahon; the court issued a written decision reported at 2019 U.S. Dist. LEXIS 231274 and the federal case was terminated on November 6, 2019 after that order resolved the removed proceeding.