The New Federal Courts Jurisdiction and Venue Clarification Act of 2011 became law on January 6, 2012 and contains significant changes in to the removal statute, 28 U.S.C. ? 1441 and codifies existing practices.
With respect to the thirty day (30) removal period each defendant has 30 days from his or her own date of service to seek removal. Previously served defendants are allowed to join in or consent to removal by another defendant. To avoid any confusion, the law also codified the requirement that all defendants consent to removal.
The new law makes clear that under Section 1332 (a) the citizenship of defendants sued under fictitious names is to be disregarded. Further, that a civil action may not be removed under 1332 (a) if any of the parties in interest, who are properly joined and served as defendants, is a citizen of the State in which the action is brought.
With respect to the amount in controversy the sum demanded in good faith in the initial pleading is deemed to be the amount in controversy. However, the notice of removal may assert the amount in controversy if the initial pleading seeks non-monetary relief or a money judgment when State practice either does not permit demand for a specific sum or permits recovery of damages in excess of the amount demanded. The test the district court is to use to determine jurisdictional amount is “preponderance of the evidence.”
Although the statute provides that matters are to be removed within 30 days after receipt by or service on the defendant of the initial pleading, receipt is not defined and the holding in Murphy Bros., Inc. v. Michetti Pipe Stringing, Inc., 526 U.S. 344 (1999) that formal service, not mere receipt, is required appears to be still be the law.
If the initial pleading is not removable solely because the amount in controversy does not exceed the amount specified in 1332(a) information relating to the amount of controversy, in the record of the State proceeding, or in responses to discovery, shall be treated as an “other paper” under such Section (b)(3).
The act also contains other provisions with respect to the citizenship of corporations and insurance companies with foreign contacts and exceptions to the one year limitation on removal.