Supreme Court Decision Alert - December 16, 2014

Yesterday, the Supreme Court issued one decision, described below, of interest to the business community.

Federal Jurisdiction—Class Action Fairness Act—Sufficiency of Jurisdictional Allegations in Removal Notice

Dart Cherokee Basin Operating Co. v. Owens, No. 13-719, (described in the April 7, 2014, Docket Report)

To remove a civil action from state court to federal court, the defendant must "file ... a notice of removal ... containing a short and plain statement of the grounds for removal." 28 U.S.C. § 1446(a). Under the Class Action Fairness Act of 2005 (CAFA), federal courts have jurisdiction over certain class actions if, among other things, the amount in controversy exceeds $5 million. 28 U.S.C. § 1332(d)(2). Yesterday, the Supreme Court held in Dart Cherokee Basin Operating Co. v. Owens, No. 13-719, that a defendant's notice of removal need only contain a "plausible allegation" that the amount in controversy exceeds CAFA's $5 million jurisdictional