United States:
Third Circuit Permits Removal To Federal Court By A Forum Defendant Before Formal Service
16 September 2018
Schnader Harrison Segal & Lewis LLP
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Brittany C. Wakim published "Why The 3rd Circuit Allowed Removal In
Encompass" on Law360, assessing the impact of
this precedential opinion for jurisdictional and removal
issues.
"In what appears to be the first ever appellate court
ruling on the issue, the U. S. Court of Appeals for the Third
Circuit has held that the forum-defendant rule does not prohibit a
defendant from removing a case to federal court on the basis of
diversity jurisdiction before the plaintiff formally serves the
forum state defendant. Encompass Ins. Co. v. Stone Mansions
Restaurant Inc. is an important decision for businesses and
others to closely examine."
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