Collier v. SP Plus, Corp.

Dist. Ct. erred in denying plaintiffs’ motion to remand matter back to state court, where plaintiffs’ class action, alleging that defendant had violated Fair and Accurate Credit Transaction Act (FACTA) by printing credit/debit card receipts that included expiration dates of said cards, had been removed to Dist. Ct. and in granting defendant’s motion to dismiss instant matter based on fact that plaintiffs lacked Article III standing to bring instant cause of action. While Ct. of Appeals agreed with defendant that plaintiffs lacked Article III standing since plaintiffs alleged mere violation of FACTA without alleging any injury in fact, Ct. further found that Dist. Ct. lacked jurisdiction over instant complaint to enter any dismissal order due to plaintiffs’ lack of standing. Thus, Dist. Ct.’s only recourse was to remand matter back to state court for further proceedings. Ct. rejected defendant’s argument that Dist. Ct. had jurisdiction because complaint alleged violation of federal statute (FACTA) and further found that defendant, as party invoking federal jurisdiction upon its removal of complaint from state court, had burden of establishing that all elements of jurisdiction, including plaintiffs’ Article III standing, existed at time of removal. Ct. also noted that should plaintiffs be able to establish standing in state court through amendment of complaint, defendant would be able to seek removal of case to Dist. Ct. through 28 USC section 1446(b)(3).