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H.R.725 - Innocent Party Protection Act115th Congress (2017-2018) |

Bill

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Sponsor: Rep. Buck, Ken [R-CO-4] (Introduced 01/30/2017)
Committees: House - Judiciary | Senate - Judiciary
Committee Reports: H. Rept. 115-17
Latest Action: Senate - 03/13/2017 Received in the Senate and Read twice and referred to the Committee on the Judiciary.  (All Actions)
Roll Call Votes: There have been 4 roll call votes

Tracker:

This bill has the status Passed House

Here are the steps for Status of Legislation:

  1. Introduced
  2. Passed House
  3. Passed Senate
  4. To President
  5. Became Law

More on This Bill

  • Constitutional Authority Statement
  • CBO Cost Estimates [1]

Subject — Policy Area:

Summary: H.R.725 — 115th Congress (2017-2018)All Information (Except Text)

Bill summaries are authored by CRS.

Shown Here:
Passed House without amendment (03/09/2017)

(This measure has not been amended since it was introduced. The expanded summary of the House reported version is repeated here.)

Innocent Party Protection Act

(Sec. 2) This bill amends procedures under which federal courts determine whether a case that was removed from a state court to a federal court on the basis of a diversity of citizenship among the parties may be remanded back to state court upon a motion opposed on fraudulent joinder grounds that: (1) one or more defendants are citizens of the same state as one or more plaintiffs, or (2) one or more defendants properly joined and served are citizens of the state in which the action was brought.

Joinder of such a defendant is fraudulent if the court finds:

  • actual fraud in the pleading of jurisdictional facts with respect to that defendant,
  • state law would not plausibly impose liability on that defendant,
  • state or federal law bars all claims in the complaint against that defendant, or
  • no good faith intention to prosecute the action against that defendant or to seek a joint judgment including that defendant.

In determining whether to grant or deny such a motion for remand, the court: (1) may permit pleadings to be amended; and (2) must consider the pleadings, affidavits, and other evidence submitted by the parties.

A federal court finding that all such defendants have been fraudulently joined must: (1) dismiss without prejudice the claims against those defendants, and (2) deny the motion for remand.