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socrateaser, Attorney
Category: Business Law
Satisfied Customers: 38911
Experience:  Retired (mostly)
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need to move a lawsuit filed in NJ State court to a similar

Resolved Question:

need to move a lawsuit filed in NJ State court to a similar lawsuit already in Federal Court District 3
Submitted: 4 years ago.
Category: Business Law
Expert:  socrateaser replied 4 years ago.

I need more info.

1. Tell me, briefly the basis of both the federal and state court lawsuits?

2. Do any of the parties who are plaintiff's in the state court case, reside in the same jurisdiction as any of the defendants in the state court case?
Customer: replied 4 years ago.
Here's a chain of events:

Jul 2, 2008 Plaintiff (who was an investor and CFO from NY in a company that was based in NJ) lost in arbitration (he sued for failure of the company to honor his security agreement and warrant).

2008 the company filed for Chap 11 but the plaintiff's kept pursuing legal action and forced the company in Chap 7. Plaintiff claimed fraudulent transfer.

2009 Plaintiff lost his claim for fraudulent transfer in Bankruptcy court as he could not prove fraudulent transfer and the Trustee saw no recoverable assets and abandoned any remaining assets

Oct, 2009 Plaintiff (from NY) filed a new lawsuit in Federal Court against a former company officer (from NJ), and the third-party company (from NJ) that retained the officer as a consultant.

Oct 19, 2011 – Plaintiff was denied in his motion to reopen the Arbitration against him on Jul 2, 2008 (above)

Mar 27, 2012 - Plaintiff lost: Summary Judgment awarded in Defendant’s favor on all Plaintiff’s claims against the former officer and the third-party company (which was filed Oct, 2009)

Apr 27, 2012 - ORDER DENYING CREDITOR (PLANTIFF’S) MOTION TO RE-OPEN CHAPTER 7 CASE (he lost in his Motion for Reconsideration of the Bankruptcy decision)

Mar 25, 2013 – Plaintiff lost his Appeal in the US Federal Third Circuit TO RE-OPEN CHAPTER 7 CASE (he lost in his Motion for Reconsideration of the Bankruptcy decision)

Apr, 2013 - Plaintiff lost his Appeal in the US Federal Third Circuit to overturn the Reconsideration the Motion for Summary Judgment in favor of the former officer and the third-party company

May, 2013 – Plaintiff filed to the Federal Third Circuit Court of Appeals to overturn the Appeal in favor of the former officer and the third-party company

Today.. the Plaintiff files in the NJ State court a new lawsuit that the former officer and new third-partiers heretofore never named in previous lawsuits (such as major companies like General Electric)… claiming that the officer, these other people, and General Electric and ADT Security committed fraud.

I want to move this into Federal Court out from NJ State court.. it’s the same rehash of a very long and ridiculous legal process where the Plaintiff has lost every time in every court.
Expert:  socrateaser replied 4 years ago.
I need to know:

Is any defendant named in the new NJ state court case a citizen (permanent resident) of NJ? (n.b., If a company or corporation is named as a defendant, then it is a citizen of both the state of its incorporation/registration and the state where its headquarters is located.)

Thanks in advance.
Customer: replied 4 years ago.
DEFENDANTS: There are 3 individuals who are permanent residents of NJ. One individual is a permanent resident of PA. One company is a NJ-based company. Two companies are global publicly traded companies (General Electric and ADT).

PLAINTIFF: A permanent resident of New York.

Thx much. I'm get trying not to get discouraged about our legal system! haha
Expert:  socrateaser replied 4 years ago.

Well, I'm probably going to increase your angst, but I have no choice other than to provide the unvarnished truth, here, and it is not favorable to your cause.

Unless there is a federal question (a federal statute or constitutional issue directly raised by the plaintiff on the face of his/her complaint), then removal jurisdiction can only arise under diversity jurisdiction. And here's the rub: Even if there is complete diversity, removal is not allowed if “any of the parties in interest properly joined and served as defendants is a citizen of the State in which such action is brought.” 28 USC § 1441(b)(2); Spencer v. United States Dist. Ct. for Northern Dist. of Calif. (Altec Industries, Inc.) (9th Cir. 2004) 393 F3d 867, 870.

Since you state that there are NJ defendants, you cannot remove this case from the NJ state courts (unless I'm missing something important, and I don't think that I am).

Please let me know if I can be of further assistance.

socrateaser and 6 other Business Law Specialists are ready to help you
Customer: replied 4 years ago.
Thx.. I'll accept.. tho i may have follow-up questions.. I presume i can direct them to you???... I just don't get it.. I was sued for 8 years, all those court cases.. plaintiff lost on every motion every time..and yet he can paraphrase the compliant and take it to a different court. Seems to me that our Forefathers didn't right the constitution to be abused by rich people that can harass less fortunate. So mandatory arbitration, Fed Court, and even Bankruptcy court didn't count for anything. No offense to your profession, but in this case the lawyers were the big winners. He spent over $3M suing (a very deep pocket fat cat)...I'm down to Pro Se because he destroyed my life. Interestingly, he changed attys 8 times and he is suing 4 of them (some very large law firms.. he didn't like it when they lost)... and he even tells a judge he lives to destroy people.... and it's all good.. Wow!.. well thank you for your assistance. I appreciate your professionalism.
Expert:  socrateaser replied 4 years ago.
There is a doctrine called "res judicata," which holds that a case determined on its merits cannot be re-tried in the same or another court. So, if the complaint in the state court action is based upon the same transactions and occurrences that were present in the original civil action, and the plaintiff could have raised his complaints in that original action, then you would file a motion for dismissal for failure to state a claim for which relief may be granted, and the court will consider whether this is a new claim that could not have been previously sued on, and if it decides not, then the court will dismiss with prejudice -- and that will be the end of the matter.

Re the legal profession in general, don't even get me started. I do not find much favor with the manner in which our legal system is currently practiced. Then, again, I find that our constitution has been mangled by all three branches of government -- I'm pretty certain that the founders would be thinking something like: It's truly amazing that you are still using that old rag, because it's clearly not working.

Hope this helps.
Customer: replied 4 years ago.
You sound like a good ole salt (I didn't say old!!!)... res judicata and the entire controversy doctrine I thought would cover it... i'm going to try to do this Pro Se.. and perhaps lean on GE and ADT legal.. and they were brought into this. This is a NYC fat cat that has not worked in over 30 years and has lawsuits against anybody and everybody.. he wields his money like a gun.. he's in his 60's, lives with his 90+yo mother and his endless trust fund. A loner and the only public interface he has is in suing people. He does it for fun.. and yet he twists the law and uses it as his best supporter! It's actually very interesting what he does and how he does it.. if you're into analyzing a psychotic, anti-humanistic personality.. he borders brilliant, but knife-edges on Unibomber - a scary combination! Perhaps I will be back as I'm at the point where I believe I would like to file a frivolous letter (BTW, he gets lawyers to lie and I've successfully filed ethics complaints....yes, even the lawyers get enamored with his money!). If I can get this thrown-out.. or moved to federal (which I understand may not work now.. thank you (I am being sincere)...I think that I stand a chance at some recovery. Also, in talks with GE and ADT, they may be interested in wielding some of their might to stop this character... as they corporate attys are good people that do want to see justice (this guy is personally suing GE employees!)... Oh yea, he previously tried to sue the US Coast Guard, the US Military, and the IRS. I believe our paths will cross again. Thank you for your professionalism and your honest response. I wish you a healthy and happy quasi-retirement! Good night.

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