The National Association of Manufacturers
HR725 Innocent Party Protection Act.
Vote on H.R. 725, the Innocent Party Protection Act of 2017. Under current standards in most courts, a civil case filed in state court can be “removed” to federal court under what is called “diversity jurisdiction” only if there are no in-state defendants against whom the plaintiff could possibly collect damages. The practice of joining an otherwise unconnected in-state defendant, such as a local individual or business, solely to block removal to federal court is known as fraudulent joinder. This bill will require federal courts to determine whether a plaintiff has made a plausible claim for relief against a local defendant, such as seeking if the plaintiff actually intends to seek a judgment against the local defendant, when deciding on a motion to remand a case to state court and clarify that a federal court can consider additional material relevant to the motion, allowing both plaintiffs and defendants an opportunity to submit information and evidence supporting their arguments.