Corral v. Select Portfolio Servicing, Inc.

The value of the property or amount of indebtedness are not the amounts in controversy when a complaint seeks only a temporary stay of foreclosure pending review of a loan modification application pursuant to the California Homeowners Bill of Rights (HBOR). In this case, the Ninth Circuit held that because SPS did not establish that removal was proper, the district court should have granted Corral's motion to remand and was without subject matter jurisdiction to consider SPS's motion to dismiss for failure to state a claim. Accordingly, the panel reversed the district court's denial of the motion to remand, vacated the order granting SPS's motion to dismiss, and remanded to state court. View "Corral v. Select Portfolio Servicing, Inc." on Justia Law