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Does Joinder of a Forum Defendant Always Prevent Removal?

By Mary Clare Bonaccorsi and Dmitry Shifrin

A state-court action cannot, as a general rule, be removed to federal court where a resident of the forum state has been joined as a defendant. 28 U.S.C. '1441(b). This is commonly known as the “forum defendant rule.” The rule reflects the assumption that “[federal] diversity jurisdiction is unnecessary because there is less reason to fear state court prejudice against the defendants if one or more of them is from the forum state.” Spencer v. United States Dist. Ct., 393 F.3d 867, 870 (9th Cir. 2004) (quoting Erwin Chemerinsky, Federal Jurisdiction ' 5.5 (4th ed. 2003)).

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