St. Paul Mercury Indem. Co. v. Red Cab Co., 303 U.S. 283 (1938)

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Saint Paul Mercury Indemnity Co. v. Red Cab Company

No. 274

Submitted January 10, 1938
Decided February 28, 1938
303 U.S. 283

CERTIORARI TO THE CIRCUIT COURT OF APPEALS

FOR THE SEVENTH CIRCUIT

Syllabus

1. There is a strong presumption that the plaintiff in a state court has not claimed a large amount in order to confer jurisdiction by removal on a federal court, and that the parties have not colluded to that end. P. 290.

2. The status of the case as disclosed by the plaintiff’s complaint is controlling in the case of a removal, since the defendant must file his petition before the time for answer, or forever lose his right to remove. P. 291.

3. Jurisdiction of the District Court acquired through removal is not lost by plaintiff’s subsequent reduction of his claim to less than the jurisdictional amount. P. 292.

90 F.2d 229 reversed.

Certiorari, 302 U.S. 669, to review a judgment dismissing an appeal from a judgment recovered in an action on a contract of insurance. The action had been removed from a state court. The respondent here conceded that the ruling below was erroneous, and prayed that the cause be remanded for decision of the merits.