Opinion ID: 20144
Heading Depth: 1
Heading Rank: 2

Heading: proceedings and removal

Text: 6 On June 11, 1997, Martineau sued ARCO and Sweeney in Texas state court. He claimed ARCO discriminated against him because of his Canadian national origin in violation of the Texas Commission on Human Rights Act (TCHRA). He also alleged that Sweeney and ARCO had defamed and intentionally inflicted emotional distress on him. Both Martineau and Sweeney are Texas citizens. ARCO is a Delaware Corporation with its principle place of business in Pennsylvania. Thus complete diversity of citizenship did not exist when Martineau initially filed the action. 7 28 U.S.C. 1446 allows a defendant to remove a case to federal court at any time, prior to the entry of judgment, when complete diversity is found to exist pursuant to 28 U.S.C. 1332. 28 U.S.C. 1446(b), however, limits the right of removal - a defendant cannot remove if more than a year has passed since the commencement of the action. 8 In May 1998, almost a year after Martineau's June 11, 1997 filing of the action, he and Sweeney agreed to settle their dispute. On May 11, 1998, Sweeney's counsel wrote Martineau's counsel indicating that the letter will memorialize our settlement agreement and instructing the attorney to sign and return the letter if it meets with your client's approval. Martineau's attorney signed and returned the letter and filed it with the court on May 22, 1998. The letter listed specific terms of the agreement, such as the exchange of money and property, and suggested a manner and time of performance. 9 The May 11 letter provided that Martineau will execute and file with the court a Non-suit with prejudice as to all of his claims in reference to Sweeney. In addition, Martineau will exchange executed full and final releases of any and all claims with Lisa Sweeney. This Non-suit with prejudice will be submitted to the court for the Judge's signature on June 12, 1998. Notably, June 12, 1998 was one year and one day after the original action was filed. 10 After the exchange and signature of the May 11 letter but before that letter was filed with the court, Martineau's and Sweeney's attorneys, on May 19, filed a different letter advising the court only that they had reached a settlement in principle. The second letter specified that the settlement is being reduced to writing for each party to review and sign. The letter also stated that [o]nce the agreement is finalized and signed and the exchanges made, [Martineau] will file a motion tonon-suit Ms. Sweeney with prejudice on or about June 12, 1998 at the earliest. 11 Three days later, on May 22, Martineau's counsel filed the May 11 letter with the court. Learning of the filing, ARCO immediately removed the case to federal district court. The district court determined that it had subject matter jurisdiction. ARCO then moved for summary judgment regarding Martineau's removed claims and his supplemental slander claims. The district court concluded that Martineau had failed to raise material fact issues concerning essential elements of each of his claims. In granting ARCO's summary judgment motion, the court concluded that (1) Martineau had not raised factual issues as to a prima facie case of discrimination; (2) his hostile environment claim was untimely; (3) his intentional infliction of emotional distress claim had not risen to a legally actionable level; and (4) he had raised no issues of material fact as to the slander and defamation claims.