Case Explained: IN RE: ABBOTT LABORATORIES, et al., PRETERM INFANT NUTRITION PRODUCTS LIABILITY LITIGATION TERRAINE ABDULLAH, on her own behalf and as Parent and Natural Guardian of H.S., a minor v. MEAD JOHNSON & COMPANY LLC, et al

Court: United States Court of Appeals for the Seventh Circuit Filed: 2026-07-28 The seventh-circuit reversed the district court’s denial of the plaintiffs’ motion to remand the cases to state court, holding that the district court lacked subject matter jurisdiction under 28 U.S.C. § 1332. The court ruled that the doctrine of fraudulent joinder cannot be established by a finding that a plaintiff failed to demonstrate a real or good faith intent to pursue claims against a non-diverse defendant through their litigation conduct, such as delayed discovery or perfunctory depositions. The court clarified that fraudulent joinder is limited to two specific situations: where the plaintiff has lied about jurisdictional facts, or where the plaintiff has no chance of success on the merits against the non-diverse defendant after resolving all issues of fact and law in the plaintiff’s favor. Because the district court relied on an impermissible inquiry into the plaintiffs’ subjective intent and litigation strategy rather than these established standards, its determination of fraudulent joinder was legally erroneous. The cases are remanded for further proceedings consistent with this opinion, including consideration of whether removal is permissible under the forum-defendant rule for plaintiffs who are citizens of states other than Pennsylvania. Do It For The Case Law is a news reporting service. Nothing in this episode constitutes legal advice.