2004 Case Successes Archive

GE Capital Mortg. Services, Inc. v. Estate of Lugo 1. D.Mass.,2004.,319 F.Supp.2d 127 (The plaintiff filed suit following foreclosure sale in order to distribute surplus funds. Both the Commonwealth of Massachusetts and the United States were named as parties in interest with competing claims. The United State removed the case to federal court and the Commonwealth moved to dismiss itself as a party and further asked the court to dismiss the entire case stating that the Commonwealth was an indispensable party. The Commonwealth’s argument was based on the Eleventh Amendment, as a jurisdictional bar to interpleader actions brought in federal court against a state, or states, by a private party or private parties. The United Stated District Court Dismissed the Commonwealth as a party to the case but refused to dismiss the entire case, finding the Commonwealth not “indispensable party.” The Commonwealth’s motion to dismiss is ALLOWED to the extent that the Commonwealth is dismissed as a party to this action. The Commonwealth’s motion to dismiss is otherwise DENIED) (Attorney Veronica Viveiros)