A Texas limited liability company sues a New York corporation and two individual Louisiana citizens in Louisiana state court claiming millions of dollars in damages. Five days after the suit is filed—after the New York corporation is served with process but before the Louisiana individuals are served—the New York corporation “snap removes” the case to federal court. Does the “forum defendant rule” in 28 U.S.C. § 1441(b)(2) prohibit the out-of-state defendant from removing the case and require remand to state court?

Last month, in Texas Brine Company, L.L.C. v. American Arbitration Association, 955 F.3d 482 (5th Cir. 2020), the Fifth Circuit decided this question for the first time and approved the practice known as “snap removal,” affirming the district court’s holding that a case filed in Louisiana state court was properly removed to federal court by a nonforum defendant before the in-state co-defendants were served.