American High-Income Trust v. Honeywell International
A group of business trusts initially filed a lawsuit in federal court against several defendants, including a manufacturer, alleging common law fraud and violations under the Corporations Code and federal securities law. Over four years later, the federal district court dismissed with prejudice all federal causes of action against the manufacturer. It also dismissed the ancillary state and common law claims against the manufacturer for lack of jurisdiction. More than five months following the order, the trusts filed the same fraud claim against the manufacturer in state court. The superior court dismissed after sustaining a demurrer that the action was time barred. Court find the limitations period has not yet run, because the district court has not entered a final judgment pursuant to 28 United States Code section 1291 or certified the entry of a final judgment pursuant to rule 54(b) of the Federal Rules of Civil Procedure (28 U.S.C.). Accordingly, court reverse.
Comments on American High-Income Trust v. Honeywell International