The Hain Celestial Group, Inc. v. Palmquist
Issues
Must an appellate court vacate a district court’s final judgment as to completely diverse parties if it determines the district court was wrong to dismiss a non-diverse party at the time the case was removed?
This case asks the Court to determine whether an appellate court must vacate a district court’s final judgment if it determines the district court erred in dismissing a non-diverse party when the case was removed. The Hain Celestial Group (“Hain”), as Petitioner, argues that the district court had jurisdiction to enter final judgment because the parties before it were completely diverse after Whole Foods, Inc. (“Whole Foods”) was dismissed. Alternatively, Hain argues Whole Foods could be dismissed under Federal Rule of Civil Procedure 21 as a dispensable party. Sarah Palmquist, Grant Palmquist, and E.P. (the “Palmquists”), as Respondents, argue that Whole Foods remained a part of the litigation until the final judgment, destroying the district court’s subject matter jurisdiction. Alternatively, the Palmquists argue that Hain’s Rule 21 argument is improper and would result in prejudice to them. The outcome of this case could impact forum shopping strategies and increase the resources parties must expend if they must relitigate claims after a final judgment is vacated.
Questions as Framed for the Court by the Parties
Whether a district court’s final judgment as to completely diverse parties must be vacated when an appellate court later determines that it erred by dismissing a non-diverse party at the time of removal.
Grant and Sarah Palmquist (the “Palmquists”) had a son (“E.P.”) in 2014. See Palmquist v. Hain Celestial Group, Inc.at 2. The Palmquists allege that E.P.’s diet consisted of “almost exclusively” products manufactured by Hain Celestial Group, Inc. (“Hain”) during his first two years of life.
The authors would like to thank Professor Maggie Gardner for her insights into this case.
Additional Resources
- Amy Howe, Justices add procedural issue to next term’s docket, SCOTUSblog (Apr. 28, 2025).
- Mark Hamstra, Whole Foods baby food case goes to Supreme Court, Supermarket News (Apr. 29, 2025).