Are we in the Right Court? Flashcards
Right Court
- Personal Jurisdiction
- Subject Matter
- Venue
Personal Jurisdiction
- Power over the parties
- Federal Courts always need personal jurisdiction–refer to the state procedure issues
Subject Matter Jurisdiction
- state v. federal court
- Federal courts may only hear:
- Diversity of Citizenship
- Federal Question
Diversity of Citizenship
- Case is either (a) between citizens of different states OR (b) a citizens of a state and a citizens of a foreign country AND
- Amount in controversy exceeds $75k
Complete Diversity Rule
No diversity if any plaintiff is a citizens of the same state as any defendant
Natural Persons (citizen for diversity purpose)
- citizenship is the state of domicile which is established by 1) presence in state AND 2) intent to make it a permanent home.
- Cannot have more than one domicile
- Diversity is evaluated at time the case is filed
Corporation (for diversity purposes)
- Citizenship determined by 1) state where incorporated AND 2) state where the corporations has its one and only principal place of business
- meaning they could be citizens of two states. If the opposition shares one in common, diversity is defeated.
- PPB is where managers direct, coordinate and control corporate activities (nerve center)
Unincoprorated associations (for diversity purposes)
- Citizenship of all members (general and limited Partners)–irrelevant where it is formed or has it PBB
Decedents, Minors or incompetents (for diversity purposes)
Uses their citizenshp–not the citizenship of their representatitve
Amount in controversy requirement
- Plaintiff’s good faith claim must exceed $75k (not counting interest on the claim or costs of litigation)
- recovery is irrelevant–initial claim is what matters
- Aggregation–> adding two or more claims together to meet the requirement.
- must be one P against one D
- need not be related
- Joint claims you use total value
- Equitable relief
- look to either the P or D’s viewpoint to see the value of the injunction
Exclusions to diveristy
Will not hear involving issuance of divorce, alimony or child custody decree or to probate an estate
Federal Question Cases
- Complaint must show a right or interest founded substantially on a fedearl law–> must arise under federal law
- Well-pleaded complaint rule
Well-Pleaded COmplaint Rule
Not enough that a federal issues is raised. Claim itself must arise under federal law. Look to see whether the plaintiff is enforcing a federal right
Supplemental Jurisdiction
Used to get an additional claim into court once a federal case has been established.
USed for claims that do not meet FQ or Div.
SJ Test
- The claim we want to get into federal court must share a “common nucleus of operative fact” with the claim that invoked federal subject matter jurisdiction.
- This test is always met by claims that arise from the same transaction or occurrence (T/O) as the underlying claim.
Limitation to SJ Test
- BUT in a diversity case, the plaintiff cannot use supplemental jurisdiction to overcome a lack of diversity.
- Can be used to overcome lack of diversity for a claim in a FQ case
- And P can use it to voercome a lack of amount in controversey for a claim in diversity case (e.g P1 for 100k & P2 for 50K. Same trasnaction & occurence
Summary of SJ
Can be heard if it meets the test Unless it is:
asserted by a plaintiff
in ad viersty of citizenship case AND
is against a citizen fo the same state as P
SJ discretionary Factors
- Court has discretion not to hear: when
- (1) the federal question is dismissed early in the proceedings; or
- (2) the state law claim is complex, or
- (3) state law issues would predominate.
Removal Generally
might be able to remove the case to federal court
removal transfers the case from a state trial court to a federal trial court–not the other way around.
If improper, may remand to federal court
When can remove
w/in 30 days of service of the first paper that shows case is removable–usually 30 days of service of process
Plaintiff can never remove
All defendants must join the removal
What cases can be removed?
- any case that meets requirements for diversity of citizenship or federal question
- EXCEPT in removal on basis of diversity when:
- any d is a citizen of the forum (instate D) OR
- more than one year after the case was filed in state court
Where to remove?
The federal court embracing the state court
Proceudre for Removal
- D files notice of removal in federal court, stating grounds of removal; signed under Rule 11. Attach all documents served on D in state action;. Serve a copy on all adverse parties. Then file copy of notice in state court.
- If removal was procedurally improper, P moves to remand to state court; she must do so within 30 days of removal. But if there is no federal subject matter jurisdiction, P can move to remand anytime (or the federal court can remand anytime). In other words, there is no time limit on raising lack of subject matter jurisdiction.
- D who files a permissive counterclaim in state court probably waives right to remove. Filing a compulsory counterclaim there probably does not waive the right to remove.
- If P sues for $75,000 or less in a state that allows recovery for more than what P claimed, D may be able to remove on basis of diversity by stating in the notice of removal that the amount exceeds $75,000. D must show the federal court that the amount actually exceeds $75,000.
Erie Doctrine Generally
in diversity cases, the federal court must apply state substantive law.
Erie: Ask yourself
