Jurisdiction & Venue

Question 1

What are the 3 considerations when deciding where to bring suit?

Answer 1

1. Subject matter jurisdiction
2. Personal jurisdiction
3. Venue

Question 2

Define:

subject matter jurisdiction (SMJ)

Answer 2

Power for the court to hear a particular dispute based upon the dispute’s subject matter

Question 3

What are the types of subject-matter jurisdiction?

Answer 3

1. Federal Question Jurisdiction
2. Diversity Jurisdiction
3. Supplemental Jurisdiction

Question 4

Define:

federal question jurisdiction

Answer 4

Gives federal courts jurisdiction over all claims “arising under” the Constitution, federal law, or treaties.

28 U.S.C. § 1331

Question 5

Elements of ​federal question jurisdiction

Answer 5

1. There is a federal question in dispute; and
2. Question appears on the face of a well-pleaded complaint

More info: Federal Question Jurisdiction

Question 6

What is the well-pleaded complaint rule?

Answer 6

Holds that P must state that D has already violated a federal law on the face of the complaint to qualify as federal question jurisdiction.

⚠️ Note: P can’t anticipate that D will violate a federal question in the future; the violation must have already occurred to satisfy the well-pleaded complaint rule.

Question 7

What is diversity jurisdiction and when does it exist?

Answer 7

Jurisdiction based on the parties’ citizenship.

Exists when:

1. There is complete diversity between parties (no party is a citizen of the same state as the other party); and
2. Amount in controversy is greater than $75,000

28 U.S.C. § 1332

Question 8

How is citizenship for diversity jurisdiction determined for:

1. Persons?
2. Corporations?

Answer 8

1. Persons: citizen of the state in which they are domiciled (i.e. where they currently reside and intends to remain indefinitely). Only one domicile allowed.
2. Corporations: citizen of the state where the company is incorporated and/or maintains its principal place of business. Can be domiciled in 2 states.

Question 9

Where is a corporation’s principal place of business?

Answer 9

The place where the corporation’s high-level officers direct, control, and coordinate the corporation’s activities, i.e. “the brain/nerve center.” Typically the corporate headquarters.

Question 10

True or False: In a suit between a party and a corporation, the party must be diverse from both the corporation’s place of incorporation and principal place of business to satisfy the requirements for diversity jurisdiction.

Answer 10

True. Complete diversity between the place of incorporation and principal place of business must exist to satisfy diversity.

Question 11

An unincorporated association is a citizen of which state?

Answer 11

Every state where its members are citizens

Question 12

When is complete diversity not required for diversity jurisdiction?

Answer 12

In class actions when:

1. There are more than 100 members in P’s class;
2. The amount in controversy is greater than $5 million; and
3. Any individual member of the class is diverse from any individual D

Question 13

Do damages of $75,000 satisfy the amount in controversy?

Answer 13

No, must be greater than $75,000.

Question 14

Can P aggregate claims to satisfy the amount in controversy?

Answer 14

Yes.

Question 15

Is diversity reevaluated when a complaint is amended?

Answer 15

Yes, reevaluated at the time of the amendment.

Question 16

How is diversity jurisdiction satisfied if the suit involves the death of 75 or more people?

Answer 16

Diversity is satisfied as long as one P is diverse from one D.

28 USC § 1369(b)(1)

Question 17

Define:

supplemental jurisdiction

Answer 17

Power for courts to hear a claim that does not have SMJ as long as the claim is substantially related to one for which SMJ does exist.

28 U.S.C. § 1367

Question 18

If the court has federal question jurisdiction, how do you determine whether supplemental jurisdiction exists?

Answer 18

Ask: Do the claims arise from the same transaction or occurrence? (i.e. share a “common nucleus of operative fact”?)

If yes, supplemental jurisdiction likely exists.

28 USC § 1367

Question 19

If the anchor claim is based on diversity, how do you determine whether supplemental jurisdiction exists?

Answer 19

Ask:

1. Do the claims arise out of the same transaction or occurrence?
   If yes, proceed to question two:
2. Is P bringing the claim in order to bring in a new party pursuant to FRCP 14 (third-party plaintiff), 19 (mandatory joinder), 20 (permissive joinder), or 24 (intervention)?
   If yes, proceed to question three:
3. Will the new party’s presence in the lawsuit defeat diversity jurisdiction?

If yes, there is no supplemental jurisdiction.

28 § U.S.C. 1367(b)

⚠️ Remember, this exception only applies when P brings a claim that would add the new party to the suit. The rule exists to prevent P’s from skirting the requirements of diversity jurisdiction by joining parties not originally named in the action.

Question 20

In what circumstances may a court decide not to exercise supplemental jurisdiction, even if the requirements are otherwise met?

Answer 20

When:

1. Claim raises a novel or complex issue of state law;
2. State law claim substantially predominates;
3. District court has dismissed all other claims over which it has original jurisdiction; or
4. In exceptional circumstances, if there are other compelling reasons for declining jurisdiction

28 U.S.C. § 1367(c)

Question 21

Define

removal jurisdiction

Answer 21

Allows federal courts to hear cases that are removed from state court to federal court in the same district where the suit is pending.

28 USC § 1441

Question 22

When can a case be removed? (generally)

Answer 22

When P could have filed original complaint in federal court.

⚠️ Federal court must have federal question, diversity, or supplemental jurisdiction over all claims

Question 23

Hypo: P files complaint based on state law. D files answer asserting federal question and seeks to remove to federal court. Should removal be allowed?

Answer 23

No, because of the well-pleaded complaint rule. Federal question jurisdiction cannot be based on the answer - must be asserted on the face of the complaint.

Question 24

Which parties can seek to remove a case?

Answer 24

Defendants only. P’s can never seek to remove, even if the D’s filed a counterclaim.

28 USC § 1441(a)

Question 25

When is removal based on diversity jurisidiction allowed?

Answer 25

1. D is not a citizen of the state in which the action was filed;
2. It is less than a year after filing; and
3. Diversity existed at the time of filing and when the notice for removal was filed (unless P dismissed the party who would have destroyed diversity jurisdiction)

28 USC § 1441

Question 26

What are the special requirements for removal based on federal question?

Answer 26

The well-pleaded complaint rule must be satisfied (i.e. the federal question must be presented on the face of the original complaint).

Question 27

What is the rule for removal when there are multiple D’s?

Answer 27

All D’s must agree to removal, or else case must remain in state court.

28 USC §1446(b)(2)(A)

Question 28

How does a D seek to remove and within what time frame?

Answer 28

File a notice to remove with state and federal court, 30 days after grounds for removal became apparent (i.e. when D was served with process).

28 USC § 1446(b)

Question 29

If P sues multiple D’s, how long do the D’s have to remove?

Answer 29

Each D has 30 days from the date they were made aware of the grounds for removal.

28 USC § 1446(b)(2)(B)

Question 30

What can P do if the removal was improper?

Answer 30

Request remand to state court.

Question 31

Define

personal jurisdiction

Answer 31

Court’s power to exercise jurisdiction over parties or property in the case, limited by the Constitution or statute. Balances justice and fairness with individual rights.

More info: Personal Jurisdiction

Question 32

Does personal jurisdiction focus on the defendant or the plaintiff?

Answer 32

The defendant (because they are being haled into court against their will).

Question 33

What are the 3 types of PJ?

Answer 33

1. In personam (over person)
2. In rem (over property)
3. Quasi-in rem (over property not involved in suit)

Question 34

What is the key inquiry when determining whether PJ exists?

Answer 34

Has there been due process? In other words, is it fundamentally fair for the court to exercise jurisdiction over D?

Question 35

Can D waive his or her right to object to PJ?

Answer 35

Yes. Can be waived by either:

1. Proceeding/responding to the lawsuit (ex. filing a counterclaim); or
2. Filing a FRCP 12(b)(2) motion

Question 36

To satisfy the Due Process Clause of the 14^th Amendment for PJ, what two things must exist?

Answer 36

1. D must have minimum contacts with the forum state; and
2. D must have been given notice of the suit

Question 37

Define

general jurisdiction

Answer 37

Only exists when D’s contacts with the forum state are so continuous and systematic as to render the D essentially at home.

⚠️ General jurisdiction is rare. It typically only exists for corporations in their state of incorporation or principal place of business.

Question 38

Define

specific jurisdiction

Answer 38

Exists when the claim arises from D’s contacts in the forum state.

⭐️ Note: Instances of specific jurisdication are when the minimum contacts analysis becomes extremely important. In cases of general jurisdiction, the minimum contacts analysis is less important because the D is “essentially at home” in the forum state, and thus exercise over PJ is fair.

Question 39

What is the minimum contacts analysis for PJ?

Answer 39

1. Did D purposefully avail himself of the forum (such that it was foreseeable litigation could occur)?; and
2. Would exercise of PJ violate notions of fair play and substantial justice?

⚠️ Note: If D has purposeful contacts, there must be a very strong showing of unfairness to defeat PJ.

International Shoe v. State of Washington, 326 U.S. 310 (1945)

Question 40

What constitutes purposeful availment?

Answer 40

Deliberately directing activities at the forum state (i.e. contacts are not “random,” “fortuitous,” or “attenuated”). Examples include:

• Directly soliciting business from state residents
• Entering into contracts with state residents
• Agreeing to a choice of law clause for the forum state

World-wide Volkswagen v. Woodson, 444 U.S. 286 (1980)

Question 41

Can purposeful availment be established even if D has no offices, property, or employees in the forum?

Answer 41

Yes. For example, purposeful availment can exist if D has contracted with other businesses in the state, directed advertising specifically at the state, etc.

International Shoe Co. v. Washington, 326 U.S. 310 (1945).

Question 42

What factors does the court balance when determining whether PJ would violate “traditional notions of fair play and substantial justice”?

Answer 42

1. Burden on D (primary concern);
2. Forum state’s interest in hearing the suit;
3. P’s interest in obtaining convenient and effective relief;
4. State’s interest in efficient adjudication; and
5. Furtherance of social policies

World-wide Volkswagen v. Woodson, 444 U.S. 286 (1980)

Question 43

Is putting a product into the stream of commerce sufficient to establish minimum contacts? What major case established the rule?

Answer 43

No, merely placing a product into the stream and knowing it will end up in the forum is not sufficient. D must engage in other deliberate activities in the forum (such as advertising or servicing the products).

J. McIntyre Machinery, Ltd. v. Nicastro, 2011 U.S. LEXIS 4800.

Question 44

How do you determine whether cases involving the internet/websites have minimum contacts?

Answer 44

Look at how much interaction the resident has with the website:

1. Passive websites: no ability to transmit info, only viewable (rare for mimimum contacts to exist)
2. Interactive: resident of a state inputs info into website but doesn’t enagage in transactions (further context needed to determine whether minimum contacts exist)
3. Active: resident actively engages with website, completes transactions, inputs info, etc. (minimum contacts exist)

Question 45

What major cases dealt with personal jurisdiction in contracts?

Answer 45

• McGee v. International Life Insurance
• Hanson v. Denckla
• Burger King v. Rudzewicz

Question 46

What was the major holding in Burger King Corp. v. Rudzewicz?

Answer 46

If a contract is negotiated and/or to be performed in the forum state, purposeful availment exists.

Question 47

Will a court have PJ over D just because D has property in the state?

Answer 47

No, D must still have minimum contacts for PJ to exist.

Question 48

Are minimum contacts necessary if D consents to PJ?

Answer 48

Generally no.

Question 49

What are 3 ways a party can consent to personal jurisdiction?

Answer 49

1. Appearance: occurs when a party appears in court without having objected to personal jurisdiction in their initial filing or appearance;
2. Contract: a signed contract containing a choice of forum clause; and
3. Appointment: the party is an appointed agent in the state where it is filed

Question 50

If a court has PJ over D and renders a judgment, can another state seize D’s property located in that state, even if the D doesn’t have minimum contacts in that state?

Answer 50

Yes (quasi in rem jurisdiction)

Question 51

Does a state have PJ over D if they are passing through to attend another judicial proceeding?

Answer 51

No, not if D is just passing through. However, if D is present in the forum state and not just passing through, PJ can be exercised.

Question 52

If D is able to establish that there was no PJ, is D entitled to have the judgment set aside as void?

Answer 52

Yes.

⚠️ Note: The one year statute of limitations for motion to set aside a judgment will not apply- can file motion at anytime.

Question 53

What is a forum selection clause?

Answer 53

Contractual agreement that designates a specific forum for future legal disputes. Establishes PJ and venue.

See more: Forum Selection Clause

Question 54

Are forum selection clauses enforceable?

Answer 54

Governed by state law, not federal. Up to the state court’s discretion. Will usually be upheld if they were fairly negotiated and agreed on.

Question 55

What was the court’s holding in Carnival Cruise Lines Inc. v. Shute?

Answer 55

A forum selection clause in a form contract is generally enforceable, as long as it is fundamentally fair.

A forum selection clause that contains an inconvenient venue (e.g. one that has no connection to the parties) is likely not fundamentally fair.

Carnival Cruise Lines Inc. v. Shute, 499 U.S. 585 (1991)

Question 56

What is notice?

Answer 56

Reasonably calculated steps to inform D of the action against him. Requires that D be served with a summons and copy of the complaint and given an opportunity to respond.

Example Summons in a Civil Action

Mullane v. Central Hanover Bank & Trust Co., 339 U.S. 306 (1950).

Question 57

What is service of process?

Answer 57

Method by which D is given notice of an impending lawsuit.

See more: Service of Process

Question 58

What documents does D need to be served with to satisfy service of process?

Answer 58

1. A copy of the complaint; and
2. A summons

⚠️ Note: If both the complaint & summons have not been served, process has not been completed.

Question 59

What does the summons need to contain?

Answer 59

A summons must:

1. Name the court and the parties;
2. Be directed to D;
3. state the name and address of the plaintiff’s attorney or—if unrepresented—of the plaintiff;
4. State the time within which D must appear and defend;
5. Notify D that a failure to appear and defend will result in a default judgment against D for the relief demanded in the complaint;
6. Be signed by the clerk; and
7. Bear the court’s seal

FRCP 4(a)

Question 60

How can process be served?

Answer 60

In the manner either:

1. Prescribed by the state court in the state where the federal suit has been filed; or
2. Prescribed by the state court in the state where D will be served; or
3. Specified in FRCP 4(e)(2)

Question 61

Who is eligible to serve process?

Answer 61

Any person who is at least 18 years old and not a party to the action.

FRCP 4(c)(2)

Question 62

What are the acceptable methods of service specified in FRCP 4?

Answer 62

1. Deliver the process to D himself wherever he may be;
2. Leave process at D’s home with someone of suitable discretion;
3. Serve D’s registered agent;
4. Mail service to D, requesting waiver (if mailed, D gets 3 extra days to respond); or
5. Any other method prescribed by the state where the federal court is located

FRCP 4

Question 63

What are the methods prescribed by FRCP 4(h) for service of process for a corporation?

Answer 63

1. Serve process to an officer;
2. Serve process on a managing agent or general agent; or
3. Serve process on any other agent authorized by appointment or by law to receive service (e.g. registered agent)

FRCP 4(h)

Question 64

What is the deadline for service of process?

Answer 64

Within 90 days of filing the complaint. FRCP 4(m).

Question 65

What happens if P fails to timely serve process?

Answer 65

The court, either on motion or on its own after notice to P, must either dismiss the action without prejudice or order that service be made.

⚠️ Note: If P shows good cause for the failure, the court must extend the time for service for an appropriate period.

FRCP 4(m)

Question 66

Does failure to file proof of service affect the validity of the service?

Answer 66

No, although proof of service is required (unless service is waived), failure to prove service does not make the service invalid.

FRCP 4(l)(3)

Question 67

If new claims are filed during a lawsuit, does new process need to be served?

Answer 67

No, new service of process only needs to be served when a new party is been added to the lawsuit.

Question 68

Can P request that D waive service?

Answer 68

Yes, P can request waiver by mailing D a copy of the complaint along with 2 copies of the form for waiver of process.

FRCP 4(d)(1)

Question 69

If D waives service, how long do they have to respond to the complaint?

Answer 69

60 days after the request was sent (90 days for international defendants).

FRCP 4(d)(3)

⚠️ Note: If process is not waived, an answer must be filed within 21 days, absent other instruction from the court.

Question 70

What happens if D fails to return P’s request for waiver of process?

Answer 70

If D fails to return the waiver without good cause for doing so, the court must impose on D:

1. The expenses later incurred in making service; and
2. The reasonable expenses, including attorney’s fees, of any motion required to collect those service expenses

FRCP 4(d)(2)

Question 71

Does waiver of service waive D’s right to object to PJ or venue?

Answer 71

No. FRCP 4(d)(5).

Question 72

If an action is based on duties performed on behalf of the U.S. (e.g. police officer), how must process be served?

Answer 72

Both the individual and the U.S. needs to be served. FRCP 4(i)

Question 73

Define

venue

Answer 73

Location where suit can occur (called the “judicial district” in federal court).

Question 74

Where is venue proper?

Answer 74

1. District where D resides, if all D’s are residents of the state in which the district is located; or
2. District where a substantial portion of events giving rise to the claim occurred; or, if none of these provide basis for venue then →
3. Any district that has PJ over any D

28 USC § 1391(b)

⚠️ Note: Venue is not required by the Constitution. A judgment in from a court that lacks proper venue is not invalid.

Question 75

If D’s reside in the same state, where is venue proper?

Answer 75

Any judicial district in which any single D resides.

28 USC § 1391(b)(1)

Question 76

If D’s reside in multiple states, where is venue proper?

Answer 76

1. Location where a substantial part of the events occurred; or
2. Location where the disputed property is located

28 USC §1391(b)(2)

Question 77

For venue purposes, where do corporations reside?

Answer 77

If corporation is the defendant: any judicial district in which they are subject to personal jurisdiction.

If corporation is the plantiff: judicial district in which it maintains its principal place of business.

28 USC § 1391 (c)(2)

Question 78

Where can a party transfer venue if:

1. Original venue was proper?
2. Original venue was improper?

Answer 78

1. Original venue proper: As long as the new district would also have proper venue, the transfer will be granted if the new district is more convenient for the suit. 28 USC § 1404.
2. Original venue improper: any district where venue would be proper.

28 USC §1406(a).

Question 79

If venue is transferred under 28 USC § 1404 (motion/consent of the parties, or convenience), the new court must apply the rules of which court?

Answer 79

The laws of the state of the transferor (original) court, including conflict of laws rules.

Question 80

What is forum non conveniens?

When is it proper?

Answer 80

Gives courts the discretion to dismiss a suit when there is a more appropriate forum, even if venue was proper.

Proper when:

1. Alternate forum exists; and
2. Balance of public and private factors justify dismissal

More Info:Forum Non Conveniens

Question 81

What is the Full Faith and Credit Clause?

Answer 81

Requires one state to recognize and enforce judgments of another state. For example, D’s property or wages in Indiana may be seized to satisfy a judgment in Ohio.

Art IV § 1.