Pg 9

Question 1

What is the well pleaded complaint rule with regard to ways that an issue can arise under federal law?

Answer 1

Federal question jurisdiction must appear on the face of the plaintiff’s complaint or cause of action, it cannot come from the D’s answer, counterclaims, or defenses

Question 2

If the plaintiffs had lifetime railroad passes that suddenly stopped being honoured because of a statute of Congress, would that be federal subject matter jurisdiction?

Answer 2

No, this is a breach of contract issue, so it would be state law, even though a federal statute was a reasoning, it was just a defense, so under the well pleaded complaint rule, it is not an element of the case

Question 3

What is the “artfully plead doctrine“ that is an exception to the well pleaded complaint rule for subject matter jurisdiction?

Answer 3

The court can allow removal of a case to federal court even if it was not plead by the plaintiff if the plaintiff tried to artfully get around or disguise the federal claim in order to avoid federal jurisdiction. This means the case can be removed if the plaintiff tried to avoid federal law that controlled it

Question 4

What is involved in the embedded federal question for subject matter jurisdiction?

Answer 4

If a state law claim has a federal issue embedded in it, the following requirements are necessary for the issue to arise under federal law:
– the federal issue must be actually in dispute, not something that might come up in the case
– the federal issue must be significant, substantial, or important
– granting jurisdiction cannot disturb the balance of the federal and state judicial responsibilities

Question 5

If you sue under the common-law for a tort claim and as part of it you allege a first violation, that involves a state law claim that raises a federal issue, so could it be considered an embedded federal question for subject matter jurisdiction?

Answer 5

Yes, because it is a state law claim that raises a federal issue that is actually disputed, significant and substantial, and it doesn’t disrupt the balance between the federal and state responsibilities

Question 6

What is diversity jurisdiction?

Answer 6

This is based on statutory requirements. It says that district courts will have original jurisdiction over all civil actions when:

• the amount in controversy exceeds $75,000, exclusive of interest and costs
• and the suit is between citizens of different states, citizens and aliens, something involving a foreign minister or consul, Admiralty/Maritimes, etc.

Question 7

What is the focus for diversity jurisdiction?

Answer 7

Where are the parties live, not where they sue

Question 8

What is required to have diversity jurisdiction?

Answer 8

Complete diversity of opposing parties

Question 9

What do you have to look at to figure out diversity jurisdiction?

Answer 9

The citizenship or domicile of a party, not just a residency

Question 10

What is the rationale behind diversity jurisdiction?

Answer 10

To avoid prejudice of state citizens by local courts and to give them a neutral forum for dispute

Question 11

Diversity jurisdiction allows a federal court to hear what?

Answer 11

State law based claims

Question 12

Is there still diversity jurisdiction if the defendants are from the same state that the suit is brought in?

Answer 12

Yes

Question 13

Is it possible for an alien to become a state citizen before becoming a US citizen?

Answer 13

No, so even if they are domiciled in a state, they are still an alien if they haven’t first become a US citizen

Question 14

What is the exception for when someone will no longer be considered an alien?

Answer 14

If they are admitted for permanent residence in the United States, then they are considered to be local in the state that they are living in

Question 15

If you add a non-diverse party midway through a suit, what happens?

Answer 15

The suit is dismissed, otherwise that would give the P access to the federal courts inappropriately

Question 16

What is the date to determine diversity when you’re figuring out diversity jurisdiction?

Answer 16

The date the suit was filed. If the parties were not diverse when the issue occurred, but then they moved in time for the suit to be filed, that is fine

Question 17

What is the domicile test for diversity jurisdiction?

Answer 17

To be a citizen of a state, it must be your true, fixed, permanent home. This means the place you reside and you intend to remain or return to if you leave

Question 18

Is it possible for a person to have multiple residences?

Answer 18

Yes, but they can only have one actual domicile for citizenship purposes.

Question 19

What are the factors to determine a person’s citizenship?

Answer 19

Residence, voting, car registration, location of property, bank accounts, job, intent to return or remain in a certain location, etc.

Question 20

What are the two major things that are required for diversity jurisdiction?

Answer 20

– there must be complete diversity

– the amount in controversy must be more than $75,000

Question 21

What is complete diversity?

Answer 21

An absolute rule that no plaintiff and no definite can be citizens of the same state or nation. All plaintiffs must be diverse from all defendants

Question 22

If parties to a suit change their citizenship during the course of the case, does that affect diversity?

Answer 22

No. Diversity is decided at the date of filing and the focus is on the domicile, not where the parties sue

Question 23

Does diversity jurisdiction apply to state courts?

Answer 23

No, only federal

Question 24

What is the Giamatti caveat for complete diversity?

Answer 24

This only includes real parties and interest. Those are the ones that have to be diverse from the other parties on the opposite side of the V. This rule allows you to disregard nominal or formal parties in name only.

Ie: baseball case where the defendant removed to federal court and the plaintive argued that he couldn’t because there was no diversity since the MLB shared citizenship with the plaintiff. The court said that the real party in interest were just the plaintiff and the defendant, who were diverse.

Question 25

Who is considered to be a real party with regard to diversity?

Answer 25

Anyone that has a duty to be enforced. Formal or nominal parties have no interest in the results of the suit and no control over the subject matter of the litigation

Question 26

Can an individual have more than one citizenship or domicile?

Answer 26

No.

Question 27

How do you determine a person’s citizenship or domicile?

Answer 27

Subjective intent and physical presence must coincide, but they don’t have to be at the same time. This means that you live in the state/physically present there with the intent of remaining for the foreseeable future

Question 28

If a person comes to a state and does not intend to stay there, but then later decides to stay, what is the moment that domiciled is determined?

Answer 28

At the moment that he decides to stay he becomes domiciled there.

Question 29

When do you lose your old domicile?

Answer 29

At the moment that you acquire a new one

Question 30

If you expect that you will probably move at some point but you have no definite plans to do it at a particular time, how does domicile work?

Answer 30

As long as you don’t have definite plans for a particular time to move, your domicile is in the state that you’re living in

Question 31

As far as an individual’s domicile goes, if he is not committed to leaving, he is considered to be where?

Answer 31

At home

Question 32

What is the definition of domicile?

Answer 32

Your true, fixed, permanent home where you reside and intend to return or remain.

Question 33

When do you acquire a new domicile?

Answer 33

When you physically arrive in a different state with the proper intent. Until that moment, you keep your old domicile

Question 34

If you get in an accident while moving to a new state, where is your domicile?

Answer 34

You’re still domiciled in your old state until you arrive in the new state

Question 35

Is it necessary that the subjective intent and physical presence elements of domicile happen at the exact same time?

Answer 35

No, they just have to happen at some point

Question 36

What are some factors to help show domicile?

Answer 36

Where you live, vote, have car registration, bank, work, etc.

Question 37

Can corporations have dual citizenship?

Answer 37

Yes. They can be citizens of their state of incorporation and of the state of their principal place of business. Corporations are considered to be residents of any state that they are incorporated in or licensed to do business in

Question 38

Ford is incorporated in Delaware and has a principal place of business in Michigan, so where is it considered to be a citizen?

Answer 38

In both states

Question 39

What are the three tests to determine the principal place of business for a corporation?

Answer 39

• nerve centre test
  – corporate muscle test
  – total activity test/hybrid test

Question 40

What is involved in the nerve centre test for principal place of business for a corporation?

Answer 40

This is the place of headquarters of the corporation where corporate policy is made and decision making authority is. This is the locus of executive and administrative functions in the primary decision-making office.

Question 41

Which of the three tests for principal place of business is most often used?

Answer 41

The nerve centre test

Question 42

What is required for someplace to be considered the headquarters of a corporation for diversity?

Answer 42

Must be the actual centre of direction or control, not just an empty office that mail comes to or that people fly to for meetings.

Ie: if a corporation has two casinos and one makes way more money, but the other has offices, the one with the offices is the principal place of business

Question 43

What is involved in the corporate muscle test for principal place of business for a corporation?

Answer 43

The place where the muscle or majority of manufacturing is, or the definable centre of production activities. This is one place, not an amalgamation of a state’s business activities

Question 44

What is involved in the total activity test/hybrid test for principal place of business for a corporation?

Answer 44

This considers all the circumstances surrounding the corporation’s business

Question 45

What are some examples of unincorporated associations?

Answer 45

Trusts, unions, charities, partnerships, etc.

Question 46

What is the citizenship of an unincorporated association?

Answer 46

It takes on the citizenship of every member, so it is very hard to get diversity for this