SMJ Flashcards
Diversity
Diversity jurisdiction requires complete diversity, meaning each plaintiff is a citizen of a different state from each defendant, and an amount in controversy exceeding $75k.
Federal Question
Federal question jurisdiction requires that the plaintiff’s claim arise under federal law.
Citizenship
A natural person’s citizenship is the state where the person is domiciled. Establishing a new domicile requires physical presence and the intent to remain.
A corporation is the citizen of any state in which it is incorporated and the one state in which it has its principal place of business. The PPB is where the managers direct and control business activities.
Amount
Whatever amount the plaintiff claims in good faith is accepted unless it is clear to a legal certainty that she cannot recover more than $75k.
A single plaintiff can aggregate all of her claims against a single defendant in order to reach the amount requirement.
Multiple plaintiffs can aggregate their claims only if they have a joint claim.
Diversity Exclusions
Regardless of the other factors, a federal court will refuse to hear actions for divorce, alimony, chid custody, or probate actions.
Supplemental
If a federal court has subject matter jurisdiction over one claim, it has discretion to exercise supplemental jurisdiction over related claims that derive from the same common nucleus of operative fact.
Limitation: if the original claim is based on diversity jurisdiction, plaintiffs cannot invoke supplemental jurisdiction unless there are multiple plaintiffs and one of their claims does not meet the amount in controversy requirement.