SMJ

Question 1

Under federal question, _________ courts have original jurisdiction of all civil actions arising under the Constitution laws, or treaties of the US.

Answer 1

District

Question 2

Concurrent/exclusive jurisdiction for federal questions

Answer 2

State courts and federal courts have concurrent JX of federal question claims…

EXCEPT when Congress expressly provides that JX of the federal courts is exclusive.

Question 3

Express/implied federal question

Answer 3

Express - FQ exists if cause of action in question is expressly created by federal law and federal law provides the underlying right.

Implied - FQ likely to be found if right is created by federal law, and a cause of action can be fairly implied and was intended by Congress.

Question 4

Federal question not express or implied

Answer 4

Can still be found if state-law claim has a federal issue that is:

(1) Necessarily raised
(2) Actually disputed
(3) Substantial
(4) Capable of resolution in federal court w/o disrupting the federal-state balance approved by Congress.

Question 4

Well-pleaded complaint requirement for FQ

Answer 4

Federal question only exists when federal issue is presented on the face of the complaint.

NOT FQ in defenses, answers, or counterclaims.

Question 5

Amount-in-controversy and diversity requirement for federal question

Answer 5

None.

Question 6

Diversity jurisdiction

Answer 6

Fed courts have JX when parties are citizens of different states or citizens of a state and citizens of a foreign state

AND amount in controversy >$75,000.

Question 7

Complete diversity requirement

Answer 7

No diversity if ANY P is a citizen of the same state or foreign country as ANY D.

Question 8

Determining citizenship of individuals

Answer 8

Domicile. State in which individual is present and intends to reside indefinitely.

Can have only one domicile.

Determined when action is commenced.

Question 9

Determining citizenship of corporations

Answer 9

Citizenship is state of incorporation and state where it has principal place of business (HQ).

Question 10

Amount in controversy standard of proof

Answer 10

P’s good-faith assertion in complaint is sufficient unless legal certainty that P can’t recover that much.

Question 11

Aggregation of claims and amount in controversy

Answer 11

Aggregation to meet AIC requirement permitted for single P against single D, or multiple Ps with common/undivided interest.

Counterclaims generally not counted.

Question 12

Counterclaim amount in controversy requirement

Answer 12

Permissive counterclaims must meet jurisdictional amount requirement.

Compulsory counterclaims don’t need to.

Question 13

Creating/destroying diversity

Answer 13

Actions that create or destroy diversity are permitted so long as they are not “shams” or fraudulent.

Assignment of claims, failure to name indispensable parties, voluntary change of state citizenship, replacement of parties.

Question 14

Supplemental jurisdiction

Answer 14

Fed court with JX may exercise supplemental JX over additional claims which the court wouldn’t normally have SMJ over so long as they arise out of a “common nucleus of operative fact.”

Question 15

Diversity for permissive joinder

Answer 15

Addition of a plaintiff asserting additional claim cannot violate complete diversity rule.

Not required to satisfy jurisdictional amount.

Question 16

Diversity for counterclaims (compulsory vs. permissive)

Answer 16

Compulsory counterclaims need not satisfy jurisdictional amount.

Permissive counterclaims must satisfy both amount in controversy and complete diversity.

Question 17

Diversity for cross-claims

Answer 17

May be asserted by a D against another D or by a P against another P if the cross-claim arises out of the same transaction/occurrence as the initial claim.

No amount in controversy or citizenship requirement IF the court has SMJ over original complaint.

Question 18

Removal jurisdiction

Answer 18

D may generally remove case from state court to fed district court having SMJ.

Removal must be to the district court for the district and division in which the state court action is pending.

Removal to the wrong district court is subject to a motion to remand.

Question 19

When is removal proper?

Answer 19

Only if the case could have been brought originally in federal court.

Question 20

Removal based on diversity jurisdiction

Answer 20

Proper only if:

(1) There is complete diversity
(2) The AIC exceeds $75,000, and
(3) The action is brought in a state of which no D is a citizen.

Question 21

One-year limit on removal in diversity cases

Answer 21

If removing on diversity grounds, must remove within one year of the commencement of the action in state court, UNLESS the P acted in bad faith to make the case non-removable.

Question 22

Removal notice

Answer 22

D must file notice within 30 days after receipt by, or service on, the D of the initial pleading.

IF removal based on FQ: only Ds against whom federal claim is filed must consent/join in removal.

IF removal based on DJ: cannot occur more than one year after action is commenced unless P acted in bad faith.

Question 23

Remand for lack of SMJ

Answer 23

May be filed any time before final judgment is rendered.

Question 24

Remand for other reasons

Answer 24

Motion to remand for any defect other than SMJ must be within 30 days after filing of notice of removal.

Question 25

In which kinds of cases can a court NOT exercise diversity jurisdiction over?

Answer 25

Probate and domestic relations matters.