Subject Matter Jurisdiction Flashcards
Well Pleaded Complaint Rule
FQJ works if claim in plaintiff’s side of lawsuit
Regardless of any defense that can be raised.
When Do We Have Subject Matter Jurisdiction
Federal Question
Diversity
Removal
Supplemental Jurisdiction
Federal Question Inside State Law Claims
3 Requirements When Allowed
- Federal Question is actually in dispute
- Requires federal expertise and uniformity
- jurisdiction will not result in a significant number of cases transferred to federal courts.
Diversity Action - Defined
between citizens of different states
citizens and aliens
Amount over $75000
When is diversity complete
no plaintiff and no defendant are citizens of the same state
Diversity and Timing
Diversity is measured at time lawsuit is filed.
Amendments to add or dismiss a party can affect jurisdiction.
Diversity Exception for Class Actions
class < 100 persons
amount in controversy exceeds $5m
Diversity need only be minimal
Any single P diverse from any single D
Citizens - human being test
Citizen of the state where you reside and intend to remain indefinitely.
Citizenship - Hobo Rule
Citizenship does not change until person lives somewhere with intent to remain
Citizenship - Corporations
State of incorporation and
Where it maintains its principal place of business
Where is a corporations principal place of business
Where its nerve center is. Principal management parties reside
Citizenship for Unincorporated Associations
llc’s , partnerships, unions
Citizenship of these organizations are the citizenships of every member
Could be citizen of every state and therefore never have diversity of citizenship from any citizen of the US
Amount in Controversy
$75k
defer to P
unless it appears to a legal certainty it is incorrect.
Claim must be in good faith.
Aggregation of Multiple Claims and Multiple Defendants
Amount in controversy
can aggregate claims against single D to meet amount in controversy
no aggregation of claims against multiple defendants to do this
Supplemental Jurisdiction - Defined
Allows clams to piggy back on claims that fall under federal question or diversity
Steps to SMJ analysis
List
- Determine Relatedness
- Watch for Sneaky Plaintiffs
- Consider State Perogatives
SMJ - Relatedness Analysis
arise from same transaction or occurrence
Sneaky Plaintiff Analysis - SMJ
anchor claim is diversity claim
no stacked Defendants or 3rd party defendants
if anchor claim is a federal question - ok
SMJ Analysis - State Perogatives
Courts will decline where
- claim involves novel, complex issue of state law
- claim substantially predominates over federal question or diversity claim
- court has dismissed anchor claim
- exceptional circumstances where other compelling interests exist
Court may but doesnt have to decline jurisdiction but doesnt have to do so.
Removal jurisdiction
permits FC to hear case brought in state court
only an option for defendants
If P wants case in federal court, P must file there
Grounds for Removal
If plaintiff’s case could have originally been filed in federal court, it can be removed there.
original claim, not counterclaim, cross-claim, or impleader
must have subject matter jurisdiction (Federal question, diversity, or supplemental jurisdiction)
When a case may NOT be removed
- Federal jurisdiction grounded in diversity jurisdiction
- D is citizen of state where action is filed
home state defendant rule
Removal of case with multiple defendants
All defendants must agree to removal
Timing of Removal
D must remove within 30 days from day grounds for removal became apparent.
Where multiple parties are served at different times, the clock starts from day the last defendant is served.
Timing of Removal for Diversity Actions
If removal is based on diversity of citizenship, D must remove within one year of the date of filing unless P attempted to thwart removal
