Subject Matter Jurisdiction

Question 1

3 Types of SMJ

Answer 1

1. Diversity
2. Federal Question
3. Other / Supplemental

Question 2

What are the requirements for Diversity?

Answer 2

1. diversity in citizenship

2. amount in controversy ($75,000)

Question 3

What is the test for an individual’s domicile? majority an minority

Answer 3

Gordon v. Steele (majority) fact of residency and intent to remain indefinitely

Mas v. Perry (minority) true, fixed, permanent home

Question 4

What is the test for a corporation’s domicile?

Answer 4

state of incorporation and principle place of business

Question 5

2 Requirements for SMJ

Answer 5

1. Constitutional hook (Art. III Sec. 2 Part 2)

2. Statutory hook

Question 6

What rule comes from Diefenthal v. C.A.B?

Answer 6

the sum claimed by a plaintiff controls so long as it is made IN GOOD FAITH and there must be a legal and factual basis for a recovery of that amount

Question 7

what is the principle place of business test?

Answer 7

Hertz Corp. v. Friend - where the corporation’s highest level officers direct, control, and coordinate the corporation’s activities

Question 8

How do we calculate amount in controversy for non-damage actions?

Answer 8

the court looks to the loss of the plaintiff to determine the amount in controversy

Question 9

What is a tag along plaintiff?

Answer 9

a plaintiff who has less than $75,000 in damages may “tagalong” in a federal suit where the original plaintiff meets the amount in controversy

Question 10

Can 2 plaintiffs aggregate their claims to meet the amount in controversy requirement?

Answer 10

No. at least one plaintiff must meet the amount in controversy by herself. UNLESS two parties have a joint interest.

Question 11

2 requirements for Fed questions

Answer 11

Constitutional hook (Art III sec 2) and statutory hook

Question 12

What is the constitutional scope for federal question?

Answer 12

“arising under” has been interpreted to mean that it requires only a federal ingredient. Osborn v. Bank of US

Question 13

what is the statutory hook for federal question? How is it interpreted?

Answer 13

28 USC 1331 - more narrow

Question 14

what is the well pleaded complaint?

Answer 14

Lousiville v. Mottley: elements of the complaint must involve federal question basis and defenses to potential defenses do not count as providing federal question.

Question 15

What is Fed. Q. Type 1?

Answer 15

the holmes creation test: a suit arises under the law that creates the cause of action; counterclaims do not provide a basis to move suit to federal court, but they can if congress enacts a statute that permits it (ex. patents)

Question 16

What is Fed. Q. Type 2?

Answer 16

Grable and Sons well proved complaint

Question 17

What does the Grable Well Proved Complaint Rule say? (FQ type 2)

Answer 17

federal issue must be necessarily raise, actually disputed, substantial, and is a good idea for federal courts to hear it since it is a stat law claim that turns on a question of federal law

Question 18

BONUS: what is the third type of federal question jurisdiction?

Answer 18

preemption

Question 19

How long does a defendant have to remove a case to federal court?

Answer 19

30 days after it has been filed within or 30 days after it becomes removable

Question 20

How long does a party have to make a motion to remand back to state court?

Answer 20

within 30 days after the filling of the notice or removal under 1446(a)

Question 21

Can a party file an interlocutory appeal on a denial of a motion to remand?

Answer 21

Nope. parties have to wait to appeal until they get a final judgment BUT exceptions are provided under 1292

Question 22

What imposes fees for removals that are not proper?

Answer 22

28 USC 1447

Question 23

What is the forum defendant rule?

Answer 23

if a plaintiff choose to sue on the basis of diversity in a defendants home state, then the defendant cannot remove to federal court 1441(b)(2)

Question 24

what is the one year rule and what type of SMJ is it based on?

Answer 24

(based solely on diversity jurisdiction) if the case could have been in federal court but the parties litigated more than 1 year in state court before it became removable, then it cannot be removed for judicial efficiency reasons.

Question 25

2 requirements for Supplemental Jurisdiction

Answer 25

Constitutional hook - federal courts have jurisdiction over cases and controversies where they otherwise have jurisdiction AND statutory hook - 1367(a-d)

Question 26

What is the Exxon Rule under Supp J

Answer 26

diversity is met for tagalong plainitffs wihtout amount in controversy so long as they don’t destroy diversity

Question 27

what are we considering when evaluating Supp J?

Answer 27

whether the federal court has jurisdiction to hear the state law claim because of its relation to the main claim that supports federal jurisdiction

Question 28

When does a court with original jurisdiction authorized to hear additional state law claims?

Answer 28

when the additional claims arise out of the SAME NUCLEUS OF OPERATIVE FACTS 1367(a)

Question 29

Is a court required to give supp. J. to a claim?

Answer 29

No. it’s discretionary

Question 30

When can a court deny Supp. J?

Answer 30

1. the claim raises a novel complex issue of state law
2. the claim substantially predominates over the claim or claims which the court has original jurisdiction
3. the court dismissed all claims over which it has original jurisdiction, or
4. exceptional circumstances, other compelling reasons not to hear the claim

Question 31

What happens if a party is denied supp j on a claim but the statute of limitations has run out?

Answer 31

1367(d) provides a tolling period and tolls the statute of limitations so parties can refile in state court