Venue Flashcards
Venue
Venue involves determination of judicial district(s) in which P may bring suit
GENERAL RULES IN CIVIL CASES
For most civil actions in Fed Court, venue is proper:
- (1) In any district where one of the D resides — if all Ds reside in the same state in which the district is located
- EX — P sues D1 who lives in LA and D2 who lives in San Diego. Venue is proper in CD Cal or SD Cal — and possibly another district too depending on the facts.
- (2) In _any distric_t in which a substantial part of the
-
(i) events (or omissions) giving rise to the claim occurred, or
- Can be multiple districts
-
(ii) property that is subject to the action is situated
- The property must be the subject of the action for this venue provision to apply — similar to PJ analysis — In Rem / Quasi
-
(i) events (or omissions) giving rise to the claim occurred, or
- (3) Fallback — If no district in the US can satisfy these, venue is proper in any district in which any D is subject to PJ
Note
These rules are for cases initially filed in Fed Court
- For Removal — venue is proper / D can only remove to — federal district embracing state court in which case was originally filed
- even if venue would have been improper had the plaintiff originally filed the action in the federal district court of that state
- Irrelevant for venue
- where P resides (but might be relevant for FNC convenience factor)
- whether the case is Div / FQ
RESIDENCY FOR VENUE PURPOSES
Natural Person = Domicile
Business Entity — entity with the capacity to sue and be sued in its common name under applicable law, whether or not incorporated
- (a) Plaintiff
- Resident only in the district where it has its PPB
- (b) Defendant
- Resident of alI districts in which it was subject to PJ when action commenced
- (c) Residence of Corp in State with Multiple Districts
- treat district as if it were a separate state — then see whether there are minimum contacts with district for PJ. If there is no such district, the corporation is deemed to reside within the district with which it has the most significant contacts.
D Not a US Resident — (Alien or US National)
- If D does not reside in US, may be sued in any judicial district.
- Joinder of such a D, however, is disregarded in determining where the action may be brought with respect to any other Ds
Residency
for Venue Purposes
Natural Person = Domicile
Business Entity — entity with the capacity to sue and be sued in its common name under applicable law, whether or not incorporated
- (a) Plaintiff
- Resident only in the district where it has its PPB
- (b) Defendant
- Resident of alI districts in which it was subject to PJ when action commenced
- (c) Corp in State with Multiple Districts
- treat district as if it were a separate state — then see whether there are minimum contacts with district for PJ. If there is no such district, the corporation is deemed to reside within the district with which it has the most significant contacts.
D Not a US Resident — (Alien or US National)
- If D does not reside in US, may be sued in any judicial district.
- Joinder of such a D, however, is disregarded in determining where the action may be brought with respect to any other Ds
______________________________________
GENERAL RULES IN CIVIL CASES
For most civil actions in Fed Court, venue is proper:
- (1) In any district where one of the D resides — if all Ds reside in the same state in which the district is located
- EX — P sues D1 who lives in LA and D2 who lives in San Diego. Venue is proper in CD Cal or SD Cal — and possibly another district too depending on the facts.
- (2) In _any distric_t in which a substantial part of the
-
(i) events (or omissions) giving rise to the claim occurred, or
- Can be multiple districts
-
(ii) property that is subject to the action is situated
- The property must be the subject of the action for this venue provision to apply — similar to PJ analysis — In Rem / Quasi
-
(i) events (or omissions) giving rise to the claim occurred, or
- (3) Fallback — If no district in the US can satisfy these, venue is proper in any district in which any D is subject to PJ
Note
These rules are for cases initially filed in Fed Court
- For Removal — venue is proper / D can only remove to — federal district embracing state court in which case was originally filed
- even if venue would have been improper had the plaintiff originally filed the action in the federal district court of that state
- Irrelevant for venue
- where P resides (but might be relevant for FNC convenience factor)
- whether the case is Div / FQ
Venue in
Removal Cases
- venue is proper / D can only remove to
- Fed District embracing state court in which case was originally filed
- even if venue would have been improper had the plaintiff originally filed the action in the federal district court of that state
Venue Transfer
Choice of Law
(what law does the transferee court apply?)
General Rule
Transferee court applies choice of law rules of the original (transferor) court, regardless of which party sought transfer
- If Diversity case – applies transferor court’s state law
Exception
Transferee court will apply its own laws if
- (1) Original venue was improper, or
- (2) Transfer was to enforce a forum selection clause — transfer to forum with proper venue
- Fed Courts may enforce forum selection clauses even if the state court would not
Public & Private Interest Factors
(Transfer & FNC)
Basic Q — what district / place is center of gravity in case
(i) Public Factors
- what Law applies
- which community should be burdened with Jury Service
- a desire to keep a local controversy in a local court
(ii) Private Factors — concern Convenience
- Location of Evidence & Witnesses
- Forum Selection Clause
- existence of a valid forum selection clause prescribing venue in the other federal district establishes that the private factors support transfer
Note — For FNC
- Requires strong showing of public & private interests to dismiss or stay — stronger than required for transfer
- That the law in the more convenient forum is less favorable to plaintiffs usually has no significant weight. (Piper Aircraft - Scottish Law)
Venue Transfer
Case can be transferred from one federal district to another — in the interest of justice — if the transferee district is one in which the case could have originally been filed — i.e., can transfer to any district with proper Venue, PJ, and SMJ
- Any party may move to transfer venue
- Burden is on party seeking transfer
Timing
- No strict time limit — can be raised by any party at any time
- C.f. R12 motion to dismiss for improper venue
When Venue in Original District Court is — Proper vs Improper (Venue, PJ)
Proper → Transfer Is Discretionary
- Court may order transfer based on
- (i) convenience of parties & witnesses, and/or
- (ii) in the interest of justice
- Court’s discretion based on — Public & Private Factors — showing transferee is the center of gravity in the case
- (i) Public Factors
- what Law applies
- which community should be burdened with Jury Service
- a desire to keep a local controversy in a local court
- (ii) Private Factors — concern Convenience
- Location of Evidence & Witnesses
- Forum Selection Clause
- existence of a valid forum selection clause prescribing venue in the other federal district establishes that the private factors support transfer
- (i) Public Factors
Improper → Court can
- (i) Transfer in the Interest of Justice, Or
- (ii) Dismiss the Case
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Choice of Law — in Transferee Court
- Transferee court applies choice of law rules of the original (transferor) court, regardless of which party sought transfer
- Exception — transferee court will apply its own laws if
- (1) Original venue was improper, or
- (2) Transfer was to enforce a forum selection clause — transfer to forum with proper venue
- Fed Courts may enforce forum selection clauses even if the state court would not
When Venue in Original District Court is
Proper (Venue, PJ)
Transfer is _______
Discretionary
- Court may order transfer based on
- (i) convenience of parties & witnesses, and/or
- (ii) in the interest of justice
- Court’s discretion based on — Public & Private Factors — showing transferee is the center of gravity in the case
- (i) Public Factors
- what Law applies
- which community should be burdened with Jury Service
- a desire to keep a local controversy in a local court
- (ii) Private Factors — concern Convenience
- Location of Evidence & Witnesses
- Forum Selection Clause
- existence of a valid forum selection clause prescribing venue in the other federal district establishes that the private factors support transfer
- (i) Public Factors
Improper → Court can
- (i) Transfer in the Interest of Justice, Or
- (ii) Dismiss the Case
________________________________________
Case can be transferred from one federal district to another — in the interest of justice — if the transferee district is one in which the case could have originally been filed — i.e., can transfer to any district with proper Venue, PJ, and SMJ
- Any party may move to transfer venue
- Burden is on party seeking transfer
Timing
- No strict time limit — can be raised by any party at any time
- C.f. R12 motion to dismiss for improper venue
________________________________________
Choice of Law — in Transferee Court
- Transferee court applies choice of law rules of the original (transferor) court, regardless of which party sought transfer
- Exception — transferee court will apply its own laws if
- (1) Original venue was improper, or
- (2) Transfer was to enforce a forum selection clause — transfer to forum with proper venue
- Fed Courts may enforce forum selection clauses even if the state court would not
When Venue in Original District Court is
Improper (Venue, PJ)
the Court can _______
Improper → Court can
- (i) Transfer in the Interest of Justice, Or
- (ii) Dismiss the Case
Proper → Transfer is Discretionary
- Court may order transfer based on
- (i) convenience of parties & witnesses, and/or
- (ii) in the interest of justice
- Court’s discretion based on — Public & Private Factors — showing transferee is the center of gravity in the case
- (i) Public Factors
- what Law applies
- which community should be burdened with Jury Service
- a desire to keep a local controversy in a local court
- (ii) Private Factors — concern Convenience
- Location of Evidence & Witnesses
- Forum Selection Clause
- existence of a valid forum selection clause prescribing venue in the other federal district establishes that the private factors support transfer
- (i) Public Factors
________________________________________
Case can be transferred from one federal district to another — in the interest of justice — if the transferee district is one in which the case could have originally been filed — i.e., can transfer to any district with proper Venue, PJ, and SMJ
- Any party may move to transfer venue
- Burden is on party seeking transfer
Timing
- No strict time limit — can be raised by any party at any time
- C.f. R12 motion to dismiss for improper venue
________________________________________
Choice of Law — in Transferee Court
- Transferee court applies choice of law rules of the original (transferor) court, regardless of which party sought transfer
- Exception — transferee court will apply its own laws if
- (1) Original venue was improper, or
- (2) Transfer was to enforce a forum selection clause — transfer to forum with proper venue
- Fed Courts may enforce forum selection clauses even if the state court would not
For Venue purposes,
if D Not a US Resident
(Alien or US National)
May be sued in any judicial district
- Joinder of such a D, however, is disregarded in determining where the action may be brought with respect to any other Ds
Two Options
for Court Granting FNC
(1) Stay the Proceeding
- i.e., hold in abeyance — nothing happens in the case. It just sits there
(2) Dismiss the Case
- Usually dismissed without prejudice, which allows P to sue in the more appropriate forum
- Dismissal often occurs because transfer to the more appropriate court is impossible — e.g., because it is in a different judicial system or country
- Dismissal based on FNC almost never granted if P is a resident in the present forum
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Even when Jxd & venue are proper, courts may decline to exercise Jxd on the ground that the location P selected for the case is grossly inconvenient — and there is a far more appropriate court in which a case should be heard (e.g., separate judicial system, foreign country, etc.)
Procedure
- D must make a 12(b) motion to dismiss on grounds of inconvenience
- Must show that P has selected a grossly inconvenient location for the suit
Requirement for FNC
- Court cannot grant FNC unless an alternative forum is Available & Adequate to P
(1) Adequate Remedy - Test for Inadequacy — P must not be able to get any remedy
- An alternative system is not inadequate merely because P cannot obtain as much relief there as in the existing federal forum (pain and suffering, etc.).
- Doesn’t need to have jury trials
(2) Available
* Jurisdiction Over D — alternative forum must have Jxd over D
Factors:
- Court evaluates based on same public & private factors as for venue transfer
- Requires strong showing of public & private interests to dismiss or stay — stronger than required for transfer
- That the law in the more convenient forum is less favorable to plaintiffs usually has no significant weight. (Piper Aircraft - Scottish Law)
Forum Non Conveniens (FNC)
Even when Jxd & venue are proper, courts may decline to exercise Jxd on the ground that the location P selected for the case is grossly inconvenient — and there is a far more appropriate court in which a case should be heard (e.g., separate judicial system, foreign country, etc.)
Procedure
- D must make a 12(b) motion to dismiss on grounds of inconvenience
- Must show that P has selected a grossly inconvenient location for the suit
Requirement for FNC
- Court cannot grant FNC unless an alternative forum is Available & Adequate to P
(1) Adequate Remedy - Test for Inadequacy — P must not be able to get any remedy
- An alternative system is not inadequate merely because P cannot obtain as much relief there as in the existing federal forum (pain and suffering, etc.).
- Doesn’t need to have jury trials
(2) Available
* Jurisdiction Over D — alternative forum must have Jxd over D
Factors:
- Court evaluates based on same public & private factors as for venue transfer
- Requires strong showing of public & private interests to dismiss or stay — stronger than required for transfer
- That the law in the more convenient forum is less favorable to plaintiffs usually has no significant weight. (Piper Aircraft - Scottish Law)
Options for Court Granting FNC:
(1) Stay the Proceeding
* i.e., hold in abeyance — nothing happens in the case. It just sits there
(2) Dismiss the Case
- Usually dismissed without prejudice, which allows P to sue in the more appropriate forum
- Dismissal often occurs because transfer to the more appropriate court is impossible — e.g., because it is in a different judicial system or country
- Dismissal based on FNC almost never granted if P is a resident in the present forum
