SMJ
What is subject matter jurisdiction?
How do you prove it?
The power of a court to hear a certain type of case.
Federal question or diversity jurisdiction
28 USC 1332
Parties must be:
1) citizens of different states; or
2) citizens of a state and a foreign nation.
AIC must exceed $75,000
How do you satisfy federal question?
Federal question must arise under the cause of action in a well-pleaded complaint.
28 USC 1367
The authority of Federal courts to hear additional claims substantially related (same common nucleus of operative facts) to the original claim, even though the court would lack SMJ to hear the additional claims independently
Supplemental JDX
Who can remove?
Where can they remove?
When can they remove?
Defendant
Federal District and division embracing the place where the action is pending
30 days from receipt of complaint
Complete Diversity Rule
Established by?
All plaintiffs must be diverse from all defendants for purposes of diversity
Mas v. Perry
What is the Gordon test?
When do they have to be domiciled in a state for purposes of diversity?
Domicile test:
1)Residency in the state; and
2) intent to remain indefinitely.
At the time of the filing of the complaint
28 USC 1331
Federal courts have original jurisdiction over cases arising under the Constitution, law, or treaties of the United States
Can a plaintiff aggregate claims against two defendants to satisfy AIC?
P1 v. D1 + D2
No, claims against different defendants cannot be aggregated
28 USC 1447
Motion to Remand
Made by a plaintiff when she believes case is not removable or defendant did not use proper procedure to remove
Must be made within 30 days after receipt of removal-- if not for lack of SMJ
Nerve Center Test
Principal place of business is where a corporation's officers direct and control the corporation's activities
Usually headquarters
Where is a corporation a citizen for purposes of diversity?
Partnerships and non-corporations?
Corp:
1) Place where they were incorporated
2) Principal place of business- HQ, nerve center
Partnerships:
Domicile of ALL members
Does the court have SMJ over a case where P alleges a state claim but anticipates that D will raise a federal issue in their counterclaim?
NO
Can two plaintiffs (neither of whom satisfy AIC) aggregate claims to satisfy AIC?
P1 + P2 v. D1
No, co-plaintiffs (neither of whom satisfy AIC) cannot aggregate claims
If a complaint is amended during trial and iis now removable, the defendant has 30 days to remove.
If the case was removable before, it does not apply
What happens if the court determines they lack SMJ?
The court must dismiss the case
Holmes Test
What you look for in the well-pleaded complaint-- does it arise under federal law?
A suit arises under the law that creates the cause of action
Can a single plaintiff aggregate unrelated claims against the same defendant to satisfy AIC?
P1 (federal claim and state claim) v. D1
Yes, a single plaintiff can aggregate claims against a single defendant to meet AIC, even if claims are unrelated
28 USC 1441
Authorizes a defendant to remove a case from state court to federal court only if the case could have originally been filed in federal court by the plaintiff.
Mottley Rule
Where you look to see if the issue arises under federal law
Look at cause of action in well-pleaded complaint
Grable Test
1) Does it necessarily raise a federal question (does the plaintiff need to resolve it to win?)
2) Actually disputed
3) Substantial to the Federal system as a whole
4) Which a federal corum may entertain without distrubing the balance of congressionally distributed responsibilities between federal and state courts
In-State Defendant Rule
If plaintiff sues in the home state court of defendant, the defendant cannot remove to federal court ONLY if the sole basis for removal is diversity jurisdiction