Civil Procedure - Art. III, 1 The judicial Power of the...

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Art. III, §1 “The judicial Power of the United States shall be vested in one Supreme Court, and in such inferior courts as the Congress may from time to time ordain and establish Gives Congress the power to create courts and also define there jurisdiction. SUBJECT MATTER JUSDICTION I Diversity Jurisdiction – no federal claim required. A. Art. III, § 2: “Controversies…between citizens of different states…and between a State, or the citizens thereof, and foreign States, Citizens or Subjects.” 1. Framers Rationale: offers a neutral forum for an out-of-state litigant who otherwise be exposed to local prejudice. a. Criticism: there are questions as to whether their argument is or ever was valid. 2. Why do litigants seek Federal Court? a. State rules can be idiosyncratic b. Perception that judges are better in federal court than in state court c. federal judges are elected rather than appointed d. more liberal discovery e. more liberal third-party practice f. geographical convenience g. better juries 3. Why do we keep diversity jurisdiction? a. State courts would be overloaded b. Multi-party, multi-state cases, diversity allows us to get all claims under one roof, before one judge. c. Elected state judges politically motivated B. REQUIREMENT 1: Complete Diversity Required – everyone on the left side of the “v” must have a different citizenship then those on the right side of the “v”. 1. Basis: judge-made interpretation of statute 28 USC §1332 by Justice Marshall in Strawbridge v. Curtis. 2. Statutory Issue: Congress free to restrict or expand requirements for diversity as it sees fit, not a Constitutional requirement. Interpleader is one such area. a. Interpleader: a suit to determine a right to property or money, must be eqyal to or over $500, held by a third party, stakeholder, who is in doubt about ownership and who therefore deposits the money into the courts so interested parties can assert their claims. C. Determining Citizenship For Individuals: “citizen” in Art. III, §2 refers to domicile not residence. 1. Domicile: a permanent place of abode, where you intend to return after an absence. Determining Intent a. Subjective intent: the state of mind, where you intend to make your home for the indefinite future. Must be accompanied by presence. b. Objective tests: (i) Where you vote (ii) What address is on your tax forms (iii) Where you have a driver’s license 1
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2. Moving to Create Domicile: you can move & change your domicile to create diversity jurisdiction, must be at new domicile when action is commenced. 3. State Citizenship a. You are a citizen of the state where you are domiciled b. Must be a U.S. citizen or a resident alien. 4.
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Civil Procedure - Art. III, 1 The judicial Power of the...

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