Subject Matter Jurisdiction

Question 1

What is SMJ?

Answer 1

Court’s power over the case, and not over the parties.

Question 2

There are two requirements for diversity of citizenship (or alienage) cases:

Answer 2

The case is either (1) between citizens of different states (diversity); or

(b) between a citizen of a US state and a citizen of a foreign country (alienage); AND

the amount in controversy exceeds 75,000.

Question 3

Complete Diversity Rule

Answer 3

Diversity of citizenship jurisdiction does not exist if any plaintiff is a citizen of the same state as any defendant; this is the complete diversity rule. Whether there is diversity is determined when the case is filed.

Question 4

How do you establish a new domicile?

Answer 4

(1) physical presence in the new domicile and
(2) the intent to make that place your home for the indefinite future.

Question 5

Citizenship of a Corporation

Answer 5

A corporation is a citizen of any state or country in which it is incorporated and of the one state or country in which it has its principal place of business.

Question 6

Aggregation of Claims

Answer 6

Means adding two or more claims to meet the amount in controversy requirement. For purposes of meeting the jurisdictional amount, any single plaintiff may aggregate all of her claims against a single defendant.

Question 7

Removal

Answer 7

Removal transfers the case from a state trial court to federal trial court. If removal was improper, the federal court can “remand” the case to state court.

Question 8

Who must join in the removal?

Answer 8

All defendants who have been served with process must join in removal.

Question 9

Can plaintiffs remove?

Answer 9

Never.

Question 10

What cases may be removed?

Answer 10

The defendant can remove a case that meets the requirements for diversity of citizenship (including alienage) or FQ jurisdiction.

Question 11

What are the two limitations to removing a case based solely on diversity of citizenship?

Answer 11

The case should not be removed if any defendant is a citizen of the forum state (the in-state defendant rule); and

the case should not be removed more than one year after the case was filed in state court.

Question 12

For federal question cases:

Answer 12

• citizenship not relevant
• amount not relevant
• claim itself must arise under federal law
• ask if the plaintiff is enforcing a federal right (if yes can go to federal court, if no then no)

Question 13

The lack of subject matter jurisdiction in state court _______ removal to federal court.

Answer 13

is not relevant to

Question 14

Under CAFA, subject matter jurisdiction is established if:

Answer 14

(i) any class member (not just the representative, but anyone in the plaintiff class) is of diverse citizenship from any defendant;
(ii) the amount in controversy in the aggregate (adding all the class claims together) exceeds $5 million; and
(iii) there are at least 100 members in the proposed class or classes.

Additionally, in a case falling under CAFA, any defendant, rather than all defendants, may remove the case from state to federal court. Moreover, there is no in-state defendant limitation on removal—the case may be removed under CAFA even if a defendant is a citizen of the forum.