Subject Matter Jurisdiction

Question 1

Conflicts between state federal law

Answer 1

A federal court with diversity jurisdiction over an action is required to apply state substantive law, such as a statute of limitations, but is not required to apply a state procedural rule. However, when that state procedural rule determines the applicability of the state statute of limitations, the federal court must apply the state procedural rule. Consequently, although the federal rule specifies that an action commences upon the filing of a complaint with the court, the federal court in this action must apply the state court rule that the action does not commence until the complaint has been served.

Question 2

Domicile of an entity

Answer 2

For the purposes of diversity jurisdiction, a corporation is deemed to be a citizen of every state in which it is incorporated and of the state where it has its principal place of business. A principal place of business refers to the “nerve center” of the corporation. The nerve center is generally the location from which the high-level officers direct, control, and coordinate the activities of the corporation. Typically, the nerve center is the corporate headquarters.

Question 3

Affect of lawful resident alien on diversity jurisdiction

Answer 3

Although generally the presence of an alien as a party in an action does not prevent the existence of subject-matter jurisdiction based on diversity of citizenship or alienage, a lawful resident alien who is domiciled in the same state as an opposing party serves to defeat alienage jurisdiction. (foreign citizen-domiciled in states)

Question 4

Aliens

Answer 4

Diversity jurisdiction based on alienage exists when there are one or more citizens of a foreign country (i.e., aliens) on one side of the lawsuit and one or more citizens of a state on the other.

Question 5

Alien status that destroys complete diversity

Answer 5

There is no diversity jurisdiction in an action by one foreign citizen against another, nor is there jurisdiction when an action is between a citizen of a state and an alien admitted into the United States for permanent residence who is domiciled in the same state as the citizen (treat like a US citizen)

Question 6

Stateless citizen

Answer 6

Diversity jurisdiction does not exist if a party is an alien, present in the United States and is not a citizen of a foreign country,
or if a party is a U.S. citizen whose domicile is a foreign country. Such persons are neither citizens of the United States nor citizens of a foreign country for the purposes of diversity jurisdiction.

Question 7

Is Aggregation permissible if plaintiffs enforcing a single title?

Answer 7

Although generally two or more plaintiffs cannot aggregate their claims for purposes of meeting the amount-in-controversy requirement, when the multiple plaintiffs are enforcing a single title or right in which they have a common or undivided interest, such as tenants-in-common, they may aggregate their claims.

Question 8

Can a federal court hear a claim when the defendant has similar claims pending in a state court?

Answer 8

A federal court with subject-matter jurisdiction is required to adjudicate the controversy despite the pendency of a similar action in a state court