Federal Court Jurisdiction Act

Federal Court Jurisdiction Act - Allows actions pending at the time a new district is created or when the composition of a district is changed to be tried in the district as it existed when the proceeding was instituted, or in the new district or in the district to which the appropriate subdivision has been transferred as the parties shall agree or the court directs.

Creates a procedure for the review of certain remand orders raising substantial questions of the right to a Federal forum; and also for the review of orders staying certain Federal court actions to permit the prosecution of proceedings in a State court. Requires the permission of both the district and appellate court to stay proceedings in State courts. Gives the court of appeals power to entertain appeals from orders remanding removed cases to the State court after disposition of the Federal element on which jurisdiction depends.

Chapter 84: District Courts; General Diversity of Citizenship Jurisdiction - Increases to $l5,000 the required amount in controversy for diversity purpose. Provides that for diversity purposes an alien corporation that has its principal place of business in a State is a citizen of that State and specifies that a corporation is a citizen of every State and foreign State by which it has been incorporated. Provides that for diversity purposes a partnership or other unincorporated association capable of suing or being sued in its common name in the State in which the action is brought shall be deemed a citizen of the State of its principal place of business. Provides that for diversity purposes an executor administrator or any person representing the estate of a decedent or appointed pursuant to statute with authority to bring an action for wrongful death shall be deemed to be a citizen only of the same State as the decedent. Gives the representative of an infant or imcompetent similar treatment. Provides that, when a person brings an action within thediversity jurisdiction, jurisdiction in that action shall extend to any claim arising out of the same transaction or occurance brought by any member of his family living in the same household. Prohibits the invocation of Federal jurisdiction on the basis of diversity of citizenship, either originally or on removal, by a citizen of the State in which the district court is held.

Prohibits a corporation incorporated or having its principal place of business in the United States, and a partnership, unincorporated association, or sole proprietorship having its principal place of business in the United States, from invoking diversity jurisdiction, either originally or on removal, in a district court held in a State where it has maintained a local establishment for more than two years, but applies this prohibition only to claims arising out of the activities of that establishment.

Prohibits a natural person from invoking Federal jurisdiction on the basis of diversity of citizenship, either originally or on removal, in any action in a district court held in a State where he has had his principal place of business or employment for more than two years. Provides that a corporation, unincorporated association, or individual which would have been denied access to a Federal court at the time the claim arose is still barred despite the abandonment of the local establishment or place of business or employment thereafter. Excludes from diversity jurisdiction any civil action arising under the workmen's compensation laws of any State. Contains the venue provisions for diversity of citizenship cases. Provides that venue may be laid either in: (1) a district where a substantial part of the events or omissions giving rise to the claim occurred or where a substantial part of property which is the subject of the action is situated; (2) a district where any defendant resides, if all defendants reside in the same State; or (3) a district where any defendant resides if the claim arose abroad. Provides that a defendant not resident in the United States will be sued in any district. Provides that the residence of a corporation for venue purposes shall be the district where it has its principal place of business and also each district in any State where it has been incorporated if its principal place of business is not in that State.

Provides that the residence for venue purposes of any partnership or other unincorporated association is the district where it has its principal place of business. Makes actions for trespass upon, or harm done to, land transitory. Prohibits removal by those persons who are not, under general diversity of citizenship rules, permitted to invoke Federal jurisdiction in the State where the action is brought.

Gives a defendant in a multi-party action the same right to remove a case that he would have if sued alone by any party making claim against him: he may remove the entire action not merely the claim against himself. Accords third party defendants the same right, but not in specified categories of cases where the third-party defendant would be subject to the control of the original defendant. Changes existing law by treating a plaintiff defending a counterclaim in a State court or a third-party impleaded on such a counterclaim as a defendant for purposes of removal. Provides that when the counterclaim arises out of the same transaction or occurence as the plaintiff's claim in the State court, the entire action is removed; otherwise the counterclaim is served and separately removed. Permits removal of an action by a defendant with a claim against the plaintiff in excess of the jurisdictional amount if it arises out of the same transaction or occurrence as the plaintiff's claim and if the sole reason why the action would not be removable is that the amount claimed by the plaintiff fails to satisfy the jurisdictional requirements.

Makes the transfer of a diversity action from one district to another on motion of the defendant depend solely upon whether it is for the convenience of parties and witnesses or otherwise in the interest of justice.

Bars appellate review of the trial court's exercise of discretion on such a motion. Prohibits the transfer to a district where both sides would be barred from invoking Federal jurisdiction by reason of general diversity of citizenship rules. Permits upon a finding that there is no other place in which trial would be appropriate, a stay in proceedings if the court can do so on such terms as will assure the plaintiffs an opportunity to maintain suit upon the claim in an appropriate State court. Makes such decisions staying proceedings under this Act reviewable only under the special interlocutory appeal provisions. Provides insofar as the question of the choice-of-law rules applicable in a transferred action, the transferee court shall apply the rules which the transferor court would have been obliged to apply.

Gives the plaintiff in a diversity action a second chance to choose a forum if he can show that a transfer is for the convenience of parties and witnesses or otherwise in the interest of justice. Limits the transfer to a district where venue would be proper and the defendant amenable to process, other than one in which the plaintiff would have been barred by reason of rules on diversity jurisdiction. Bars appellate review of the trial court's exercise of discretion on a motion of these provisions. Provides for a transfer as an alternative to dismissal when venue is laid in the wrong district. Provides that the State law which the transferee court is obliged to apply shall be that of the State in which it sits.

Permits the court in an appropriate case to award to the defendant costs, including counsel fees, attributable to the plaintiff's failure to bring the action in an appropriate court in the first instance. Forecloses the use of certain devices to create or defeat Federal jurisdiction by requiring that in determining its jurisdiction, the district court shall disregard any sale, assignment, or other transfer of property if an object of the transfer was to enable or to prevent the invoking of Federal diversity jurisdiction.

Chapter 85: District Court; General Federal Question Jurisdiction - Makes no changes in the present law concerning general Federal question jurisdiction, except that no amount in controversy is required, and that jurisdiction is extended in terms to all declaratory judgment actions in which the complaint rests on Federal law. Allows removal of a case on the basis of a Federal defense or counterclaim. Prohibits removal in various kinds of cases.

Allows removal of civil rights cases. Changes the present law requiring dismissal of actions removed to the Federal court that were properly in the exclusive jurisdiction of the Federal courts. Permits retention of jurisdiction over such actions mistakenly brought in Federal court, though not properly within the original jurisdiction, where the defendant asserts a Federal defense or counterclaim that would make the action removable if it were dismissed and recommenced in a State court.

Requires remand, to the State court of claims not sufficiently within the scope of Federal jurisdiction. Provides that a Federal court has discretion to refuse to determine the related State claim if the Federal claim has been disposed of and the interest of justice is served thereby. Makes such dismissal appealable as a final judgment.

Provides that venue will be laid either where any defendant resides, if they all reside within the same State, or where the events giving rise to the claim occurred. Gives the plaintiff a choice of venue if all defendants reside in the same State, and the events occurred elsewhere.

Provides that if defendants reside in different States, venue can be laid only in the district where the events occurred. Provides that the residence of a corporation for venue purposes shall be the district where it has its principal place of business. Provides that if it is incorporated in a State or States other than that where it has its principal place of business, it is also considered to reside in each district of the State of incorporation. Provides that the residence for venue purposes of any partnership or other unincorporated association is the district where it has its principal place of business. Permits service on a defendant in any district. Permits transfer of an action, on motion of any party, to a more convenient forum, without regard to whether the action might have been brought there. Provides for transfer or dismissal if venue is laid in the wrong district.

Chapter 86: District Courts; Admiralty and Maritime Jurisdiction - Permits removal of cases if there is some other basis for Federal jurisdiction but does not all removal merely because the action is one of admiralty and maritime jurisdiction. Changes the present law by permitting removal of an action within the exclusive jurisdiction of the Federal courts with regard to admiralty and maritime jurisdiction if the action is mistakenly brought in a State court.

Provides for jury trial if diversity of citizenship or a Federal question provides an independent basis of Federal jurisdiction and a right to jury trial would otherwise exist. Provides for jury trial on demand on all claims within the admiralty and maritime jurisdiction in a Federal court, other than those heard in a limitation of liability proceeding and those against the United States, if the relief sought is in person and is limited to money damages for personal injuries or death.

Chapter 87: District Courts; United States as Party. Authorizes removal of any case in a State court in which the United States is named as a defendant. Permits suit to be brought either where the events giving rise to the claim occurred or where any defendent other than the United States resides. Provides that in cases brought by private parties, if all plaintiffs reside in the same State the district in which any plaintiff resides is a proper venue. Provides that the residence of a corporation for venue purposes shall be the district where it has its principal place of business. Provides that if it is incorporated in a State or States other than that where it has its principal place of business, it is also considered to reside in each district of the State of incorporation. Provides that the residence for venue purposes of any partnership or other unincorporated association is the district where it has its principal place of business, and defines the residence of officers of the United States. Makes actions for trespass upon or harm done to land transitory. Requires actions in rem to be brought in a district in which all or part of the property involved is located.

States special rules of venue for various cases such as tax refund matters, Interstate Commerce Commission matters, etc. Permits the transfer of an action, on motion of any party to a more convenient forum, without regard to whether the action might have been brought there. Bars appellate review of the trial court's exercise of discretion on such a motion. Provides for the transfer of dismissal if venue is laid in the wrong district or if a suit within the exclusive jurisdiction of the Federal courts is removed to a district in which it could not have been properly commenced. Permits the transfer to the Court of Claims of cases erroneously brought in a district court, and makes it applicable to cases within the exclusive jurisdiction of any court of the United States.

Chapter 88: Stays in Certain Cases; Three Judge Courts - Bars injunctions against orders of State administrative agencies involving natural resources, in which there is a particularly strong local interest, provided that the conditions of this chapter are met.

Allows a Federal court to stay an action for determination of issues by a State court where the issues of State law cannot be satisfactorily determined in the light of the State authorities; where abstention from the exercise of Federal jurisdiction is warranted either by the likelihood that the necessity for deciding a substantial question of Federal constitutional law may thereby be avoided, or by a serious danger of embarassing the effectuation of State policies by a decision of State law at avriance with the view that will be ultimately taken by the State court, or by other circumstances of like character, where a plain, speedy, and efficient remedy will be had in the courts of such State, and where the parties' claims of federal right, if any, including any issues of fact material thereto, can be adequately protected by review of the State court decision by the Supreme Court of the United States.

Bars federal courts from abstaining from making a decision except intthe specific instances listed above. Limits State courts injunctions of federal proceedings to situations where the injunction is otherwise warranted and it is necessary to protect jurisdiction over property in the State courts' or it is necessary to protect against vexatious relitigation.

Calls for a three-judge federal court when Acts of Congress so require or when an action is filed seeking filed challenging the constitutionality of the apportionment of congressional districts or of any statewide legislative body. Provides for review in the courts of appeals of denial of a three-judge court. Permits direct appeal to the Supreme Court from decisions on the merits by three-judge courts, whether or not the convening of such a court was required by law. Asserts that if the Supreme Court determines that a three-judge court was not required, it may transfer the case to the appropriate court of appeals but has discretion to proceed with decision of the appeal itself.

Chapter 89: Procedures for Removal of Actions to District Courts - Sets forth a procedure for removal of actions from a State court. Continues the existing rule, that the State court shall not proceed in the matter after it has been removed but changes the present law by providing for an exception where the trial is in progress in the State court at the time of removal.

Chapter 90: Raising and Foreclosure of Jurisdictional Issues - Provides that if issues of subject-matter jurisdiction are not properly raised at an early state in the proceedings, consideration of such issues by a trial or appellate court is foreclosed. Provides that any governing statute of limitations is tolled by the commencement of an action in a federal court, and for at least thirty days following dismissal in any case in which the dismissal was for lack of jurisdiction. Provides that if a party has commenced a timely action in State court, and the action is dismissed because it is within exclusive federal jurisdiction, the statute of limitations will not bar commencement of a new action on the claim in federal court within thirty days after dismissal of the State action.

Chapter l59: Interpleader - Grants United States district courts original jurisdiction of interpleaders.

Chapter 160A: Multi-District Litigation - Provides that civil actions involving one or more common questions of fact pending in different districts will be transferred to any district for consolidated pretrial proceedings. Specifies the procedures to be utilized in these multi-district litigation.