Unit 2 SeminarUnit 2 Seminar

JurisdictionJurisdiction

General QuestionsGeneral Questions

Any general questions about the course so Any general questions about the course so far?far?

Chapter 3Chapter 3

Each state has two judicial systems: Each state has two judicial systems:

1.1. FederalFederal

2.2. StateState

State CourtsState Courts

The state court system integrates other The state court system integrates other specialty courts, including probate, family, specialty courts, including probate, family, and small claims. and small claims.

Federal CourtsFederal Courts

The federal system has federal district The federal system has federal district courts, bankruptcy courts, federal claims courts, bankruptcy courts, federal claims court, and the court of international trade. court, and the court of international trade.

The trial court in the federal system is the The trial court in the federal system is the federal district court. federal district court.

Appellate CourtsAppellate Courts

Each state and federal court system has Each state and federal court system has an appellate court that determines whether an appellate court that determines whether the trial court followed proper procedures the trial court followed proper procedures and applied the law correctly. and applied the law correctly.

JurisdictionJurisdiction

In law, In law, jurisdictionjurisdiction is the practical is the practical authority granted to a formally constituted authority granted to a formally constituted legal body or to a political leader to deal legal body or to a political leader to deal with and make pronouncements on legal with and make pronouncements on legal matters and, by implication, to administer matters and, by implication, to administer justice within a defined area of justice within a defined area of responsibility. responsibility.

Types of JurisdictionTypes of Jurisdiction

Jurisdiction over the person (personal Jurisdiction over the person (personal jurisdiction)jurisdiction)Jurisdiction over the subject matter Jurisdiction over the subject matter (subject matter jurisdiction)(subject matter jurisdiction)Jurisdiction over the property (in rem Jurisdiction over the property (in rem jurisdiction)jurisdiction)Federal court jurisdiction (federal Federal court jurisdiction (federal question/diversity of citizenship)question/diversity of citizenship)Courts of limited jurisdictionCourts of limited jurisdiction

PersonalPersonal

If a court does not have personal If a court does not have personal jurisdiction over a defendant, then the jurisdiction over a defendant, then the court cannot bind the defendant to an court cannot bind the defendant to an obligation.obligation.

Courts in a state have personal jurisdiction Courts in a state have personal jurisdiction over all people or businesses that are over all people or businesses that are citizens of or do business in that state. citizens of or do business in that state.

Minimum ContactsMinimum Contacts

It is unfair for a court to assert jurisdiction It is unfair for a court to assert jurisdiction over a party unless that party’s contacts over a party unless that party’s contacts with the state in which that court sits are with the state in which that court sits are such that the party such that the party “could reasonably “could reasonably expect to be haled into court”expect to be haled into court” in that in that state. This jurisdiction must “not offend state. This jurisdiction must “not offend traditional notions of fair play and traditional notions of fair play and substantial justice.” substantial justice.” International Shoe Co. International Shoe Co. v. Washingtonv. Washington, 326 U.S. 310 (1945). , 326 U.S. 310 (1945).

Long-Arm StatutesLong-Arm Statutes

Following Following International ShoeInternational Shoe, states in the , states in the United States enacted so-called long-arm United States enacted so-called long-arm statutes, by which courts in a state can statutes, by which courts in a state can exercise jurisdiction over a party located exercise jurisdiction over a party located outside the state, if the party has sufficient outside the state, if the party has sufficient contacts within the state. contacts within the state.

General ContactsGeneral Contacts

General contacts, which give rise to General contacts, which give rise to general personal jurisdiction, consist of the general personal jurisdiction, consist of the defendant’s contacts with the forum state defendant’s contacts with the forum state that are unrelated to the cause of action that are unrelated to the cause of action and that are both continuous and and that are both continuous and systematic.systematic.

Specific ContactsSpecific Contacts

Specific jurisdiction requires the existence Specific jurisdiction requires the existence of a clear, firm nexus between the acts of of a clear, firm nexus between the acts of the defendant and the consequences the defendant and the consequences complained of by the plaintiff.complained of by the plaintiff.Comes into play when the party does not Comes into play when the party does not have systematic and continuous contacts have systematic and continuous contacts with the state.with the state.Specific to cases that have a substantial Specific to cases that have a substantial connection to the party’s in-state activity. connection to the party’s in-state activity.

Subject MatterSubject Matter

The authority of a court to hear cases of a The authority of a court to hear cases of a particular type or cases relating to a particular type or cases relating to a specific subject matter. specific subject matter.

For instance, bankruptcy court has the For instance, bankruptcy court has the authority to only hear bankruptcy cases. authority to only hear bankruptcy cases.

In remIn rem

When a court exercises When a court exercises in remin rem jurisdiction, it jurisdiction, it exercises authority over a thing, rather than a exercises authority over a thing, rather than a person. person.

EXAMPLE: If a divorcing couple asks a court to EXAMPLE: If a divorcing couple asks a court to supervise the sale of their family home, the court supervise the sale of their family home, the court exercises exercises in remin rem jurisdiction over the house. jurisdiction over the house.

Usually, the property must be located in the Usually, the property must be located in the same county as the court for it to have same county as the court for it to have in remin rem jurisdiction. jurisdiction.

Federal QuestionFederal Question

The federal courts have the power to hear The federal courts have the power to hear and decide civil lawsuits that arise under and decide civil lawsuits that arise under the US Constitution, treaties and federal the US Constitution, treaties and federal laws.laws.

Federal courts also have the power to Federal courts also have the power to decide cases between two or more states.decide cases between two or more states.

Federal DiversityFederal Diversity

Federal district courts can also hear Federal district courts can also hear ordinary cases between citizens of ordinary cases between citizens of different statesdifferent states if the amount in if the amount in controversy exceeds controversy exceeds $75,000.$75,000.

Limited JurisdictionLimited Jurisdiction

A court whose subject-matter jurisdiction is A court whose subject-matter jurisdiction is limited to certain types of controversies limited to certain types of controversies (for example, suits in admiralty or suits (for example, suits in admiralty or suits where the monetary amount sought is less where the monetary amount sought is less than a specified sum) is sometimes than a specified sum) is sometimes referred to as a referred to as a court of special jurisdictioncourt of special jurisdiction or or court of limited jurisdictioncourt of limited jurisdiction. .

VenueVenue

The judicial district in which an action is The judicial district in which an action is brought for trial and that is to furnish the brought for trial and that is to furnish the panel of jurors.panel of jurors.

Occasionally, more than one district court Occasionally, more than one district court has jurisdiction to hear a case. In that has jurisdiction to hear a case. In that event, the courts and parties must decide event, the courts and parties must decide which court is the best which court is the best venue venue for the case.for the case.

QuestionsQuestions

What is the distinction between What is the distinction between “general”“general” and and “specific”“specific” contacts that are used to contacts that are used to establish establish in personam jurisdictionin personam jurisdiction??

QuestionsQuestions

What are What are “minimum contacts”“minimum contacts” and what and what rules relate to requiring these for personal rules relate to requiring these for personal jurisdiction?jurisdiction?

Why are minimum contacts important?Why are minimum contacts important?

What would our system of justice be like What would our system of justice be like without this requirement?without this requirement?

QuestionsQuestions

When would a website constitute a When would a website constitute a sufficient basis for establishing minimum sufficient basis for establishing minimum contacts?contacts?

Zippo TestZippo Test

Zippo Manufacturing Co. v. Zippo Dot Com, Inc.Zippo Manufacturing Co. v. Zippo Dot Com, Inc., , 952 F. Supp. 1119 (W.D. Pa. 1997).952 F. Supp. 1119 (W.D. Pa. 1997).

Passive Passive websites, which merely provide websites, which merely provide information, will almost never provide sufficient information, will almost never provide sufficient contacts for jurisdiction. Such a website will only contacts for jurisdiction. Such a website will only provide a basis for jurisdiction if the website itself provide a basis for jurisdiction if the website itself constitutes an intentional tort such as slander or constitutes an intentional tort such as slander or defamation, defamation, andand if it is directed at the jurisdiction if it is directed at the jurisdiction in question.in question.

Zippo testZippo test

Interactive Interactive websites, which permit the websites, which permit the exchange of information between website exchange of information between website owner and visitors, owner and visitors, maymay be enough for be enough for jurisdiction, depending on the website's jurisdiction, depending on the website's level of interactivity and commerciality, level of interactivity and commerciality, and the amount of contacts which the and the amount of contacts which the website owner has developed with the website owner has developed with the forum due to the presence of the website.forum due to the presence of the website.

Zippo testZippo test

CommercialCommercial websites which clearly do a websites which clearly do a substantial volume of business over the substantial volume of business over the Internet, and through which customers in Internet, and through which customers in any location can immediately engage in any location can immediately engage in business with the website owner, definitely business with the website owner, definitely provide a basis for jurisdiction. provide a basis for jurisdiction.

QuestionsQuestions

What is a long-arm statute?What is a long-arm statute?

Subject Matter JurisdictionSubject Matter Jurisdiction

Why is subject matter jurisdiction Why is subject matter jurisdiction important?important?

QuestionsQuestions

Can a court raise an issue with subject Can a court raise an issue with subject matter jurisdiction if parties fail to raise matter jurisdiction if parties fail to raise such an issue at trial or on appeal?such an issue at trial or on appeal?

YesYes

Sua sponteSua sponte: “of itself, without be : “of itself, without be prompted”prompted”

QuestionsQuestions

Does a state have jurisdiction over Does a state have jurisdiction over property located within its state?property located within its state?

In-State PropertyIn-State Property

Owners of in-state property:Owners of in-state property: States have States have jurisdiction over claims involving in-state jurisdiction over claims involving in-state property, even if the property owner is a property, even if the property owner is a nonresident or absent from the state. nonresident or absent from the state.

Other questions?Other questions?