10.1 Federal Court Structure and Jurisdiction

The federal court system is a complex hierarchy with three main levels: district courts, circuit courts of appeals, and the Supreme Court. Each level plays a crucial role in interpreting and applying federal law, from initial trials to final appeals.

Federal courts have specific types of jurisdiction, including original and appellate. They handle cases involving federal questions, diversity of citizenship, and specialized areas like international trade. Understanding these jurisdictional rules is key to navigating the federal judicial system.

Federal Court System Structure

Levels of the Federal Court System

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• The federal court system consists of three main levels: district courts, circuit courts of appeals, and the Supreme Court
• The 94 U.S. district courts are the trial courts of the federal court system, where cases are initially filed and tried
  • District courts are the first level of the federal court system and are located in every state
  • They have original jurisdiction over most federal civil and criminal cases
• The 13 U.S. circuit courts of appeals hear appeals from the district courts within their respective geographic circuits
  • Each circuit court covers a specific geographic region of the United States (e.g., the Ninth Circuit covers the western states)
  • They review decisions made by district courts and administrative agencies within their jurisdiction
• The U.S. Supreme Court is the highest court in the federal judiciary and has the final say on matters of federal law
  • It has the power to review decisions made by lower federal courts and state courts on federal law issues
  • The Supreme Court has discretionary jurisdiction, meaning it can choose which cases to hear through the writ of certiorari process

Specialized Federal Courts

• Specialized federal courts, such as the U.S. Court of International Trade and the U.S. Court of Federal Claims, handle specific types of cases
• The U.S. Court of International Trade has jurisdiction over cases involving international trade disputes and customs issues
• The U.S. Court of Federal Claims hears cases involving monetary claims against the federal government, such as contract disputes and tax refund suits
• Other specialized courts include the U.S. Court of Appeals for the Armed Forces and the U.S. Court of Appeals for Veterans Claims

Original vs Appellate Jurisdiction

Original Jurisdiction

• Original jurisdiction refers to a court's authority to hear a case for the first time
• U.S. district courts have original jurisdiction over most federal cases, including civil and criminal matters
  • This means that most federal lawsuits begin in district courts, where the facts are established and the initial decision is made
• The U.S. Supreme Court has original jurisdiction in limited cases, such as disputes between states or cases involving foreign diplomats
  • For example, if two states have a dispute over water rights, the case would start directly in the Supreme Court

Appellate Jurisdiction

• Appellate jurisdiction involves reviewing a lower court's decision
• Circuit courts of appeals and the U.S. Supreme Court primarily exercise appellate jurisdiction, reviewing decisions made by lower courts
  • When a party appeals a district court decision, the case goes to the appropriate circuit court of appeals for review
  • If a party is unsatisfied with the circuit court's decision, they may petition the Supreme Court to hear the case
• Appellate courts generally do not hear new evidence or testimony; instead, they review the record from the lower court to determine if there were legal errors or if the decision was supported by the evidence

Subject Matter Jurisdiction in Federal Courts

Types of Subject Matter Jurisdiction

• Subject matter jurisdiction refers to a court's authority to hear cases involving specific types of legal issues or disputes
• Federal courts have limited subject matter jurisdiction, which is defined by the U.S. Constitution and federal statutes
• Federal question jurisdiction allows federal courts to hear cases arising under the U.S. Constitution, federal laws, or treaties
  • For example, a case involving a violation of a federal civil rights law would fall under federal question jurisdiction
• Diversity jurisdiction permits federal courts to hear cases between citizens of different states or between U.S. citizens and foreign nationals, provided the amount in controversy exceeds a statutory threshold (currently $75,000)

Supplemental Jurisdiction

• Supplemental jurisdiction allows federal courts to hear state law claims that are closely related to a federal claim already before the court
• This promotes judicial efficiency by allowing related claims to be heard in a single proceeding
• For supplemental jurisdiction to apply, the state law claims must arise from the same case or controversy as the federal claim
  • For example, if a plaintiff sues for a violation of a federal employment law and a related state contract law, the federal court could hear both claims under supplemental jurisdiction

Diversity Jurisdiction in Federal Courts

Requirements for Diversity Jurisdiction

• Diversity jurisdiction is designed to protect out-of-state litigants from potential bias in state courts
• For diversity jurisdiction to apply, complete diversity must exist, meaning no plaintiff can be from the same state as any defendant
  • If any plaintiff is from the same state as any defendant, diversity jurisdiction does not apply
• The amount in controversy must exceed $75,000 for diversity jurisdiction to be invoked in federal court
  • This threshold helps ensure that federal courts are not overburdened with minor disputes

Citizenship for Diversity Purposes

• Corporations are considered citizens of both their state of incorporation and the state where they have their principal place of business
  • This dual citizenship rule prevents corporations from easily manipulating diversity jurisdiction
• In class action lawsuits, at least one named plaintiff must meet the diversity and amount in controversy requirements for the entire class
  • This allows class actions to proceed in federal court even if some class members do not meet the diversity requirements

Removal Jurisdiction

• Removal jurisdiction allows defendants to transfer a case from state court to federal court if the requirements for diversity jurisdiction are met
• This provides defendants with a way to access federal courts even if the plaintiff initially filed the case in state court
• To remove a case, the defendant must file a notice of removal within 30 days of receiving the complaint or summons