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Article 3 of the United States Constitution allows the Federal Courts to have jurisdiction in controversies between citizens of states. Congress grants Federal District Courts diversity jurisdiction over civil actions in which the controversy exceeds $75,000. Some lawyers have erroneously assumed that anytime there is a diversity action (i.e. no plaintiff has the same citizenship as any defendant) with an amount in controversy over $75,000 that they can sue in Federal Court. This is not exactly the case.
The defendant must have sufficient contacts with the state in which the Federal Court sits. Federal District Courts exercise personal jurisdiction to the same extent as the courts in the state in which they sit. Therefore, the defendant must have minimum contacts with the forum state whether the law suit is brought in Federal or State Court. In other words, there is no such thing as universal jurisdiction in the Federal Courts. If the defendant cannot be sued in the Massachusetts State Court because of a lack of personal jurisdiction, the defendant cannot be sued in the Federal Court in Massachusetts.
Subject matter jurisdiction, personal jurisdiction, and venue are tricky matters but if the case is dismissed, it is usually without prejudice. Therefore, if the action is brought in the wrong court, the plaintiff must hope that the Statute of Limitations has not run. Even better, the case should be brought in the right court in the first place.
Feinberg & Alban, P.C.
Boston Accident Attorneys
141 Tremont Street Boston, MA 02111
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