a. Facts-
Π couple lived in Louisiana where they were graduate assistants at LSU. After
marriage, they stayed in Louisiana for about 2 years. They then moved to IL,
but moved back to Louisiana so husband could finish his PhD. While in
Louisiana, Π’s landlord was spying on them, and they filed suit in federal Ct
on diversity Jx basis.
b. Procedural
History- Trial Ct found for Π, Δ challenged diversity Jx, Ct of appeals held
for Π
c. Issue-
Whether the Π fulfilled the basis for diversity Jx
d. Holding-
Yes, Π’s fulfilled the requirements for diversity Jx
e. Rule-
Diversity Jx exists where parties are “diverse” such that all are residents of
different states AND where the amount in claim is over (exceeds) a certain
amount (now $75k)
f. Rationale-
i.
Even though Ms. Mas was living in
Louisiana, her last place of domicile was with her parents in Mississippi.
Therefore, her domicile is Miss.
ii.
Mr. Mas was a citizen of France with no
intentions of living in Louisiana after school, although he didn’t know where
he would live after. For the purposes of domicile, Mr. Mas resided in
Louisiana, but held domicile in France
iii.
Amount of claim
1. For
purpose of diversity Jx, amount of claim is considered whatever the Π
claims…the Δ CANNOT use a defense to lower the amount
2. While
Δ’s total amount cannot be combined to reach minimum amount, if one Δ has
reached minimum then other Δs can join in suit
g. Notes-
i.
Domicile:
1. Physical
presence- you have to actually be in the state
2. Intention-
you have to have the intention to live there forever
ii.
Diversity cases are concerned with State
laws
iii.
Parties CANNOT concede subject matter
Jx…unlike PJx (where litigants can “accept” PJx in a State)
1. A
Ct can sua sponte dismiss the case based on no subject matter Jx
iv.
Class action: at least one Δ must be
diverse than the Π
v.
Diversity is established at the time of
filing the complaint…NOT at the time of incident
vi.
Domicile of Corporation:
1. Nerve
Center test, OR
a. Focus
on the place the activities of the corp are controlled and directed
b. Location
of direction, control and coordination
c. Nerve center test is the majority
2. Locus
of operation
a. Location
of the corp’s actual physical operations
vii.
Punitive Damages:
1. Punishment;
conduct is egregious
2. MUST
be made in “good faith” for purpose of reaching amount in controversy
3. 4:1
ratio “should” be followed. Punitive:compensatory
viii.
Unincorporated associations:
1. Don’t
look to place of business, look to the domicile of the partners
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