§ 1332. — Diversity of citizenship; amount in controversy; costs.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 28USC1332]
TITLE 28--JUDICIARY AND JUDICIAL PROCEDURE
PART IV--JURISDICTION AND VENUE
CHAPTER 85--DISTRICT COURTS; JURISDICTION
Sec. 1332. Diversity of citizenship; amount in controversy;
costs
(a) The district courts shall have original jurisdiction of all
civil actions where the matter in controversy exceeds the sum or value
of $75,000, exclusive of interest and costs, and is between--
(1) citizens of different States;
(2) citizens of a State and citizens or subjects of a foreign
state;
(3) citizens of different States and in which citizens or
subjects of a foreign state are additional parties; and
(4) a foreign state, defined in section 1603(a) of this title,
as plaintiff and citizens of a State or of different States.
For the purposes of this section, section 1335, and section 1441, an
alien admitted to the United States for permanent residence shall be
deemed a citizen of the State in which such alien is domiciled.
(b) Except when express provision therefor is otherwise made in a
statute of the United States, where the plaintiff who files the case
originally in the Federal courts is finally adjudged to be entitled to
recover less than the sum or value of $75,000, computed without regard
to any setoff or counterclaim to which the defendant may be adjudged to
be entitled, and exclusive of interest and costs, the district court may
deny costs to the plaintiff and, in addition, may impose costs on the
plaintiff.
(c) For the purposes of this section and section 1441 of this
title--
(1) a corporation shall be deemed to be a citizen of any State
by which it has been incorporated and of the State where it has its
principal place of business, except that in any direct action
against the insurer of a policy or contract of liability insurance,
whether incorporated or unincorporated, to which action the insured
is not joined as a party-defendant, such insurer shall be deemed a
citizen of the State of which the insured is a citizen, as well as
of any State by which the insurer has been incorporated and of the
State where it has its principal place of business; and
(2) the legal representative of the estate of a decedent shall
be deemed to be a citizen only of the same State as the decedent,
and the legal representative of an infant or incompetent shall be
deemed to be a citizen only of the same State as the infant or
incompetent.
(d) The word ``States'', as used in this section, includes the
Territories, the District of Columbia, and the Commonwealth of Puerto
Rico.
(June 25, 1948, ch. 646, 62 Stat. 930; July 26, 1956, ch. 740, 70 Stat.
658; Pub. L. 85-554, Sec. 2, July 25, 1958, 72 Stat. 415; Pub. L. 88-
439, Sec. 1, Aug. 14, 1964, 78 Stat. 445; Pub. L. 94-583, Sec. 3, Oct.
21, 1976, 90 Stat. 2891; Pub. L. 100-702, title II, Secs. 201(a),
202(a), 203(a), Nov. 19, 1988, 102 Stat. 4646; Pub. L. 104-317, title
II, Sec. 205(a), Oct. 19, 1996, 110 Stat. 3850.)
Historical and Revision Notes
Based on title 28, U.S.C., 1940 ed., Sec. 41(1) (Mar. 3, 1911, ch.
231, Sec. 24, par. 1, 36 Stat. 1091; May 14, 1934, ch. 283, Sec. 1, 48
Stat. 775; Aug. 21, 1937, ch. 726, Sec. 1, 50 Stat. 738; Apr. 20, 1940,
ch. 117, 54 Stat. 143).
Other provisions of section 41(1) of title 28, U.S.C., 1940 ed., are
incorporated in sections 1331, 1341, 1342, 1345, 1354, and 1359 of this
title. (See reviser's notes under said sections.)
Jurisdiction conferred by other sections of this chapter, except
section 1335, is not dependent upon diversity of citizenship. (See
annotations under former section 41 of title 28, U.S.C.A., and 35
C.J.S., p. 833 et seq. Secs. 30-43. See, also, reviser's note under
section 1331 of this title.) As to citizenship of bank where
jurisdiction depends upon diversity of citizenship, see section 1348 of
this title.
Words ``all civil actions'' were substituted for ``all suits of a
civil nature, at common law or in equity'' in order to conform to Rule 2
of the Federal Rules of Civil Procedure.
Words ``or citizens of the District of Columbia, Territory of
Hawaii, or Alaska, and any State or Territory'' which were inserted by
the amendatory act April 20, 1940, are omitted. The word ``States'' is
defined in this section and enumeration of the references is
unnecessary.
The revised section conforms with the views of Philip F. Herrick,
United States Attorney, Puerto Rico, who observed that the act of April
20, 1940, permitted action between a citizen of Hawaii and of Puerto
Rico, but not between a citizen of New York and Puerto Rico, in the
district court.
This changes the law to insure uniformity. The 1940 amendment
applied only to the provision as to controversies between ``citizens of
different States.'' The new definition in subsection (b) extends the
1940 amendment to apply to controversies between citizens of the
Territories or the District of Columbia, and foreign states or citizens
or subjects thereof.
The diversity of citizenship language of section 41(1) of title 28,
U.S.C., 1940 ed., as amended in 1940, was described as ambiguous in
McGarry v. City of Bethlehem, 45 F.Supp. 385, 386. In that case the 1940
amendment was held unconstitutional insofar as it affected the District
of Columbia. However, two other district courts upheld the amendment.
Winkler v. Daniels, D.C.Va. 1942, 43 F.Supp. 265; Glaeser v. Acacia
Mutual Life Ass'n., D.C.Cal. 1944, 55 F.Supp. 925.
This section is intended to cover all diversity of citizenship
instances in civil actions in accordance with the judicial construction
of the language in the original section 41(1) of title 28, U.S.C., 1940
ed. Therefore, the revised language covers civil actions between--
Citizens of a State, and citizens of other States and foreign states
or citizens or subjects thereof;
Citizens of a Territory or the District of Columbia, and foreign
states or citizens or subjects thereof;
Citizens of different States;
Citizens of different Territories;
Citizens of a State, and citizens of Territories;
Citizens of a State or Territory, and citizens of the District of
Columbia;
Citizens of a State, and foreign states or citizens or subjects
thereof.
The revised section removes an uncertainty referred to in the
McGarry case, supra, as to whether Congress intended to permit citizens
of the Territories or the District of Columbia to sue a State or
Territory itself rather than the citizens thereof. The court observed
that ``Congress could hardly have had such intention.''
The sentence ``The foregoing provisions as to the sum or value of
the matter in controversy shall not be construed to apply to any of the
cases mentioned in the succeeding paragraphs of this section'' was
omitted as unnecessary. Those paragraphs are (2)-(28) of said section 41
of title 28, U.S.C., 1940 ed., which are revised and incorporated in
this chapter and, except for those relating to actions against the
United States and interpleader, contains no provision as to a sum or
value necessary to confer jurisdiction. Consequently the omitted
sentence is covered by excluding such requirement.
Section 41(1) of title 28, U.S.C., 1940 ed., as originally enacted,
purported to include all jurisdictional provisions relating to the
district courts. Subsequently, many special jurisdictional provisions
were enacted and incorporated in other titles of the U.S.C., 1940 ed.,
as follows:
Title Section
7....................................................................209
7....................................................................210
7....................................................................216
7....................................................................292
7...................................................................499g
7................................................................608a(6)
7............................................................608c(15)(B)
7..............................................................610(b)(2)
7....................................................................648
7...................................................................1175
7..............................................................1365-1367
7...................................................................1376
7................................................................1508(c)
8....................................................................164
8....................................................................701
8....................................................................903
9......................................................................4
9......................................................................8
9......................................................................9
11.................................................................11(a)
11....................................................................46
11...........................................................205(a)(l)..
11...................................................................401
11...................................................................511
11...................................................................512
11...............................................................514-516
11...................................................................711
11...................................................................712
11...................................................................811
11...................................................................812
11..................................................................1011
11..................................................................1012
11..................................................................1013
11..................................................................1200
12....................................................................93
12...................................................................195
12...................................................................632
15.....................................................................4
15.....................................................................9
15....................................................................15
15....................................................................25
15....................................................................26
15....................................................................31
15....................................................................53
15...................................................................68e
15...................................................................77t
15...................................................................77v
15.................................................................77vvv
15................................................................78u(e)
15................................................................78u(f)
15..................................................................78aa
15.............................................................79k(d)(e)
15.............................................................79r(f)(g)
15................................................................80a-25
15................................................................80a-34
15................................................................80a-35
15..........................................................80a-41(c)(e)
15................................................................80a-43
15................................................................80b-14
15....................................................................97
15....................................................................99
15...................................................................433
15...............................................................715d(c)
15..................................................................715i
15..................................................................717s
15..................................................................717u
16....................................................................10
16..................................................................583e
16...................................................................820
16..................................................................825m
16..................................................................825n
16..................................................................825p
17....................................................................26
17....................................................................34
21...................................................................193
21...................................................................332
21...................................................................355
25...................................................................314
25...................................................................345
26..................................................................3633
26..................................................................3800
27...................................................................207
29...................................................................101
29...............................................................103-109
29................................................................160(e)
29...................................................................216
29...................................................................217
30...................................................................188
31...................................................................232
33...................................................................495
33...................................................................918
33...................................................................921
35....................................................................63
35....................................................................66
35....................................................................67
35...................................................................72a
35....................................................................90
38...................................................................445
40...................................................................257
40..................................................................270b
40...................................................................361
41.............................................................113(b)(2)
42..........................................................405(c)(5)(g)
43...................................................................546
43..................................................................1062
45....................................................................56
45....................................................................88
45....................................................................89
45................................................................153(p)
45...................................................................159
45...................................................................185
45.................................................................228j4
45..................................................................228k
45...................................................................268
45................................................................355(f)
46...................................................................597
46...................................................................688
46...................................................................711
46...........................................................741 et seq.
46...........................................................781 et seq.
46................................................................941(c)
46...................................................................951
46...................................................................954
46...............................................................1114(c)
46.................................................................1128d
47....................................................................11
47....................................................................13
47....................................................................33
47....................................................................36
47...................................................................207
47...................................................................401
47...................................................................406
47...................................................................407
48...................................................................242
48...................................................................245
49..................................................................5(8)
49.....................................................................9
49.................................................................16(2)
49.................................................................16(9)
49................................................................16(12)
49.................................................................17(9)
49..............................................................19a(l)..
49.................................................................20(9)
49....................................................................23
49.................................................................26(h)
49..............................................................41(1)(3)
49....................................................................43
49.............................................................181(b)(c)
49................................................................305(g)
49................................................................322(b)
49...................................................................647
49...................................................................916
49..................................................................1017
49..................................................................1021
50....................................................................23
D.C. Code..................................................11-305--11-
307
D.C. Code.........................................................11-309
D.C. Code.........................................................11-324
Amendments
1996--Subsecs. (a), (b). Pub. L. 104-317 substituted ``$75,000'' for
``$50,000''.
1988--Subsec. (a). Pub. L. 100-702, Sec. 201(a), substituted
``$50,000'' for ``$10,000'' in introductory text.
Pub. L. 100-702, Sec. 203(a), inserted at end ``For the purposes of
this section, section 1335, and section 1441, an alien admitted to the
United States for permanent residence shall be deemed a citizen of the
State in which such alien is domiciled.''
Subsec. (b). Pub. L. 100-702, Sec. 201(a), substituted ``$50,000''
for ``$10,000''.
Subsec. (c). Pub. L. 100-702, Sec. 202(a), amended subsec. (c)
generally. Prior to amendment, subsec. (c) read as follows: ``For the
purposes of this section and section 1441 of this title, a corporation
shall be deemed a citizen of any State by which it has been incorporated
and of the State where it has its principal place of business: Provided
further, That in any direct action against the insurer of a policy or
contract of liability insurance, whether incorporated or unincorporated,
to which action the insured is not joined as a party-defendant, such
insurer shall be deemed a citizen of the State of which the insured is a
citizen, as well as of any State by which the insurer has been
incorporated and of the State where it has its principal place of
business.''
1976--Subsec. (a)(2). Pub. L. 94-583 substituted ``and citizens or
subjects of a foreign state;'' for ``, and foreign states or citizens or
subjects thereof; and''.
Subsec. (a)(3). Pub. L. 94-583 substituted ``citizens or subjects of
a foreign state are additional parties; and'' for ``foreign states or
citizens or subjects thereof are additional parties''.
Subsec. (a)(4). Pub. L. 94-583 added par. (4).
1964--Subsec. (c). Pub. L. 88-439 inserted proviso deeming an
insurer of liability insurance, in an action to which the insurer is not
joined as a party-defendant, a citizen, of the State of which the
insured is a citizen, as well as the State the insurer has been
incorporated by and the State where it has its principal place of
business.
1958--Pub. L. 85-554 included costs in section catchline.
Subsec. (a). Pub. L. 85-554 substituted ``$10,000'' for ``$3,000''.
Subsecs. (b) to (d). Pub. L. 85-554 added subsecs. (b) and (c) and
redesignated former subsec. (b) as (d).
1956--Subsec. (b). Act July 26, 1956, included the Commonwealth of
Puerto Rico.
Effective Date of 1996 Amendment
Section 205(b) of Pub. L. 104-317 provided that: ``The amendment
made by this section [amending this section] shall take effect 90 days
after the date of enactment of this Act [Oct. 19, 1996].''
Effective Date of 1988 Amendment
Section 201(b) of title II of Pub. L. 100-702 provided that: ``The
amendments made by this section [amending this section] shall apply to
any civil action commenced on or after the 180th day after the date of
enactment of this title [Nov. 19, 1988].''
Section 202(b) of title II of Pub. L. 100-702 provided that: ``The
amendment made by this section [amending this section] shall apply to
any civil action commenced in or removed to a United States district
court on or after the 180th day after the date of enactment of this
title [Nov. 19, 1988].''
Section 203(b) of title II of Pub. L. 100-702 provided that: ``The
amendment made by this section [amending this section] shall apply to
claims in civil actions commenced in or removed to the United States
district courts on or after the 180th day after the date of enactment of
this title [Nov. 19, 1988].''
Effective Date of 1976 Amendment
Amendment by Pub. L. 94-583 effective 90 days after Oct. 21, 1976,
see section 8 of Pub. L. 94-583, set out as an Effective Date note under
section 1602 of this title.
Effective Date of 1964 Amendment
Section 2 of Pub. L. 88-439 provided that: ``The amendment made by
this Act to section 1332(c), title 28, United States Code, applies only
to causes of action arising after the date of enactment of this Act
[Aug. 14, 1964].''
Effective Date of 1958 Amendment
Amendment by Pub. L. 85-554 applicable only in the case of actions
commenced after July 25, 1958, see section 3 of Pub. L. 85-554, set out
as a note under section 1331 of this title.
Section Referred to in Other Sections
This section is referred to in sections 1335, 1367, 1446, 1603 of
this title; title 42 section 9613; title 48 sections 1424, 1612, 1822.
