Home -> Law Blog Directory -> Legal Commentary Blogs -> Althouse
(866) 635-2689 for Personal Injury or (866) 635-9402 for Criminal Defense
Find a Local Lawyer
Divorce (866) 635-6190
Personal Injury (866) 635-2689
Criminal Defense (866) 635-9402
Legal Commentary
: AlthouseToday, all 9 Justices embrace a clear rule over a more nuanced and litigation-breeding interpretation.
In Hertz Corp. v. Friend (PDF), the Supreme Court unanimously adopted the "nerve center" test as the meaning of a corporation's "principal place of business" for the purpose of federal court diversity jurisdiction (i.e., cases that can be brought in federal court not because they arise under federal law, but because they are between citizens from different states):
We ... recognize that the use of a "nerve center" test may in some cases produce results that seem to cut against the basic rationale for 28 U. S. C. §1332.... For example, if the bulk of a company's business activities visible to the public take place in New Jersey, while its top officers direct those activities just across the river in New York, the "principal place of business" is New York. One could argue that members of the public in New Jersey would be less likely to be prejudiced against the corporation than persons in New York ? yet the corporation will still be entitled to remove a New Jersey state case to federal court....That "One could argue" business has fueled endless hours of Civil Procedure discussions. But no more! Thanks for simplifying things? even if it means that diversity jurisdiction makes even less sense than ever. Which is a good thing, right?We understand that such seeming anomalies will arise. However, in view of the necessity of having a clearer rule, we must accept them. Accepting occasionally counterintuitive results is the price the legal system must pay to avoid overly complex jurisdictional administration while producing the benefits that accompany a more uniform legal system.
Full post as published by Althouse on February 23, 2010 (boomark / email).
Copyright Lawsuits: Critical Issues Before Filing Copyright
Federa Rule 11(b) Considerations
Mesothelioma Law Suit
Asbestos Exposure
Clear
Verified Identity Pass Face Class Action
$189 Million Settlement Reached in Slab Litigation
$189 Million Settlement Reached in Slab Litigation
Breakthrough Settlement Reached In Chinese Drywall Litigation
Chinese Drywall Litigation Breakthrough Settlement Reached

Today's rulings in argued cases from the U.S. Supreme Court
Justices Appear Ready to Embrace Personal Right to Own Guns
"Justices Rule Against Ohio GOP on Voter Issue"
"Justices Revisit Rule Requiring Lab Testimony"
UN Conference Pushes Plant Breeding; Others See Food Security In Jeopardy









