1. What is the scope of diversity jurisdiction in Art. III § 2 of the Constitution? For example, could Congress pass a statute saying that a state-law suit by a New Yorker against a New Yorker and a Californian for $50 dollars can get into federal court?

2. Consider the following cases, all of which are actions brought in federal court under state law with an amount in controversy greater than $75,000. Is there diversity (or alienage) jurisdiction under 1332?

a. A Californian sues a New Yorker and a Californian.

b. A Californian sues a German.

c. A German sues a Belgian.

d. A Californian sues Germany.

e. A Frenchman sues a Texan and a Californian. (Think of why this might be a problem.)

f. A German sues a Frenchman and a New Yorker.

g. A New Yorker and a German sue a Californian and a German.

h. A New Yorker and a German sue a Californian and a Frenchman. (Once again, think carefully about why there might be a problem here.)

i. Germany sues a Californian.

j. A Californian sues a French citizen domiciled in California who has not been admitted for permanent residence.

k. A Californian sues an American citizen domiciled in France.

3. Why does diversity jurisdiction exist? Is the diversity statute correctly drafted to serve these purposes? Would you redraft it? How? In connection with these questions consider the following scenarios:

    A from California sues B from Nevada in Federal Court in Oregon.
    A from California sues B from Nevada in Federal Court in California.
    A from California sues B from California and C from Nevada in Federal Court in Nevada.

In each scenario consider whether there is diversity jurisdiction and whether there should be.

4. In Baker v. Keck, what was the citizenship of the Progressive Mine Workers of America?

5. Why not look to the citizenship at the time of the events being adjudicated rather than the citizenship at the time of the commencement of the suit in order to determine diversity?

6. Does the decision in Baker v. Keck make sense given the underlying purposes of diversity jurisdiction?

7. Let’s say I'm domiciled in New York. I then establish the intent to move to Arizona permanently, but on the way I get in accident in Oklahoma, where I remain for rehabilitation. Where is my domicile?

8. How do you determine the principal place of business of a corporation? Could the underlying purposes of the diversity statute help you solve this problem?

9. P, a citizen of California, sues the D Corp. in federal court in the Northern District of California (N.D. Cal.) under state law for more than $75k. The suit concerns a faulty lighter that P bought from a store in the N.D. Cal. and blew up in P’s home in the N.D. Cal. The D Corp. makes the lighters and is incorporated in New Jersey. The D. Corp. has its three of its four manufacturing plants and 2/3 of its employees in Texas. Its other plant and around 1/4 of its employees are in Louisiana. Its financial and administrative headquarters is in Los Angeles, in the Central District of California, where the President, Board of Directors and 1/12 of its employees are located. Is this a diversity case?

10. P, who lives in the N.D. Cal., sues the D Corp. in federal court in the N.D. Cal. under state law for more than $75k. The suit concerns a misrepresentation that the D Corp made from Texas about a computer program that P bought on the phone from the D Corp. while calling from New York, which was P’s home at the time. (P subsequently moved to the N.D. Cal.) The D Corp. is incorporated in Texas. It has 1/3 of its employees working phones in Texas; the rest scattered throughout the country. The financial and administrative headquarters is in Los Angeles (in the Central District of California), with 1/12 of its employees located there, including its President. Diversity case?

11. P, who is domiciled in DC, sues a law firm that has all but one of its 100 lawyers in New York. The other lawyer lives and works in DC. Diversity case?

12. What would happen in the Kramer case if Panama, still with the intent to create diversity, had totally assigned its interest in the contract to Kramer, without the 95% bonus provision?

13. What if prior to the suit Panama, with the intention of creating diversity, had reincorporated in Texas?

14. Assume P (domiciled in Texas) sells his contract right against D (domiciled in New York) to Kramer (domiciled in New York) for $1, with Kramer promising to pay back 95% of any recovery as a bonus. Kramer sues D in state court. May D remove to federal court on the grounds that it is a diversity case? Could D remove if P had sold 1/100 of its interest in the suit to Kramer for $1000 and P and Kramer sued D as co-plaintiffs in state court?

<>15. Is there a difference between the following and the Pete Rose case? I'm a New York citizen suing in New York state court a New Jersey corporation with a principal place of business in New Jersey for state law fraud and am asking for $76,000 in damages. I join the corporation's accountant, who is a New York citizen, because I claim he was in part responsible for the fraud. May the corporation remove?