jurisdictional amount
Jurisdictional amount refers to the amount of money a plaintiff seeks in a lawsuit. The monetary value of a non-monetary remedy such as an injunction can also be included in the jurisdictional amount. For a case to be heard in district court on grounds of diversity jurisdiction , the jurisdictional amount a plaintiff pleads must exceed $75,000 .
As established in St. Paul Mercury v. Red Cab Co , courts exercising diversity jurisdiction will defer to the plaintiff’s pleadings as to the jurisdictional amount so long as they were filed in good faith and the defense cannot show to a legal certainty that the plaintiff cannot recover above $75,000. Jurisdictional amount is determined at the start of the trial and, therefore, a verdict from a court exercising diversity jurisdiction will not be thrown out if a jury determines that a plaintiff is entitled to less than $75,000.
Multiple claims can occasionally be aggregated to meet the jurisdictional amount requirement. For more information, see aggregation of jurisdictional amount .
In addition to diversity jurisdiction, jurisdictional amount is relevant to a few other situations:
- As established by the Class Action Fairness Act , a district court only has jurisdiction over a class action if the jurisdictional amount exceeds $5,000,000.
-
State courts
also can have jurisdictional amount requirements, usually appearing in the form of tiered
court systems
.
- For example, Massachusetts small claims court only has jurisdiction over the cases of individuals where the jurisdictional amount does not exceed $7000.
Jurisdictional amount is also referred to as amount in controversy .
[Last reviewed in June of 2022 by the Wex Definitions Team ]
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