Tuesday, Nov. 13

necessary parties

Rule 19. Required Joinder of Parties

(a) Persons Required to Be Joined if Feasible. (1) Required Party. A person who is subject to service of process and whose joinder will not deprive the court of subject-matter jurisdiction must be joined as a party if: (A) in that person’s absence, the court cannot accord complete relief among existing parties; or (B) that person claims an interest relating to the subject of the action and is so situated that disposing of the action in the person’s absence may: (i) as a practical matter impair or impede the person’s ability to protect the interest; or (ii) leave an existing party subject to a substantial risk of incurring double, multiple, or otherwise inconsistent obligations because of the interest.

An African-Americans who had been refused employment by a fire department is suing the city for racial discrimination in hiring. He is asking for preferential treatment in hiring by the fire department as a remedy for past discrimination. Are other African-Americans who have been refused employment necessary parties?

In 1950, an African-American sues City for racial segregation of a park – are other African-Americans who were discriminated against necessary parties?

(b) When Joinder Is Not Feasible. If a person who is required to be joined if feasible cannot be joined, the court must determine whether, in equity and good conscience, the action should proceed among the existing parties or should be dismissed. The factors for the court to consider include: (1) the extent to which a judgment rendered in the person’s absence might prejudice that person or the existing parties; (2) the extent to which any prejudice could be lessened or avoided by: (A) protective provisions in the judgment; (B) shaping the relief; or (C) other measures; (3) whether a judgment rendered in the person’s absence would be adequate; and (4) whether the plaintiff would have an adequate remedy if the action were dismissed for nonjoinder.

Rule 24. Intervention

(a) Intervention of Right. On timely motion, the court must permit anyone to intervene who: (1) is given an unconditional right to intervene by a federal statute; or (2) claims an interest relating to the property or transaction that is the subject of the action, and is so situated that disposing of the action may as a practical matter impair or impede the movant’s ability to protect its interest, unless existing parties adequately represent that interest.

African-Americans who have been refused employment by a fire department are suing the city for racial discrimination in hiring. They are asking for preferential treatment in hiring by the fire department as a remedy for past discrimination. May the white firefighters (or white applicants to the fire department) who would be affected by this relief intervene of right? Would there be any conditions on their intervention?

P wants to build a dump in some wetlandsThe Army Corp of Engineers refuses to issue a permitP sues the Army Corp of EngineersMay people who live by the wetlands intervene on the side of the government?

(b) Permissive Intervention. (1) In General. On timely motion, the court may permit anyone to intervene who: (A) is given a conditional right to intervene by a federal statute; or (B) has a claim or defense that shares with the main action a common question of law or fact.. . .

intersection between joinder rules and

PJ and venue

causes of actions joined under 18(a) by plaintiffs against defendants

each must satisfy venue statute and there must be PJ over the

defendants for each

joinder of defendants under Rs 19 & 20

there must be PJ over each defendant, the venue statute must

be satisfied with respect to all defendants

compulsory counterclaims by defendants against plaintiffs

PJ is considered satisfied (or waived)

venue statute need not be satisfied

Permissive counterclaims by defendants against plaintiffs

majority view is PJ is considered satisfied (or waived)

majority view is venue statute need not be satisfied

crossclaims between codefendants or coplaintiffs

no extra PJ argument is neededno extra venue argument is needed

third party complaints brought by defendants

there must be PJ over the third party defendant

venue statute need not be satisfied

Supplemental Jurisdiction

P (NY) sues D (NY) under fed securities law in federal courtP joins under R 18(a) a state law fraud claim against D D impleads insurer I (NY) for state law contract claimD also brings compulsory counterclaim for breach of contract (P didn’t pay all the money he owes under the securities contract)

P(NY)

D(NY) I(NY)

federalsecuritiesstate law

fraud

state law breach of contract

state law Insurance contract

U.S. Const. Article III. Section. 2.

The judicial Power shall extend to all Cases, in Law and Equity, arising under this Constitution, the Laws of the

United States, and Treaties made, or which shall be made, under their Authority; . . . --to all Cases of admiralty and

maritime Jurisdiction;--to Controversies to which the United States shall be a Party;--to Controversies between

two or more States;--between a State and Citizens of another State;--between Citizens of different States,--

between Citizens of the same State claiming Lands under Grants of different States, and between a State, or the

Citizens thereof, and foreign States, Citizens or Subjects.

pendent jurisdiction

- generally applies to a plaintiff with an action that has its own source of SMJ who joins causes of action without their own source of SMJ but that arise from a

common core of operative fact

Ancillary jurisdiction

- counterclaims, crossclaims, impleaders that lack their own source of federal SMJ but have a common core of operative fact with the action that does

- also includes plaintiff’s

supplementary proceedings to effectuate judgment in action that had SMJ

P (NY) sues D1 (NJ) for brawlP joins D2 (NY) under R 20(a)

pendent jurisdiction?

28 U.S.C. § 1367. - Supplemental jurisdiction

(a) Except as provided in subsections (b) and (c) or as expressly provided otherwise by Federal statute, in any civil action of which the district courts have original jurisdiction, the district courts shall have supplemental jurisdiction over all other claims that are so related to claims in the action within such original jurisdiction that they form part of the same case or controversy under Article III of the United States Constitution. Such supplemental jurisdiction shall include claims that involve the joinder or intervention of additional parties.

(b) In any civil action of which the district courts have original jurisdiction founded solely on section 1332 of this title, the district courts shall not have supplemental jurisdiction under subsection (a) over claims by plaintiffs against persons made parties under Rule 14, 19, 20, or 24 of the Federal Rules of Civil Procedure, or over claims by persons proposed to be joined as plaintiffs under Rule 19 of such rules, or seeking to intervene as plaintiffs under Rule 24 of such rules, when exercising supplemental jurisdiction over such claims would be inconsistent with the jurisdictional requirements of section 1332.

P(NY)

D(NY) I(NY)

federalsecuritiesstate law

fraud

state law breach of contract

state law Insurance contract

What if the D is granted summary judgment on the federal securities

action?Must the court dismiss the state

common law fraud action?

What if the D gets the federal securities action dismissed for failure to state a

claim?

(c) The district courts may decline to exercise supplemental jurisdiction over a claim under subsection (a) if -(1) the claim raises a novel or complex issue of State law,(2) the claim substantially predominates over the claim or claims over which the district court has original jurisdiction,(3) the district court has dismissed all claims over which it has original jurisdiction, or(4) in exceptional circumstances, there are other compelling reasons for declining jurisdiction.

A (NY) sues B(NY) under fed securities laws

A joins state common law fraud claim against C (NY), an auditor for B who was also responsible for

the fraud

A(NY)

federal 20(a) state

B(NY) C(NY)

A (Cal.) sues E (Nev.) (B’s employer) under state law for a battery committed by B (Cal.) - E impleads B - B then brings a suit against A on the harm done to B in their fight

A(Cal.)

E(Nev.) B(Cal.)

(b) In any civil action of which the district courts have original jurisdiction founded solely on section 1332 of this title, the district courts shall not have supplemental jurisdiction under subsection (a) over claims by plaintiffs against persons made parties under Rule 14, 19, 20, or 24 of the Federal Rules of Civil Procedure, or over claims by persons proposed to be joined as plaintiffs under Rule 19 of such rules, or seeking to intervene as plaintiffs under Rule 24 of such rules, when exercising supplemental jurisdiction over such claims would be inconsistent with the jurisdictional requirements of section 1332.

A(Cal.)

E(Nev.) B(Cal.)

(b) In any civil action of which the district courts have original jurisdiction founded solely on section 1332 of this title, the district courts shall not have supplemental jurisdiction under subsection (a) over claims by plaintiffs against persons made parties under Rule 14, 19, 20, or 24 of the Federal Rules of Civil Procedure, or over claims by persons proposed to be joined as plaintiffs under Rule 19 of such rules, or seeking to intervene as plaintiffs under Rule 24 of such rules, when exercising supplemental jurisdiction over such claims would be inconsistent with the jurisdictional requirements of section 1332.