GINSBURG, J., DISSENTING
EXXON MOBIL CORP. V. ALLAPATTAH SERVICES, INC.
545 U. S. ____ (2005)
SUPREME COURT OF THE UNITED STATES
NOS. 04-70 AND 04-79
EXXON MOBIL CORPORATION, PETITIONER
04–70
v.
ALLAPATTAH SERVICES, INC., et al.
on writ of certiorari to the united states court of
appeals for the eleventh circuit
MARIA del ROSARIO ORTEGA, et al.,
PETITIONERS
04–79
v.
STAR-KIST FOODS, INC.
on writ of certiorari to the united states
court of appeals for the first circuit
[June 23, 2005]
Justice Ginsburg, with
whom Justice Stevens, Justice O’Connor, and Justice Breyer join,
dissenting.
These cases present the question
whether Congress, by enacting 28 U. S. C. §1367, overruled
this Court’s decisions in
Clark v.
Paul Gray,
Inc., 306 U. S. 583, 589 (1939) (reaffirming
the holding of
Troy Bank v.
G. A. Whitehead &
Co., 222 U. S.
39, 40 (1911)), and
Zahn v.
International Paper
Co., 414 U. S. 291 (1973).
Clark
held that, when federal-court jurisdiction is predicated on a
specified amount in controversy, each plaintiff joined in the
litigation must independently meet the jurisdictional amount
requirement.
Zahn confirmed that in class actions governed
by Federal Rule of Civil Procedure 23(b)(3), “[e]ach [class member]
… must satisfy the jurisdictional amount, and any [class member]
who does not must be dismissed from the case.” 414 U. S., at
301.
Section 1367, all agree, was designed to
overturn this Court’s decision in
Finley v.
United
States, 490 U. S. 545 (1989).
Finley
concerned not diversity-of-citizenship jurisdiction (28 U.
S. C. §1332), but original federal-court jurisdiction in cases
arising under federal law (28 U. S. C. §1331). The plaintiff
in
Finley sued the United States under the Federal Tort
Claims Act (FTCA), 28 U. S. C. §1346(b), to recover for the
death of her husband and children in an airplane crash. She alleged
that the Federal Aviation Administration’s negligence contributed
to the fatal accident. She later amended her complaint to add
state-law tort claims against two other defendants, a municipality
and a utility company. 490 U. S., at 546–547. No independent basis
for federal subject-matter jurisdiction existed over the state-law
claims. The plaintiff could not have brought her entire action in
state court, because federal jurisdiction in FTCA actions is
exclusive. §1346(b). Hence, absent federal jurisdiction embracing
the state-law claims, she would be obliged to pursue two discrete
actions, one in federal court, the other in state court. This Court
held, nevertheless, that the District Court lacked jurisdiction
over the “pendent-party” state-law claims.
Id., at
555–556. In so holding, the Court stressed that Congress held the
control rein.
Id., at 547–549. Congress could reverse the
result in
Finley, and permit pendent jurisdiction over
state-law claims against additional defendants, if it so chose.
Id., at 556. Congress did so in §1367.
What more §1367 wrought is an issue on which
courts of appeals have sharply divided. Compare
Stromberg Metal
Works, Inc. v.
Press Mechanical, Inc., 77 F. 3d 928,
930 (CA7 1996) (§1367 “supersedes
Clark and allows
pendent-party jurisdiction when the additional parties have claims
worth less than [the jurisdictional minimum]”), and
In re
Abbott Labs., 51 F. 3d 524, 529 (CA5 1995) (“[U]nder
§1367 a district court can exercise supplemental jurisdiction over
members of a class, although they did not meet the
amount-in-controversy requirement, as did the class
representatives.”), with
Meritcare Inc. v.
St. Paul
Mercury Ins. Co., 166 F. 3d 214, 222 (CA3 1999) (§1367
“preserves the prohibition against aggregation outlined in
[Zahn and
Clark]”), and
Leonhardt v.
Western Sugar Co., 160 F. 3d 631, 641 (CA10 1998)
(§1367 does not alter “the historical rules prohibiting aggregation
of claims, including
Zahn’s prohibition of such
aggregation in diversity class actions”). The Court today holds
that §1367, although prompted by
Finley, a case in which
original access to federal court was predicated on a federal
question, notably enlarges federal diversity jurisdiction. The
Court reads §1367 to overrule
Clark and
Zahn,
thereby allowing access to federal court by co-plaintiffs or class
members who do not meet the now in excess of $75,000
amount-in-controversy requirement, so long as at least one
co-plaintiff, or the named class representative, has a
jurisdictionally sufficient claim.
Ante, at 1–2.
The Court adopts a plausibly broad reading of
§1367, a measure that is hardly a model of the careful drafter’s
art. There is another plausible reading, however, one less
disruptive of our jurisprudence regarding supplemental
jurisdiction. If one reads §1367(a) to instruct, as the statute’s
text suggests, that the district court must first have “original
jurisdiction” over a “civil action” before supplemental
jurisdiction can attach, then
Clark and
Zahn are
preserved, and supplemental jurisdiction does not open the way for
joinder of plaintiffs, or inclusion of class members, who do not
independently meet the amount-in-controversy requirement. For the
reasons that follow, I conclude that this narrower construction is
the better reading of §1367.
I
A
Section 1367, captioned
“Supplemental jurisdiction,” codifies court-recognized doctrines
formerly labeled “pendent” and “ancillary” jurisdiction. Pendent
jurisdiction involved the enlargement of federal-question
litigation to include related state-law claims. Ancillary
jurisdiction evolved primarily to protect defending parties, or
others whose rights might be adversely affected if they could not
air their claims in an ongoing federal-court action. Given
jurisdiction over the principal action, federal courts entertained
certain matters deemed ancillary regardless of the citizenship of
the parties or the amount in controversy.
Mine Workers v.
Gibbs, 383
U. S. 715 (1966), the leading pendent jurisdiction case,
involved a claim against a union for wrongfully inducing the
plaintiff’s discharge. The plaintiff stated a federal claim under
the Taft-Hartley Act, and an allied state-law claim of unlawful
conspiracy to interfere with his employment contract. This Court
upheld the joinder of federal and state claims. “[T]here is
power in federal courts to hear the whole,” the Court
said, when the state and federal claims “derive from a common
nucleus of operative fact” and are so linked that the plaintiff
“would ordinarily be expected to try them all in one judicial
proceeding.”
Id., at 725.
Gibbs involved the linkage of federal
and state claims against the same defendant. In
Finley v.
United States, 490 U. S. 545, the Court contained
Gibbs. Without congressional authorization, the Court
admonished, the pendent jurisdiction umbrella could not be
stretched to cover the joinder of additional parties.
Gibbs had departed from earlier decisions recognizing that
“jurisdiction [must] be explicitly conferred,” the Court said. 490
U. S., at 556.
Aldinger v.
Howard, 427 U. S. 1 (1976), the
Court observed, although resting “on a much narrower basis,” R.
Fallon, D. Meltzer, & D. Shapiro, Hart and Wechsler’s The
Federal Courts and the Federal System 925 (5th ed. 2003)
(hereinafter Hart & Wechsler), had already signaled that “the
Gibbs approach would not be extended to the pendent-party
field,”
Finley, 490 U. S., at 556
. While the
Finley Court did not “limit or impair”
Gibbs
itself, 490 U. S., at 556
, for further development of
pendent jurisdiction, the Court made it plain, the initiative would
lie in Congress’ domain.
Id., at 555–556.[
Footnote 1]
Ancillary jurisdiction, which evolved as a
more sprawling doctrine than pendent jurisdiction, was originally
rooted in “the notion that [when] federal jurisdiction in [a]
principal suit effectively controls the property or fund under
dispute, other claimants thereto should be allowed to intervene in
order to protect their interests, without regard to jurisdiction.”
Aldinger, 427 U. S., at 11; see,
e.g., Freeman v.
Howe, 24 How. 450 (1861). In
Owen Equipment &
Erection Co. v.
Kroger, 437 U. S. 365 (1978), the Court
addressed the permissible scope of the doctrine in relation to the
liberal provisions of the Federal Rules of Civil Procedure for
joinder of parties and claims.
Kroger commenced as a suit between a
citizen of Iowa and a Nebraska corporation. When the Nebraska
defendant impleaded an Iowa corporation as a third-party defendant
under Rule 14(a), the plaintiff asserted state-law claims against
the impleaded party. No independent basis of federal jurisdiction
existed over the newly asserted claims, for both plaintiff and
impleaded defendant were citizens of Iowa. 470 U. S., at 370. The
Court held that the plaintiff could not draw in a co-citizen
defendant in this manner.
Id., at 377. Federal courts, by
the time of
Kroger, were routinely exercising ancillary
jurisdiction over compulsory counterclaims, impleader claims,
cross-claims among defendants, and claims of parties who intervened
“of right.” See
id., at 375, n. 18 (collecting
cases). In
Kroger, however,
“the nonfederal claim … was asserted by the
plaintiff, who voluntarily chose to bring suit upon a state-law
claim in a federal court. By contrast, ancillary jurisdiction
typically involve[d] claims by a defending party haled into court
against his will, or by another person whose rights might be
irretrievably lost unless he could assert them in an ongoing action
in a federal court.”
Id., at 376.
Having “chosen the federal rather than the state
forum,” the Court said, the plaintiff had to “accept its
limitations.”
Ibid.
In sum, in federal-question cases before
§1367’s enactment, the Court recognized pendent-claim jurisdiction,
Gibbs, 383 U. S., at 725, but not pendent-party
jurisdiction,
Finley, 490 U. S., at 555–556. As to
ancillary jurisdiction, the Court adhered to the limitation that in
diversity cases, throughout the litigation, all plaintiffs must
remain diverse from all defendants. See
Kroger, 437 U. S.,
at 374.
Although pendent jurisdiction and ancillary
jurisdiction evolved discretely,[
Footnote 2] the Court has recognized that they are “two
species of the same generic problem: Under what circumstances may a
federal court hear and decide a state-law claim arising between
citizens of the same State?”
Id., at 370.
Finley
regarded that question as one properly addressed to Congress. See
490 U. S., at 549, 556; 13 Wright & Miller §3523, p. 127 (2d
ed. Supp. 2005); Hart & Wechsler 924–926.
B
Shortly before the Court decided
Finley, Congress had established the Federal Courts Study
Committee to take up issues relating to “the federal courts’
congestion, delay, expense, and expansion.” Judicial Conference of
the United States, Report of the Federal Courts Study Committee 3
(Apr. 2, 1990) (hereinafter Committee Report). The Committee’s
charge was to conduct a study addressing the “crisis” in federal
courts caused by the “rapidly growing” caseload.
Id., at 6
(internal quotation marks omitted).
Among recommendations, the
Committee urged Congress to “authorize federal courts to assert
pendent jurisdiction over parties without an independent federal
jurisdictional base.”
Id., at 47. If adopted, this
recommendation would overrule
Finley. Earlier, a
subcommittee had recommended that Congress overrule both
Finley and
Zahn. Report of the Subcommittee on
the Role of the Federal Courts and Their Relationship to the States
547, 561, n. 33 (Mar. 12, 1990), reprinted in 1 Judicial Conference
of the United States, Federal Courts Study Committee, Working
Papers and Subcommittee Reports (July 1, 1990) (hereinafter
Subcommittee Report). In the subcommittee’s view, “[f]rom a policy
standpoint,”
Zahn “ma[de] little sense.” Subcommittee
Report 561, n. 33.[
Footnote 3]
The full Committee, however, urged only the overruling of
Finley and did not adopt the recommendation to overrule
Zahn. Committee Report 47–48.
As a separate matter, a substantial majority
of the Committee “strongly recommend[ed]” the elimination of
diversity jurisdiction, save for “complex multi-state litigation,
interpleader, and suits involving aliens.”
Id., at 38–39;
accord Subcommittee Report 454–458. “[N]o other step,” the
Committee’s Report maintained, “will do anywhere nearly as much to
reduce federal caseload pressures and contain the growth of the
federal judiciary.” Committee Report 39.
Congress responded by adopting, as part of the
Judicial Improvements Act of 1990, 104 Stat. 5089,[
Footnote 4] recommendations of the Federal
Courts Study Committee ranked by the House Committee on the
Judiciary as “modest” and “noncontroversial”. H. R. Rep. No.
101–734, pp. 15–16 (1990) (hereinafter H. R. Rep.); see
also 136 Cong. Rec. 36288 (1990). Congress did not take up the
Study Committee’s immodest proposal to curtail diversity
jurisdiction. It did, however, enact a supplemental jurisdiction
statute, codified as 28 U. S. C. §1367.
II
A
Section 1367, by its terms,
operates only in civil actions “of which the district courts have
original jurisdiction.” The “original jurisdiction” relevant here
is diversity-of-citizenship jurisdiction, conferred by §1332. The
character of that jurisdiction is the essential backdrop for
comprehension of §1367.
The Constitution broadly provides
for federal-court jurisdiction in controversies “between Citizens
of different States.” Art. III, § 2, cl. 1. This Court has read
that provision to demand no more than “minimal diversity,”
i.e., so long as one party on the plaintiffs’ side and one
party on the defendants’ side are of diverse citizenship, Congress
may authorize federal courts to exercise diversity jurisdiction.
See
State Farm Fire & Casualty Co. v.
Tashire, 386 U. S. 523, 530–531
(1967). Further, the Constitution includes no amount-in-controversy
limitation on the exercise of federal jurisdiction. But from the
start, Congress, as its measures have been construed by this Court,
has limited federal court exercise of diversity jurisdiction in two
principal ways. First, unless Congress specifies otherwise,
diversity must be “complete,”
i.e., all parties on
plaintiffs’ side must be diverse from all parties on defendants’
side.
Strawbridge v.
Curtiss, 3 Cranch 267
(1806); see 13B Wright & Miller §3605 (2d ed. 1984). Second,
each plaintiff’s stake must independently meet the
amount-in-controversy specification: “When two or more plaintiffs,
having separate and distinct demands, unite for convenience and
economy in a single suit, it is essential that the demand of each
be of the requisite jurisdictional amount.”
Troy Bank, 222
U. S., at 40.
The statute today governing federal court
exercise of diversity jurisdiction in the generality of cases,
§1332, like all its predecessors, incorporates both a
diverse-citizenship requirement and an amount-in-controversy
specification.[
Footnote 5] As
to the latter, the statute reads: “The district courts shall have
original jurisdiction [in diversity-of-citizenship cases] where the
matter in controversy exceeds the sum … of $75,000.” §1332(a). This
Court has long held that, in determining whether the
amount-in-controversy requirement has been satisfied, a single
plaintiff may aggregate two or more claims against a single
defendant, even if the claims are unrelated. See,
e.g.,
Edwards v.
Bates County, 163 U. S. 269, 273
(1896). But in multiparty cases, including class actions, we have
unyieldingly adhered to the nonaggregation rule stated in
Troy
Bank. See
Clark, 306 U. S., at 589 (reaffirming the
“familiar rule that when several plaintiffs assert separate and
distinct demands in a single suit, the amount involved in each
separate controversy must be of the requisite amount to be within
the jurisdiction of the district court, and that those amounts
cannot be added together to satisfy jurisdictional requirements”);
Snyder v.
Harris, 394 U. S. 332, 339–340
(1969) (abandonment of the nonaggregation rule in class actions
would undercut the congressional “purpose . . . to check, to some
degree, the rising caseload of the federal courts”).
This Court most recently addressed “[t]he
meaning of [§1332’s] ‘matter in controversy’ language” in
Zahn, 414 U. S., at 298.
Zahn, like
Snyder decided four years earlier, was a class action. In
Snyder, no class member had a claim large enough to
satisfy the jurisdictional amount. But in
Zahn, the named
plaintiffs had such claims. 414 U. S., at 292. Nevertheless, the
Court declined to depart from its “longstanding construction of the
‘matter in controversy’ requirement of §1332.”
Id., at
301. The
Zahn Court stated:
“
Snyder invoked the well-established rule
that each of several plaintiffs asserting separate and distinct
claims must satisfy the jurisdictional-amount requirement if his
claim is to survive a motion to dismiss. This rule plainly mandates
not only that there may be no aggregation and that the entire case
must be dismissed where none of the plaintiffs claims [meets the
amount-in-controversy requirement] but also requires that any
plaintiff without the jurisdictional amount must be dismissed from
the case, even though others allege jurisdictionally sufficient
claims.”
Id., at 300.
The rule that each plaintiff must independently
satisfy the amount-in-controversy requirement, unless Congress
ex-pressly orders otherwise, was thus the solidly established
reading of §1332 when Congress enacted the Judicial Improvements
Act of 1990, which added §1367 to Title 28.
B
These cases present the question
whether Congress abrogated the nonaggregation rule long tied to
§1332 when it enacted §1367. In answering that question, “context
[should provide] a crucial guide.”
Rosario Ortega v.
Star-Kist Foods, Inc., 370 F. 3d 124, 135 (2004). The
Court should assume, as it ordinarily does, that Congress
legislated against a background of law already in place and the
historical development of that law. See
National Archives and
Records Admin. v.
Favish, 541 U. S. 157, 169
(2004). Here, that background is the statutory grant of diversity
jurisdiction, the amount-in-controversy condition that Congress,
from the start, has tied to the grant, and the nonaggregation rule
this Court has long applied to the determination of the “matter in
controversy.”
Section 1367(a) provides:
“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.”
The Court is unanimous in reading §1367(a) to
permit pendent-party jurisdiction in federal-question cases, and
thus, to overrule
Finley. The basic jurisdictional grant,
§1331, provides that “[t]he district courts shall have original
jurisdiction of all civil actions arising under the Constitution,
laws, or treaties of the United States.” Since 1980, §1331 has
contained no amount-in-controversy requirement. See 94 Stat. 2369
(eliminating §1331’s amount-in-controversy requirement). Once there
is a civil action presenting a qualifying claim arising under
federal law, §1331’s sole requirement is met. District courts, we
have held, may then adjudicate, additionally, state-law claims
“deriv[ing] from a common nucleus of operative fact.”
Gibbs, 383 U. S., at 725. Section 1367(a) enlarges that
category to include not only state-law claims against the defendant
named in the federal claim, but also “[state-law] claims that
involve the joinder or intervention of additional
parties.”[
Footnote 6]
The Court divides, however, on the impact of
§1367(a) on diversity cases controlled by §1332. Under the
majority’s reading, §1367(a) permits the joinder of related claims
cut loose from the nonaggregation rule that has long attended
actions under §1332. Only the claims specified in §1367(b)[
Footnote 7] would be excluded from
§1367(a)’s expansion of §1332’s grant of diversity jurisdiction.
And because §1367(b) contains no exception for joinder of
plaintiffs under Rule 20 or class actions under Rule 23, the Court
concludes,
Clark and
Zahn have been
overruled.[
Footnote 8]
The Court’s reading is surely plausible,
especially if one detaches §1367(a) from its context and attempts
no reconciliation with prior interpretations of §1332’s
amount-in-controversy requirement. But §1367(a)’s text, as the
First Circuit held, can be read another way, one that would involve
no rejection of
Clark and
Zahn.
As explained by the First Circuit in
Ortega, and applied to class actions by the Tenth Circuit
in
Leonhardt, see
supra, at 3, §1367(a) addresses
“civil action[s] of which the district courts have original
jurisdiction,” a formulation that, in diversity cases, is sensibly
read to incorporate the rules on joinder and aggregation tightly
tied to §1332 at the time of §1367’s enactment. On this reading, a
complaint must first meet that “original jurisdiction” measurement.
If it does not, no supplemental jurisdiction is authorized. If it
does, §1367(a) authorizes “supplemental jurisdiction” over related
claims. In other words, §1367(a) would preserve undiminished, as
part and parcel of §1332 “original jurisdiction” determinations,
both the “complete diversity” rule and the decisions restricting
aggregation to arrive at the amount in controversy.[
Footnote 9] Section 1367(b)’s office, then,
would be “to prevent the erosion of the complete diversity [and
amount-in-controversy] requirement[s] that might otherwise result
from an expansive application of what was once termed the doctrine
of ancillary jurisdiction.” See Pfander, Supplemental Jurisdiction
and Section 1367: The Case for a Sympathetic Textualism, 148
U. Pa. L. Rev. 109, 114 (1999);
infra, at 17–18.
In contrast to the Court’s construction of §1367, which draws a
sharp line between the diversity and amount-in-controversy
components of §1332, see
ante, at 6;
supra, at 9,
n. 5, the interpretation presented here does not sever the two
jurisdictional requirements.
The more restrained reading of §1367 just
outlined would yield affirmance of the First Circuit’s judgment in
Ortega, and reversal of the Eleventh Circuit’s judgment in
Exxon. It would not discard entirely, as the Court does,
the judicially developed doctrines of pendent and ancillary
jurisdiction as they existed when
Finley was
decided.[
Footnote 10]
Instead, it would recognize §1367 essentially as a codification of
those doctrines, placing them under a single heading, but largely
retaining their substance, with overriding
Finley the only
basic change: Supplemental jurisdiction, once the district court
has original jurisdiction, would now include “claims that involve
the joinder or intervention of additional parties.” §1367(a).
Pendent jurisdiction, as earlier explained,
see
supra, at 4–5, applied only in federal-question cases
and allowed plaintiffs to attach nonfederal claims to their
jurisdiction-qualifying claims. Ancillary jurisdiction applied
primarily, although not exclusively, in diversity cases and
“typically involve[d] claims
by a defending party haled
into court against his will.”
Kroger, 437 U. S., at 376
(emphasis added); see also
id., at 375, n. 18;
supra, at 5–6. As the First Circuit observed, neither
doctrine permitted a plaintiff to circumvent the dual requirements
of §1332 (diversity of citizenship and amount in controversy)
“simply by joining her [jurisdictionally inadequate] claim in an
action brought by [a] jurisdictionally competent diversity
plaintiff.”
Ortega, 370 F. 3d, at 138.
Not only would the reading I find persuasive
“alig[n] statutory supplemental jurisdiction with the judicially
developed doctrines of pendent and ancillary jurisdiction,”
ibid., it would also synchronize §1367 with the removal
statute, 28 U. S. C. §1441. As the First Circuit carefully
explained:
“Section 1441, like §1367, applies only if the
‘civil action’ in question is one ‘of which the district courts …
have original jurisdiction.’ §1441(a). Relying on that language,
the Supreme Court has interpreted §1441 to prohibit removal unless
the entire action, as it stands at the time of removal, could have
been filed in federal court in the first instance.
See,
e.g.,
Syngenta Crop Protection, Inc. v. Henson,
537 U. S. 28, 33
(2002);
Okla. Tax Comm’n v. Graham,
489 U. S. 838, 840
(1989) (per curiam). Section 1441 has thus been held to incorporate
the well-pleaded complaint rule,
see City of Chicago [v.
International College of Surgeons,
522 U. S. 156, 163 (1997)];[
Footnote 11] the complete diversity
rule,
see Caterpillar, Inc. v. Lewis,
519 U. S. 61, 73 (1996); and rules for
calculating the amount in controversy,
see St. Paul Mercury
Indem. Co. v. Red Cab Co.,
303 U. S. 283, 291–292
(1938).”
Ortega, 370 F. 3d, at 138 (citations omitted
and footnote added).
The less disruptive view I take
of §1367 also accounts for the omission of Rule 20 plaintiffs and
Rule 23 class actions in §1367(b)’s text. If one reads §1367(a) as
a plenary grant of supplemental jurisdiction to federal courts
sitting in diversity, one would indeed look for exceptions in
§1367(b). Finding none for permissive joinder of parties or class
actions, one would conclude that Congress effectively, even if
unintentionally, overruled
Clark and
Zahn. But if
one recognizes that the nonaggregation rule delineated in
Clark and
Zahn forms part of the determination
whether “original jurisdiction” exists in a diversity case, see
supra, at 14, then plaintiffs who do not meet the
amount-in-controversy requirement would fail at the §1367(a)
threshold. Congress would have no reason to resort to a §1367(b)
exception to turn such plaintiffs away from federal court, given
that their claims, from the start, would fall outside the court’s
§1332 jurisdiction. See Pfander, 148 U. Pa. L. Rev., at
148.
Nor does the more moderate reading assign
different meanings to “original jurisdiction” in diversity and
federal-question cases. See
ante, at 14. As the First
Circuit stated:
“ ‘[O]riginal jurisdiction’ in §1367(a) has
the same meaning in every case: [An] underlying statutory grant of
original jurisdiction must be satisfied. What differs between
federal question and diversity cases is not the meaning of
‘original jurisdiction’ but rather the [discrete] requirements of
sections 1331 and 1332. Under §1331, the sole issue is whether a
federal question appears on the face of the plaintiff’s
well-pleaded complaint; the [citizenship] of the parties and the
amounts they stand to recover [do not bear on that determination].
Section 1332, by contrast, predicates original jurisdiction on the
identity of the parties (
i.e., [their] complete diversity)
and their [satisfaction of the amount-in-controversy
specification]. [In short,] the ‘original jurisdiction’ language in
§1367 operates differently in federal-question and diversity cases
not because the meaning of that term varies, but because the
[jurisdiction-granting] statutes are different.”
Ortega,
370 F. 3d, at 139–140.
What is the utility of §1367(b)
under my reading of §1367(a)? Section 1367(a) allows parties other
than the plaintiff to assert
reactive claims once
entertained under the heading ancillary jurisdiction. See
supra, at 5 (listing claims, including compulsory
counterclaims and impleader claims, over which federal courts
routinely exercised ancillary jurisdiction). As earlier observed,
see
supra, at 14, §1367(b) stops plaintiffs from
circumventing §1332’s jurisdictional requirements by using
another’s claim as a hook to add a claim that the plaintiff could
not have brought in the first instance.
Kroger is the
paradigm case. See
supra, at 5–6. There, the Court held
that ancillary jurisdiction did not extend to a plaintiff’s claim
against a nondiverse party who had been impleaded by the defendant
under Rule 14. Section 1367(b), then, is corroborative of
§1367(a)’s coverage of claims formerly called ancillary, but
provides exceptions to assure that accommo-dation of added claims
would not fundamentally alter “the jurisdictional requirements of
section 1332.” See Pfander,
supra, at 135–137.
While §1367’s enigmatic text[
Footnote 12] defies flawless
interpretation, see
supra, at 13, n. 8,[
Footnote 13] the precedent-preservative
reading, I am persuaded, better accords with the historical and
legal context of Congress’ enactment of the supplemental
jurisdiction statute, see
supra, at 6–8, 11, and the
established limits on pendent and ancillary jurisdiction, see
supra, at 4–6. It does not attribute to Congress a
jurisdictional enlargement broader than the one to which the
legislators adverted, cf.
Finley, 490 U. S., at 549, and
it follows the sound counsel that “close questions of [statutory]
construction should be resolved in favor of continuity and against
change.” Shapiro, Continuity and Change in Statutory
Interpretation, 67 N. Y. U. L. Rev. 921, 925
(1992).[
Footnote 14]
***
For the reasons stated, I would
hold that §1367 does not overrule
Clark and
Zahn.
I would therefore affirm the judgment of the Court of Appeals for
the First Circuit and reverse the judgment of the Court of Appeals
for the Eleventh Circuit.
Footnote 1
“[B]oth the Finley result
and its implications” sparked “considerable criticism.” Hart &
Wechsler 926; see also 13B C. Wright, A. Miller, E. Cooper, &
R. Freer, Federal Practice and Procedure §3567.2, p. 91 (2d ed.
Supp. 2005) (hereinafter Wright & Miller) (characterizing the
Finley decision as “surprising”).
Footnote 2
See generally 13B Wright & Miller §§3567,
3567.1, 3567.2 (2d ed. 1984) (discussing pendent jurisdiction); 13
id., §3523 (discussing ancillary jurisdiction); Hart &
Wechsler 922–926 (discussing pendent jurisdiction);
id.,
at 1488–1490 (discussing ancillary jurisdiction).
Footnote 3
Anomalously, in holding that each class
member “must satisfy the jurisdictional amount,”
Zahn v.
International Paper Co., 414 U. S. 291, 301 (1973), the
Zahn Court did not refer to
Supreme Tribe of
Ben-Hur v.
Cauble, 255 U. S. 356, 366
(1921), which established that in a class action, the citizenship
of the named plaintiff is controlling. But see
Zahn, 414
U. S., at 309–310 (Brennan, J., dissenting) (urging
Zahn’s
inconsistency with
Ben-Hur).
Footnote 4
The omnibus Act encompassed the Civil Justice
Reform Act of 1990 (Title I), the creation of new judgeships (Title
II), the Federal Courts Study Committee Implementation Act of 1990
(Title III), and the establishment of the National Commission on
Judicial Discipline and Removal (Title IV).
Footnote 5
Endeavoring to preserve the “complete
diversity” rule first stated in
Strawbridge v.
Curtiss, 3 Cranch 267 (1806), the Court’s opinion drives a
wedge between the two components of 28 U. S. C. §1332, treating the
diversity-of-citizenship requirement as essential, the
amount-in-controversy requirement as more readily disposable. See
ante, at 6, 14–15. Section 1332 itself, however, does not
rank order the two requirements. What “[o]rdinary principl[e] of
statutory construction” or “sound canon of interpretation,”
ante, at 10, allows the Court to slice up §1332 this way?
In partial explanation, the Court asserts that amount in
controversy can be analyzed claim-by-claim, but the diversity
requirement cannot. See
ante, at 6. It is not altogether
clear why that should be so. The cure for improper joinder of a
nondiverse party is the same as the cure for improper joinder of a
plaintiff who does not satisfy the jurisdictional amount. In both
cases, original jurisdiction can be preserved by dismissing the
nonqualifying party. See
Caterpillar Inc. v.
Lewis, 519 U. S. 61, 64 (1996) (diversity);
Newman-Green, Inc. v.
Alfonzo-Larrain, 490 U. S. 826, 836–838
(1989) (same);
Zahn, 414 U. S., at 295, 300 (amount in
controversy);
Clark v.
Paul Gray, Inc., 306 U. S. 583, 590 (1939) (same).
Footnote 6
The Court noted in
Zahn, 414 U. S.,
at 302, n. 11, that when the exercise of §1331
federal-question jurisdiction and §1332 diversity jurisdiction were
conditioned on the same jurisdictional-amount limitation, the same
nonaggregation rule applied under both heads of federal
jurisdiction. But cf.
ante, at 14–15. The Court added,
however, that “Congress ha[d] exempted major areas of
federal-question jurisdiction from any jurisdictional-amount
requirements,” thus diminishing the impact of §1331’s “matter in
controversy” specification in cases arising under federal law.
Zahn, 414 U. S., at 302, n. 11.
Footnote 7
Title 28 §1367(b) provides:
“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.”
Footnote 8
Under the Court’s construction of §1367, see
ante, at 13, 19, Beatriz Ortega’s family members can
remain in the action because their joinder is merely permissive,
see Fed. Rule Civ. Proc. 20. If, however, their presence was
“needed for just adjudication,” Rule 19, their dismissal would be
required. The inclusion of those who may join, and exclusion of
those who should or must join, defies rational explanation, but cf.
ante, at 18, and others adopting the interpretation the
Court embraces have so acknowledged, see
Stromberg
Metal Works, Inc. v.
Press Mechanical, Inc., 77
F. 3d 928, 932 (CA7 1996) (recognizing the anomaly and
inquiring: “What sense can this make?”); cf. 14B Wright &
Miller §3704, p. 168 (3d ed. 1998) (distinction between Rule 19 and
Rule 20 “seems incongruous, and serves no apparent public policy
purpose”).
Footnote 9
On this reading of §1367(a), it is immaterial
that §1367(b) “does not withdraw supplemental jurisdiction over the
claims of the additional parties at issue here.”
Ante, at
12. Because those claims would not come within §1367(a) in the
first place, Congress would have had no reason to list them in
§1367(b). See
infra, at 16–17.
Footnote 10
The Court’s opinion blends the two doctrines,
according no significance to their discrete development. See
ante, at 5–9.
Footnote 11
The point of the Court’s extended discussion
of
Chicago v.
International College of Surgeons,
522 U. S. 156 (1997), in the instant
cases, see
ante, at 15–17, slips from my grasp. There was
no disagreement in that case, and there is none now, that 28 U.
S. C. §1367(a) is properly read to authorize the exercise of
supplemental jurisdiction in removed cases.
International
College of Surgeons was unusual in that the federal court
there was asked to review a decision of a local administrative
agency. Such review, it was unsuccessfully argued, was “appellate”
in character, and therefore outside the ken of a court empowered to
exercise “original” jurisdiction. Compare 522 U. S., at 166–168,
with
id., at 176–177 (Ginsburg, J., dissenting).
Footnote 12
The Court notes the passage this year of the
Class Action Fairness Act (CAFA), Pub. L. 109–2, 119 Stat. 4,
ante, at 24–25, only to dismiss that legislation as
irrelevant. Subject to several exceptions and qualifications, CAFA
provides for federal-court adjudication of state-law-based class
actions in which diversity is “minimal” (one plaintiff’s diversity
from one defendant suffices), and the “matter in controversy” is an
aggregate amount in excess of $5,000,000. Significant here, CAFA’s
enlargement of federal-court diversity jurisdiction was
accomplished, “clearly and conspicuously,” by amending §1332. Cf.
Rosario Ortega, 370 F. 3d 124, 142 (CA1 2004).
Footnote 13
If §1367(a) itself renders unnecessary the
listing of Rule 20 plaintiffs and Rule 23 class actions in
§1367(b), see
supra, at 16–17, then it is similarly
unnecessary to refer, as §1367(b) does, to “persons proposed to be
joined as plaintiffs under Rule 19.” On one account, Congress
bracketed such persons with persons “seeking to intervene as
plaintiffs under Rule 24” to modify pre-§1367 practice. Before
enactment of §1367, courts entertained, under the heading ancillary
jurisdiction, claims of Rule 24(a) intervenors “of right,” see
Owen Equipment & Erection Co. v.
Kroger,
437 U. S. 365, 375, n. 18 (1978), but
denied ancillary jurisdiction over claims of “necessary” Rule 19
plaintiffs, see 13 Wright & Miller §3523, p. 127 (2d ed. Supp.
2005). Congress may have sought simply to underscore that those
seeking to join as plaintiffs, whether under Rule 19 or Rule 24,
should be treated alike,
i.e., denied joinder when
“inconsistent with the jurisdictional requirements of section
1332.” See
Ortega, 370 F. 3d, at 140, and n. 15
(internal quotation marks omitted); H. R. Rep., at 29 (“Subsection
(b) makes one small change in pre-
Finley practice,”
i.e., it eliminates the Rule 19/Rule 24 anomaly.).
Footnote 14
While the interpretation of §1367 described
in this opinion does not rely on the measure’s legislative history,
that history, as Justice Stevens has shown, see
ante, at 1
(dissenting opinion), is corroborative of the statutory reading set
out above.
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