Diversity Jurisdiction
Diversity Jurisdiction is a legal concept in the United States that allows federal courts to hear cases where the parties are from different states. This is intended to provide a neutral forum for disputes, reducing potential bias that might occur in state courts.
To qualify for Diversity Jurisdiction, the amount in controversy must exceed $75,000, and all plaintiffs must be citizens of different states than all defendants. This ensures that the case involves significant interests and that the parties are not from the same jurisdiction, promoting fairness in legal proceedings.