A Federal Court is a part of the judicial system in the United States that deals with cases involving federal laws, disputes between states, and cases involving citizens from different states. These courts operate under the authority of the U.S. Constitution and are separate from state courts, which handle local and state law issues. Federal Courts include several levels, such as District Courts, which are the trial courts, and Circuit Courts of Appeals, which review decisions made by the District Courts. The highest court in the federal system is the Supreme Court, which has the final say on important legal questions and interpretations of federal law.