Strawbridge v. Curtiss, 7 U.S. (3 Cranch) 267 (1806)

Facts

  • Multiple plaintiffs filed a bill in equity in the U.S. Circuit Court for the District of Massachusetts.
  • The plaintiffs included citizens of Massachusetts.
  • The defendants included citizens of Massachusetts and one defendant (Curtiss) alleged to be a citizen of Vermont, served in Vermont.
  • The plaintiffs invoked diversity jurisdiction under § 11 of the Judiciary Act of 1789.

Issues

  1. Whether § 11 of the Judiciary Act of 1789 permits diversity jurisdiction in a multiparty case when at least one plaintiff and one defendant are citizens of the same state.
  2. Whether, for parties joined on each side with a joint interest, the statute requires that each plaintiff be diverse from each defendant.

Decision

  • The Supreme Court affirmed the circuit court’s dismissal for lack of jurisdiction.
  • The Court held that, under § 11, if there are multiple joint plaintiffs and multiple joint defendants, each plaintiff must be able to sue each defendant in federal court on diversity grounds.
  • Because both sides included Massachusetts citizens, statutory diversity jurisdiction could not be sustained.
  • The Court expressly declined to decide the rule for cases involving multiple parties representing several distinct (non-joint) interests.
  • Under § 11 of the Judiciary Act of 1789, statutory diversity jurisdiction in a multiparty suit with joint interests requires complete diversity between all plaintiffs and all defendants.
  • When an interest is joint, every person sharing that interest must be competent to sue (or liable to be sued) in federal court for diversity jurisdiction to attach.
  • The decision rests on statutory interpretation and does not resolve the constitutional limits of Article III diversity jurisdiction for other party configurations.

Conclusion

The Court interpreted the Judiciary Act of 1789 to require complete diversity in cases with multiple parties joined on each side with a joint interest, and it affirmed dismissal where any plaintiff shared state citizenship with any defendant.