Legal Dictionary of Pakistan

diversity of citizenship

A basis for federalcourt jurisdiction that exists when (1) a case is between citizens of different states, or between a citizen of a state and an alien, and (2) the matter in controversy exceeds a specific value (now $75,000). 28 USCA § 1332. 0 For purposes of diversity jurisdiction, a corporation is considered a citizen of both the state of incorporation and the state of its principal place of business. An unincorporated association, such as a partnership, is considered a citizen of each state of which at least one of its members is a citizen. - Often shortened to diversity. See diversity jurisdiction under JURISDICTION. complete diversity. In a multiparty case, diversity between both sides to the lawsuit so that all plaintiffs have different citizenship from all defendants. 0 Complete diversity must exist for a federal court to have diversity jurisdiction over the matter. The rule of complete diversity was first laid down by Chief Justice Marshall in Strawbridge v. Curtiss, 7 U.S. (3 Cranch) 267 (1806). manufactured diversity. Improper or collusively created diversity of citizenship for the sole or primary purpose of creating federal jurisdiction. 0 Manufactured diversity is prohibited by 28 USCA § 1359.