1 Day 1 1 Day 1

1.1 Before Day 1 1.1 Before Day 1

In addition to the Day 1 readings, please also watch the following videos, which will take about 75 minutes.

1.1.2 Introductory Handouts 1.1.2 Introductory Handouts

Prior to the first day of class, please review the following handouts, linked below. You will need to be logged into your HarvardKey account.

Constitution 101 (Word doc)

Overview of Civil Procedure (pdf)

Civil Procedure Glossary (Word doc)

1.2 Statutes and Constitutional Provisions 1.2 Statutes and Constitutional Provisions

Read the following statutes and constitutional provisions. You can access them via the internet or the supplemental handout provided on Canvas.

  • U.S. Const. Art. III, § 1 and § 2, cl. 1
  • 28 U.S.C. § 1331, plus short explanation in "Explanation of Statutes" in the "Course Materials" Folder on Canvas
  • 42 U.S.C. § 1983, plus short summary of this statute in your "Utterly Oversimplified" summary of three federal causes of action, section 1.12, below
  • 28 U.S.C. § 2201(a), plus short explanation in "Explanation of Statutes" in the "Course Materials" Folder on Canvas

1.3 Civil Procedure in Context 1.3 Civil Procedure in Context

Please review the handout found here (pdf).

1.4 A Survey of the Civil Action 1.4 A Survey of the Civil Action

This section is not for full Socratic discussion. Do not outline it, simply read it.

The Nature of Civil Procedure

Resolution of a civil dispute involves the application of both substantive and procedural law. Substantive law deals with the rights and obligations of everyday conduct, e.g., Contracts and Torts. Procedural law deals with the rules that govern a legal proceeding. Therefore, Civil Procedure refers to the rules that govern litigants, lawyers, and courts in the resolution of a civil dispute.

The focus of this course is on civil proceedings, not criminal proceedings. Criminal proceedings are initiated and prosecuted by the government to punish an individual who is deemed to have committed a crime. Civil proceedings, on the other hand, involve disputes between a private party and another private party, business, or agency and are aimed at vindication of rights or compensation.

Procedural law in our legal system is characterized by its adversarial nature, i.e., most of the responsibility is on the litigants to investigate and present the evidence and arguments. The judge merely acts as a passive decision maker akin to a referee. By contrast, in civil law countries, procedural law is inquisitorial, i.e., the court is an active participant in the case, primarily responsible for supervising the gathering of evidence necessary to resolve the issue.   

Four rationales are put forth for the persistence of the adversarial system:

  1. A true result is reached given that each party is self-interested.
    • Critique: If truth is dependent on the party’s interest, then the system is truth-masking because parties will conceal facts that are not in their interests.
  2. Litigants should bear the burden of time and energy in resolving the dispute.
  3. Setting up sides makes it easier to reach a yes-no decision.
  4. By placing control in the hands of the litigants, the adversarial system is a better substitute for our atavistic instinct for battle.

Notes and Questions

  1. What values should guide a system of civil procedure? Consider the following perspectives.

Solum, Procedural Justice, 78 S.Calif.L.Rev. 181, 321 (2004)

The Participation principle requires that the structure of the resolution of civil disputes provides each interested party with a right to meaningful participation. The Accuracy principle emphasizes the achievement of a legally correct outcome as a measure of procedural fairness. Together, both principles provide guidance where guidance is needed, both for the architects of procedural design and reform and for judges who apply general procedural rules to particular cases

Michelman, The Supreme Court and Litigation Access Fees: The Right to Protect One’s Rights – Part I, 1973 Duke L.J. 1153, 1172 – 73 (footnotes omitted)

Dignity values reflect concern for the humiliation or loss of self-respect which a person might suffer if denied an opportunity to litigate. Participation values reflect an appreciation of litigation as one of the modes in which persons exert influence, or have their wills "counted," in societal decisions they care about. Deterrence values recognize the instrumentality of litigation as a mechanism for influencing or constraining individual behavior in ways thought socially desirable. Effectuation values see litigation as an important means through which persons are enabled to get, or are given assurance of having, whatever we are pleased to regard as rightfully theirs.

Posner, Economic Analysis of Law § 22.1 (9th ed. 2014)

The objective of a procedure system, viewed economically, is to minimize the sum of two types of cost. The first is the cost of erroneous judicial decisions. The second cost is [the cost of reaching decisions].

Questions to consider

  1. Can all of the values identified be incorporated into a single procedural system?
    • If there must be trade-offs, how should they be determined, and by whom? The legislature? The judiciary? The parties?
    • Should trade-offs be made on a case-by-case basis or in a more formal process of rulemaking?
  2. Conflict resolution and behavior modification (or deterrence) are two distinct goals of judicial decision-making. How might they overlap or be at odds with one another?
  3. A losing party’s perception of procedural fairness is essential to their acceptance of an unfavorable judgment, which is central to the legitimacy of the judicial system. The principles of procedural fairness are:
    • “Voice” – the opportunity to present one’s own side of a story
    • “Neutrality” – the decision-maker’s lack of bias and adherence to rules
    • “Respect” – the system’s treatment of the participant as important and valued regardless of their socioeconomic status
    • “Trust” – the view that the court system is serving a public function and is committed to its mission

 

STAGES OF A LAWSUIT

  1. Decision to Sue
    1. Selecting a proper court
      1. Subject Matter Jurisdiction - State or Federal Court System?
      2. Personal Jurisdiction - Does the court have the power to enter judgment against the person or property?
      3. Venue - where within the state or district can the suit be brought?
  2. Starting the Suit
    1. Filing the Complaint
    2. Service of Process - notice of commencement of action, involves personal service
  3. Pleading and Parties
    1. Pleading - a written statement that contains the plaintiff's claim. Objectives of pleading include:
      1. Basis for separating legal and factual contentions involved so that legal issues, by proxy an entire case, may be disposed of at an early stage
      2. Provide notice to the defendant as to the factual contentions against them
      3. Give each party only a general notice of the opponent's contentions such that the system will rely on subsequent proceedings to identify legal and factual contentions
  4. The Response
    1. Motion to dismiss - Rule 12(b)(6) - generally granted in three situations:
      1. Injury is one for which the law does not provide redress
      2. Plaintiff failed to include allegations necessary to a part of the case
      3. Complaint is so general and confusing that it fails to provide sufficient notice
  5. Obtaining Information Prior to Trial
    1. Discovery - Allows parties to exchange information about their claims and defenses and prepare for trial
    2. Depositions - involve direct and cross-examinations of parties and witnesses
    3. Written interrogatory - may be addressed only to a party to the suit, involves a request for information that the party cannot be expected to remember spontaneously
    4. Requests for the production of documents
  6. Summary Judgment
    1. Case dismissed because there is "no genuine issue of material fact"
  7. Setting the Case for Trial
    1. File note of issue - case will be given a number and placed on a trial calendar
  8. The Jury and its Selection
    1. Generally, in actions for damages (issues at law), parties have the Seventh Amendment right to have the facts tried by a jury.
      1. Either party may assert this right. Otherwise, the judge will try the facts (bench trial), as well as the law.
    2. In actions for equitable remedies, there is usually no right to a jury trial.
    3. If a jury has been requested, prospective jurors are impartially selected from various lists such as tax rolls, street directories, etc.
      1. The juror selection process includes unlimited for-cause excuses and limited peremptory challenges. 
  9. The Trial
    1. Mechanics Part I
      1. Opening statement by plaintiff's lawyer
      2. Opening statement by defendant's lawyer - may be reserved for later
      3. Direct examination of plaintiff's witnesses by plaintiff's lawyer
      4. Cross-examination of plaintiff's witnesses by defendant's lawyer
    2. Motion for Judgment as a Matter of Law
      1. Defendant moves for dismissal on the grounds that the plaintiff has not established a prima facie case
      2. Never denied, just deferred for the post-trial renewal
    3. Mechanics Part II
      1. Defendant can rest at this point or proceed
      2. Direct examination of defense witnesses by defendant's lawyer
      3. Cross-examination of defense witnesses by plaintiff's lawyer
      4. Defense rests
      5. Plaintiff may present additional evidence to address any new issue raised by defense witnesses and rest
      6. Defense may present additional evidence and rest
        1. Cycle continues until both parties rest
          1. Limited by the judge
    4. Either party may move for judgment as a matter of law
  10. Submitting the Case to the Jury
    1. Judge and lawyers confer on the content of jury instruction
    2. Lawyers make closing arguments 
    3. Judge delivers charge to the jury
      1. Summarizes the facts and issues of the case
      2. Instructs the jury on the substantive law to be applied
      3. Provides general information on determining the credibility of witnesses
      4. The sovereign has the burden of persuasion on each issue of fact.
    4. Jury retires and reaches a verdict.
      1. Three types of verdict, chosen by the judge:
        1. General verdict - only the conclusion as to who prevails and the amount of damages is stated
        2. General verdict with interrogatories - combines a general verdict with several key questions designed to test the jury's understanding of the issues
        3. Special verdict - all factual issues in the case are submitted to the jury as questions without instructions as to their legal effect. The judge applies the law to the jury's answers and determines which party prevails
  11. Post-Trial Motions
    1. After the verdict, a judgment is entered
    2. The losing party may renew the motion for judgment as a matter of law
    3. The losing party may also move for a new trial on several grounds, e.g., judicial error in including or excluding evidence
  12. The Judgment and its Enforcement
    1. Judgment is the final determination of the lawsuit absent an appeal
    2. Writ of execution - may be issued by the court commanding an officer to seize the property of the losing party and, if necessary, publicly sell it and use the proceeds to satisfy the plaintiff's judgment
    3. If judgment takes the form of an injunction, the defendant may be held in contempt of the court if they do not obey
  13. Appeal
    1. The losing party has the right to appeal the judgment to one higher court
    2. Appeal to the highest level, e.g., the Supreme Court, is discretionary and sought by a petition for a writ of certiorari
    3. The appellate court has the power to affirm, reverse, or modify the judgment of the trial court.
      1. Reversal
        1. Order judgment to be entered, OR
        2. Remand the case to the trial court for a new trial or other proceedings
  14. The Conclusiveness of Judgments
    1. Judgment becomes final after appeal and whatever further proceedings or, if no appeal is taken, when the time for appeal expires. 
      1. Res Judicata - a thing decided - the judgment cannot usually be challenged in another proceeding
        1. Claim preclusion, issue preclusion 

1.5 Cooper v. Aaron 1.5 Cooper v. Aaron

The United States judicial system is unusual in that it features two geographically overlapping but distinct sets of sovereigns: (1) a system of non-overlapping, theoretically sovereign states, and (2) a single federal government, supreme when it operates but theoretically limited in its sphere of operation, and also featuring its own court system. Each state has its own constitution and its own court system. Each state’s court system has a set of lowest level, or trial, courts. Plaintiffs initiate cases in trial courts, which are empowered to hear any type of case. We say that state trial courts are courts of general jurisdiction because they have the power to hear any type of case, regardless of subject matter. The federal government also has a constitution, often referred to as simply “The Constitution,” adopted in the late 1700s. The Constitution established the United States Supreme Court, but did not require the establishment of lower federal courts. Instead, Article III gave Congress the power to establish the lower federal courts. The very first Congress to convene exercised that power in the first “Judiciary Act.” Today, the federal court system includes federal “district courts,” which are the federal trial courts.

As noted above, the federal government is supreme when it operates but is theoretically limited in its sphere of operation. The federal district courts operationalize this principle in that they have limited subject matter jurisdiction, meaning they can hear only certain kinds of cases.

Thus, a consequence of the United States’ state/federal system is that there are two geographically overlapping but distinct sets of court systems. A plaintiff may initiate any kind of case in a state trial court system. If a case fits within the federal courts' subject matter jurisdiction, a plaintiff may also initiate that case in a federal district court. In that situation, a plaintiff has a choice: file in a state trial court, or file in a federal district court. For cases that fall outside of the federal district courts’ subject matter jurisdiction, plaintiffs must initiate in state trial courts.

We will not do a full Socratic treatment of this case in class.  I assigned it to get you to think about why a plaintiff (more likely, a plaintiff's attorney) might choose to file a case in a state court or a federal court.  What sorts of things should an attorney consider when deciding where to initiate a case?

********

In Brown v. Board of Education, 347 U.S. 483 (1954), the Supreme Court held that the Equal Protection Clause of the Fourteenth Amendment renders unconstitutional state action that segregates school children by race.  This holding, and that in a subsequent opinion addressing remedy,  Brown v. Board of Education,  349 U.S. 294 (1955), were met with a campaign of “massive resistance” by state governors and legislators.  A key battleground in this campaign was Central High School in Little Rock, Arkansas.  There, in September of 1957, the local school board sought to comply (or at least, to begin to comply) with Brown’s mandate by enrolling nine African-American children at Central High.  The children were met by the Arkansas National Guard, who were following Governor Orval Faubus’ order to prevent the children from entering school grounds.

After further political and legal machinations, as well as some mob action by persons opposed to desegregation, the nine children gained access to the high school, first under the protection of local and state police, then under the protection of regular United States military troops, then under the Arkansas National Guard, which President Eisenhower had, in the meantime, federalized by executive order.  Pictures of children in high school classrooms, watched over by military troops with rifles, entered the national awareness.

Citing the disruption to ordinary educational activities at Central High, in February 1958, the local school board petitioned the United States District Court that had been overseeing the implementation of Brown’s mandate for permission to delay further desegregation efforts for two and one-half years.  In June of 1958, the District Court granted the school board’s petition, but the United States Court of Appeals for the Eighth Circuit reversed and ordered that desegregation efforts continue.  In this opinion, the United States Supreme Court affirmed the Eighth Circuit’s ruling.

Ordinary Supreme Court cases are written by one justice, with other justices joining the opinion, or concurring or dissenting (or both).  Notice who wrote this opinion.

COOPER et al., MEMBERS OF THE BOARD OF DIRECTORS OF THE LITTLE ROCK, ARKANSAS, INDEPENDENT SCHOOL DISTRICT, et al. v. AARON et al.

No. 1.

Argued September 11, 1958.

Decided September 12, 1958.

Opinion announced September 29, 1958.

*3Richard C. Butler argued the cause for petitioners. With him on the brief were A. F. House and, by special leave of Court, John H. Haley, pro hac vice.

Thurgood Marshall argued the cause for respondents. With him on the brief were Wiley A. Branton, William Coleman, Jr., Jack Greenberg and Louis H. Poliak.

Solicitor General Rankin, at the invitation of the Court, post, p. 27, argued the cause for the United States, as amicus curiae, urging that the relief sought by respondents should be granted. With him on the brief were Oscar H. Davis, Philip Elman and Ralph S. Spritzer.

*4Opinion of the Court by The Chief Justice, Mr. Justice Black, Mr. Justice Frankfurter, Mr. Justice Douglas, Mr. Justice Burton, Mr. Justice Clark, Mr. Justice Harlan, Mr. Justice Brennan, and Mr. Justice Whittaker.

As this case reaches us it raises questions of the highest importance to the maintenance of our federal system of government. It necessarily involves a claim by the Governor and Legislature of a State that there is no duty on state officials to obey federal court orders resting on this Court’s considered interpretation of the United States Constitution. Specifically it involves actions by the Governor and Legislature of Arkansas upon the premise that they are not bound by our holding in Brown v. Board of Education, 347 U. S. 483. That holding was that the Fourteenth Amendment forbids States to use their governmental powers to bar children on racial grounds from attending schools where there is state participation through any arrangement, management, funds or property. We are urged to uphold a suspension of the Little Rock School Board’s plan to do away with segregated public schools in Little Rock until state laws and efforts to upset and nullify our holding in Brown v. Board of Education have been further challenged and tested in the courts. We reject these contentions.

The case was argued before us on September 11, 1958. On the following day we unanimously affirmed the judgment of the Court of Appeals for the Eighth Circuit, 257 F. 2d 33, which had reversed a judgment of the District Court for the Eastern District of Arkansas, 163 F. Supp. 13. The District Court had granted the application of the petitioners, the Little Rock School Board and School Superintendent, to suspend for two and one-half years the operation of the School Board’s court-approved desegregation program. In order that the School Board *5might know, without doubt, its duty in this regard before the opening of school, which had been set for the following Monday, September 15, 1958, we immediately issued the judgment, reserving the expression of our supporting views to a later date* This opinion of all of the members of the Court embodies those views.

The following are the facts and circumstances so far as necessary to show how the legal questions are presented.

On May 17, 1954, this Court decided that enforced racial segregation in the public schools of a State is a denial of the equal protection of the laws enjoined by the Fourteenth Amendment. Brown v. Board of Education, *6347 U. S. 483. The Court postponed, pending further argument, formulation of a decree to effectuate this decision. That decree was rendered May 31, 1955. Brown v. Board of Education, 349 U. S. 294. In the formulation of that decree the Court recognized that good faith compliance with the principles declared in Brown might in some situations “call for elimination of a variety of obstacles in making the transition to school systems operated in accordance with the constitutional principles set forth in our May 17, 1954, decision.” Id., at 300. The Court went on to state:

“Courts of equity may properly take into account the public interest in the elimination of such obstacles in a systematic and effective manner. But it should go without saying that the vitality of these constitutional principles cannot be allowed to yield simply because of disagreement with them.
“While giving weight to these public and private considerations, the courts will require that the defendants make a prompt and reasonable start toward full compliance with our May 17, 1954, ruling. Once such a start has been made, the courts may find that additional time is necessary to carry out the ruling in an effective manner. The burden rests upon the defendants to establish that such time is necessary in the public interest and is consistent with good faith compliance at the earliest practicable date. To that end, the courts may consider problems related to administration, arising from the physical condition of the school plant, the school transportation system, personnel, revision of school districts and attendance areas into compact units to achieve a system of determining admission to the public schools on a nonracial basis, and revision of local laws and regulations which may be necessary in solving the foregoing problems.” 349 U. S., at 300-301.

*7Under such circumstances, the District Courts were directed to require “a prompt and reasonable start toward full compliance,” and to take such action as was necessary to bring about the end of racial segregation in the public schools “with all deliberate speed.” Ibid. Of course, in many locations, obedience to the duty of desegregation would require the immediate general admission of Negro children, otherwise qualified as students for their appropriate classes, at particular schools. On the other hand, a District Court, after analysis of the relevant factors (which, of course, excludes hostility to racial desegregation), might conclude that justification existed for not requiring the present nonsegregated admission of all qualified Negro children. In such circumstances, however, the courts should scrutinize the program of the school authorities to make sure that they had developed arrangements pointed toward the earliest practicable completion of desegregation, and had taken appropriate steps to put their program into effective operation. It was made plain that delay in any guise in order to deny the constitutional rights of Negro children could not be countenanced, and that only a prompt start, diligently and earnestly pursued, to eliminate racial segregation from the public schools could constitute good faith compliance. State authorities were thus duty bound to devote every effort toward initiating desegregation and bringing about the elimination of racial discrimination in the public school system.

On May 20, 1954, three days after the first Brown opinion, the Little Rock District School Board adopted, and on May 23, 1954, made public, a statement of policy entitled “Supreme Court Decision — Segregation in Public Schools.” In this statement the Board recognized that

“It is our responsibility to comply with Federal Constitutional Requirements and we intend to do so when the Supreme Court of the United States outlines the method to be followed.”

*8Thereafter the Board undertook studies of the administrative problems confronting the transition to a desegregated public school system at Little Rock. It instructed the Superintendent of Schools to prepare a plan for desegregation, and approved such a plan on May 24, 1955, seven days before the second Brown opinion. The plan provided for desegregation at the senior high school level (grades 10 through 12) as the first stage. Desegregation at the junior high and elementary levels was to follow. It was contemplated that desegregation at the high school level would commence in the fall of 1957, and the expectation was that complete desegregation of the school system would be accomplished by 1963. Following the adoption of this plan, the Superintendent of Schools discussed it with a large number of citizen groups in the city. As a result of these discussions, the Board reached the conclusion that “a large majority of the residents” of Little Rock were of “the belief . . . that the Plan, although objectionable in principle,” from the point of view of those supporting segregated schools, “was still the best for the interests of all pupils in the District.”

Upon challenge by a group of Negro plaintiffs desiring more rapid completion of the desegregation process, the District Court upheld the School Board’s plan, Aaron v. Cooper, 143 F. Supp. 855. The Court of Appeals affirmed. 243 F. 2d 361. Review of that judgment was not sought here.

While the School Board was thus going forward with its preparation for desegregating the Little Rock school system, other state authorities, in contrast, were actively pursuing a program designed to perpetuate in Arkansas the system of racial segregation which this Court had held violated the Fourteenth Amendment. First came, in November 1956, an amendment to the State Constitution flatly commanding the Arkansas General Assembly to oppose “in every Constitutional manner the Un-consti-*9tutional desegregation decisions of May 17, 1954 and May 31, 1955 of the United States Supreme Court,” Ark. Const., Amend. 44, and, through the initiative, a pupil assignment law, Ark. Stat. 80-1519 to 80-1524. Pursuant to this state constitutional command, a law relieving school children from compulsory attendance at racially mixed schools, Ark. Stat. 80-1525, and a law establishing a State Sovereignty Commission, Ark. Stat. 6-801 to 6-824, were enacted by the General Assembly in February 1957.

The School Board and the Superintendent of Schools nevertheless continued with preparations to carry out the first stage of the desegregation program. Nine Negro children were scheduled for admission in September 1957 to Central High School, which has more than two thousand students. Various administrative measures, designed to assure the smooth transition of this first stage of desegregation, were undertaken.

On September 2, 1957, the day before these Negro students were to enter Central High, the school authorities were met with drastic opposing action on the part of the Governor of Arkansas who dispatched units of the Arkansas National Guard to the Central High School grounds and placed the school “off limits” to colored students. As found by the District Court in subsequent proceedings, the Governor’s action had not been requested by the school authorities, and was entirely unheralded. The findings were these:

“Up to this time [September 2], no crowds had gathered about Central High School and no acts of violence or threats of violence in connection with the carrying out of the plan had occurred. Nevertheless, out of an abundance of caution, the school authorities had frequently conferred with the Mayor and Chief of Police of Little Rock about taking appro*10priate steps by the Little Rock police to prevent any possible disturbances or acts of violence in connection with the attendance of the 9 colored students at Central High School. The Mayor considered that the Little Rock police force could adequately cope with any incidents which might arise at the opening of school. The Mayor, the Chief of Police, and the school authorities made no request to the Governor or any representative of his for State assistance in maintaining peace and order at Central High School. Neither the Governor nor any other official of the State government consulted with the Little Rock authorities about whether the Little Rock police were prepared to cope with any incidents which might arise at the school, about any need for State assistance in maintaining peace and order, or about stationing the Arkansas National Guard at Central High School.” Aaron v. Cooper, 156 F. Supp. 220, 225.

The Board's petition for postponement in this proceeding states: “The effect of that action [of the Governor] was to harden the core of opposition to the Plan and cause many persons who theretofore had reluctantly accepted the Plan to believe there was some power in the State of Arkansas which, when exerted, could nullify the Federal law and permit disobedience of the decree of this [District] Court, and from that date hostility to the Plan was increased and criticism of the officials of the [School] District has become more bitter and unrestrained.” The Governor’s action caused the School Board to request the Negro students on September 2 not to attend the high school “until the legal dilemma was solved.” The next day, September 3, 1957, the Board petitioned the District Court for instructions, and the court, after a hearing, found that the Board’s *11request of the Negro students to stay away from the high school had been made because of the stationing of the military guards by the state authorities. The court determined that this was not a reason for departing from the approved plan, and ordered the School Board and Superintendent to proceed with it.

On the morning of the next day, September 4, 1957, the Negro children attempted to enter the high school but, as the District Court later found, units of the Arkansas National Guard “acting pursuant to the Governor’s order, stood shoulder to shoulder at the school grounds and thereby forcibly prevented the 9 Negro students . . . from entering,” as they continued to do every school day during the following three weeks. 156 F. Supp., at 225.

That same day, September 4, 1957, the United States Attorney for the Eastern District of Arkansas was requested by the District Court to begin an immediate investigation in order to fix responsibility for the interference with the orderly implementation of the District Court’s direction to carry out the desegregation program. Three days later, September 7, the District Court denied a petition of the School Board and the Superintendent of Schools for an order temporarily suspending continuance of the program.

Upon completion of the United States Attorney’s investigation, he and the Attorney General of the United States, at the District Court’s request, entered the proceedings and filed a petition on behalf of the United States, as amicus curiae, to enjoin the Governor of Arkansas and officers of the Arkansas National Guard from further attempts to prevent obedience to the court’s order. After hearings on the petition, the District Court found that the School Board’s plan had been obstructed by the Governor through the use of National Guard troops, and granted a preliminary injunction on Septem*12ber 20, 1957, enjoining the Governor and the officers of the Guard from preventing the attendance of Negro children at Central High School, and from otherwise obstructing or interfering with the orders of the court in connection with the plan. 156 F. Supp. 220, affirmed, Faubus v. United States, 254 F. 2d 797. The National Guard was then withdrawn from the school.

The next school day was Monday, September 23, 1957. The Negro children entered the high school that morning under the protection of the Little Rock Police Department and members of the Arkansas State Police. But the officers caused the children to be removed from the school during the morning because they had difficulty controlling a large and demonstrating crowd which had gathered at the high school. 163 F. Supp., at 16. On September 25, however, the President of the United States dispatched federal troops to Central High School and admission of the Negro students to the school was thereby effected. Regular army troops continued at the high school until November 27, 1957. They were then replaced by federalized National Guardsmen who remained throughout the balance of the school year. Eight of the Negro students remained in attendance at the school throughout the school year.

We come now to the aspect of the proceedings presently before us. On February 20, 1958, the School Board and the Superintendent of Schools filed a petition in the District Court seeking a postponement of -their program for desegregation. Their position in essence was that because of extreme public hostility, which they stated had been engendered largely by the official attitudes and actions of the Governor and the Legislature, the maintenance of a sound educational program at Central High School, with the Negro students in attendance, would be impossible. The Board therefore proposed that the Negro students already admitted to the school be with*13drawn and sent to segregated schools, and that all further steps to carry out the Board’s desegregation program be postponed for a period later suggested by the Board to be two and one-half years.

After a hearing the District Court granted the relief requested by the Board. Among other things the court found that the past year at Central High School had been attended by conditions of “chaos, bedlam and turmoil”; that there were “repeated incidents of more or less serious violence directed against the Negro students and their property”; that there was “tension and unrest among the school administrators, the class-room teachers, the pupils, and the latters’ parents, which inevitably had an adverse effect upon the educational program”; that a school official was threatened with violence; that a “serious financial burden” had been cast on the School District; that the education of the students had suffered “and under existing conditions will continue to suffer”; that the Board would continue to need “military assistance or its equivalent”; that the local police department would not be able “to detail enough men to afford the necessary protection”; and that the situation was “intolerable.” 163 F. Supp., at 20-26.

The District Court’s judgment was dated June 20,1958. The Negro respondents appealed to the Court of Appeals for the Eighth Circuit and also sought there a stay of the District Court’s judgment. At the same time they filed a petition for certiorari in this Court asking us to review the District Court’s judgment without awaiting the disposition of their appeal to the Court of Appeals, or of their petition to that court for a stay. That we declined to do. 357 U. S. 566. The Court of Appeals did not act on the petition for a stay, but, on August 18, 1958, after convening in special session on August 4 and hearing the appeal, reversed the District Court, 257 F. 2d 33. On August 21, 1958, the Court of Appeals stayed its mandate *14to permit the School Board to petition this Court for cer-tiorari. Pending the filing of the School Board’s petition for certiorari, the Negro respondents, on August 23, 1958, applied to Mr. Justice Whittaker, as Circuit Justice for the Eighth Circuit, to stay the order of the Court of Appeals withholding its own mandate and also to stay the District Court’s judgment. In view of the nature of the motions, he referred them to the entire Court. Recognizing the vital importance of a decision of the issues in time to permit arrangements to be made for the 1958-1959 school year, see Aaron v. Cooper, 357 U. S. 566, 567, we convened in Special Term on August 28, 1958, and heard oral argument on the respondents’ motions, and also argument of the Solicitor General who, by invitation, appeared for the United States as amicus curiae, and asserted that the Court of Appeals’ judgment was clearly correct on the merits, and urged that we vacate its stay forthwith. Finding that respondents’ application necessarily involved consideration of the merits of the litigation, we entered an order which deferred decision upon the motions pending the disposition of the School Board’s petition for certiorari, and fixed September 8, 1958, as the day on or before which such petition might be filed, and September 11, 1958, for oral argument upon the petition. The petition for certiorari, duly filed, was granted in open Court on September 11, 1958, post, p. 29, and further arguments were had, the Solicitor General again urging the correctness of the judgment of the Court of Appeals. On September 12, 1958, as already mentioned, we unanimously affirmed the judgment of the Court of Appeals in the per curiam opinion set forth in the margin at the outset of this opinion, ante, p. 5.

In affirming the judgment of the Court of Appeals which reversed the District Court we have accepted without reservation the position of the School Board, the *15Superintendent of Schools, and their counsel that they displayed entire good faith in the conduct of these proceedings and in dealing with the unfortunate and distressing sequence of events which has been outlined. We likewise have accepted the findings of the District Court as to the conditions at Central High School during the 1957-1958 school year, and also the findings that the educational progress of all the students, white and colored, of that school has suffered and will continue to suffer if the conditions which prevailed last year are permitted to continue.

The significance of these findings, however, is to be considered in light of the fact, indisputably revealed by the record before us, that the conditions they depict are directly traceable to the actions of legislators and executive officials of the State of Arkansas, taken in their official capacities, which reflect their own determination to resist this Court’s decision in the Brown case and which have brought about violent resistance to that decision in Arkansas. In its petition for certiorari filed in this Court, the School Board itself describes the situation in this language: “The legislative, executive, and judicial departments of the state government opposed the desegregation of Little Rock schools by enacting laws, calling out troops, making statements villifying federal law and federal courts, and failing to utilize state law enforcement agencies and judicial processes to maintain public peace.”

One may well sympathize with the position of the Board in the face of the frustrating conditions which have confronted it, but, regardless of the Board’s good faith, the actions of the other state agencies responsible for those conditions compel us to reject the Board’s legal position. Had Central High School been under the direct management of the State itself, it could hardly be sug*16gested that those immediately in charge of the school should be heard to assert their own good faith as a legal excuse for delay in implementing the constitutional rights of these respondents, when vindication of those rights was rendered difficult or impossible by the actions of other state officials. The situation here is in no different posture because the members of the School Board and the Superintendent of Schools are local officials; from the point of view of the Fourteenth Amendment, they stand iri this litigation as the agents of the State.

The constitutional rights of respondents are not to be sacrificed or yielded to the violence and disorder which have followed upon the actions of the Governor and Legislature. As this Court said some 41 years ago in a unanimous opinion in a case involving another aspect of racial segregation: “It is urged that this proposed segregation will promote the public peace by preventing race conflicts. Desirable as this is, and important as is the preservation of the public peace, this aim cannot be accomplished by laws or ordinances which deny rights created or protected by the Federal Constitution.'’' Buchanan v. Warley, 245 U. S. 60, 81. Thus law and order are not here to be preserved by depriving the Negro children of their constitutional rights. The record before us clearly establishes that the growth of the Board’s difficulties to a magnitude beyond its unaided power to control is the product of state action. Those difficulties, as counsel for the Board forthrightly conceded on the oral argument in this Court, can also be brought under control by state action.

The controlling legal principles are plain. The command of the Fourteenth Amendment is that no “State” shall deny to any person within its jurisdiction the equal protection of the laws. “A State acts by its legislative, its executive, or its judicial authorities. It can act in no *17other way. The constitutional provision, therefore, must mean that no agency of the State, or of the officers or agents by whom its powers are exerted, shall deny to any person within its jurisdiction the equal protection of the laws. Whoever, by virtue of public position under a State government, . . . denies or takes away the equal protection of the laws, violates the constitutional inhibition; and as he acts in the name and for the State, and is clothed with the State’s power, his act is that of the State. This must be so, or the constitutional prohibition has no meaning.” Ex parte Virginia, 100 U. S. 339, 347. Thus the prohibitions of the Fourteenth Amendment extend to all action of the State denying equal protection of the laws; whatever the agency of the State taking the action, see Virginia v. Rives, 100 U. S. 313; Pennsylvania v. Board of Directors of City Trusts of Philadelphia, 353 U. S. 230; Shelley v. Kraemer, 334 U. S. 1; or whatever the guise in which it is taken, see Derrington v. Plummer, 240 F. 2d 922; Department of Conservation and Development v. Tate, 231 F. 2d 615. In short, the constitutional rights of children not to be discriminated against in school admission on grounds of race or color declared by this Court in the Brown case can neither be nullified openly and directly by state legislators or state executive or judicial officers, nor nullified indirectly by them through evasive schemes for segregation whether attempted “ingeniously or ingenuously.” Smith v. Texas, 311 U. S. 128, 132.

What has been said, in the light of the facts developed, is enough to dispose of the case. However, we should answer the premise of the actions of the Governor and Legislature that they are not bound by our holding in the Brown case. It is necessary only to recall some basic constitutional propositions which are settled doctrine.

*18Article VI of the Constitution makes the Constitution the “supreme Law of the Land.” In 1803, Chief Justice Marshall, speaking for a unanimous Court, referring to the Constitution as “the fundamental and paramount law of the nation,” declared in the notable case of Marbury v. Madison, 1 Cranch 137, 177, that “It is emphatically the province and duty of the judicial department to say what the law is.” This decision declared the basic principle that the federal judiciary is supreme in the exposition of the law of the Constitution, and that principle has ever since been respected by this Court and the Country as a permanent and indispensable feature of our constitutional system. It follows that the interpretation of the Fourteenth Amendment enunciated by this Court in the Brown case is the supreme law of the land, and Art. VI of the Constitution makes it of binding effect on the States “any Thing in the Constitution or Laws of any State to the Contrary notwithstanding.” Every state legislator and executive and judicial officer is solemnly committed by oath taken pursuant to Art. VI, cl. 3, “to support this Constitution.” Chief Justice Taney, speaking for a unanimous Court in 1859, said that this requirement reflected the framers’ “anxiety to preserve it [the Constitution] in full force, in all its powers, and to guard against resistance to or evasion of its “authority, on the part of a State . . . .” Ableman v. Booth, 21 How. 506, 524.

No state legislator or executive or judicial officer can war against the Constitution without violating his undertaking to support it. Chief Justice Marshall spoke for a unanimous Court in saying that: “If the legislatures of the several states may, at will, annul the judgments of the courts of the United States, and destroy the rights acquired under those judgments, the constitution itself becomes a solemn mockery . . . .” United States v. Peters, 5 Cranch 115, 136. A Governor who asserts a *19power to nullify a federal court order is similarly restrained. If he had such power, said Chief Justice Hughes, in 1932, also for a unanimous Court, “it is manifest that the fiat of a state Governor, and not the Constitution of the United States, would be the supreme law of the land; that the restrictions of the Federal Constitution upon the exercise of state power would be but impotent phrases . . . .” Sterling v. Constantin, 287 U. S. 378, 397-398.

It is, of course, quite true that the responsibility for public education is primarily the concern of the States, but it is equally true that such responsibilities, like all other state activity, must be exercised consistently with federal constitutional requirements as they apply to state action. The Constitution created a government dedicated to equal justice under law. The Fourteenth Amendment embodied and emphasized that ideal. State support of segregated schools through any arrangement, management, funds, or property cannot be squared with the Amendment’s command that no State shall deny to any person within its jurisdiction the equal protection of the laws. The right of a student not to be segregated on racial grounds in schools so maintained is indeed so fundamental and pervasive that it is embraced in the concept of due process of law. Bolling v. Sharpe, 347 U. S. 497. The basic decision in Brown was unanimously reached by this Court only after the case had been briefed and twice argued and the issues had been given the most serious consideration. Since the first Brown opinion three new Justices have come to the Court. They are at one with the Justices still on the Court who participated in that basic decision as to its correctness, and that decision is now unanimously reaffirmed. The principles announced in that decision and the obedience of the States to them, according to the command of the Constitution, *20are indispensable for the protection of the freedoms guaranteed by our fundamental charter for all of us. Our constitutional ideal of equal justice under law is thus made a living truth.

Concurring opinion of

Mr. Justice Frankfurter.*

While unreservedly participating with my brethren in our joint opinion, I deem it appropriate also to deal individually with the great issue here at stake.

By working together, by sharing in a common effort, men of different minds and tempers, even if they do not reach agreement, acquire understanding and thereby tolerance of their differences. This process was under way in Little Rock. The detailed plan formulated by the Little Rock School Board, in the light of local circumstances, had been approved by the United States District Court in Arkansas as satisfying the requirements of this Court’s decree in Brown v. Board of Education, 349 U. S. 294. The Little Rock School Board had embarked on an educational effort “to obtain public acceptance” of its plan. Thus the process of the community’s accommodation to new demands of law upon it, the development of habits of acceptance of the right of colored children to the equal protection of the laws guaranteed by the Constitution, had peacefully and promisingly begun. The condition in Little Rock before this process was forcibly impeded by those in control of the government of Arkansas was thus described by the District Court, and these findings of fact have not been controverted:

“14. Up to this time, no crowds had gathered about Central High School and no acts of violence or threats of violence in connection with the carrying out of the plan had occurred. Nevertheless, out of an abundance of caution, the school authorities had *21frequently conferred with the Mayor and Chief of Police of Little Rock about taking appropriate steps by the Little Rock police to prevent any possible disturbances or acts of violence in connection with the attendance of the 9 colored students at Central High School. The Mayor considered that the Little Rock police force could adequately cope with any incidents which might arise at the opening of school. The Mayor, the Chief of Police, and the school authorities made no request to the Governor or any representative of his for State assistance in maintaining peace and order at Central High School. Neither the Governor nor any other official of the State government consulted with the Little Rock authorities about whether the Little Rock police were prepared to cope with any incidents which might arise at the school, about any need for State assistance in maintaining peace and order, or about stationing the Arkansas National Guard at Central High School.” 156 F. Supp. 220, 225.

All this was disrupted by the introduction of the state militia and by other obstructive measures taken by the State. The illegality of these interferences with the constitutional right of Negro children qualified to enter the Central High School is unaffected by whatever action or non-action the Federal Government had seen fit to take. Nor is it neutralized by the undoubted good faith of the Little Rock School Board in endeavoring to discharge its constitutional duty.

The use of force to further obedience to law is in any event a last resort and oné not congenial to the spirit of our Nation. But the tragic aspect of this disruptive tactic was that the power of the State was used not to sustain law but as an instrument for thwarting law. The State of Arkansas is thus responsible for disabling one *22of its subordinate agencies, the Little Rock School Board, from peacefully carrying out the Board’s and the State’s constitutional duty. Accordingly, while Arkansas is not a formal party in these proceedings and a decree cannot go against the State, it is legally and morally before the Court.

We are now asked to hold that the illegal, forcible interference by the State of Arkansas with the continuance of what the Constitution commands, and the consequences in disorder that it entrained, should be recognized as justification for undoing what the School Board had formulated, what the District Court in 1955 had directed to be carried out, and what was in process of obedience. No explanation that may be offered in support of such a request can obscure the inescapable meaning that law should bow to force. To yield to such a claim would be to enthrone official lawlessness, and lawlessness if not checked is the precursor of anarchy. On the few tragic occasions in the history of the Nation, North and South, when law was forcibly resisted or systematically evaded, it has signalled the breakdown of constitutional processes of government on which ultimately rest the liberties of all. Violent resistance to law cannot be made a legal reason for its suspension without loosening the fabric of our society. What could this mean but to acknowledge that disorder under the aegis of a State has moral superiority over the law of the Constitution? For those in authority thus to defy the law of the land is profoundly subversive not only of our constitutional system but of the presuppositions of a democratic society. The State “must . . . yield to an authority that is paramount to the State.” This language of command to a State is Mr. Justice Holmes’, speaking for the Court that comprised Mr. Justice Van Devanter, Mr. Justice Mc-Reynolds, Mr. Justice Brandéis, Mr. Justice Sutherland, *23Mr. Justice Butler, and Mr. Justice Stone. Wisconsin v. Illinois, 281 U. S. 179, 197.

When defiance of law judicially pronounced was last sought to be justified before this Court, views were expressed which are now especially relevant:

“The historic phrase 'a government of laws and not of men’ epitomizes the distinguishing character of our political society. When John Adams put that phrase into the Massachusetts Declaration of Rights he was not indulging in a rhetorical flourish. He was expressing the aim of those who, with him, framed the Declaration of Independence and founded the Republic. 'A government of laws and not of men’ was the rejection in positive terms of rule by fiat, whether by the fiat of governmental or private power. Every act of government may be challenged by an appeal to law, as finally pronounced by this Court. Even this Court has the last say only for a time. Being composed of fallible men, it may err. But revision of its errors must be by orderly process of law. The Court may be asked to reconsider its decisions, and this has been done successfully again and again throughout our history. Or, what this Court has deemed its duty to decide may be changed by legislation, as it often has been, and, on occasion, by constitutional amendment.
“But from their own experience and their deep reading in history, the Founders knew that Law alone saves a society from being rent by internecine strife or ruled by mere brute power however disguised. 'Civilization involves subjection of force to reason, and the agency of this subjection is law.’ (Pound, The Future of Law (1937) 47 Yale L. J. 1, 13.) The conception of a government by laws dominated the thoughts of those who founded this *24Nation and designed its Constitution, although they knew as well as the belittlers of the conception that laws have to be made, interpreted and enforced by men. To that end, they set apart a body of men, who were to be the depositories of law, who by their disciplined training and character and by withdrawal from the usual temptations of private interest may reasonably be expected to be ‘as free, impartial, and independent as the lot of humanity will admit.’ So strongly were the framers of the Constitution bent on securing a reign of law that they endowed the judicial office with extraordinary safeguards and prestige. No one, no matter how exalted his public office or how righteous his private motive, can be judge in his own case. That is what courts are for.” United States v. United Mine Workers, 330 U. S. 258, 307-309 (concurring opinion).

The duty to abstain from resistance to “the supreme Law of the Land,” U. S. Const., Art. VI, ¶ 2, as declared by the organ of our Government for ascertaining it, does not require immediate approval of it nor does it deny the right of dissent. Criticism need not be stilled. Active obstruction or defiance is barred. Our kind of society cannot endure if the controlling authority of the Law as derived from the Constitution is not to be the tribunal specially charged with the duty of ascertaining and declaring what is “the supreme Law of the Land.” (See President Andrew Jackson’s Message to Congress of January 16, 1833, II Richardson, Messages and Papers of the Presidents (1896 ed.), 610, 623.) Particularly is this so where the declaration of what “the supreme Law” commands on an underlying moral issue is not the dubious pronouncement of a gravely divided Court but is the unanimous conclusion of a long-matured deliberative process. The Constitution is not the formulation of the *25merely personal views of the members of this Court, nor can its authority be reduced to the claim that state officials are its controlling interpreters. Local customs, however hardened by time, are not decreed in heaven. Habits and feelings they engender may be counteracted and moderated. Experience attests that such local habits and feelings will yield, gradually though this be, to law and education. And educational influences are exerted not only by explicit teaching. They vigorously flow from the fruitful exercise of the responsibility of those charged with political official power and from the almost unconsciously transforming actualities of living under law.

The process of ending unconstitutional exclusion of pupils from the common school system — “common” meaning shared alike — solely because of color is no doubt not an easy, overnight task in a few States where a drastic alteration in the ways of communities is involved. Deep emotions have, no doubt, been stirred. They will not be calmed by letting violence loose — violence and defiance employed and encouraged by those upon whom the duty of law observance should have the strongest claim — nor by submitting to it under whatever guise employed. Only the constructive use of time will achieve what an advanced civilization demands and the Constitution confirms.

For carrying out the decision that color alone cannot bar a child from a public school, this Court has recognized the diversity of circumstances in local school situations. But is it a reasonable hope that the necessary endeavors for such adjustment will be furthered, that racial frictions will be ameliorated, by a reversal of the process and interrupting effective measures toward the necessary goal? The progress that has been made in respecting the constitutional rights of the Negro children, according to the graduated plan sanctioned by the two *26lower courts, would have to be retraced, perhaps with even greater difficulty because of deference to forcible resistance. It would have to be retraced against the seemingly vindicated feeling of those who actively sought to block that progress. Is there not the strongest reason for concluding that to accede to the Board’s request, on the basis of the circumstances that gave rise to it, for a suspension of the Board’s non-segregation plan, would be but the beginning of a series of delays calculated to nullify this Court’s adamant decisions in the Brown case that the Constitution precludes compulsory segregation based on color in state-supported schools?

That the responsibility of those who exercise power in a democratic government is not to reflect inflamed public feeling but to help form its understanding, is especially true when they are confronted with a problem like a racially discriminating public school system. This is the lesson to be drawn from the heartening experience in ending enforced racial segregation in the public schools in cities with Negro populations of large proportions. Compliance with decisions of this Court, as the constitutional organ of the supreme Law of the Land, has often, throughout our history, depended on active support by state and local authorities. It presupposes such support. To withhold it, and indeed to use political power to try to paralyze the supreme Law, precludes the maintenance of our federal system as we have known and cherished it for one hundred and seventy years.

Lincoln’s appeal to “the better angels of our nature” failed to avert a fratricidal war. But the compassionate wisdom of Lincoln’s First and Second Inaugurals bequeathed to the Union, cemented with blood, a moral heritage which, when drawn upon in times of stress and strife, is sure to find specific ways and means to surmount difficulties that may appear to be insurmountable.

1.6 Notes following Cooper 1.6 Notes following Cooper

  1. Where a case starts. As noted above, in some cases, a plaintiff has a choice regarding whether to initiate in a state trial court or a federal district court. If the plaintiff has a lawyer (most plaintiffs do not), the lawyer will ordinarily make that choice. Question:  what sorts of factors might a plaintiff, or a plaintiff’s lawyer, consider in deciding whether to file a case in a state trial court or a federal district court?
    1. How are judges in most states selected? How are federal judges selected?
    2. Is there likely to be information available about how particular sets of state judges tend to rule (“pro-plaintiff” or “pro-defendant”)? A particular set of federal judges?
    3. Could state rules of civil procedure differ from federal rules of civil procedure?
    4. If a jury will hear a case, from what geographies will jurors be chosen?
    5. Could the location of courthouses make a difference? (Could it have made more of a difference historically, when travel was slower and more expensive?)
  2. Federalism. What does this case show about the nature of the dual United States court system?
    1. Think about which courts must follow which court’s rulings.
    2. Why might we want to limit the jurisdiction of federal courts?
  3. Federal question. As noted above, the federal court system is supreme when it operates, but is limited in its sphere. One type of case the federal courts may hear is one involving a so-called “federal question.” How does this case present a “federal question”?
  4. Final authority. What is the value of having a final court with authority to lay down “the supreme law of the land”? Note the following comment by former Supreme Court Justice Robert Jackson: “We are not final because we are infallible, we are infallible only because we are final.”

1.7 Concurrent Jurisdiction 1.7 Concurrent Jurisdiction

The remainder of Day 1, along with Days 2, 3, and 4, concern whether a plaintiff can initiate a lawsuit in a federal court, remembering that a plaintiff can always initiate any type of dispute in a state court.  In other words, under what circumstances does a plaintiff have a choice?

A big part of this question depends on what kind of cause of action a plaintiff asserts.  A "cause of action" is a legal theory that entitles a plaintiff to some kind of remedy - usually money, sometimes a court order to the defendant to do or not to do something, or sometimes something else.  State law creates many causes of action:  negligence, trespass, battery, libel, breach of contract.  Federal law also creates many causes of action; specifically, Congress creates many causes of action in statutes, although occasionally the federal courts make up their own causes of action.  The document below called "Utterly Oversimplified Summary of Three Causes of Action" summarizes three congressional statutes that create causes of action.

When two or more courts have the power to hear a case, they are said to have concurrent jurisdiction. When Congress enacts a statute that provides a cause of action to a potential plaintiff (meaning that the statute empowers a person injured as specified in the statute to sue for redress), there is a presumption of concurrent jurisdiction, i.e., that both state and federal courts can hear the case.  Congress can choose to provide the federal courts with exclusive jurisdiction to hear a cause of action it creates.  If Congress creates exclusive jurisdiction, a plaintiff can initiate the corresponding cause of action only in a federal court.  Congress rarely creates exclusive jurisdiction.  It has done so, for example, in federal antitrust and intellectual property statutes, as well as in lawsuits against the United States under the Federal Tort Claims Act. The congressionally created cause of action is sometimes called a "federal claim," although we will avoid that phrase in our class because the word "claim" has multiple meanings in Civil Procedure.

The Supreme Court has recognized a “deeply rooted presumption in favor of concurrent state court jurisdiction over federal claims.” Only an “explicit statutory directive,” “an unmistakable implication from legislative history,” or a “clear incompatibility between state-court jurisdiction and federal interests can displace this presumption.” Tafflin v. Levitt, 493 U. S. 455, 458-459, 110 S. Ct. 792, 107 L. Ed. 2d 887 (1990). See Atlantic Richfield Co. v. Christian 140 S. Ct. 1335 (2020).

1.8 Osborn v. Bank of the United States, 22 U.S. 738 (1824) 1.8 Osborn v. Bank of the United States, 22 U.S. 738 (1824)

Congress passed a statute incorporating the Bank of the United States.  At the time, the issue of whether the United States government could and/or should incorporate a national bank was contested.  It was an issue during national and state elections at the time, with those advocating for a limited federal government opposed to the Bank's creation.

Ohio enacted a statute levying a tax on certain contracts that the Bank of the United States made with private parties. The Ohio statute authorized the state auditor, Ralph Osborn, to collect the tax.  The Bank of the United States sued Osborn in federal court, seeking an order preventing Osborn from collecting the tax.  The federal court issued an "injunction" (an order to one of the parties) prohibiting Osborn from collecting the tax.  Instead of complying with the court's order, Osborn arranged for the money to be forcibly removed from the bank (as in, he robbed the bank). The federal court was not amused.  It directed the state officials to repay the money with interest. Osborn appealed, arguing that the federal court lacked subject matter jurisdiction over the case.

The Supreme Court affirmed the lower federal court's decision that it had subject matter jurisdiction.  Chief Justice John Marshall, writing for the Court, reasoned as follows. First, the Bank’s articles of incorporation enabled it “to sue and be sued  * * * in any . . . Court of the United States.” Second, this grant of jurisdiction to the federal courts was constitutional because Art III, § 2 provides that “the judicial power shall extend to all cases, * * * arising under this constitution [and] the laws of the United States . . . ." If a case arises under the laws of the United States, the Constitution empowers the federal courts to hear it. Congress incorporated the Bank using its powers under the Commerce Clause and the Necessary and Proper Clause of the Constitution. Therefore, every case and issue involving the Bank “grows out of, and is tested by” federal law.  Chief Justice Marshall wrote, 

“[Ohio and Osborn] say, that the case arises on the contract [that the Bank made triggering the Ohio tax], but the validity of the contract depends on a law of the United States [incorporating the Bank], and the [Bank] is compelled, in every case, to show its validity. The case arises emphatically under the law. The act of Congress [incorporating the Bank] is its foundation. The contract could never have been made but under the authority of that act. The act itself is the first ingredient in the case, is its origin, is that from which every other part arises. That other questions may also arise, as the execution of the contract, or its performance, cannot change the case, or give it any other origin than the charter of incorporation. The action still originates in, and is sustained by, that charter.” Osborn v. Bank of U.S., 22 U.S. 738, 824–25 (1824).

1.9 Notes following Osborn 1.9 Notes following Osborn

In a case arising several years after Osborn called Bank of the United States v. Planters' Bank of Georgia, the Bank of the United States had purchased bonds (or debts) issued by a state bank.  When (according to the Bank of the United States) the Georgia bank's debt came due, it refused to pay. The Bank of the United States sued for payment in federal court, and the state bank contested the federal court's subject matter jurisdiction.  The Georgia bank pointed out that it was not disputing that the Bank of the United States could sue and be sued, nor challenging the constitutionality of the Congressional statute incorporating the Bank. Rather, the Georgia bank argued, it was contesting only whether the debt really was due and owed, issues that even the Bank of the United States agreed were not governed by federal law.  Thus, according to the Georgia bank, there was no live (meaning contested) federal issue in the case, so the case did not "arise under" federal law under the Constitution.  The implication, according to the Georgia bank, was that Congress exceeded its powers under the Constitution by authorizing the Bank to sue and be sued in this kind of case, which concerned no live federal issue.  There was no basis for federal court subject matter jurisdiction.

The Supreme Court rejected this argument, explaining that the question had been "fully considered" in Osborn, and it was "unnecessary to repeat the reasoning."

What was the federal "ingredient" that provided the constitutional basis for jurisdiction in both cases?  Under Chief Justice Marshall's Osborn reasoning, does a case have to feature a live/contested federal issue in order for it to fall within the Constitution's Article III "arising under" language?

1.10 Louisville & Nashville Railroad v. Mottley 1.10 Louisville & Nashville Railroad v. Mottley

This case is about the scope of the "arising under" grant of power in 28 U.S.C. § 1331.  How broad is that statutory grant of power?  What must a case have in it for it to "arise under" federal law?  For purposes of the statute, where is the dividing line between cases that do and do not "arise under" federal law?  Is the statutory line the same as the line you saw in Osborn, the one that delimits the "arising under" power for purposes of the U.S. Constitution?  If not, which one is broader?

211 U.S. 149 (1908)

LOUISVILLE AND NASHVILLE RAILROAD COMPANY
v.
MOTTLEY.

No. 37.

Supreme Court of United States.

Argued October 13, 1908.
Decided November 16, 1908.

APPEAL FROM THE CIRCUIT COURT OF THE UNITED STATES FOR THE WESTERN DISTRICT OF KENTUCKY.

[151] Mr. Henry Lane Stone for appellant.

Mr. Lewis McQuown and Mr. Clarence U. McElroy for appellees.

By leave of court, Mr. L.A. Shaver, in behalf of The Interstate Commerce Commission, submitted a brief as amicus curioe.

MR. JUSTICE MOODY, after making the foregoing statement, delivered the opinion of the court.

Two questions of law were raised by the demurrer to the bill, were brought here by appeal, and have been argued before us. They are, first, whether that part of the act of Congress of June 29, 1906 (34 Stat. 584), which forbids the giving of free passes or the collection of any different compensation for transportation of passengers than that specified in the tariff filed, makes it unlawful to perform a contract for transportation of persons, who in good faith, before the passage of the act, had accepted such contract in satisfaction of a valid cause of action against the railroad; and, second, whether the statute, if it should be construed to render such a contract unlawful, is in [152] violation of the Fifth Amendment of the Constitution of the United States. We do not deem it necessary, however, to consider either of these questions, because, in our opinion, the court below was without jurisdiction of the cause. Neither party has questioned that jurisdiction, but it is the duty of this court to see to it that the jurisdiction of the Circuit Court, which is defined and limited by statute, is not exceeded. This duty we have frequently performed of our own motion. Mansfield, &c.; Railway Company v. Swan, 111 U.S. 379, 382; King Bridge Company v. Otoe County, 120 U.S. 225; Blacklock v. Small, 127 U.S. 96, 105; Cameron v. Hodges, 127 U.S. 322, 326; Metcalf v. Watertown, 128 U.S. 586, 587; Continental National Bank v. Buford, 191 U.S. 119.

There was no diversity of citizenship and it is not and cannot be suggested that there was any ground of jurisdiction, except that the case was a "suit . . . arising under the Constitution and laws of the United States." Act of August 13, 1888, c. 866, 25 Stat. 433, 434. It is the settled interpretation of these words, as used in this statute, conferring jurisdiction, that a suit arises under the Constitution and laws of the United States only when the plaintiff's statement of his own cause of action shows that it is based upon those laws or that Constitution. It is not enough that the plaintiff alleges some anticipated defense to his cause of action and asserts that the defense is invalidated by some provision of the Constitution of the United States. Although such allegations show that very likely, in the course of the litigation, a question under the Constitution would arise, they do not show that the suit, that is, the plaintiff's original cause of action, arises under the Constitution. In Tennessee v. Union & Planters' Bank, 152 U.S. 454, the plaintiff, the State of Tennessee, brought suit in the Circuit Court of the United States to recover from the defendant certain taxes alleged to be due under the laws of the State. The plaintiff alleged that the defendant claimed an immunity from the taxation by virtue of its charter, and that therefore the tax was void, because in violation of the provision of the Constitution of the United [153] States, which forbids any State from passing a law impairing the obligation of contracts. The cause was held to be beyond the jurisdiction of the Circuit Court, the court saying, by Mr. Justice Gray (p. 464), "a suggestion of one party, that the other will or may set up a claim under the Constitution or laws of the United States, does not make the suit one arising under that Constitution or those laws." Again, in Boston & Montana Consolidated Copper & Silver Mining Company v. Montana Ore Purchasing Company, 188 U.S. 632, the plaintiff brought suit in the Circuit Court of the United States for the conversion of copper ore and for an injunction against its continuance. The plaintiff then alleged, for the purpose of showing jurisdiction, in substance, that the defendant would set up in defense certain laws of the United States. The cause was held to be beyond the jurisdiction of the Circuit Court, the court saying, by Mr. Justice Peckham (pp. 638, 639).

"It would be wholly unnecessary and improper in order to prove complainant's cause of action to go into any matters of defence which the defendants might possibly set up and then attempt to reply to such defence, and thus, if possible, to show that a Federal question might or probably would arise in the course of the trial of the case. To allege such defence and then make an answer to it before the defendant has the opportunity to itself plead or prove its own defence is inconsistent with any known rule of pleading so far as we are aware, and is improper.

"The rule is a reasonable and just one that the complainant in the first instance shall be confined to a statement of its cause of action, leaving to the defendant to set up in his answer what his defence is and, if anything more than a denial of complainant's cause of action, imposing upon the defendant the burden of proving such defence.

"Conforming itself to that rule the complainant would not, in the assertion or proof of its cause of action, bring up a single Federal question. The presentation of its cause of action would not show that it was one arising under the Constitution or laws of the United States.

[154] "The only way in which it might be claimed that a Federal question was presented would be in the complainant's statement of what the defence of defendants would be and complainant's answer to such defence. Under these circumstances the case is brought within the rule laid down in Tennessee v. Union & Planters' Bank, 152 U.S. 454. That case has been cited and approved many times since, . . ."

The interpretation of the act which we have stated was first announced in Metcalf v. Watertown, 128 U.S. 586, and has since been repeated and applied in Colorado Central Consolidated Mining Company v. Turck, 150 U.S. 138, 142; Tennessee v. Union & Planters' Bank, 152 U.S. 454, 459; Chappell v. Waterworth, 155 U.S. 102, 107; Postal Telegraph Cable Company v. Alabama, 155 U.S. 482, 487; Oregon Short Line & Utah Northern Railway Company v. Skottowe, 162 U.S. 490, 494; Walker v. Collins, 167 U.S. 57, 59; Muse v. Arlington Hotel Company, 168 U.S. 430, 436; Galveston &c.; Railway v. Texas, 170 U.S. 226, 236; Third Street & Suburban Railway Company v. Lewis, 173 U.S. 457, 460; Florida Central & Peninsular Railroad Company v. Bell, 176 U.S. 321, 327; Houston & Texas Central Railroad Company v. Texas, 177 U.S. 66, 78; Arkansas v. Kansas & Texas Coal Company & San Francisco Railroad, 183 U.S. 185, 188; Vicksburg Waterworks Company v. Vicksburg, 185 U.S. 65, 68; Boston & Montana Consolidated Copper & Silver Mining Company v. Montana Ore Purchasing Company, 188 U.S. 632, 639; Minnesota v. Northern Securities Company, 194 U.S. 48, 63; Joy v. City of St. Louis, 201 U.S. 332, 340; Devine v. Los Angeles, 202 U.S. 313, 334. The application of this rule to the case at bar is decisive against the jurisdiction of the Circuit Court.

It is ordered that the

Judgment be reversed and the case remitted to the Circuit Court with instructions to dismiss the suit for want of jurisdiction.

1.11 Notes following Mottley 1.11 Notes following Mottley

  1. To what extent is the statutory jurisdiction under Mottley narrower than the Article III Osborn “ingredient” test for jurisdiction?
  2. According to a well-respected scholar's casebook, the floor manager of the bill that became Section 1331 stated the following in the debates leading to the statute's passage:  The bill “gives precisely the power which the Constitution confers—nothing more, nothing less." Chemerinsky, Federal Jurisdiction § 5.2 (8th ed.).  Given this legislative history, is the Supreme Court's interpretation of Section 1331 correct?
  3. Following the Court’s decision, the Mottleys commenced an action in Kentucky state trial court. The case worked its way up the state court system, and, after the Kentucky high court ruled, the Supreme Court granted certiorari and ruled in favor of the railroad. Given that the Supreme Court eventually ruled on the merits of the dispute, what purpose did the earlier Mottley dismissal serve?
  4. After the Civil War, the number of lawsuits filed in federal courts dramatically increased, but Congress did not create more federal courts or judgeships, nor did it greatly increase the federal courts' budget. See Percell, Jr., Reconsidering the Frankfurterian Paradigm: Reflections on Histories of lower Federal Courts, 24 Law & Soc. Inquiry 679 (1999). To what extent did the narrow construction in Mottley help resolve problems of federal docket overload?
  5. Mottley is said to stand for the “well-pleaded complaint” rule. This means that for a court to have jurisdiction under § 1331, the federal issue must exist as part of the plaintiff’s cause of action. If the federal issue occurs only by way of an affirmative defense that the defendant asserts, or in something that the plaintiff will argue to counteract an affirmative defense, arising under jurisdiction cannot be asserted under § 1331. Why was arising under jurisdiction not present on the face of the Mottleys’ complaint?
  6. Mottley is an example of the well-established rule that a federal court must immediately dismiss a case if it finds that it lacks subject matter jurisdiction.  Here, the Supreme Court lacked subject matter jurisdiction because the trial court (we would not call this a federal district court) where the Mottleys first filed the case lacked subject matter jurisdiction, and thus there was no proper trial court decision to appeal.  This rule is unique to subject matter jurisdiction.  We will learn about another kind of jurisdiction, called "personal jurisdiction," later in the class.  This rule does not apply to personal jurisdiction; a party who thinks a court lacks personal jurisdiction must raise the issue (promptly) or else the court will hold that it can proceed.  We say that the federal courts must notice a potential defect in their subject matter jurisdiction sua sponte (meaning "on their own," even if neither party raises the issue).  Why this unique doctrine for subject matter jurisdiction?

1.12 Utterly Oversimplified Summary of Three Causes of Action 1.12 Utterly Oversimplified Summary of Three Causes of Action

For today's class, pay particular attention to Section 1983. This section will appear multiple times throughout the course. A copy available for download can be found here (pdf).

Warning: Use this document only for Professor Greiner’s Civil Procedure course. When dealing with any substantive issue regarding these statutes outside of Professor Greiner’s Civil Procedure, disregard this summary entirely.

Title VII of the Civil Rights Act of 1964

  • Prohibits adverse action related to a plaintiff’s employment “because of,” among other things, race and sex
  • Has been interpreted to include the following theories of relief:
    • Discharge, failure to hire, failure to promote because of race or sex
      • “Intent”: In certain types of cases, requires a plaintiff to prove that the defendant “intentionally” took the adverse employment action because of race or sex
      • Partly in response to the fact that intent is unobservable, courts have developed a three-part mode of analysis (we will talk more about this when we discuss burden- shifting)
    • Prima facie case: Still a matter of dispute, and specifics vary anyway, but definitely includes the idea that the plaintiff is of one race (sex), that she suffered adverse employment action, and that an applicant/employee of another race (sex) did not suffer adverse employment action; a remaining (currently unanswered) question is whether the prima facie case requires “something more” of a plaintiff that supports an inference of discrimination
    • Def’s reasons: Defendant produces evidence of a legitimate, non-discriminatory reason for the adverse action taken
    • Pretext: Plaintiff attempts to prove that the defendant’s reasons are unworthy of credence, i.e., a pretext for discrimination
      • Sexual harassment
        • “Quid Pro Quo”: Adverse employment action because of the refusal by a plaintiff to engage in sexual conduct with an employee (usually a superior officer) of the defendant
        • “Hostile Workplace”: The maintenance of a working environment in which sexual or racial harassment is so pervasive that it changes the terms or conditions of employment
      • Provides a cause of action against the employer for actions taken by employees within the scope of their employment (the “respondeat superior” theory, which you will cover in more detail in torts)
      • Has tight (comparatively speaking) limitations provisions involving presentation of the claim to an administrative agency before a lawsuit may be filed
      • Includes as an affirmative defense allowing an employer to impose an adverse employment action because of “religion, sex, or national origin” (notice not race) when “religion, sex, or national origin is a bona fide occupational qualification reasonably necessary to the normal operation of that particular business or enterprise”

42 U.S.C. § 1983

  • Provides a cause of action against a “person” acting under color of state law who deprives the plaintiff of her constitutional rights
  • “Persons” include municipalities as well as human beings, but elements of the cause of action vary depending on the kind of defendant
    • In Monroe v Pape (1961), the Supreme Court held that a municipality was NOT a “person” within the meaning of Section 1983, meaning that no plaintiff could sue a municipality under this statute
    • In Monell v. DSS (1978), however, the Supreme Court reversed itself, holding that a municipality was in fact a “person” within the meaning of Section 1983
    • Between 1961 and 1978, some important cases were decided in which the then-extant Monroe rule made a difference; among these is Aldinger v. Howard (1976), dealing with supplemental jurisdiction
  • Applies to an enormous variety of fact situations, from police brutality to denial of equal protection
  • Has been held to provide a cause of action essentially identical to Title VII when the plaintiff is an employee of a state and the allegedly illegal activity is undertaken by employees of the state with respect to the terms and conditions of the plaintiff’s employment; this is important in Jones v. Clinton because, unlike Title VII, Section 1983 does NOT have comparatively tight limitations periods associated with it
  • Section 1983 is one of a set of important civil rights statutes as to which special removal/remand provisions apply

Sherman Act, Section 1

  • Prohibits “conspiracy” in restraint of trade
  • Has been interpreted to include two types of analyses: “per se” violations and “rule of reason” cases
    • Per se violations:
      • Ultimate example is a “horizontal” agreement by persons engaged in the same industry or selling the same product to fix prices
      • Another example is an agreement by horizontal competitors to divide a market in a specified way, e.g., to avoid competition in each other’s “areas”
    • Rule of reason: If the defendants’ conduct is not a per se violation, then it is governed by the “rule of reason,” which means that it may be illegal if the plaintiffs can convince the court that the conduct is in restraint of trade; typically requires extensive economic theory and analysis to prove that a particular transaction has anti-competitive effects
  • Requires a plaintiff to prove an “agreement” in restraint of trade, thus rendering proof of “conscious parallelism” insufficient
  • “Conscious parallelism” is action by competitor A that mirrors action by competitor B despite the absence of any sort of agreement between A and B
  • “Conscious parallelism” is sometimes seen in airline ticket pricing (at least, that is what the airlines say), where multiple companies have the same prices for, say, a trip from Boston to Chicago, even though (according to the airlines) they are not communicating with each other directly over prices

1.13 Exclusive Federal Jurisdiction 1.13 Exclusive Federal Jurisdiction

Federal courts have exclusive jurisdiction over certain categories of claims:

  • 28 U.S.C. § 77p(b)-(c) - federal securities-law class actions
  • 28 U.S.C. § 1334 - Bankruptcy
  • 28 U.S.C. § 1338(a) - patents and copyrights
  • 28 U.S.C. § 1351 - actions against foreign consuls and vice-consuls
  • 28 U.S.C. § 1355 - actions to recover a fine, penalty, or forfeiture under federal law
  • 28 U.S.C. § 1356 - actions involving certain forfeitures

Why might the judicial system be designed to allow only federal courts to hear these cases, not state courts?

1.14 Smith v. Kansas City Title & Trust Co., 255 U.S. 180 (1921) 1.14 Smith v. Kansas City Title & Trust Co., 255 U.S. 180 (1921)

Mottley stated the general rule regarding arising under jurisdiction:  federal district court subject matter jurisdiction exists under Section 1331 only if the plaintiff asserts a federally created cause of action.  That rule governs perhaps 99.9% of arising under cases in federal court.  One exception to this rule is referred to as the "Smith-Grable" exception, after the two cases that gave rise to it.  If you become a federal court litigator, you may never see the Smith-Grable exception used.  But learning about it teaches a lot about why we have federal courts.  Smith appears below.

A shareholder of a Missouri corporation sued the company's directors and officers seeking a court order enjoining them from inducing the corporation to buy bonds issued by the United States.  The plaintiff's theory was that the decision to induce the corporation to buy federal Treasury bonds violated the directors and officers' duty to make good decisions on the corporation's behalf because the federal Treasury bonds were worthless and would never be repaid.  The Treasury bonds were worthless, according to the shareholder plaintiff, because the Constitution did not authorize the United States to issue bonds, so the congressional statute purporting to authorize those bonds was unconstitutional.  State, not federal, law created the cause of action that authorized a shareholder to sue directors and officers to enjoin them from inducing a corporation to make ill-advised business decisions.  Despite the fact that state law created the cause of action, the Supreme Court held that the action arose under federal law for the purposes of 28 U.S.C. § 1331. The majority wrote:

"The general rule is that where it appears from the [complaint] that the right to relief depends upon the construction or application of the Constitution or laws of the United States and that such federal claim is not merely colorable and rests upon a reasonable foundation, the District Court has jurisdiction under this."

1.15 Moore v. Chesapeake & Ohio Railway Co., 291 U.S. 205 (1934) 1.15 Moore v. Chesapeake & Ohio Railway Co., 291 U.S. 205 (1934)

Smith suggested that sometimes a federal district court had arising under jurisdiction even when the plaintiff did not assert a federally created cause of action.  But it provided little guidance as to when this exception applied.  The Supreme Court decided several cases in this area, and for a while, those cases made matters more, not less, confusing.

A summary of one case, Moore v. Chesapeake, appears below.  Is Moore like Smith?  Or is it a straightforward application of Mottley?

Moore, a railroad switchman, was injured while attempting to uncouple freight cars. Because the injury occurred while working on an intrastate railroad, and because the railroad was a state corporation, Moore had no federally created cause of action to assert. Instead, he used the cause of action provided by the Kentucky Employer’s Liability Act, which allowed him to sue his employer if the employer's negligence caused his injury.  Moore sued in federal district court, asserting that the court had arising under jurisdiction.  The railroad defended on multiple grounds.  First, it contested federal court subject matter jurisdiction.  Second, it argued that Moore's own negligence was partially responsible for the accident.  Third, it argued that Moore assumed the risk of this kind of accident when he took the job as a switchman. In response to the second and third defenses, Moore argued that the railroad had violated the Federal Safety Appliance Act, and that the violation of that federal statute “preclud[ed] the defense of contributory negligence as well as that of assumption of risk.” This alleged violation of a federal statute, Moore argued, also allowed a federal district court to exercise arising under jurisdiction.  The Supreme Court found that arising under jurisdiction did not exist:

"But it does not follow that a suit brought under a state statute that defines liability to employees who are injured while engaged in intrastate commerce and brings within the purview of the statute a breach of the duty imposed by the federal statute should be regarded as a suit arising under the laws of the United States and cognizable in federal court in the absence of diversity of citizenship."

How does the situation in Moore differ from that in Smith?

1.16 Grable & Sons Metal Products, Inc. v. Darue Engineering & Manufacturing 1.16 Grable & Sons Metal Products, Inc. v. Darue Engineering & Manufacturing

After Smith and Moore, the law of what we now call the Smith-Grable exception was unclear, and lower federal courts struggled.

The Supreme Court made matters worse, far worse, in a case called Merrell Dow Pharmaceuticals, Inc. v. Thompson, 478 U.S. 804 (1986).  In Merrell Dow, the plaintiffs argued that a federal statute, although it did not say so explicitly, created an "implied" cause of action that they could use to sue the defendant, a drug company.  The plaintiffs also asserted state law causes of action.  The plaintiffs said that there was arising under jurisdiction because (i) the federal statute's implied cause of action was a real federal cause of action, so they could proceed under a Mottley theory, and, in the alternative, (ii) there was a federal issue embedded within their state causes of action, so this case was like Smith.  The Supreme Court spent pages upon pages rejecting the plaintiffs' first assertion, meaning that it held that the federal statute did NOT create an implied cause of action.  So far, fine: the plaintiffs' theory (i) of arising under jurisdiction does not work.  But then the Supreme Court wrote a lot of words that appeared to say the following:  the fact that the federal statute did not create an implied cause of action meant also that the Smith exception (what we now call the "Smith-Grable" exception) did not apply, so the plaintiffs' theory (ii) also could not work.

That caused the lower courts a lot of confusion.  Can you figure out why?  Here's a hint:  Isn't it always true when a plaintiff tries to use the Smith-Grable exception that the plaintiff lacks a federally created cause of action?

The result was a bit of a mess.  The Supreme Court tried to clean up the mess in this case, Grable.  Notice that in the opinion below, the Supreme Court attempts to do a repair job on Merrell Dow.

545 U.S. 308 (2005)

GRABLE & SONS METAL PRODUCTS, INC.
v.
DARUE ENGINEERING & MANUFACTURING

No. 04-603.

Supreme Court of United States.

Argued April 18, 2005.
Decided June 13, 2005.

CERTIORARI TO THE UNITED STATES COURT OF APPEALS FOR THE SIXTH CIRCUIT

[309] SOUTER, J., delivered the opinion for a unanimous Court. THOMAS, J., filed a concurring opinion, post, p. 320.

Eric H. Zagrans argued the cause for petitioner. On the briefs was Charles E. McFarland.

[310] Michael C. Walton argued the cause for respondent. With him on the brief were John M. Lichtenberg, Gregory G. Timmer, and Mary L. Tabin.

Irving L. Gornstein argued the cause for the United States as amicus curiae urging affirmance. With him on the brief were Acting Solicitor General Clement, Assistant Attorney General O'Connor, Deputy Solicitor General Hungar, and Gilbert S. Rothenberg.[1]

JUSTICE SOUTER delivered the opinion of the Court.

The question is whether want of a federal cause of action to try claims of title to land obtained at a federal tax sale precludes removal to federal court of a state action with nondiverse parties raising a disputed issue of federal title law. We answer no, and hold that the national interest in providing a federal forum for federal tax litigation is sufficiently substantial to support the exercise of federal-question jurisdiction over the disputed issue on removal, which would not distort any division of labor between the state and federal courts, provided or assumed by Congress.

I

In 1994, the Internal Revenue Service seized Michigan real property belonging to petitioner Grable & Sons Metal Products, Inc., to satisfy Grable's federal tax delinquency. Title 26 U. S. C. § 6335 required the IRS to give notice of the seizure, and there is no dispute that Grable received actual notice by certified mail before the IRS sold the property to respondent Darue Engineering & Manufacturing. Although Grable also received notice of the sale itself, it did not exercise its statutory right to redeem the property within 180 days of the sale, § 6337(b)(1), and after that period [311] had passed, the Government gave Darue a quitclaim deed, § 6339.

Five years later, Grable brought a quiet title action in state court, claiming that Darue's record title was invalid because the IRS had failed to notify Grable of its seizure of the property in the exact manner required by § 6335(a), which provides that written notice must be "given by the Secretary to the owner of the property [or] left at his usual place of abode or business." Grable said that the statute required personal service, not service by certified mail.

Darue removed the case to Federal District Court as presenting a federal question, because the claim of title depended on the interpretation of the notice statute in the federal tax law. The District Court declined to remand the case at Grable's behest after finding that the "claim does pose a `significant question of federal law," Tr. 17 (Apr. 2, 2001), and ruling that Grable's lack of a federal right of action to enforce its claim against Darue did not bar the exercise of federal jurisdiction. On the merits, the court granted summary judgment to Darue, holding that although § 6335 by its terms required personal service, substantial compliance with the statute was enough. 207 F. Supp. 2d 694 (WD Mich. 2002).

The Court of Appeals for the Sixth Circuit affirmed. 377 F. 3d 592 (2004). On the jurisdictional question, the panel thought it sufficed that the title claim raised an issue of federal law that had to be resolved, and implicated a substantial federal interest (in construing federal tax law). The court went on to affirm the District Court's judgment on the merits. We granted certiorari on the jurisdictional question alone,[2] 543 U. S. 1042 (2005), to resolve a split within the Courts of Appeals on whether Merrell Dow Pharmaceuticals Inc. v. Thompson, 478 U. S. 804 (1986), always requires [312] a federal cause of action as a condition for exercising federal-question jurisdiction.[3] We now affirm.

II

Darue was entitled to remove the quiet title action if Grable could have brought it in federal district court originally, 28 U. S. C. § 1441(a), as a civil action "arising under the Constitution, laws, or treaties of the United States," § 1331. This provision for federal-question jurisdiction is invoked by and large by plaintiffs pleading a cause of action created by federal law (e. g., claims under 42 U. S. C. § 1983). There is, however, another longstanding, if less frequently encountered, variety of federal "arising under" jurisdiction, this Court having recognized for nearly 100 years that in certain cases federal-question jurisdiction will lie over state-law claims that implicate significant federal issues. E. g., Hopkins v. Walker, 244 U. S. 486, 490-491 (1917). The doctrine captures the commonsense notion that a federal court ought to be able to hear claims recognized under state law that nonetheless turn on substantial questions of federal law, and thus justify resort to the experience, solicitude, and hope of uniformity that a federal forum offers on federal issues, see ALI, Study of the Division of Jurisdiction Between State and Federal Courts 164-166 (1968).

The classic example is Smith v. Kansas City Title & Trust Co., 255 U. S. 180 (1921), a suit by a shareholder claiming that the defendant corporation could not lawfully buy certain bonds of the National Government because their issuance was unconstitutional. Although Missouri law provided the cause of action, the Court recognized federal-question jurisdiction because the principal issue in the case was the federal constitutionality of the bond issue. Smith thus held, in a [313] somewhat generous statement of the scope of the doctrine, that a state-law claim could give rise to federal-question jurisdiction so long as it "appears from the [complaint] that the right to relief depends upon the construction or application of [federal law]." Id., at 199.

The Smith statement has been subject to some trimming to fit earlier and later cases recognizing the vitality of the basic doctrine, but shying away from the expansive view that mere need to apply federal law in a state-law claim will suffice to open the "arising under" door. As early as 1912, this Court had confined federal-question jurisdiction over state-law claims to those that "really and substantially involv[e] a dispute or controversy respecting the validity, construction or effect of [federal] law." Shulthis v. McDougal, 225 U. S. 561, 569. This limitation was the ancestor of Justice Cardozo's later explanation that a request to exercise federal-question jurisdiction over a state action calls for a "common-sense accommodation of judgment to [the] kaleidoscopic situations" that present a federal issue, in "a selective process which picks the substantial causes out of the web and lays the other ones aside." Gully v. First Nat. Bank in Meridian, 299 U. S. 109, 117-118 (1936). It has in fact become a constant refrain in such cases that federal jurisdiction demands not only a contested federal issue, but a substantial one, indicating a serious federal interest in claiming the advantages thought to be inherent in a federal forum. E. g., Chicago v. International College of Surgeons, 522 U. S. 156, 164 (1997); Merrell Dow, supra, at 814, and n. 12; Franchise Tax Bd. of Cal. v. Construction Laborers Vacation Trust for Southern Cal., 463 U. S. 1, 28 (1983).

But even when the state action discloses a contested and substantial federal question, the exercise of federal jurisdiction is subject to a possible veto. For the federal issue will ultimately qualify for a federal forum only if federal jurisdiction is consistent with congressional judgment about the sound division of labor between state and federal courts governing [314] the application of § 1331. Thus, Franchise Tax Bd. explained that the appropriateness of a federal forum to hear an embedded issue could be evaluated only after considering the "welter of issues regarding the interrelation of federal and state authority and the proper management of the federal judicial system." Id., at 8. Because arising-under jurisdiction to hear a state-law claim always raises the possibility of upsetting the state-federal line drawn (or at least assumed) by Congress, the presence of a disputed federal issue and the ostensible importance of a federal forum are never necessarily dispositive; there must always be an assessment of any disruptive portent in exercising federal jurisdiction. See also Merrell Dow, supra, at 810.

These considerations have kept us from stating a "single, precise, all-embracing" test for jurisdiction over federal issues embedded in state-law claims between nondiverse parties. Christianson v. Colt Industries Operating Corp., 486 U. S. 800, 821 (1988) (STEVENS, J., concurring). We have not kept them out simply because they appeared in state raiment, as Justice Holmes would have done, see Smith, supra, at 214 (dissenting opinion), but neither have we treated "federal issue" as a password opening federal courts to any state action embracing a point of federal law. Instead, the question is, does a state-law claim necessarily raise a stated federal issue, actually disputed and substantial, which a federal forum may entertain without disturbing any congressionally approved balance of federal and state judicial responsibilities.

III

A

This case warrants federal jurisdiction. Grable's state complaint must specify "the facts establishing the superiority of [its] claim," Mich. Ct. Rule 3.411(B)(2)(c) (West 2005), and Grable has premised its superior title claim on a failure by the IRS to give it adequate notice, as defined by federal [315] law. Whether Grable was given notice within the meaning of the federal statute is thus an essential element of its quiet title claim, and the meaning of the federal statute is actually in dispute; it appears to be the only legal or factual issue contested in the case. The meaning of the federal tax provision is an important issue of federal law that sensibly belongs in a federal court. The Government has a strong interest in the "prompt and certain collection of delinquent taxes," United States v. Rodgers, 461 U. S. 677, 709 (1983), and the ability of the IRS to satisfy its claims from the property of delinquents requires clear terms of notice to allow buyers like Darue to satisfy themselves that the Service has touched the bases necessary for good title. The Government thus has a direct interest in the availability of a federal forum to vindicate its own administrative action, and buyers (as well as tax delinquents) may find it valuable to come before judges used to federal tax matters. Finally, because it will be the rare state title case that raises a contested matter of federal law, federal jurisdiction to resolve genuine disagreement over federal tax title provisions will portend only a microscopic effect on the federal-state division of labor. See n. 3, infra.

This conclusion puts us in venerable company, quiet title actions having been the subject of some of the earliest exercises of federal-question jurisdiction over state-law claims. In Hopkins, 244 U. S., at 490-491, the question was federal jurisdiction over a quiet title action based on the plaintiffs' allegation that federal mining law gave them the superior claim. Just as in this case, "the facts showing the plaintiffs' title and the existence and invalidity of the instrument or record sought to be eliminated as a cloud upon the title are essential parts of the plaintiffs' cause of action."[4]Id., at [316] 490. As in this case again, "it is plain that a controversy respecting the construction and effect of the [federal] laws is involved and is sufficiently real and substantial." Id., at 489. This Court therefore upheld federal jurisdiction in Hopkins, as well as in the similar quiet title matters of Northern Pacific R. Co. v. Soderberg, 188 U. S. 526, 528 (1903), and Wilson Cypress Co. v. Del Pozo y Marcos, 236 U. S. 635, 643-644 (1915). Consistent with those cases, the recognition of federal jurisdiction is in order here.

B

Merrell Dow Pharmaceuticals Inc. v. Thompson, 478 U. S. 804 (1986), on which Grable rests its position, is not to the contrary. Merrell Dow considered a state tort claim resting in part on the allegation that the defendant drug company had violated a federal misbranding prohibition, and was thus presumptively negligent under Ohio law. Id., at 806. The Court assumed that federal law would have to be applied to resolve the claim, but after closely examining the strength of the federal interest at stake and the implications of opening the federal forum, held federal jurisdiction unavailable. Congress had not provided a private federal cause of action for violation of the federal branding requirement, and the Court found "it would . . . flout, or at least undermine, congressional intent to conclude that federal courts might nevertheless exercise federal-question jurisdiction and provide remedies for violations of that federal statute solely because the violation . . . is said to be a . . . `proximate cause' under state law." Id., at 812.

[317] Because federal law provides for no quiet title action that could be brought against Darue,[5] Grable argues that there can be no federal jurisdiction here, stressing some broad language in Merrell Dow (including the passage just quoted) that on its face supports Grable's position, see Note, Mr. Smith Goes to Federal Court: Federal Question Jurisdiction over State Law Claims Post-Merrell Dow, 115 Harv. L. Rev. 2272, 2280-2282 (2002) (discussing split in Courts of Appeals over private right of action requirement after Merrell Dow). But an opinion is to be read as a whole, and Merrell Dow cannot be read whole as overturning decades of precedent, as it would have done by effectively adopting the Holmes dissent in Smith, see supra, at 314, and converting a federal cause of action from a sufficient condition for federal-question jurisdiction[6] into a necessary one.

In the first place, Merrell Dow disclaimed the adoption of any bright-line rule, as when the Court reiterated that "in exploring the outer reaches of § 1331, determinations about federal jurisdiction require sensitive judgments about congressional intent, judicial power, and the federal system." 478 U. S., at 810. The opinion included a lengthy footnote explaining that questions of jurisdiction over state-law claims require "careful judgments," id., at 814, about the "nature of the federal interest at stake," id., at 814, n. 12 (emphasis deleted). And as a final indication that it did not mean to make a federal right of action mandatory, it expressly approved the exercise of jurisdiction sustained in Smith, despite the want of any federal cause of action available to Smith's shareholder plaintiff. 478 U. S., at 814, n. 12. [318] Merrell Dow then, did not toss out, but specifically retained, the contextual enquiry that had been Smith's hallmark for over 60 years. At the end of Merrell Dow, Justice Holmes was still dissenting.

Accordingly, Merrell Dow should be read in its entirety as treating the absence of a federal private right of action as evidence relevant to, but not dispositive of, the "sensitive judgments about congressional intent" that § 1331 requires. The absence of any federal cause of action affected Merrell Dow's result two ways. The Court saw the fact as worth some consideration in the assessment of substantiality. But its primary importance emerged when the Court treated the combination of no federal cause of action and no preemption of state remedies for misbranding as an important clue to Congress's conception of the scope of jurisdiction to be exercised under § 1331. The Court saw the missing cause of action not as a missing federal door key, always required, but as a missing welcome mat, required in the circumstances, when exercising federal jurisdiction over a state misbranding action would have attracted a horde of original filings and removal cases raising other state claims with embedded federal issues. For if the federal labeling standard without a federal cause of action could get a state claim into federal court, so could any other federal standard without a federal cause of action. And that would have meant a tremendous number of cases.

One only needed to consider the treatment of federal violations generally in garden variety state tort law. "The violation of federal statutes and regulations is commonly given negligence per se effect in state tort proceedings."[7] Restatement [319] (Third) of Torts § 14, Reporters' Note, Comment a, p. 195 (Tent. Draft No. 1, Mar. 28, 2001) (hereinafter Restatement). See also W. Keeton, D. Dobbs, R. Keeton, & D. Owen, Prosser and Keeton on Law of Torts § 36, p. 221, n. 9 (5th ed. 1984) ("[T]he breach of a federal statute may support a negligence per se claim as a matter of state law" (collecting authority)). A general rule of exercising federal jurisdiction over state claims resting on federal mislabeling and other statutory violations would thus have heralded a potentially enormous shift of traditionally state cases into federal courts. Expressing concern over the "increased volume of federal litigation," and noting the importance of adhering to "legislative intent," Merrell Dow thought it improbable that the Congress, having made no provision for a federal cause of action, would have meant to welcome any state-law tort case implicating federal law "solely because the violation of the federal statute is said to [create] a rebuttable presumption [of negligence] . . . under state law." 478 U. S., at 811-812 (internal quotation marks omitted). In this situation, no welcome mat meant keep out. Merrell Dow's analysis thus fits within the framework of examining the importance of having a federal forum for the issue, and the consistency of such a forum with Congress's intended division of labor between state and federal courts.

As already indicated, however, a comparable analysis yields a different jurisdictional conclusion in this case. Although Congress also indicated ambivalence in this case by providing no private right of action to Grable, it is the rare state quiet title action that involves contested issues of federal law, see n. 3, supra. Consequently, jurisdiction over actions like Grable's would not materially affect, or threaten to affect, the normal currents of litigation. Given the absence of threatening structural consequences and the clear interest the Government, its buyers, and its delinquents have in the availability of a federal forum, there is no good reason to [320] shirk from federal jurisdiction over the dispositive and contested federal issue at the heart of the state-law title claim.[8]

IV

The judgment of the Court of Appeals, upholding federal jurisdiction over Grable's quiet title action, is affirmed.

It is so ordered.

JUSTICE THOMAS, concurring.

The Court faithfully applies our precedents interpreting 28 U. S. C. § 1331 to authorize federal-court jurisdiction over some cases in which state law creates the cause of action but requires determination of an issue of federal law, e. g., Smith v. Kansas City Title & Trust Co., 255 U. S. 180 (1921); Merrell Dow Pharmaceuticals Inc. v. Thompson, 478 U. S. 804 (1986). In this case, no one has asked us to overrule those precedents and adopt the rule Justice Holmes set forth in American Well Works Co. v. Layne & Bowler Co., 241 U. S. 257 (1916), limiting § 1331 jurisdiction to cases in which federal law creates the cause of action pleaded on the face of the plaintiff's complaint. Id., at 260. In an appropriate case, and perhaps with the benefit of better evidence as to the original meaning of § 1331's text, I would be willing to consider that course.[9]

[321] Jurisdictional rules should be clear. Whatever the virtues of the Smith standard, it is anything but clear. Ante, at 313 (the standard "calls for a `common-sense accommodation of judgment to [the] kaleidoscopic situations' that present a federal issue, in `a selective process which picks the substantial causes out of the web and lays the other ones aside'" (quoting Gully v. First Nat. Bank in Meridian, 299 U. S. 109, 117-118 (1936))); ante, at 314 ("[T]he question is, does a state-law claim necessarily raise a stated federal issue, actually disputed and substantial, which a federal forum may entertain without disturbing any congressionally approved balance of federal and state judicial responsibilities"); ante, at 317, 318 ("`[D]eterminations about federal jurisdiction require sensitive judgments about congressional intent, judicial power, and the federal system'"; "the absence of a federal private right of action [is] evidence relevant to, but not dispositive of, the `sensitive judgments about congressional intent' that § 1331 requires" (quoting Merrell Dow, supra, at 810)).

Whatever the vices of the American Well Works rule, it is clear. Moreover, it accounts for the "`vast majority'" of cases that come within § 1331 under our current case law, Merrell Dow, supra, at 808 (quoting Franchise Tax Bd. of Cal. v. Construction Laborers Vacation Trust for Southern Cal., 463 U. S. 1, 9 (1983)) — further indication that trying to sort out which cases fall within the smaller Smith category may not be worth the effort it entails. See R. Fallon, D. Meltzer, & D. Shapiro, Hart and Wechsler's The Federal [322] Courts and the Federal System 885-886 (5th ed. 2003). Accordingly, I would be willing in appropriate circumstances to reconsider our interpretation of § 1331.

[1] Mr. Zagrans filed a brief for Jerome R. Mikulski et ux. as amici curiae urging reversal.

[2] Accordingly, we have no occasion to pass upon the proper interpretation of the federal tax provision at issue here.

[3] Compare Seinfeld v. Austen, 39 F. 3d 761, 764 (CA7 1994) (finding that federal-question jurisdiction over a state-law claim requires a parallel federal private right of action), with Ormet Corp. v. Ohio Power Co., 98 F. 3d 799, 806 (CA4 1996) (finding that a federal private action is not required).

[4] The quiet title cases also show the limiting effect of the requirement that the federal issue in a state-law claim must actually be in dispute to justify federal-question jurisdiction. In Shulthis v. McDougal, 225 U. S. 561 (1912), this Court found that there was no federal-question jurisdiction to hear a plaintiff's quiet title claim in part because the federal statutes on which title depended were not subject to "any controversy respecting their validity, construction, or effect." Id., at 570. As the Court put it, the requirement of an actual dispute about federal law was "especially" important in "suit[s] involving rights to land acquired under a law of the United States," because otherwise "every suit to establish title to land in the central and western states would so arise [under federal law], as all titles in those States are traceable back to those laws." Id., at 569-570.

[5] Federal law does provide a quiet title cause of action against the Federal Government. 28 U. S. C. § 2410. That right of action is not relevant here, however, because the Federal Government no longer has any interest in the property, having transferred its interest to Darue through the quitclaim deed.

[6] For an extremely rare exception to the sufficiency of a federal right of action, see Shoshone Mining Co. v. Rutter, 177 U. S. 505, 507 (1900).

[7] Other jurisdictions treat a violation of a federal statute as evidence of negligence or, like Ohio itself in Merrell Dow Pharmaceuticals Inc. v. Thompson, 478 U. S. 804 (1986), as creating a rebuttable presumption of negligence. Restatement § 14, Reporters' Note, Comment c, at 196. Either approach could still implicate issues of federal law.

[8] At oral argument Grable's counsel espoused the position that after Merrell Dow, federal-question jurisdiction over state-law claims absent a federal right of action could be recognized only where a constitutional issue was at stake. There is, however, no reason in text or otherwise to draw such a rough line. As Merrell Dow itself suggested, constitutional questions may be the more likely ones to reach the level of substantiality that can justify federal jurisdiction. 478 U. S., at 814, n. 12. But a flat ban on statutory questions would mechanically exclude significant questions of federal law like the one this case presents.

[9] This Court has long construed the scope of the statutory grant of federal-question jurisdiction more narrowly than the scope of the constitutional grant of such jurisdiction. See Merrell Dow Pharmaceuticals Inc. v. Thompson, 478 U. S. 804, 807-808 (1986). I assume for present purposes that this distinction is proper — that is, that the language of 28 U. S. C. § 1331, "[t]he district courts shall have original jurisdiction of all civil actions arising under the Constitution, laws, or treaties of the United States" (emphasis added), is narrower than the language of Art. III, § 2, cl. 1, of the Constitution, "[t]he judicial Power shall extend to all Cases, in Law and Equity, arising under this Constitution, the Laws of the United States, and Treaties made, or which shall be made, under their Authority . . ." (emphases added).

1.17 First Federal Savings & Loan Ass'n v. McReynolds 1.17 First Federal Savings & Loan Ass'n v. McReynolds

The following opinion has virtually no facts in it.  So, time to make some up.  Imagine that a federal statute exists stating that big banks are really important, and that an agency called the “Federal Home Loan Bank Board” should make sure that only qualified people work in high positions in banks.  To implement this statutory directive, the agency promulgates regulations saying that anyone of the position of bank vice-president or above who deals with accounting issues must be a CPA.  Neither the statute nor the regulation purports to create a federal cause of action to anyone.

A Kentucky bank called First Federal Savings has a vacancy in a position called Vice President of Loan Portfolios.  Jane Schmoe, a Kentucky citizen, submits a resume stating, among other things, that she is a CPA.  First Federal hires Jane Schmoe.  The written and signed employment contract provides that the employment will last for five years, and that First Federal can discharge Schmoe only for “good cause.” The contract further has a “golden parachute” provision stating that if First Federal fires Schmoe without good cause, it must immediately place $1,000,000 in an account of her choosing.

After a year, First Federal discovers that Schmoe is not, in fact, a CPA.  The bank wants to get rid of Schmoe without paying the $1M golden parachute.  The bank believes that if it simply fires Schmoe for resume fraud, she will sue it in state court for breach of the employment contract, arguing that being a CPA is not a material requirement for her job.  Unfortunately for the bank, Schmoe plays golf every weekend with the chief judge of the local state court, so the bank wants to get into federal court.  It sues Schmoe in the United States District Court for the Western District of Kentucky seeking a declaratory judgment under 28 U.S.C. §2201(a) to the effect that the Federal Home Loan Bank Board regulation requiring that persons of Schmoe’s level be CPAs renders its employment contract with Schmoe void.  Schmoe moves to dismiss for lack of subject matter jurisdiction.

To reiterate:  the above discussion is 100% fictional.  The Federal Home Loan Bank Board does exist, but I have no clue whether it could or has promulgated a CPA-type regulation.

FIRST FEDERAL SAVINGS AND LOAN ASSOCIATION OF BOWLING GREEN, KENTUCKY, Plaintiff, v. H. Earl McREYNOLDS, Defendant.

No. 1326.

United States District Court W. D. Kentucky, Bowling Green Division.

April 17, 1969.

*1160Bell, Orr & Reynolds, by Jerry Moore, Bowling Green, Ky., for plaintiff.

J. Granville Clark, Russellville, Ky., for defendant.

MEMORANDUM

SWINFORD, District Judge.

Plaintiff seeks a declaration that its employment contract with defendant is void under the regulations promulgated by the Federal Home Loan Bank Board pursuant to section 1464 of Title 12, United States Code, and alleges that this court has jurisdiction under section 1331 of Title 28. Defendant has moved to dismiss for lack of jurisdiction over the subject matter and has counterclaimed for damages for breach of the employment contract which plaintiff alleges in its Complaint to be void under federal law.

This court is presented with a situation where a plaintiff seeks a declaration that he is immune, because of a federal right, from a non-federal cause of action which the defendant may have (and which he has asserted by Counterclaim). In such a situation, there are two possible views. See 1 Barron & Holtzoff (Wright), Federal Practice and Procedure, sec. 39, pp. 209-211; Note, Federal Question Jurisdiction and the Declaratory Judgment Act, 55 Ky.L.J. 150. These two views stem from the well-established rule that the existence of a federal question must appear on the face of the plaintiff’s well-pleaded complaint, and that it cannot be dependent on anticipation of defenses which the defendant .may later assert. The two views are stated in Barron & Holtzoff, supra at 209:

“There are two possible applications of this rule to declaratory judgment actions. The complaint in such an action may be judged on its own merits; if it reveals a federal claim, then jurisdiction will exist. But this, as will be seen, would permit some cases to be brought in federal court which could not be so brought absent the Declaratory Judgment Act. The alternative is to say that the declaratory action may be entertained in federal court only if the coercive action which would have been brought, absent declaratory judgment procedure, might have been so brought.”

Under the first view, this court would have subject matter jurisdiction in the instant case. But under the second view, this court would have no jurisdiction.

It is axiomatic that the Declaratory Judgment Act cannot be used to give relief indirectly which cannot be given directly. The statute is procedural and does not supply an independent ground of jurisdiction. Skelly Oil Co. v. Phillips Co., 339 U.S. 667, 671, 70 S.Ct. 876, 94 L.Ed. 1194; Rolls-Royce Limited v. United States, 364 F.2d 415, 419, 176 Ct.Cl. 694; Mayer v. Ordman, 6 Cir., 391 F.2d 889, 892. Although the “broad view” may have the merit of simplicity, this court is persuaded by the dicta in Skelly Oil Co. v. Phillips Co., supra, 339 U.S. at 671-674, 70 S.Ct. 876. *1161In that case the Court, after noting the legislative trend to contract the jurisdiction of the federal courts, said:

“To be observant of these (jurisdictional) restrictions is not to indulge in formalism or sterile technicality. * * * To sanction suits for declaratory relief as within the jurisdiction of the District Courts merely because, as in this case, artful pleading anticipates a defense based on federal law would contravene the whole trend of jurisdictional legislation by Congress, disregard the effective functioning of the federal judicial system and distort the limited procedural purpose of the Declaratory Judgment Act.” 339 U.S. at 673-674, 70 S.Ct. at 880.

This court does not believe that Congress, in enacting the Declaratory Judgment Act, intended to permit a person to invoke the jurisdiction of the federal courts merely because he commenced a declaratory judgment action before the other party was able to commence his nonremovable coercive action in state court. To permit him to do so would be to permit him to do indirectly that which he cannot do directly.

The case of Community Federal Savings and Loan Ass’n v. Fields, 8 Cir., 128 F.2d 705, cited by plaintiff, may be authority for the merits of plaintiff’s claim, but it does not support his jurisdictional claim. That was an action by an individual against a federal savings and loan association and its receiver. It "was removed to federal court and a motion to remand was overruled. The appellate court expressly stated that the overruling of this motion was not an issue on appeal, and thus the court did not determine the question of federal jurisdiction. Indeed, the district court’s opinion, reported in 37 F.Supp. 367, reveals that jurisdiction was based on the fact that the federal government owned more than one-half of the capital stock of one of the defendants.

This is a court of limited jurisdiction and those limitations must be strictly observed. See Walsh v. American Airlines, E.D.Ky., 264 F.Supp. 514. Defendant’s motion to dismiss for lack of jurisdiction over the subject matter should be sustained.

An order in conformity with this memorandum is this day entered.