Grupo Dataflux v. Atlas Global Group, L. P., et al. (541 U.S. 567)

U.S. Supreme Court · decided May 17, 2004 · Supreme Court Database (Spaeth)

Citation
541 U.S. 567 · 124 S. Ct. 1920
Decided
May 17, 2004
Term
October Term 2003
Vote
5–4
Majority author
Justice Scalia
Issue area
Judicial Power
Disposition
Reversed
Outcome
Petitioning party won
Ideological direction
Conservative

Opinion excerpt

Justice Scalia delivered the opinion of the Court. This case presents the question whether a party’s post-filing change in citizenship can cure a lack of subject-matter jurisdiction that existed at the time of filing in an action premised upon diversity of citizenship. See 28 U. S. C. § 1332. I Respondent Atlas Global Group, L. R, is a limited partnership created under Texas law. In November 1997, Atlas filed a state-law suit against petitioner Grupo Dataflux, a Mexican corporation, in the United States District Court for the Southern District of Texas. The complaint contained claims for breach of contract and in quantum meruit, seeking over $1.3 million in damages. It alleged that “[fjederal jurisdiction is proper based upon diversity jurisdiction pursuant to 28 U. S. C. § 1332(a), as this suit is between a Texas citizen [Atlas] and a citizen or subject of Mexico [Grupo Da-taflux].” App. 19a (Complaint ¶3). Pretrial motions and discovery consumed almost three years. In October 2000, the parties consented to a jury trial presided over by a Magistrate Judge. On October 27, after a 6-day trial, the jury returned a verdict in favor of Atlas awarding $750,000 in damages. On November 18, before entry of the judgment, Dataflux filed a motion to dismiss for lack of subject-matter jurisdiction because the parties were not diverse at the time the complaint was filed. See Fed. Rules…

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