Swift v. Tyson - Significance
federal jurisdiction diversity courts
The decision allowed federal courts hearing civil cases based on diversity jurisdiction to create their own body of common law. Diversity jurisdiction is a special way for a federal court to gain jurisdiction over a case. Generally, federal courts hear only matters of federal concern. However, they can preside over a case that concerns state law if the parties to the case live in different states and the controversy involves a dollar figure that exceeds a minimum threshold amount.
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