Courts and Alternative Dispute
Resolution
Chapter 3
Jurisdiction
• The authority of a court to hear and decide a
specific action
• juris = “law” + diction = “to speak”.
• The “judicial power” or authority to act.
Judicial Review
• Courts decide on the constitutionality of
legislative and executive actions
• Marbury v. Madison (page 66)
Personal Jurisdiction
• Personal (or in personam) jurisdiction
primarily is based on geography.
• Courts have personal jurisdiction over
persons residing and/or doing business
within a particular county, district, or state.
Personal Jurisdiction
Long-Arm Statutes
• nonresidents of a state
• subject to courts in other state
• based on “minimum contacts”
See example 3.3 (page 67)
Personal Jurisdiction
• “Where” is business on the internet located?
• “Sliding Scale Test”
• Substantial business conducted within state
• Some interactivity
• Passive advertising
Subject Matter Jurisdiction
• The authority of a court to hear and decide
the particular dispute before it.
• A court’s subject matter jurisdiction is
usually defined in the statute or constitution
creating the court.
Subject Matter Jurisdiction
• Limits to a trial court’s subject matter
jurisdiction:
– The amount in controversy
– The subject of the lawsuit
– Whether the crime alleged is a
misdemeanor or felony
Subject Matter Jurisdiction
• Concurrent Jurisdiction - When one or more
federal court and one or more state court
have subject matter jurisdiction over the
same dispute.
Jurisdiction of Federal Courts
• Federal district courts have two types of
subject matter jurisdiction:
– Federal question jurisdiction
– Diversity jurisdiction
Jurisdiction of Federal Courts
• Federal Question Jurisdiction
– Arises if a case involves an alleged
violation of the U.S. Constitution, federal
statute or regulation, or a treaty.
Jurisdiction of Federal Courts
• Diversity Jurisdiction:
– The amount in controversy exceeds
$75,000; and
– The lawsuit is between citizens of
different states or citizens of a state and
citizens of a foreign country.
Exclusive and Concurrent
Jurisdiction
Structure of Federal Courts and
Most State Court Systems
Supreme Court
Courts of Appeals
District Courts
Original Jurisdiction
• The authority of a court to hear and decide a
dispute in the first instance.
• Generally speaking, trial courts are courts of
original jurisdiction, although the Supreme
Court of the United States has original
jurisdiction over a few types of disputes.
Appellate Jurisdiction
• The authority of a court to review a prior
decision in the same case made by another
court.
• The decision is binding on that court and
any court below it.
Appellate Jurisdiction
Appellate courts do not:
– have a witness stand
– have a jury box
– hear any new testimony
– admit any new evidence
Appellate Jurisdiction
• The party that loses before an intermediate
appellate court may appeal that court’s
ruling to the jurisdiction’s supreme court or
its equivalent.
• However, supreme court review is optional
by the supreme court.
U. S. Courts of Appeals and
U. S. District Courts
Texas Court System
Texas Supreme Court
CIVIL CASES
Texas Court of Criminal Appeals
CRIMINAL CASES
State Courts of Appeal
Both Civil & Criminal
StateTrial Courts
Limited Jurisdiction
Courts
State Agencies
Venue
• Within a particular jurisdiction, the most
appropriate location for a trial to be held
and from which a jury will be selected.
Standing to Sue
• Standing
An individual must have a legal and
tangible stake in the controversy
• Justiciable controversy
The controversy must be actual (the courts
will not decide a hypothetical situation)
Stages of a Lawsuit:
Pleadings
– Written documents that inform each of
the parties of one another’s claims and
defenses and specify the issues involved
in the lawsuit.
Stages of a Lawsuit:
Pleadings
• Plaintiff’s Complaint or Petition - sets forth
the claims asserted by the plaintiff—the
party seeking affirmative relief.
Stages of a Lawsuit:
Pleadings
• Defendant’s Answer
– Responds to the claims set forth in the
Complaint or Petition
– Asserts affirmative defenses
– Asserts counterclaims
Stages of a Lawsuit:
Pleadings
• If the Defendant does not answer within the
time allotted by the applicable rules, the
Plaintiff may seek a default judgment.
Stages of a Lawsuit:
Discovery
• Discovery is the process of obtaining
factual information from the opposing party
or parties by means of written responses to
interrogatories and requests for admission,
requests for production of documents, and
depositions.
Stages of a Lawsuit:
Discovery
• Requests for Production - written requests
for documents relevant to the lawsuit
(materials can be both hard copy and
electronic compilations)
Stages of a Lawsuit:
Discovery
• Requests for Admissions - questions
phrased in an “admit” or “deny” format,
giving no opportunity for explanation, and
binding the responding party to its
admissions.
Stages of a Lawsuit:
Discovery
• Interrogatories - written questions related to
the subject matter of the lawsuit which must
be answered under oath.
Stages of a Lawsuit:
Discovery
• Depositions - testimony, under oath,
recorded by a court reporter and often
by videotape taken prior to trial.
Stages of a Lawsuit:
Motions
• Motion for Summary Judgment - a motion
requesting the court to enter judgment,
based on the pleadings and discovery to
date.
– Granted only if there are no material fact
issues in dispute or “questions of fact”.
Stages of a Lawsuit: Trial
• Trial may be with or without a jury.
– In a bench trial, the trial judge decides all
questions of fact and questions of law.
– In a jury trial, the trial judge decides all
questions of law, but the jury decides all
questions of fact.
The Stages of a Lawsuit: Trial
Jury Selection - “Voir Dire”
• the process in which attorneys question
prospective jurors to determine whether
they are biased or have any connection with
a party or the action or with a prospective
witness.
The Stages of a Lawsuit: Trial
• Opening Statements
– The Plaintiff gets to begin
– The Defendant may proceed next or wait
until prior to the Defendant’s case.
The Stages of a Lawsuit: Trial
• Plaintiff’s Case Presentation
– Plaintiff gets to begin its case first
– Plaintiff conducts direct examination of
each witness
– Defendant may cross examine each
witness
– Plaintiff “rests”
The Stages of a Lawsuit: Trial
• Defendant’s Case Presentation
– Defendant calls its first witness after
completion of the Plaintiff’s case
– Defendant conducts direct examination of
each witness
– Plaintiff may cross examine each witness
– Defense “rests”
The Stages of a Lawsuit: Trial
• Motion for Directed Verdict - In a jury trial,
a motion for the judge to take the decision
out of the jury’s hands and directs a verdict
for the moving party because the other party
has failed to provide sufficient evidence to
prevail on its claims.
The Stages of a Lawsuit: Trial
Closing Arguments
• Plaintiff has right to open and close
• Equal time allotted each party
The Stages of a Lawsuit: Trial
• Verdict by the Jury (if a jury trial)
The Stages of a Lawsuit: Trial
• Judgment
– In a jury trial, the judge will grant
judgment based upon the jury’s verdict.
– In the absence of a jury, the judge simply
grants the judgment on its own.
The Stages of a Lawsuit: Trial
• Judgment Notwithstanding the Verdict
– known as a “(Judgment N.O.V.” for
Judgment non obstante verdicto
– a motion for the court to enter judgment
contradictory to the jury’s verdict.
– based on “reasonable minds could not
differ” concept
The Stages of a Lawsuit: Appeal
• An appeal asks an appellate court with
jurisdiction over the trial court to review
and set-aside the trial court’s judgment.
The Stages of a Lawsuit: Appeal
What is filed with the appellate court?
– A transcript of the pleadings, motions,
hearings, and trial before the trial court,
and
– A brief outline of the legal arguments
supporting the appellant’s request to set
aside the judgment.
The Stages of a Lawsuit: Appeal
• Possible Appellate Rulings:
– Affirm the trial court’s judgment
– Reverse the trial court’s judgment based on
“reversible error” and remand the case for
further proceedings in the trial court
– Reverse the trial court’s judgment based on
“reversible error” and render a new judgment
without any need for further proceedings by the
trial court.
The Stages of a Lawsuit: Appeal
Supreme Court Review
• Discretionary Review (Writ of Certiorari)
• Rule of Four
• Petitions Granted
Usually: -Important Constitutional Question
-Conflict with other state or
federal decisions
Alternative Dispute Resolution
• Alternative Dispute Resolution (or “ADR”)
is a variety of methods that seek to resolve
disputes without resorting to a costly jury
trial.
Alternative Dispute Resolution
• Negotiation - between the parties directly,
with or without attorneys.
Alternative Dispute Resolution
• Mediation - Non-binding procedure
utilizing the services of a neutral third party
to assist negotiations.
Alternative Dispute Resolution
• Arbitration - A binding form of mediation
utilizing either one person or a panel of
persons chosen by the court or agreed to by
the parties (or both).
Traditional and Online
Dispute Resolution
End of Chapter 3