Chapter 3 The American Court System

2 Chapter Objectives 1. Explain the concepts of jurisdiction and venue. 2. State the requirements for federal jurisdiction. 3. Identify the basic components of the federal and state court systems. 4. Compare and contrast the functions of trial courts and appellate courts. 5. Discuss the various steps involved in an appeal.

3 The Judiciary’s Role in American Government The role of the courts in the American government is to interpret and apply the law. Through the process of judicial review—determining the constitutionality of laws—the judicial branch acts as a check on the executive and legislative branches of government.

4 Marbury v. Madison (1803) Marbury v. Madison (1803) The power of judicial review was established by Chief Justice John Marshall in Marbury v. Madison, well after the Constitution had established the other checks and balances within the federal government. What might result if the courts could not exercise the power of judicial review?

5 Basic Judicial Requirements Before a lawsuit can be brought before a court, certain requirements must first be met. These include: Jurisdiction Venue Standing to Sue

6 JurisdictionJurisdiction Before a court can hear a case, it must have jurisdiction over the person against whom the suit is brought or the property involved in the suit, as well as jurisdiction over the subject matter. Four types of jurisdiction:  Limited vs. General jurisdiction  Original vs. Appellate jurisdiction  Federal jurisdiction  Concurrent vs. Exclusive jurisdiction

7 Case 3.1 Cole v. Mileti Nick Mileti, from California, co-produced a movie called Streamers and organized a corporation, Streamers International Distributors, Inc., to distribute the film. Joseph Cole, from Ohio, bought two hundred shares of Streamers stock and lent the firm $475,000, which he borrowed from the bank. Mileti agreed to pay Cole back for the loan on the unsuccessful film, through a phone contract. Mileti did not pay and the bank sued Cole, who in return, sued Mileti. The court ruled against Mileti. The appellate court decided that a federal district court in Ohio can exercise personal jurisdiction over a resident in California who does business in Ohio via phone calls and letters.

8 Limited vs. General Jurisdiction Limited jurisdiction: Exists when a court is limited to a specific subject matter, such as probate or divorce. General jurisdiction: Exists when a court can hear any kind of case.

9 Original vs. Appellate Jurisdiction Original jurisdiction: Exists with courts that have authority to hear a case for the first time (trial courts). Appellate jurisdiction: Exists with courts of appeals, or reviewing courts. Generally appellate courts do not have original jurisdiction.

10 Federal Jurisdiction Arises in two instances:  When a federal question is involved (when the plaintiff’s action is based, at least in part, on the U.S. Constitution, a treaty, or a federal law).  When a case involves diversity of citizenship (citizens of different states, for example) and the amount in controversy exceeds $75,000.

11 Diversity Jurisdiction Because of diversity jurisdiction, federal courts spend a good deal of time deciding issues that arise under state law. As federal courts become increasingly overburdened with cases, some have proposed to significantly limit (or eliminate) diversity jurisdiction. Are the benefits of diversity jurisdiction worth its costs to the federal court system?

12 Concurrent v. Exclusive Jurisdiction Concurrent jurisdiction: Exists when two different courts have authority to hear the same case. Exclusive jurisdiction: Exists when only state courts or only federal courts have authority to hear a case.

13 Exclusive and Concurrent Jurisdiction

14 VenueVenue Venue has to do with the most appropriate location for a trial, which is usually the geographical area in which the event leading to the dispute took place or where the parties reside.

15 Standing to Sue A requirement that a party must have a legally protected and tangible interest at stake sufficient to justify seeking relief through the court system. The controversy at issue must also be a justifiable controversy, one that is real and substantial, as opposed to hypothetical or academic.

16 Case 3.2 Friends of the Earth, Inc. v. Crown Central Petroleum Corp. Friends of the Earth, a not-for-profit corporation dedicated to the protection of the environment, sued the oil company claiming that discharges of storm-water run-off had directly affected “the health, economic, recreational, aesthetic, and environmental interests of FOE’s members.” Why did the court hold that FOE lacked standing to sue? What would happen if there was no requirement of standing to sue?

17 The State and Federal Court Systems As indicated below, both the federal court system and state court systems are made up of trial courts of limited jurisdiction, trial courts of general jurisdiction, appellate courts, and a supreme court.

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19 Trial Courts State courts: Courts of general jurisdiction may be called by a variety of names. Courts of limited jurisdiction include:  Divorce courts  Probate courts  Traffic courts  Small claims courts Federal courts: Court of general jurisdiction is the U.S. District court. Courts of limited jurisdiction include:  U.S. Tax Court  U.S. Bankruptcy Court  U.S. Court of Federal Claims

20 Intermediate Appellate Courts Courts of appeals, or reviewing courts, generally do not have original jurisdiction. Such courts in the federal system are called the U.S. Circuit Courts of Appeals. The U.S. Courts of Appeals are divided into twelve circuit courts which hear appeals from federal district courts located in their jurisdictions. A thirteenth circuit, called the federal circuit, hears appeals in certain special types of cases.

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22 Supreme Courts (Highest Court) Each state has a supreme court, although it may be called by some other name, whose decisions are final on questions of state law. Appeals from a state supreme court to the U.S. Supreme Court is possible only if a federal question is involved. The U.S. Supreme Court is the highest court in the federal system and the final arbiter of the Constitution and federal law.

23 Following a Case Through the State Courts A sample civil court case in a state court would involve the following: The Pleadings The Pleadings Pretrial Motions Pretrial Motions Discovery Pretrial Conference Pretrial Conference Trial Post trial Motions Post trial Motions The Appeal

24 The Pleadings Complaint:  Filed by the plaintiff with the court to initiate the lawsuit; served with a summons on the defendant. Answer:  Admits or denies allegations made by the plaintiff; may assert a counterclaim or an affirmative defense. Motion to dismiss:  A request to the court to dismiss the case for stated reasons, such as the plaintiff’s failure to state a claim for which relief can be granted.

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26 Pretrial Motions Motion for judgment on the pleadings: Will be granted if the parties agree on the facts and the only question is how the law applies to the facts. The judge bases the decision solely on the pleadings. Motion for summary judgment: Will be granted if the parties agree on the facts. The judge applies the law in rendering a judgment. The judge can consider evidence outside the pleadings when evaluating the motion.

27 Case 3.3 Metzgar v. Playskool Parents of a child who had choked to death on a Playskool toy block sued alleging negligence in failing to warn of the hazard of the block. When a case requires a determination of such matters as obviousness of the danger or community standards, summary judgment is not considered appropriate. Such matters are given to juries to determine. Why?

28 DiscoveryDiscovery The process of gathering evidence concerning the case. Discovery involves:  Depositions (sworn testimony by a party or a witness)  Interrogatories (written questions by one party towards the other made with assistance from the attorneys)  Various requests (for admissions, documents, medical exams)

29 Pretrial Conference Either party or the court can request a pretrial conference to:  Identify the matters in dispute after discovery has taken place, or  To plan the course of the trial

30 Jury Selection The jury selection process, also known as voir dire, consists of questions directed to prospective jurors to assess potential bias.

31 Are jurors underpaid for their services? David Olson was paid $30 a day, for 4 months, to be a juror in the Minnesota trial against major tobacco companies. Being a single father with 2 children, he couldn’t pay his credit cards, struggled to buy food, and had to refinance his home. Olson’s $30 a day was in the upper range of juror fees paid by state courts. Some states pay much less—Texas, for example, pays only $6 per day. What do you think should be done to compensate jurors? Do you think it is fair that being a juror is an involuntary service?

32 TrialTrial The typical course of a trial can be diagrammed as follows: Opening Statements Opening Statements Plaintiff’s Introduction of Evidence Defendant’s Introduction of Evidence Closing Arguments Closing Arguments

33 Opening Statements An opening statement sets forth the facts which the attorneys expect to prove during the trial. Note that such statements are not themselves evidence, but instead an argument as to what the evidence will show.

34 Introduction of Evidence The plaintiff’s case may consist of relevant documents, exhibits, and testimony of witnesses. The defense is then given the chance to challenge any of the plaintiff’s evidence and cross-examine his witnesses. Unless a motion for a directed verdict is made, the defense is then given a similar opportunity to present its case.

35 Closing Arguments After the defense concludes the presentation of its case, the attorneys present their closing arguments to the jury. Attorneys use the evidence established at trial to urge the jury to render a verdict in favor of his or her client.

36 Post Trial Motions After a jury has rendered its verdict, either party may make a post trial motion. These include:  Motion for judgment N.O.V. (Notwithstanding the verdict) will be granted if the judge is convinced that the jury was in error.  Motion for a new trial will be granted if the judge is convinced that the jury was in error, or there was newly discovered evidence, misconduct by the participants during the trial, or error by the judge.

37 Case 3.4 Leblanc v. American Honda Motor Co. Thomas LeBlanc was injured when his snow mobile collided with an off-road vehicle manufactured by American Honda Motor Co. Leblanc sued Honda and the driver. During the trial, LeBlanc’s lawyer made remarks about the colors of the Honda vehicle that Honda felt had tainted the proceedings. The jury ruled in favor of LeBlanc. The Supreme Court of New Hampshire reversed the decision in favor of Leblanc and agreed on a new trial. The court believed that the remarks made during the trial made the jury racially and nationally biased. If a trial judge tells a jury to ignore a lawyer’s remarks, it is presumed that the jury does not consider them. Do you think that is a valid presumption?

38 The Appeal Either party can appeal the trial court’s judgment to an appropriate court of appeals. After reviewing the record on appeal, the abstracts, and the attorneys’ briefs, the appellate court holds a hearing and renders its opinion.

39 The Courtroom In the future, trials may be held via interactive teleconferencing technology —with the one party here, one party there, and the judge somewhere else entirely. The virtual courtroom clearly offers many advantages to trial participants in terms of efficiency and lower costs. Are there any disadvantages? Explain.

40 For Review 1.What is judicial review? How and when was the power of judicial review established? 2.Before a court can hear a case, it must have jurisdiction. Over what must it have jurisdiction? In what circumstances does a federal court have jurisdiction? 3. What is the difference between a trial court and an appellate court? 4. In a lawsuit, what are the pleadings? What is discovery? 5. What are the steps involved in an appeal?