October Term 2004 · Docket 04-70

Can a federal court dismiss only non-qualifying parties in a diversity case?

Parties dispute whether federal courts must dismiss entire cases when some claims lack the required amount in controversy.

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Exxon Mobile Corp. v. Allapattah Services, Inc.
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Verified source milestones

  1. — An official oral-argument transcript was verified.
  2. — An official oral-argument transcript was verified.

The arguments, in order

This case may have been argued more than once. Each entry below uses that session's official transcript. Later arguments do not erase earlier ones.

  1. Argument 1 ·

    What happened at the argument

    Mr. Stearns argued that the Court should treat pendent party jurisdiction as a logical extension of prior law.

    Mr. Phillips cited the Zahn decision to support the view that class actions require all members to meet the amount requirement.

    Justice Stevens questioned why the minimum remedy is not simply dismissing non-qualifying parties.

    Justice O'Connor suggested that the statute implies the court has jurisdiction over the action but not defective claims.

    Read the official transcript for this argument · Official argument details

    Sources used for this argument breakdown

A citizen's guide to the whole case

What this case is about

This case tests the scope of federal diversity jurisdiction. The core issue is how courts handle mixed claims where some meet the statutory amount threshold and others do not. The Court must define the proper procedural remedy for these jurisdictional defects.

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How the case got here

The Supreme Court heard oral argument in this case on March 1, 2005.

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What each side wants

Exxon Mobil wants the Court to allow dismissal of only non-qualifying parties.

Allapattah Services wants the Court to require dismissal of the entire case.

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What each side says

Exxon Mobil argues that dismissing specific parties preserves valid claims and avoids unnecessary prejudice.

Allapattah Services argues that partial dismissal creates complex issue preclusion problems and violates statutory text.

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What the justices asked

Justice Stevens asked why courts cannot simply dismiss parties lacking the jurisdictional amount.

Justice Breyer questioned whether adding a plaintiff changes the original jurisdictional basis.

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Why it matters

This dispute defines the limits of federal court power over mixed claims. It determines how judges manage cases with varying claim values. The outcome shapes procedural efficiency and fairness for litigants nationwide. It clarifies the balance between statutory text and practical case management.

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What happens next

This article currently covers the argument record. Use the official docket link for later case activity.

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Official Court provenance

Official docket and case history · Official Supreme Court oral-argument detail page

Title and summary sources

Revision history

  1. Revision 1 · Official Transcript ·

    Correction: Rewritten to the concise citizen-facing editorial standard.

  2. Revision 2 · Official Transcript ·

    Correction: Migrated to the dated official Court activity contract without model use.

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