The dollar amount of the controversy must exceed $75,000 for diversity jurisdiction in federal court.

Question

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This is a well-established principle of diversity jurisdiction. The amount in controversy serves as a threshold requirement to ensure that federal courts only hear cases where there is a significant amount of money at issue. If the amount in controversy is less than $75,000, the case must be filed in state court.

The Dollar Amount of the Controversy Must Exceed $75,000 for Diversity