When it comes to legal matters, the concept of jurisdictional amount is an important one to understand. Jurisdictional amount is a legal term that refers to the value of a case, dispute, lawsuit, or transaction. It is the monetary amount that is set by a court or other legal body to determine the power or authority it has to act on the matter.
Put simply, jurisdictional amount determines the court or legal body’s reach. If a case is below the jurisdictional amount, then the court or other legal authority has limited jurisdiction; often, these cases will be handled in small claims or other specialized court proceedings. However, if the case amount exceeds the jurisdictional amount, the entity will have general jurisdiction and can handle the case as if it were a regular court proceeding.
Examples of Jurisdictional Amount
Of course, jurisdictional amount may vary depending on the jurisdiction and the type of case or dispute. For example, the jurisdictional amount for most small civil claims in the United States is typically set at a few thousand dollars. However, the federal courts have raised the jurisdictional amount for certain types of cases to include larger amounts. For example, the federal court’s jurisdictional maximum for original suits is $75,000, while the state court’s limit is usually much lower at $5,000.
In addition, some courts have changed the jurisdictional amount to account for inflation. For instance, the U.S. Supreme Court recently increased the maximum jurisdictional amount to $20,000 due to rising costs associated with certain transactions.
Conclusion
In conclusion, jurisdictional amount is an important concept to understand when it comes to legal matters. It is the value of a case, dispute, lawsuit, or transaction set by a court or legal body and will determine the power or authority it has to act on the matter. Depending on the jurisdiction and type of case, jurisdictional amount may vary. Therefore, it is important for business professionals to familiarize themselves with the jurisdictional amounts set by each court in order to understand the legal process.