Bank of the United States v. Deveaux

9 U.S. 61 · Supreme Court of the United States · 1809

Facts

The Bank of the United States, a corporation, sought to sue a citizen of another state in federal court. The defendant challenged the federal court's jurisdiction, arguing that a corporation is not a 'citizen' for diversity purposes and that the bank's incorporating act did not grant federal jurisdiction.

Procedural history

The case came before this Court on appeal, where a judgment from a lower court was reversed. The lower court had apparently sustained a plea in abatement, which challenged the court's jurisdiction. This Court overruled that plea and remanded the cause.

Issue

1. Does a corporation's incorporating act, granting it the capacity to sue, automatically confer jurisdiction upon federal courts? 2. Can a corporation, whose members are citizens of one state, sue a citizen of another state in federal court under diversity jurisdiction?

Holding

1. No, the incorporating act does not, by itself, confer jurisdiction on federal courts. 2. Yes, a corporation can sue in federal court based on diversity jurisdiction by looking to the citizenship of its individual members.

Rule

A general grant of capacity to sue does not enlarge federal court jurisdiction; specific congressional intent is required. For diversity jurisdiction, federal courts may look beyond the corporate entity to the citizenship of its individual members to determine if the constitutional requirement of 'citizens of different states' is met.

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Case brief last reviewed 2026-06-05. Prepared by CaseReader from the published opinion.