This bill, the Federal Diversity Jurisdiction Modernization Act of 2026, would change the dollar amount needed for diversity jurisdiction in federal courts. It amends 28 U.S.C. 1332(a) by replacing the current $75,000 amount in controversy requirement with $500,000. The change would apply only to civil actions started on or after the date the bill becomes law. The bill was introduced by Ms. Laurel Lee of Florida on April 22, 2026, and was referred to the House Committee on the Judiciary.
If this bill becomes law, a party bringing a civil case based on diversity of citizenship would need at least $500,000 in dispute to file in federal court. Cases with an amount in controversy below $500,000 would no longer meet that federal jurisdictional threshold and would generally need to proceed in state court instead. The new threshold would apply only to cases filed after the law takes effect.
No publicly available information on estimated federal or state costs, budgetary effects, or financial impacts is included in the bill text or provided metadata.
No publicly available information on supporters' statements, findings, or arguments is included in the bill text or provided metadata.
No publicly available information on opponents' statements, findings, or arguments is included in the bill text or provided metadata.