{"ID":54991,"name":"JPMorgan Chase Bank v. Traffic Stream (BVI) Infrastructure Ltd.","href":"https:\/\/api.oyez.org\/cases\/2001\/01-651","view_count":0,"docket_number":"01-651","additional_docket_numbers":null,"manner_of_jurisdiction":"Writ of \u003Ci\u003Ecertiorari\u003C\/i\u003E","first_party":"JPMorgan Chase Bank","second_party":"Traffic Stream (BVI) Infrastructure Ltd.","timeline":[{"event":"Argued","dates":[1019019600],"href":"https:\/\/api.oyez.org\/case_timeline\/case_timeline\/52592"},{"event":"Decided","dates":[1023685200],"href":"https:\/\/api.oyez.org\/case_timeline\/case_timeline\/38716"}],"lower_court":{"ID":7,"name":"United States Court of Appeals for the Second Circuit","href":"https:\/\/api.oyez.org\/taxonomy\/term\/7"},"facts_of_the_case":"\u003Cp\u003ETraffic Stream (BVI) Infrastructure Ltd. is a corporation organized under the laws of the British Virgin Islands (BVI), an Overseas Territory of the United Kingdom. In 1998, Chase Manhattan Bank, now JPMorgan Chase Bank, agreed to finance certain Traffic Stream ventures, with the contract to be governed by New York law and with Traffic Stream agreeing to submit to the jurisdiction of federal courts in Manhattan. Subsequently, Chase sued Traffic Stream for defaulting on its obligations. The District Court found subject-matter jurisdiction under the alienage diversity statute, 28 USC section 1332(a)(2), which gives district courts jurisdiction over civil actions where the controversy is \u0022between citizens of a State and citizens or subjects of a foreign state,\u0022 and granted Chase summary judgment. In reversing, the Court of Appeals found that, because Traffic Stream was a citizen of an Overseas Territory and not an independent foreign state, jurisdiction was lacking.\u003C\/p\u003E\n","question":"\u003Cp\u003EIs a corporation organized under the laws of the British Virgin Islands a \u0022citizen or subject of a foreign state\u0022 for the purposes of alienage diversity jurisdiction?\u003C\/p\u003E\n","conclusion":"\u003Cp\u003EYes. In a unanimous opinion delivered by Justice David H. Souter, the Court held that a corporation organized under the laws of the BVI is a \u0022citizen or subject of a foreign state\u0022 for the purposes of alienage diversity jurisdiction. The Court reasoned that, because of the United Kingdom\u0027s retention and exercise of authority over the BVI, statutes permitting incorporation in the BVI are enacted in the exercise of the United Kingdom\u0027s political authority. \u0022It is enough to hold that the United Kingdom\u0027s retention and exercise of authority over the BVI renders BVI citizens, both natural and juridic, \u0027citizens or subjects\u0027 of the United Kingdom,\u0022 wrote Justice Souter. Thus, Traffic Stream was a citizen or subject of a foreign state for the purposes of alienage diversity jurisdiction.\u003C\/p\u003E\n","advocates":[{"advocate":{"ID":41950,"name":"Sarah L. 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