S. 4850 · Passed Senate · Law

Diversity Jurisdiction Inflation Adjustment Act

What it does

Raises the minimum amount in controversy for federal diversity jurisdiction from $75,000 to $150,000.
Requires the amount in controversy threshold to be adjusted for inflation every 10 years beginning in 2030.
Allows federal courts to retain jurisdiction over civil cases between parties from different states only when the monetary claim exceeds the inflation-adjusted minimum threshold.

Official summary

Diversity Jurisdiction Inflation Adjustment Act This bill raises the minimum amount in controversy for federal diversity jurisdiction. Under current law, federal courts have jurisdiction over civil cases in which the monetary amount in controversy exceeds $75,000 and there is diversity of citizenship among the parties (e.g., the parties are citizens of different states). This bill raises the minimum amount in controversy from $75,000 to $150,000 and adjusts the amount for inflation every 10 years beginning in 2030.

Latest action

Aug 10, 2026: Held at the desk.

Committee: Senate Judiciary