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A man from State A sued a contractor from State B in a State B federal district court. The single-count complaint alleged breach of contract, requested damages of $225,000, injunctive relief, and demanded a jury trial. State B law provides the right to a jury in these circumstances. The contractor's lawyers argued that the man was not entitled to a jury.
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Before the merger of law and equity, it was usually simple to determine whether a cause of action was at common law for purposes of the Seventh Amendment. United States v. Wonson (1812) established the historical test, which relies on English common law to determine whether the right to a jury trial in a civil suit is necessary.
Federal Rule of Civil Procedure (FRCP) 38(a) provides that the right to a trial by jury as declared in the Seventh Amendment is preserved by the party who demands it. However, a party who wishes for a jury trial on a particular issue must file a demand within 14 days after the service of the last pleading directed to that issue.
B is correct. Modern cases often contain both legal and equitable claims. When there is an issue of fact common to a legal and equitable claim, the trial judge must ordinarily try the legal claims first, so as to ensure the right of jury trial for those claims. The Seventh Amendment's right to a jury trial is unaffected by the fact that the man in this case also seeks equitable relief.
A is incorrect. Federal law, not state law, will determine whether parties are entitled to a jury where the federal court exercises jurisdiction under diversity. Moreover, diversity jurisdiction does not preserve the right to a trial by jury. A court might have diversity jurisdiction over an equitable claim, and neither party would have the right to demand a jury trial.
C is incorrect. There is a right to a jury because the Seventh Amendment guarantees a jury for suits at common law, and the plaintiff is seeking damages, a legal remedy. The equitable relief sought will not take away the plaintiff's preserved right to a trial by jury. Instead, the equitable claim will be decided separately by the judge, and the judge's finding of fact will be binding on the jury.
D is incorrect. The plaintiff is also seeking the legal remedy of damages. The plaintiff's additional request for equitable relief does not oust his Seventh Amendment right. As explained above, many modern cases contain both equitable and legal claims as a result of the expansion of statutes and different types of relief available since the Seventh Amendment was enacted.