This bill aims to modernize the financial thresholds for federal diversity jurisdiction by amending title 28 of the United States Code. It significantly increases the minimum amount in controversy required for a case to be heard in federal court from $75,000 to $150,000 , exclusive of interest and costs. Beyond this initial increase, the legislation establishes a system for automatic inflation adjustments to the jurisdictional threshold. Beginning January 1, 2030, and every ten years thereafter, the $150,000 amount will be adjusted based on changes in the Consumer Price Index , rounded to the nearest $25,000. The Director of the Administrative Office of the United States Courts will be responsible for calculating and publishing these adjustments, ensuring the threshold maintains its real value over time.
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Timeline
Introduced in Senate
Read twice and referred to the Committee on the Judiciary.
Introduced in Senate
Read twice and referred to the Committee on the Judiciary.
Law
Diversity Jurisdiction Inflation Adjustment Act
USA119th CongressS-4850| Senate
| Updated: 6/22/2026
This bill aims to modernize the financial thresholds for federal diversity jurisdiction by amending title 28 of the United States Code. It significantly increases the minimum amount in controversy required for a case to be heard in federal court from $75,000 to $150,000 , exclusive of interest and costs. Beyond this initial increase, the legislation establishes a system for automatic inflation adjustments to the jurisdictional threshold. Beginning January 1, 2030, and every ten years thereafter, the $150,000 amount will be adjusted based on changes in the Consumer Price Index , rounded to the nearest $25,000. The Director of the Administrative Office of the United States Courts will be responsible for calculating and publishing these adjustments, ensuring the threshold maintains its real value over time.