Helm v. Zarecor, 222 U.S. 32 (1911)

Helm v. Zarecor

No. 395

Submitted October 9, 1911
Decided November 6, 1911
222 U.S. 32

APPEAL FROM THE CIRCUIT COURT OF THE UNITED STATES

FOR THE MIDDLE DISTRICT OF TENNESSEE

Syllabus

In determining whether diversity of citizenship exists to give jurisdiction, it is the duty of the circuit court to arrange the parties with respect to the actual controversy looking beyond the formal arrangement made by the bill.

Where, as in this case, the controversy over the control of a corporation transcends the rivalry of those claiming to be members of its board of control and the corporation itself is a mere instrumentality or title holder, it is properly made a party defendant, and should not be aligned as a party plaintiff merely because the plaintiffs belong to the same faction that claims the power to appoint the members of the board of control.

The facts, which involve the jurisdiction of the circuit court of the United States in this case, are stated in the opinion.