What is a complaint for interpleader?

What is a Complaint in Interpleader? Interpleader is a procedure whereby a person holding money or personal property to which conflicting claims are being made by others, can join the adverse claimants and force them to litigate their claims among themselves.

What is interpleader civil procedure?

A way for a holder of property to initiate a suit between two or more claimants to the property. Interpleader avoids the problem of A being sued separately by both B and C, and potentially losing the same piece of property twice.

What is the difference between interpleader and Impleader?

Impleader: The third party becomes a participant in the lawsuit and is known as a third party defendant. Interpleader: Interpleader occurs when a third party enters into a lawsuit, usually to determine that party’s rights with regard to property at issue in the lawsuit.

Can Impleader destroy diversity?

Short answer: no, not initially. If SJX is only established through diversity, the original P can’t file a claim or counterclaim against a third-party D that isn’t diverse, nor can the original P implead a non-diverse third-party D in response to a counterclaim. …

Does third party defendant destroy diversity?

Accordingly, diversity was not destroyed when the Department was added as a third-party defendant and the district court properly retained subject-matter jurisdiction.

What do you need to know about interpleader action?

INTERPLEADER: THE BASICS. Introduction: In an interpleader action, a party who knows two or more other parties are making a claim on some asset controlled by the party can ask the court to decide who has what rights to the asset, deposit the asset into the custody of the court or a third party and remove itself from the litigation.

Where can I get relief from interpleader will lie?

There are requirements before interpleader will lie and the relief is available in Federal Court (if the other jurisdictional requirements are met) and all fifty states, though there are variations in methods in the various states.

When to use interpleader in a crossclaim?

A defendant exposed to similar liability may seek interpleader through a crossclaim or counterclaim. Note that the requirement of common origin of claims is not required under Federal Rule 22. The essence of interpleader is to remove a party who has no real stake in the outcome of a struggle for an asset held by the party.

Who are the claimants in an interpleader case?

The money or other property in controversy is called the res. All defendants having a possible interest in the subject matter of the case are called claimants. In some jurisdictions, the plaintiff is referred to as the plaintiff-in-interpleader and each claimant a claimant-in-interpleader. An interpleader proceeding has two stages.

Do you have to deposit a stake in an interpleader?

The stakeholder may be required to deposit the stake with the court and must notify the claimants that they can assert their ownership claims in court for determination. The court must then decide whether the interpleader is proper.

What happens to the money after an interpleader action?

An interpleader action requires the intermediary to place the money into the court’s custody. The intermediary or escrow agent is then dismissed as a party to the interpleader action and the defending parties must litigate and argue for their rights to the money among themselves.

Which is the best definition of an interpleader?

Interpleader An equitable proceeding brought by a third person to have a court determine the ownership rights of rival claimants to the same money or property that is held by that third person. Interpleader is a form of equitable relief. Equitable remedies are ways for courts to enforce rights other than by issuing a judgment for money damages.

How does an interpleader work in a property dispute?

The stakeholder may be required to deposit the stake with the court and must notify the claimants that they can assert their ownership claims in court for determination. The court must then decide whether the interpleader is proper. It has discretion to allow the interpleader and may deny the relief if the stakeholder is guilty of wrongdoing.