Case Citation
Legal Case Name

GASPERINI v. CENTER FOR HUMANITIES, INC. Case Brief

Supreme Court of United States1996
518 U.S. 415 116 S.Ct. 2211 135 L.Ed.2d 659

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Case Brief Summary & Legal Analysis

General Brief
4 min read

tl;dr: In a diversity case, the Supreme Court held that a federal trial court must apply New York’s statutory standard for reviewing jury verdicts for excessiveness, with appellate review limited to abuse of discretion, accommodating Erie principles and the Seventh Amendment.

Legal Significance: This case refines the Erie doctrine, holding that state statutory standards for reviewing jury damage awards are substantive and must be applied by federal trial courts, while harmonizing this with the Seventh Amendment’s Reexamination Clause through a specific appellate review standard.

GASPERINI v. CENTER FOR HUMANITIES, INC. Law School Study Guide

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Case Facts & Court Holding

Key Facts & Case Background

Petitioner Gasperini, a journalist, sued respondent Center for Humanities, Inc. (Center) in federal district court, invoking diversity jurisdiction, for losing 300 original photographic transparencies. New York substantive law governed the claims. A jury awarded Gasperini $450,000. The Center moved for a new trial, arguing, inter alia, that the verdict was excessive. The District Court denied the motion without comment. The Court of Appeals for the Second Circuit, applying New York Civil Practice Law and Rules (CPLR) § 5501(c)—which directs New York appellate courts to determine if an award “deviates materially from what would be reasonable compensation”—vacated the judgment and ordered a new trial unless Gasperini agreed to a remittitur of $100,000. CPLR § 5501(c) was intended by the New York legislature to be a more stringent standard than the traditional “shocks the conscience” test previously used. The Supreme Court granted certiorari to determine the compatibility of CPLR § 5501(c) with federal practice in diversity cases, particularly in light of the Seventh Amendment.

Court Holding & Legal Precedent

Issue: In a federal diversity action, must the court apply a state law standard for reviewing the excessiveness of a jury’s verdict, and if so, how is such application reconciled with the Seventh Amendment’s Reexamination Clause and the allocation of functions between federal trial and appellate courts?

Yes, New York’s “deviates materially” standard (CPLR § 5501(c)) for reviewing jury Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proi

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Legal Issue

In a federal diversity action, must the court apply a state law standard for reviewing the excessiveness of a jury’s verdict, and if so, how is such application reconciled with the Seventh Amendment’s Reexamination Clause and the allocation of functions between federal trial and appellate courts?

Conclusion

Gasperini establishes that federal district courts in diversity cases must apply state Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo

Legal Rule

In a diversity case, a federal district court must apply a state Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla

Legal Analysis

The Court first determined that CPLR § 5501(c) is substantive under the Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur

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  • In a diversity case, a federal district court must apply the
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Exc

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