1. Claims created by Federal Law- Statutory Arising Under 28 USC 1331 a. Claims involving Substantial Federal Issues b.

Section 1331 2. DC have original jurisdiction of all civil actions arising under Constitution, laws, or treaties. a. Placement of Federal Issue i. Needs to be well-pleaded in complaint. b. Substantiality of the Federal Issue i. Federal Law creates the CoA OR ii. CoA is created under State law but case is contingent on the construction of Fed. Law iii. The CoA is created under State Law but the case: 1. Necessarily raises a federal issue that is actually disputed a. Substantial enough to warrant federal form to entertain the case without disturbing the balance of federal and state litigation. I. Well-Pleaded Complaint Rule iv. Purpose- determine jurisdiction upfront 1. Ps CoA must be based on Federal Law for it to arise under 1331. 2. FJ cannot be based on a federal law defense or Ps anticipation of a fed. Law defense. 3. Fed. Cts only hear general federal questions when the claim appears on the face of a well-pleaded complaint. v. Examples: 1. A suit for damages to a business from a threat to sue under the patent law is not under the patent law. Libel is state action- American Well Works II. FJ where right to relief under state law requires a resolution of a substantial question of federal law a. State law claim with a federal ingredient i. Whenever the correct decision in a case depends on the construction of either the Constitution or a fed. Law, that claim is said to arise under. b. Example i. Suing a corp to enjoin from purchasing bonds issued by the federal gov. because the bonds were issued in violation of constitution. Kansas City Tile 1. Federal jurisdiction because the outcome of the case depends on construction of Fed. Law III. Substantiality Prong a. For it to be Federal Question giving jurisdiction i. Federal Law must create CoA OR ii. Congressional intent was to confer jurisdiction. 1. Compare: a. Kansas- issue was constitutionality of important federal statute b. Moore- Violation of federal standard was an element of state tort recovery and did not fundamentally change the state tort nature of the action. HAS NOT BEEN RELIED ON SINCE IV. State Created Claims Test a. Necessarily raise a federal issue b. That is actually dispute c. And Substantial; AND d. Federal Forum may entertain the issue without disturbing the balance of federal and state litigation.

Federal Common Law 1) Techniques/Methods used to establish Common Law a) Spontaneous Generation b) Implying Federal Cause of Action from Federal Statutes c) Following Congressional Commands to Develop Federal Common Law d) Judicial Filing of Statutory Interstices. 2) Spontaneous Generation- Determining the Applicable Law to Protect Federal Interests. a) Areas where Fed. CL can develop on its own i) Interstate Controversies ii) Admiralty iii) Rights and Obligations of US iv) Civil Liability of Federal Officials for actions taken in the Course of their duty v) Preclusive effect of federal judgments. b) Rights and Obligations of US i) Basic Question- Does the federal interest that exists justify the Courts creation of fed. CL? (1) Needs for Uniformity when dealing with US Obligations.- 2 step Process (a) Fed. Cts. Have power to develop Fed. CL when US is a party AND (b) Are exercising a constitutional function.