---
title: "Interpleader (Rule 22)"
type: Legal Rule
source: https://casebriefly.com/legal-rules/interpleader-rule-22
---

# Interpleader (Rule 22)

Interpleader allows a party holding property or funds subject to multiple conflicting claims to bring all claimants into a single action, avoiding the risk of multiple liability and inconsistent obligations.

## Definition

Interpleader is a procedural device that allows a stakeholder who holds money, property, or an obligation subject to competing claims to bring all claimants into a single lawsuit to determine their respective rights. The stakeholder faces the risk that without interpleader, it could be subjected to multiple inconsistent judgments and double or multiple liability. Interpleader exists in two forms in the federal system: rule interpleader under Federal Rule of Civil Procedure 22 and statutory interpleader under 28 U.S.C. section 1335.

Rule interpleader under Rule 22 permits any party to interplead adverse claimants. It requires the same subject matter jurisdiction as any other federal action: complete diversity under section 1332 with an amount in controversy exceeding $75,000, or federal question jurisdiction. Statutory interpleader under section 1335 has more relaxed requirements: it requires only minimal diversity (any two claimants must be diverse), an amount in controversy of only $500, and permits nationwide service of process under section 2361. Venue for statutory interpleader lies in any district where any claimant resides.

Interpleader proceedings typically occur in two stages. In the first stage, the court determines whether interpleader is proper and whether the stakeholder faces actual or potential conflicting claims. In the second stage, the court adjudicates the merits of the competing claims and determines which claimant is entitled to the stake. The stakeholder may be a disinterested party that claims no interest in the stake, or the stakeholder may itself claim an interest. Modern interpleader does not require the stakeholder to be truly disinterested.

## Elements

- A stakeholder holds property, funds, or an obligation subject to competing claims
- Two or more claimants assert conflicting claims to the same stake
- The stakeholder faces a risk of multiple liability or inconsistent obligations
- Rule interpleader requires complete diversity and amount over $75,000; statutory interpleader requires only minimal diversity and $500
- Statutory interpleader permits nationwide service of process

## Key Case

State Farm Fire & Casualty Co. v. Tashire, 386 U.S. 523 (1967)

## Landmark Cases

| Name | Citation | Significance |
| --- | --- | --- |
| State Farm Fire & Casualty Co. v. Tashire | 386 U.S. 523 (1967) | Upheld the constitutionality of minimal diversity for statutory interpleader and clarified the scope of injunctive relief available in interpleader actions. |
| New York Life Insurance Co. v. Dunlevy | 241 U.S. 518 (1916) | Early case illustrating the personal jurisdiction challenges in interpleader that Congress later addressed through nationwide service of process for statutory interpleader. |
| Pan American Fire & Casualty Co. v. Revere | 188 F. Supp. 474 (E.D. La. 1960) | Illustrative case demonstrating the two-stage interpleader process: first determining the propriety of interpleader, then adjudicating competing claims. |

## Exam Tips

- Always distinguish rule interpleader (Rule 22 with regular jurisdiction requirements) from statutory interpleader (section 1335 with minimal diversity, $500, and nationwide service).
- On exams, statutory interpleader is usually the easier path because of its relaxed jurisdictional requirements. Check whether the facts support statutory interpleader first.
- Remember that the stakeholder need not be disinterested; the stakeholder can claim an interest in the stake under modern practice.

## Common Mistakes

- Confusing the jurisdictional requirements of rule interpleader (complete diversity, $75,000) with statutory interpleader (minimal diversity, $500).
- Assuming the stakeholder must be completely disinterested in the stake; modern interpleader allows interested stakeholders.
- Forgetting that statutory interpleader allows nationwide service of process, which is not available under rule interpleader.

## Mnemonic Or Memory Aid

Two flavors of interpleader: Rule 22 (regular jurisdiction) vs. Statutory 1335 (minimal diversity, $500, nationwide service). Stakeholder says: Don't sue me twice, sue each other.

## Related Rules

- intervention-rule-24
- diversity-jurisdiction
- joinder-of-parties-rule-20

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Source: [Interpleader (Rule 22) — CaseBriefly](https://casebriefly.com/legal-rules/interpleader-rule-22)