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The authority of a court to hear and decide a case. To make a legally valid decision in a case, a court must have both "subject matter jurisdiction" (power to hear the type of case in question, which is granted by the state legislatures and Congress) and "personal jurisdiction" (power to make a decision affecting the parties involved in the lawsuit, which a court gets as a result of the parties' actions). For example, state court's subject matter jurisdiction includes the civil and criminal laws that the state legislature has passed, but does not include the right to hear patent disputes or immigration violations, which Congress has decided may only be heard in federal courts. And no court can entertain a case unless the parties agree to be there or live in the state (or federal district) where the court sits, or have enough contacts with the state or district that it's fair to make them answer to that court. (Doing business in a state, owning property there or driving on its highways will usually be enough to allow the court to hear the case.) The term jurisdiction is also commonly used to define the amount of money a court has the power to award. For example, small claims courts have jurisdiction only to hear cases up to a relatively low monetary amount--depending on the state, typically in the range of $2,000-$10,000. If a court doesn't have personal jurisdiction over all the parties and the subject matter involved, it "lacks jurisdiction," which means it doesn't have the power to render a decision.

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