Amco Construction Co. v. Mississippi State Building Commission

In Amco Construction Co. v. Mississippi State Building Commission, 602 F.2d 730, 732-33 (5th Cir. 1979), a plaintiff subcontractor sued its contractor's diverse surety on a performance and payment bond. The defendant surety then impleaded the contractor and the owner as third-party defendants. The contractor, in turn, attempted to assert a cross-claim against the owner based on alleged breaches of their original contract. No diversity of citizenship existed between these last two parties. In holding that this attempted cross-claim was not within the district court's ancillary jurisdiction, the Court stated: It would not have been necessary to decide the proposed cross claim to protect the integrity of the original claim or to insure that the disposition of the original claim would not have been frustrated. (The) proposed cross claim stands apart; it is a cause of action wholly independent and separate. (Amco Construction, supra, 602 F.2d at 733.)