Using simplicity and practicality as its touchstones, a unanimous U.S. Supreme Court on Tuesday held that a corporation’s “principal place of business” for purposes of federal jurisdiction is its “nerve center,” typically where its headquarters is located.

The Court, in an opinion by Justice Stephen Breyer, resolved a long-simmering debate among the federal circuits, which, for the past 51 years, have used a hodgepodge of tests to answer the jurisdictional question.

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