Glossary
Federal court
A court run by the U.S. government, established under Article III of the Constitution. Federal courts handle cases involving federal law, the U.S. Constitution, disputes between citizens of different states (when the amount is over $75,000), and a few other categories.
The federal court system has three main levels: U.S. District Courts (the trial courts, with at least one in every state), U.S. Courts of Appeals (the 13 "Circuits" that handle appeals from district courts), and the U.S. Supreme Court at the top.
Federal courts have limited jurisdiction: they can only hear cases that fit specific categories. A purely local dispute (e.g., a Tennessee landlord and a Tennessee tenant arguing about a Tennessee lease) belongs in state court, not federal court, even if both parties happen to live in Tennessee.