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The parties dispute the legal effect of a contested transaction. A complaint pleaded state claims, anticipated a federal defense, and joined a nondiverse related party. Another actor changed position after relying on the relevant statement, document, or official action. The parties disagree about the legal effect of those facts. Which analysis is most consistent with these facts?

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Reject the claim or defense solely because the opposing party disputes a required fact. The court should resolve the dispute by applying the operative rule to the material facts: The answer should identify the governing rule for Subject Matter Jurisdiction and apply it to the operative facts. Resolve the dispute on equitable fairness alone without identifying the governing doctrine or its limits. Stop the analysis once the proponent states a plausible rule, without addressing the strongest counterargument.

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