After May 18, 1989, all Federal diversity jurisdiction cases where the amount in controversy was less than $50,000 went to State courts. To determine how this change would affect State courts, data tapes of all diversity of citizenship cases filed in U.S. district courts during the fiscal year ending June 30, 1987 were studied. Problems in identifying dollar amounts of the amounts in controversy are discussed. Because of the large gaps in amount-in-controversy data, estimates had to be made for all States. The proportion of filings where the amount in controversy was $50,000 or less varied from 15 percent in Puerto Rico and Mississippi to 65 percent in Nevada. It is estimated that most States will receive a greater proportion of contract diversity cases than tort diversity cases under the new law. Only when data are reported for fiscal year 1990 will actual figures be available on the decline in number of Federal cases under $50,000 and the subsequent increase in number of cases reverting to State courts. 8 footnotes.