Context : Extrasolar giant planets are found to orbit their host stars with a broad range of semi-major axes 0.02 \leq a \leq 6 AU .
Current theories suggest that giant planets orbiting at distances between \simeq 0.02 – 2 AU probably formed at larger distances and migrated to their current locations via type II migration , disturbing any inner system of forming terrestrial planets along the way .
Migration probably halts because of fortuitously-timed gas disk dispersal .

Aims : The aim of this paper is to examine the effect of giant planet migration on the formation of inner terrestrial planet systems .
We consider situations in which the giant planet halts migration at semi-major axes in the range 0.13 – 1.7 AU due to gas disk dispersal , and examine the effect of including or neglecting type I migration forces on the forming terrestrial system .

Methods : We employ an N-body code that is linked to a viscous gas disk algorithm capable of simulating : gas loss via accretion onto the central star and photoevaporation ; gap formation by the giant planet ; type II migration of the giant ; optional type I migration of protoplanets ; gas drag on planetesimals .

Results : Most of the inner system planetary building blocks survive the passage of the giant planet , either by being shepherded inward or scattered into exterior orbits .
Systems of one or more hot-Earths are predicted to form and remain interior to the giant planet , especially if type II migration has been limited , or where type I migration has affected protoplanetary dynamics .
Habitable planets in low eccentricity warm-Jupiter systems appear possible if the giant planet makes a limited incursion into the outer regions of the habitable zone ( HZ ) , or traverses its entire width and ceases migrating at a radial distance of less than half that of the HZ ’ s inner edge .

Conclusions : Type II migration does not prevent terrestrial planet formation .
There exists a wide variety of planetary system architectures that can potentially host habitable planets .