Case (year) Important Take-Aways From Cases 3 Types of Personal Jurisdiction In Personam In Rem Quasi In Rem (Against the person) (Against the thing) (As if against the thing) P sues D personally and D consents to Can determine owner of specific State ct seizes the D’s property\ jurisdiction or receives proper property in forum state relative to Can determine owner of prop service\ all of D’s assets in play everyone in the world between parties in lawsuit Min contacts test Int Shoe did not address if min contacts apply?? Int. Shoe (1945) Specific Jurisdiction General Jurisdiction Single or limited contact with state D has continuous & systematic (required or not spec jurisdiction) presence in forum state (now 2 Ways a D’s contacts with forum “at home”) state may lead to personal D’s contact is deliberate jurisdiction (PJ) P’s claim arises out of that contact P’s claim does not arise out of those contacts with F State Due Process Clause “The Due Process Clause protects an individual’s liberty interest in not being subject to binding judgments of a forum with which he has established no meaningful “contacts, ties or relations”. Courts exercise of PJ is ok if D has such min contacts with forum so that jurisdiction does not offend traditional notions of fair play & substantial justice Two requirements for PJ: (1) State’s Long-arm Statute (2) Permitted under Constitution McGee (1957) (Due Process Clause) D’s deliberate in-state contact was P’s interest in suing in forum state just one thing to consider, also need Availability of witnesses in F state to consider other factors: Forum State’s interest in providing a remedy Extent to which D would be inconvenienced Modern trans & communication have made it far less burdensome for party sued to defend himself in a state where he engages in economic activity Pennoyer (1877) Hanson (1958) Court moved away from McGees multi-factored analysis, refocused back on Int Shoe’s deliberate contacts The contact between the D and the forum state must result from the defendant’s purposeful availment To establish Specific Jurisdiction, a P’s claim has to arise out of the D’s contact with the forum state Essential in each case that there be some act by which the D “purposely avails itself of the privilege of conducting business within the forum state, thus invoking the benefits and protections of its laws”. “When D purposely avails itself of the privilege, it has clear notice that it is subject to suit there” an can proactively act to alleviate the risk of burdensome litigation. Shaffer (1977) (stock case) Court clarified open question about Court finally resolves the question around in-rem and quasi in-rem and minimum contacts and in-rem and minimum contacts (which wasn’t answered in Int Shoe). Min Contacts quasi in-rem DO need to be considered for In Rem and Quasi In Rem also!! “Fair Warning” that particular activity may subject them to jurisdiction in that forum WW Volkswagon Reaffirmed Hanson’s holding that specific jurisdiction is not permissible unless the D has had deliberate, voluntary contacts with the forum state. A strong showing of reasonableness will not suffice. (1980) Purpose of Min Contacts Test: Purposeful availment must be by the D, not the consumer ONLY after Min Contacts are established, THEN Reasonableness or Fairness of Asserting PJ over D is assessed: Protect D against burden of Ensure states do not reach litigating in distant or beyond limits imposed by status inconvenient forum as coequal sovereigns Burden on D will always be A primary concern, but will need to be considered in light of other relevant factors, including: Forum states interest in adjudicating P’s interest in proceeding in convenient & effective relief Interstate judicial systems interest in most efficient resolution Shared interest of states in furthering substantive social policies Neither reasonableness without min contacts nor min contacts without reasonableness will suffice for PJ Rejected concept of Foreseeability that it’s likely a product will find itself in the forum state Rather, it is the D’s conduct & connection with the forum state as such that he should reasonably anticipate being haled into court there. The Due Process Clause “gives a degree of predictability to the legal system that allows potential D’s to structure their primary conduct with some min assurance as to where that conduct will & will not render them liable to suit.” Justice Brennan’s dissent: He believes min contacts must exist among the parties, contested transaction and the forum. The contacts between any two of these should not be determinative. Keeton (1984) Due process considerations only apply to the D “Fair Warning” out of Shaffer can be satisfied if D has “purposely directed” his activities at residents of FState AND litigation results from alleged injuries that “arise out of or relate to” those activities Calder (1984) Burger King (1985) Intentional Torts and PJ: D does not have to have been in the forum state, to have created purposeful contacts o Caldor Effect Test: Caused an effect in forum state results in purposeful availment (still used today) Min contacts must be created by D himself, unilateral activity of another party is not an appropr consideration when determining whether D has suff contacts to justify an assert of jurisdiction Mere injury to a forum resident is an insufficient connection to the forum for min contacts, the proper question is not whether the P experienced a particular injury or effect in the forum but whether the D’s conduct connects him to the forum in a meaningful way Contacts and fairness are different parts of the Int Shoe test and Contacts come FIRST Fairness Test: D needs to show that it is so gravely inconvenient that you’re at a severe disadvantage Answered the question “When can a contractual relationship give rise to PJ in a distant forum? “Purposeful availment” Expansion of minimum contacts test (Int Shoe) BK laid the groundwork for Asahi, where “purposeful act” requirement was a touchstone for evaluating whether reasonableness standard was satisfied. A D who has purposefully directed his activity at forum residents & seeks to defeat jurisdiction, must present a compelling case that the presence of some other considerations would render jurisdiction unreasonable. The court must look to the circumstances of the commercial relationship when evaluating PJ: Negotiation of the contract Were negotiations directed towards the forum state? Provisions in the contract itself Did the contract involve ongoing obligations to the Ensuing experience under the contract forum state? Choice of Law clause Duration of the contract? Forum Selection clause Asahi Metal (1987) Stream of Commerce Didn’t purposely availed itself? O’Connor Test: The placement of a product into the stream of commerce, without more, is not an act of the D purposefully directed towards the forum state. More could include: designing product for market in forum state, marketing in FS, marketing product through distributor in the forum state Brennan Test: As long as a participant in this process is aware that the final product is being marketed in the forum state (it’s regularly sold there and D knows about it), the possibility of a lawsuit cannot come as a surprise. Nor will the litigation present a burden of a lawsuit for which there is no corresponding benefit. Judge Stevens: Courts should focus on factors such as the volume of the D’s sales in the state and the hazardous nature of the product at issue. Burnham (1990) (Divorce) Split again Goodyear (2011) McIntyre (2011) Transient jurisdiction: Only kind you don’t need min contacts test for Due Process permits personal jurisdiction based solely on personal service within the forum state Scalia +3: Traditional bases when you’re served is good on its own due to its pedigree Brennan +3: Traditional bases do not matter, pedigree doesn’t matter, we must use Int Shoe Various Test to support specific jurisdiction “But For” test: but for D’s in-state Evidence test: D’s in state contacts Some kind of relationship contacts, the claim would not have are of such character that they between claim and the D’s arisen would be used as evidence in case contacts First introduction of: “Corp D’s contacts must be “sufficiently extensive”, so much so that the company is essentially AT HOME in the forum state (gen jurisdiction). Continuous & systematic: no longer the standard for General Jurisdiction. Kennedy +3: Adopt O’Connor approach, have to show that the English co intended to serve the NJ market Breyer & Alito: No jurisdiction in NJ, but don’t choose a test between the other 2 Split again / Apply both tests Walden (2014) (Security seizes their cash) Daimler (2014) Justice Ginsberg: Dissenting, Looks like the Brennan approach, if D put their product into the stream of commerce, and had knowledge it could end up in the forum state, then they can be held to account there. Court draws distinction between targeting an effect in the forum and targeting an individual who happens to live in the forum No “effects jurisdiction” Contacts were not directed towards the forum, just the resident of the forum. (Happenstance) Significantly raised the bar for courts Court’s holding impacted Int Shoe’s “systematic & continuous” hearing cases involving foreign Court can assert gen jurisdiction over corp if the corp’s affiliations corporations with the forum state are so continuous and systematic as to render the corp “at home” in the state Where are they “At Home”?? Corporations State of incorporation Principal place of business (“nerve center”) Can be multiple states Muscle test is not valid Individuals Based on Domicile Can only be one BMS (2017) Issue is one of “relatedness” Test for relatedness: Plaintiff’s claim must arise from or relate to the forum. For a state court to assert specific jurisdiction, there must be an affiliation between the forum state and specific claim at issue. Narrowed circumstances when courts may exercise specific jurisdiction over OOS Defs. Ford (2021) “Arise out of or RELATE to” The action must arise out of or relate to D’s contacts w/ Forum State 1. SINGLE (OR SPORADIC) CONTACT WITH FORUM STATE: Not enough, unless the claim arises from that contact, e.g., car accident in-state, issuance of insurance policy to resident. This jurisdiction is called “specific” jurisdiction. 2. CLAIM UNRELATED TO CONTACT WITH FORUM STATE: The defendant’s contact with the forum state must be so systematic and continuous as to make the defendant essentially “at home” in the forum state in order to subject the defendant to forum state jurisdiction (this is called “general” jurisdiction). 3. TORT CLAIMS: Jurisdiction exists if either: a. The defendant (or her agent) commits a tortious act inside the forum, and the cause of action arises from that act; or b. The defendant’s conduct out-of-state causes foreseeable injurious consequence in the forum. 4. PRODUCT LIABILITY CLAIMS: The defendant must have made an effort to reach the forum state’s market, not merely by injecting the product into the stream of commerce, but by some act purposefully directed toward the forum state, e.g., advertising aimed at forum state market. N.B.:: A state always has personal jurisdiction over a non-resident natural-person defendant if the defendant is served with process while she’s in the state, no matter how briefly. Burnham v. Superior Court (1990).