Stay current on changes and developments in corporate law with a wide variety of resources and tools.
By Lisa Helem
Aug. 22 — French aircraft maker Avions de Transport Regional isn't subject to personal jurisdiction in a product liability lawsuit in California because the U.S. Supreme Court's precedent in a 1990 jurisdiction case doesn't authorize “tag jurisdiction” over corporations, the Ninth Circuit ruled.
The U.S. Court of Appeals for the Ninth Circuit considered whether, under Burnham v. Superior Court, 495 U.S. 604 (1990), service of process on a corporation's officer in a forum state creates general personal jurisdiction over the corporation.
“We hold that Burnham does not apply to corporations. A court may exercise general personal jurisdiction over a corporation only when its contacts ‘render it essentially at home' in the state,” the Ninth Circuit held.
It referenced and quoted the Supreme Court's plurality opinion in Daimler AG v. Bauman, 2014 BL 9151, U.S. (Jan. 14, 2014).
The French aircraft manufacturer Avions de Transport Regional (ATR) was sued in federal court in California by heirs of Lorenzo C. M. Cervantes, a passenger on an ATR-72-212 airplane that crashed in Cuba. Everyone aboard Aero Caribbean flight 883 was killed.
Lorenzo Martinez and other heirs alleged that ATR's defective design and construction of the airplane caused the crash.
The district court granted ATR's motion to dismiss for lack of personal jurisdiction.
On appeal, the Ninth Circuit found that “because ATR is not otherwise ‘essentially at home' in California, and service on its corporate officer did not render it so, we affirm the district court.”
The Ninth Circuit reasoned that neither the plurality opinion nor any other opinions in Burnham discussed tag jurisdiction with respect to artificial persons.
The opinion is available at http://www.bloomberglaw.com/public/document/LORENZO_MENDOZA_MARTINEZ_ELIEZER_MENDOZA_MARTINEZ_ELIU_MENDOZA_GL.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to firstname.lastname@example.org.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to email@example.com.
Put me on standing order
Notify me when new releases are available (no standing order will be created)