Mike, a Utah resident, sues Jim, a Nevada resident for $60,000 in Nevada’s Federal District court for negligence (a state law civil suit). Jim argues that the case should be dismissed for a lack of subject matter jurisdiction. Is he right? Under the circumstances, since Mike lives in Utah and Jim lives in Nevada then the type of subject matter jurisdiction that applies is diversity jurisdiction. Under 28 U.S. Code § 1332 – Diversity of citizenship; amount in controversy; costs (http://www.law.cornell.edu/wex-cgi/wexlink?wexns=USC&wexname=28:1332) the sum of the amount Mike is asking for does not exceed 75,000 dollars and so Jim is valid for filing lack of subject matter jurisdiction.
Bill, a California resident, sues Bob, also a California resident, for copyright infringement, a cause of action arising under federal law, in a Federal District Court in California. Bob argues that there is no subject matter jurisdiction. Is he right? Since there is no diversity in citizenship than diversity jurisdiction is out of the question. There are many forms of copyright infringement now a days thanks to the internet, so it really depends on the particular copyright infringement that Bill is suing Bob for. The federal court has to take into consideration if the victim intentionally committed the act. There is a difference between a person unknowingly using a design found on the worldwide web for financial profit than that compared to somebody who accidentally made a creation of their own imagination for profit. Second, if the defendant directly created the false profile of the business using the business as a target.
If the victim intended to harm the possessor or the business that holds the ownership of the copyright in any way or form it is taken into consideration towards the case. Third, if the plaintiff suffered damages because of the act in the state. If the Bob’s actions towards the infringement of the copyright had threatened Billy’s well being or caused the value of the copyright to decrease it is also taken into consideration. (http://faculty.ist.psu.edu/bagby/432Spring12/T15/jurisdiction.html) Since copyright cases fall into the category of exclusive jurisdiction than it is definitely going to be taken up by the California federal court. If the case is concerned about the authorship rather than the ownership of the copyright than it will also fall under federal question jurisdiction which claims Bob’s protest for no subject matter jurisdiction to be shunned out of question.
Billy, a Seattle, Washington resident, sues the Orange Corporation, a Texas corporation, under a breach of contract (a state law cause of action) in Washington State Court for $100,000. The Orange Corporation does most of its business in Texas. It is incorporated in Texas, and its corporate Headquarters are located in Dallas, Texas. However, the Orange Corporation does have a branch office in Seattle, Washington where it employs a single salesman. Additionally, the corporation advertises in the Seattle. The corporation argues that Washington lacks personal jurisdiction over the corporation. Is the corporation right?
Assume for this question that Washington may exercise personal jurisdiction to the extent permitted by the Constitution of the United States. Be sure to list the standard the court will apply. Billy should first off should know if the forum selection clause bounds him to the Washington court or not and if it is enforceable. If it does not bound Billy to the Washington court than he could file for breach of contract in Texas. The important thing is the area or place that seemed to do the most damage. Courts could constitutionally exercise jurisdiction over a nonresident defendant if the defendant had sufficient contacts with the state. The single salesman serves as proof of a contact.
Since the Orange corporation has contacts in Seattle their argument is invalid. If the court resolves to restitution than Orange corporation will have to pay Billy $100,000.
Situation 4: Same facts as above. Assume the court finds there is personal jurisdiction. Can the Orange Corporation have the case removed to federal court? On pleading for dismissal of the case it is required to provide a sworn affidavit. The affidavit should support the said motion. First off, the plaintiff should provide it’s own affidavit to exercise the use of personal jurisdiction. Once the plaintiff has provided an affidavit, plaintiff and defendant’s affidavit can be reconciled and do not conflict with the facts of the court or contract that was breached than the court can make a ruling based off that. If issues do arise relating to personal jurisdiction, than the parties should do a limited discovery before doing a hearing. Going beyond the personal jurisdiction issue will waiver the case of the defendant’s objections and go to federal court.
Legal Information Institute 28 U.S. Code § 1332 Diversity of citizenship; amount in controversy; costs; Retrieved from: http://www.law.cornell.edu/wex-cgi/wexlink?wexns=USC&wexname=28:1332 Jurisdiction of Copyright Infringement; Retrieved from: http://faculty.ist.psu.edu/bagby/432Spring12/T15/jurisdiction.html Personal Jurisdiction in Federal Courts; Retrieved from: .http://civilprocedure.uslegal.com/jurisdiction/personal-jurisdiction/personal-jurisdiction-in-federal-courts/