Posts Categorized: Jurisdiction

Posted: December 24, 2014

Limits on Foreign Corporations’ Ability to Create Jurisdiction by Consent in New York

On December 23, 2014, the First Department issued a decision in Techo-TM, LLC v. Fireaway, Inc., 2014 NY Slip Op. 08908, holding that a New York court could not exercise long-arm jurisdiction over two foreign corporations based only on the parties’ consent to that jurisdiction. Business Corporations Law 1314(b) provides that: (b) Except as otherwise... Read more »

Posted: November 23, 2014

Out-of-State Medical Practice not Subject to Personal Jurisdiction in New York Based on Passive Website and Communications Initiated by the Plaintiff

On November 20, 2014, the Court of Appeals issued a decision in Paterno v. Laser Spine Inst., 2014 NY Slip Op. 08054, analyzing whether contacts with New York via the Internet were sufficient to create personal jurisdiction. In Paterno, the plaintiff brought a medical malpractice action against a Florida medical provider. The court described the... Read more »

Posted: November 10, 2014

Defendants’ Indirect Connections to New York Insufficient to Establish Personal Jurisdiction

On November 6, 2014, the First Department issued a decision in Bluewaters Communications Holdings, LLC v. Ecclestone, 2014 NY Slip Op. 07600, affirming a trial court’s dismissal of foreign defendants for lack of personal jurisdiction. In Bluewaters Communications Holding, the First Department affirmed the holding that there was not jurisdiction over defendants in New York,... Read more »

Posted: November 6, 2014

Forum Selection Clause Not Enforced When Neither Parties Nor Agreement Connected to Chosen Forum

On November 5, 2014, the Second Department issued a decision in U.S. Merchandise, Inc. v L&R Distributors, Inc., 2014 NY Slip Op. 07495, refusing to enforce a forum selection clause. In U.S. Merchandise, the Second Department reversed a trial court decision dismissing an action because the parties’ contract contained a forum selection clause providing for... Read more »

Posted: October 14, 2014

Non-Signatory May Be Bound by a Contract’s Forum Selection Clause

On October 3, 2014, Justice Kornreich of the New York County Commercial Division issued a decision in Taberna Preferred Funding II, Ltd. v. Advance Realty Group LLC, 2014 NY Slip Op. 51461(U), analyzing the question of whether the court had personal jurisdiction over defendants. One issue addressed by the court in Taberna Preferred Funding was... Read more »

Posted: September 24, 2014

New York does not Follow the “Fiduciary Shield” Doctrine, so Corporate Officers’ Actions on Behalf of a Company can Form the Basis for Personal Jurisdiction over the Officer

On September 8, 2014, Justice Schweitzer of the New York County Commercial Division issued a decision in Interventure 77 Hudson LLC v. Falcon Real Estate Investment Co. LP, 2014 NY Slip Op. 32401(U), denying a motion to dismiss. In Interventure 77 Hudson, the underlying dispute concerns alleged mismanagement of a real estate portfolio. However, the... Read more »

Posted: August 2, 2014

No Personal Jurisdiction Based on Solicitation of Business in State Without More

On July 30, 2014, the Second Department issued a decision in Mejia-Haffner v. Killington, Ltd., 2014 NY Slip Op. 05522, affirming a dismissal for lack of personal jurisdiction. In Mejia-Haffner, the plaintiffs sued a Vermont ski resort in Queens County. Even though the resort advertised in New York, the Second Department affirmed the dismissal for lack... Read more »

Posted: July 1, 2014

Probate Exception Does Not Bar RICO Claims

On June 27, 2014, the Second Circuit issued a decision in Leskinen v. Halsey, 13-1157-CV, limiting the application of the probate exception to federal jurisdiction. In Leskinen, the EDNY dismissed a plaintiff’s RICO and related state-law claims against “various relatives and other participants in the sale of real property once owned by her late grandmother,” holding “that the... Read more »