Black Diamond Energy Partners 2001-A Ltd. v. S & T Bank
278 P.3d 738
Wyo.2012Background
- BDE Partners (approximately 3800 limited partners) and two managing partners own Wyoming wells; BDE, Inc. (Wyoming) and BDE Del (Delaware) are the managing partners, with Koval Resources (Nevada) as owner of those entities.
- S&T Bank, a Pennsylvania bank, loaned Koval Resources $5 million under agreements governed by Pennsylvania law with Pennsylvania jurisdiction clause.
- BDE Partners sued S&T in Wyoming alleging interference with Wyoming operations and other claims; S&T moved to dismiss for lack of Wyoming personal jurisdiction.
- The district court granted dismissal, holding Wyoming lacked minimum contacts; BDE Partners appealed.
- Wyoming Supreme Court reversed, holding sufficient undisputed facts showed S&T engaged in activities with Wyoming connections to support jurisdiction and remanded for further proceedings.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Wyoming has personal jurisdiction over S&T Bank | BDE Partners — S&T engaged in activities with Wyoming entities and property | S&T did not purposefully avail in Wyoming and contacts are Pennsylvania-based | Yes; Wyoming has jurisdiction over S&T. |
| Whether the three-part test supports jurisdiction | Activities in Wyoming caused consequences in Wyoming benefiting S&T | Connections to Wyoming were not sufficiently related to the suit | Yes; the three-part test is satisfied given collateral, control of Wyoming assets, and consequences in Wyoming. |
Key Cases Cited
- Amoco Prod. Co. v. EM Nominee Partnership Co., 886 P.2d 265 (Wyo.1994) (contract with Wyoming consequences supports specific jurisdiction)
- Olmstead v. American Granby Co., 565 P.2d 108 (Wyo.1977) (minimum contacts requirement; purposeful availment)
- Markby v. St. Anthony Hosp. Sys., 647 P.2d 1068 (Wyo.1982) (advertising in Wyoming not enough for jurisdiction)
- Eddy v. Oukrop, 784 P.2d 610 (Wyo.1989) (contract-related jurisdiction when suit arises from Wyoming activity)
- Anderson v. Perry, 667 P.2d 1157 (Wyo.1983) (three-part test for jurisdiction; contracts involving Wyoming property)