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Cooper Tire & Rubber Company v. McCall
312 Ga. 422
Ga.
2021
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Background:

  • Tyrance McCall, a Florida resident, was severely injured in Florida when a Cooper Tire tire allegedly failed; he sued Cooper Tire in Gwinnett County, Georgia for negligence, strict product liability, and punitive damages.
  • Cooper Tire is incorporated in Delaware with its principal place of business in Ohio; it conceded it was authorized/registered to do business in Georgia and maintained a registered agent.
  • Cooper Tire moved to dismiss for lack of personal jurisdiction; the trial court granted the motion; the Court of Appeals reversed, relying on Allstate Ins. Co. v. Klein (holding a foreign corporation authorized to do business in Georgia is a ‘resident’ subject to general jurisdiction).
  • Georgia Supreme Court granted certiorari to reconsider Klein in light of recent U.S. Supreme Court general-jurisdiction precedents (Goodyear, Daimler, etc.).
  • The Georgia Supreme Court held Klein does not violate federal due process because Pennsylvania Fire (consent-by-registration) remains binding federal precedent, and declined to overrule Klein under state-law stare decisis (noting practical and statutory consequences of overruling).
  • The Court nevertheless held Cooper Tire is not subject to specific jurisdiction under Georgia’s Long Arm Statute, but is presently subject to general jurisdiction in Georgia by virtue of Klein; the opinion urges the General Assembly to consider statutory revision.

Issues:

Issue Plaintiff's Argument Defendant's Argument Held
Whether Georgia may assert general jurisdiction over a foreign corporation solely because it is authorized/registered to do business in Georgia (Klein’s rule) McCall: Registration makes Cooper Tire a Georgia "resident" per Klein, so Georgia courts have general jurisdiction. Cooper Tire: Modern U.S. Supreme Court precedents limit general jurisdiction to place of incorporation/principal place of business; Klein conflicts with federal due process. Court: Klein does not violate federal due process because Pennsylvania Fire (consent-by-registration) remains binding; registration can constitute consent to general jurisdiction.
Whether Klein should be overruled as a matter of Georgia statutory interpretation and stare decisis McCall: Klein is correct and should stand. Cooper Tire: Klein misread statutes and creates perverse incentives; should be overruled. Court: Declines to overrule Klein—stare decisis factors (soundness, workability, reliance, age) favor keeping Klein to avoid a jurisdictional gap.
Whether Cooper Tire is subject to specific jurisdiction under Georgia’s Long Arm Statute (OCGA §§9-10-90 et seq.) McCall: Authorized-to-do-business status supports jurisdiction. Cooper Tire: Minimal Georgia contacts and the injury occurred in Florida; no basis for specific jurisdiction. Court: Cooper Tire is not subject to specific jurisdiction under the Long Arm Statute; but remains subject to general jurisdiction under Klein.

Key Cases Cited

  • Pennoyer v. Neff, 95 U.S. 714 (1878) (foundational territorial approach to personal jurisdiction)
  • Pennsylvania Fire Ins. Co. v. Gold Issue Mining & Milling Co., 243 U.S. 93 (1917) (state registration/agent filing can constitute consent to general jurisdiction)
  • International Shoe Co. v. Washington, 326 U.S. 310 (1945) (minimum-contacts test and distinction between specific and general jurisdiction)
  • Goodyear Dunlop Tires Operations, S.A. v. Brown, 564 U.S. 915 (2011) (general jurisdiction requires affiliations so continuous and systematic as to render defendant "at home")
  • Daimler AG v. Bauman, 571 U.S. 117 (2014) (limits general jurisdiction for nonconsenting corporations to place of incorporation or principal place of business in ordinary cases)
  • Ford Motor Co. v. Montana Eighth Judicial Dist. Court, 141 S. Ct. 1017 (2021) (clarifies specific-jurisdiction analysis; distinguishes specific and general jurisdiction)
  • Allstate Ins. Co. v. Klein, 262 Ga. 599 (1992) (Georgia precedent holding a foreign corporation authorized to transact business in Georgia is a "resident" subject to general jurisdiction)
Read the full case

Case Details

Case Name: Cooper Tire & Rubber Company v. McCall
Court Name: Supreme Court of Georgia
Date Published: Sep 21, 2021
Citation: 312 Ga. 422
Docket Number: S20G1368
Court Abbreviation: Ga.