INTERNATIONAL UNIVERSITY OF HEALTH SCIENCES, LTD. v. JOHN ABELES and PETER GLEESON
299 So.3d 405
Fla. Dist. Ct. App.2020Background
- International University of the Health Sciences Ltd., Inc. (IUHS) is an offshore private medical school (St. Kitts & Nevis) whose business administration was conducted from Florida.
- IUHS’s CFO (and long‑time president/board member) Randall Simms ran IUHS from his Florida residence for ~18 years; the school used a Florida bank account, held board meetings at Simms’s home, maintained a Florida phone line, and held student events in Florida.
- Dr. John Abeles, a Palm Beach County resident, entered a consulting/employment arrangement to provide management/educational services for monthly compensation; he sued for breach of contract and unpaid compensation.
- IUHS moved to dismiss for lack of personal jurisdiction and insufficient service of process; the trial court held an evidentiary hearing and denied the motion.
- Service was effected on John Walton at Simms’s residence; Walton was identified on the return as "Director of Finance," forwarded the papers to IUHS officers, and the trial court found Walton to be an agent/officer for service purposes.
- On appeal, the Fourth District affirmed: Florida courts have jurisdiction (general and specific) over IUHS, and service on Walton was sufficient under Florida law.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Personal jurisdiction (general and specific) | Abeles: IUHS’s long‑running management and operational activities in Florida (Simms running company, Florida bank, meetings, events, services performed in Florida, place of payment) establish both specific and general jurisdiction | IUHS: foreign corporation; activities in Florida insufficient to subject IUHS to Florida jurisdiction; Daimler limits general‑jurisdiction reach | Affirmed: Competent substantial evidence supports both general jurisdiction (continuous/systematic contacts) and specific jurisdiction (contract negotiated/performed in Florida) |
| Service of process | Abeles: Service on Walton at Simms’s residence was valid because Walton acted as IUHS’s Director of Finance/agent and forwarded process to IUHS officers | IUHS: Walton was not an IUHS officer or agent for service; service therefore insufficient | Affirmed: Walton was acting as a business agent/Director of Finance transacting business in Florida; service under Fla. Stat. §48.081 was sufficient to give notice |
Key Cases Cited
- Venetian Salami Co. v. Parthenais, 554 So. 2d 499 (Fla. 1989) (two‑part long‑arm statute and due‑process analysis)
- International Shoe Co. v. Washington, 326 U.S. 310 (U.S. 1945) (minimum contacts and due process standard)
- Daimler AG v. Bauman, 571 U.S. 117 (U.S. 2014) (limits on general jurisdiction absent a forum home)
- Goodyear Dunlop Tires Operations, S.A. v. Brown, 564 U.S. 915 (U.S. 2011) (general jurisdiction principles)
- Helicopteros Nacionales de Colombia, S.A. v. Hall, 466 U.S. 408 (U.S. 1984) (continuous and systematic contacts test)
- Bank of Am., N.A. v. Bornstein, 39 So. 3d 500 (Fla. 4th DCA 2010) (service on corporate agents and the purpose of service)
- Shurman v. Atlantic Mortg. & Inv. Corp., 795 So. 2d 952 (Fla. 2001) (service of process purpose: notice to defendant)
