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Lorenzo Mendoza Martinez v. Avions De Transport Regional
764 F.3d 1062
9th Cir.
2014
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Background

  • Plaintiffs, heirs of Lorenzo Mendoza Cervantes, sue ATR in N.D. Cal. for defective design/construction of an ATR airplane that crashed near Cuba in 2010, killing all aboard.
  • ATR is a French company with HQ and principal place of business in France; it has no CA offices and is not licensed to do business in California.
  • AT R’s CA contacts include selling parts to CA suppliers, sending representatives to CA, advertising in CA, selling planes to a CA company, and flight operations by Empire Airlines on a CA route; ATR North America moved its headquarters from Virginia to Florida.
  • Plaintiffs served ATR at its France headquarters; district court declined jurisdiction but allowed limited jurisdictional discovery; during discovery, plaintiffs served ATR’s VP of marketing in CA.
  • After discovery, district court granted ATR’s motion to dismiss for lack of personal jurisdiction; plaintiffs appeal arguing (1) Burnham tag jurisdiction over corporations, and (2) ATR’s CA contacts create general jurisdiction; court concludes Burnham does not apply to corporations and ATR is not essentially at home in CA, so general jurisdiction does not exist.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Burnham tag jurisdiction applies to corporations. Martinez asserts Burnham allows tag jurisdiction over ATR via in-state service on an officer. ATR contends Burnham does not apply to corporations, only natural persons. Burnham does not apply to corporations.
Whether ATR’s CA contacts support general jurisdiction. ATR’s CA business contacts show extensive, systematic activity warranting general jurisdiction. At most, CA contacts are insufficient to render ATR essentially at home in CA. ATR is not subject to general jurisdiction in California.
Whether ATR’s CA contacts could render ATR essentially at home under Daimler. In-state activities plus CA sales and advertising are substantial. No, ATR is not essentially at home in CA; Daimler limits general jurisdiction to the place of incorporation or principal place of business. Not essentially at home in CA; Daimler controls.
Whether additional jurisdictional discovery could alter the outcome. Discovery about ATR North America might uncover essential contacts. Discovery would be futile; ATR is not at home in CA. denial of further discovery affirmed.

Key Cases Cited

  • Burnham v. Superior Court, 495 U.S. 604 (1990) (tag jurisdiction for individuals; not applicable to corporations)
  • Daimler AG v. Bauman, 134 S. Ct. 746 (2014) (general jurisdiction limited to at-home corporations; exceptional cases required)
  • International Shoe Co. v. Washington, 326 U.S. 310 (1945) (foundation of modern due-process-based jurisdiction; contacts-based standard)
  • Perkins v. Benguet Consolidated Mining Co., 342 U.S. 437 (1952) (general jurisdiction based on extensive national/worldwide activities)
  • Chan v. Society Expeditions, Inc., 39 F.3d 1398 (1994) (distinguishes service effectiveness from general jurisdiction over corporations)
Read the full case

Case Details

Case Name: Lorenzo Mendoza Martinez v. Avions De Transport Regional
Court Name: Court of Appeals for the Ninth Circuit
Date Published: Aug 21, 2014
Citation: 764 F.3d 1062
Docket Number: 12-16043
Court Abbreviation: 9th Cir.