Michael Simmons v. Boyd Gaming Corporation and Delta Downs Racetrack Casino and Hotel
09-16-00470-CV
Tex. App.Aug 3, 2017Background
- Collision in Jefferson County, Texas: Horton (Louisiana) drove from Delta Downs Racetrack Casino & Hotel (operated by Boyd Racing LLC; parent Boyd Gaming) and struck Simmons, causing injuries; Horton had consumed alcohol at Delta Downs in Louisiana.
- Simmons sued Horton, Boyd Gaming, and Delta Downs in Texas claiming negligence under the Texas Dram Shop Act (alleging employees served Horton while he was obviously intoxicated).
- Boyd Gaming (Nevada corp.; principal place Las Vegas) and Delta Downs (Louisiana LLC; principal place Vinton) filed a joint special appearance denying Texas residency and contesting jurisdiction, attaching Mitnik’s unsworn declaration that they lacked offices, agents, property, or purposeful Texas-directed acts relevant to the suit.
- Plaintiff submitted discovery materials and Horton affidavits showing he received Boyd/Delta marketing and was a B Connected member who was enticed to visit Delta Downs; plaintiff did not introduce the specific promotional emails or advertisements at issue.
- Evidence showed Delta Downs purchased goods/services from Texas vendors and spent millions advertising in Southeast Texas, but no evidence showed promotions promised complimentary alcohol or that the alleged service occurred in Texas; trial court granted the special appearance and dismissed Boyd and Delta Downs.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Specific jurisdiction: whether Texas courts may exercise jurisdiction based on marketing/contacts with Texas (Dram Shop Act claim) | Simmons: Boyd/Delta purposefully directed marketing to Texas (including Horton), so the Dram Shop claim substantially relates to those contacts | Boyd/Delta: marketing and remote contacts do not establish purposeful availment or a substantial connection to the alleged tort (serving alcohol occurred in Louisiana) | Court: No specific jurisdiction — plaintiff failed to show a substantial connection between Texas-directed contacts and the operative facts of the Dram Shop claim |
| General jurisdiction: whether contacts with Texas are continuous/systematic enough to render corporations "at home" in Texas | Simmons: Significant advertising and vendor/business volume in Texas demonstrate continuous, systematic contacts supporting general jurisdiction | Boyd/Delta: Incorporated/principal place of business out of state; contacts (advertising/vendor purchases) insufficient to render them at home in Texas | Court: No general jurisdiction — contacts not so continuous/systematic to make defendants at home in Texas; Daimler governs |
Key Cases Cited
- BMC Software Belgium, N.V. v. Marchand, 83 S.W.3d 789 (Tex. 2002) (standards for special appearance and long-arm statute analysis)
- Moki Mac River Expeditions v. Drugg, 221 S.W.3d 569 (Tex. 2007) (substantial-connection test; but-for causation insufficient)
- Daimler AG v. Bauman, 134 S. Ct. 746 (U.S. 2014) (general jurisdiction — corporation at home only in place of incorporation or principal place of business absent exceptional circumstances)
- Kelly v. Gen. Interior Constr., Inc., 301 S.W.3d 653 (Tex. 2010) (shifting burdens in special appearance hearings)
- Michiana Easy Livin’ Country, Inc. v. Holten, 168 S.W.3d 777 (Tex. 2005) (in-state advertising alone generally insufficient for jurisdiction over out-of-state torts)
- Burger King Corp. v. Rudzewicz, 471 U.S. 462 (U.S. 1985) (contacts must relate to the cause of action; forum contacts by contract may be insufficient when unrelated)
- Hanson v. Denckla, 357 U.S. 235 (U.S. 1958) (unilateral activity of third parties cannot establish defendant forum contacts)
- Retamco Operating, Inc. v. Republic Drilling Co., 278 S.W.3d 333 (Tex. 2009) (implied findings appropriate where supported by record)
- Triplex Commc’ns v. Riley, 900 S.W.2d 716 (Tex. 1995) (distinguishing negligent-promotion claims from other tort theories)
