752 F. Supp. 2d 141
D. Mass.2010Background
- Risktimetry owns a copyright on a software system used for pre-trade risk analysis.
- The Theoretics entity created the original software and later filed for bankruptcy in 2008; Risktimetry acquired the rights in December 2009.
- Altaira, formed by Theoretics in June 2005, released the Altaira System in August 2007.
- In July 2008, Linedata U.S.A. partnered with Altaira to integrate the Altaira System into its product line.
- Risktimetry alleges Altaira copied the Copyrighted System and formed an exclusive partnership with Linedata U.S.A. to license the infringing software.
- Altaira moves to dismiss for lack of personal jurisdiction; scheduling conference held; Risktimetry can respond to the motion with a sur-reply.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether there is specific personal jurisdiction over Altaira | Risktimetry asserts Altaira's exclusive partnership with Linedata U.S.A. creates substantial Massachusetts activity. | Altaira contends there is no in-forum activity; partnership questions are unresolved; no distribution of software occurred. | Yes, Altaira is subject to specific jurisdiction in Massachusetts. |
Key Cases Cited
- Bell Atl. Corp. v. Twombly, 550 U.S. 544 (2007) (claims must be plausible on their face)
- Ashcroft v. Iqbal, 129 S. Ct. 1937 (2009) (threadbare legal conclusions insufficient)
- Astro-Med, Inc. v. Nihon Kohden Am., Inc., 591 F.3d 1 (1st Cir. 2009) (minimum contacts and due process framework)
- Sawtelle v. Farrell, 70 F.3d 1389 (1st Cir. 1995) (Gestalt factors for reasonableness; tripartite test)
- Burger King Corp. v. Rudzewicz, 471 U.S. 462 (1985) (purposeful availment and continuing obligations)
- Phillips Exeter Academy v. Howard Phillips Fund, 196 F.3d 284 (1st Cir. 1999) (contract-based contacts and nexus to forum)
- Platten v. HG Bermuda Exempted, Ltd., 437 F.3d 118 (1st Cir. 2006) (exclusive licensing can establish availment)
- Intercontinental Leasing, Inc. v. Anderson, 410 F.2d 303 (10th Cir. 1969) (partnerships can establish activity in forum state)
- Akro Corp. v. Luker, 45 F.3d 1541 (Fed. Cir. 1995) (exclusive licensing with in-state entity supports jurisdiction)