OPINION
This matter comes before the Court on a motion to dismiss under Federal Rule of Civil Procedure 12(b)(2) filed by Defendants National Institute for Newman Studies (“NINS”), Catherine Ryan, Drew Morgan, Henry Gailliot, and David Abernathy (collectively “Defendants”), seeking dismissal of the Complaint by Plaintiff Robert C. Christie (“Plaintiff’) for lack of personal'jurisdiction. On this motion, this Court is faced with the question whether and how a defendant’s “virtual” presence and conduct translate into contacts with a particular forum state. For the following reasons, the Court finds that Defendants are subject to personal jurisdiction in New Jersey because of their alleged tortious conduct committed via the Internet, which constituted “virtual contacts” sufficient for specific jurisdiction purposes. Therefore, Defendants’ motion to dismiss for lack of personal jurisdiction is DENIED.
BACKGROUND
Plaintiff was formerly employed as the Executive Director of NINS. Compl., ¶ 12. Plaintiff, at all times relevant, resided in New Jersey. Id. at ¶1. NINS is a nonprofit organization with its principal place of business in Pittsburgh, Pennsylvania. Id. at ¶2. Defendants Catherine Ryan, Drew-Morgan, Henry Gailliot, and David Abernathy (the “Individual Defendants”), are all members of NINS’s Board of Directors and residents of Pennsylvania. Id. at ¶¶ 3-7.
Plaintiff alleges that when he was hired as the Executive Director, Defendants knew that he would continue to reside in New Jersey, and to carry out his job duties, Plaintiff would travel back-and-forth between his home and NINS’s headquarter in Pennsylvania..Pi’s Certification, ¶ 12. As part of this work, arrangement, Plaintiff claims that Defendants facilitated and paid for “approximately fifty (50) flights and for [his] lodging while [he] stay[ed] in Pennsylvania for [NINS’s] business.” Id. Similarly, during his tenure as the Executive Director, at the direction of Catherine Ryan (“Ryan”), Chief Member of NINS’s Board of Trustees, NINS prepared and submitted Plаintiff’s tax paperwork to the State of New Jersey. Id.
Nearly a year after being hired as Executive Director, around January • 2016, Plaintiff was . diagnosed with cancer. Compl., ¶.13. Consequently, Plaintiff began treatment and was forced to take a leave of. absence. Id. at ¶ 13; Pl.’s Certification, ¶ 3. At some point after beginning treatment, Plaintiff claims that Ryan directed
Around April 2016, without Plaintiffs knowledge, NINS hired a new Executive Director to replace Plaintiff. Compl., ¶ 15. Subsequently, Plaintiff was notified by Ryan that Plaintiff was being terminated, which Plaintiff believes was related to his cancer treatment. PL’s Certification ¶¶ 4-5; Compl., ¶ 17. At some point thereafter, Plaintiff retained an employment attorney in Pennsylvania relating to his potential wrongful termination claims. See PL’s Certification, ¶ 9.
Plaintiff and NINS engaged in negotiations to resolve claims Plaintiff may have had against NINS. Id. at ¶ 6. An agreement was reached and mailed to Plaintiff in New Jersey. Id. The same day Plaintiff received the agreement, which was sent to him in New Jersey via Federal Express, NINS’s attorney, in Pennsylvania, emailed Plaintiff revoking the agreement. Id. When Plaintiff inquired why the agreement had been revoked, NINS’s attorney indicated that, in an electronic correspondence, “the decision to withdraw the offer was made in large part due to the content of your recent emails.Id. at ¶ 7.
Later, Plaintiff “noticed that hundreds of [his] personal email[s] ... had been deleted.”
According to Plaintiff, NINS’s letter sent to his attorney is evidence showing that Defendants accessed Plaintiffs computer. That letter read in part:
Simultaneous with [Plaintiffs] engaging in discussions with [Ryan] regarding the terms of his departure as NINS’s Interim Executive Director, [Plaintiff]— while still a Trustee of NINS — was engaging in contemptible email messaging to a Father Ian Ker (Ker) and at least one other person in which your client disparaged NINS, acted in his own self-interest at the expense of NINS, and affirmatively sought to harm NINS’s relationship with third parties.
Id. at ¶ 9.
Plaintiff alleges that Defendants intentionally and unlawfully accessed, reviewed, and deleted his personal emails and files on his computer. See Compl., ¶¶ 24-27. There is no dispute that Defendants’ alleged wrongful activities were taken while Plaintiff and his computer were in New Jersey. Id. at ¶¶ 30-32. Plaintiff names the Individual Defendants in addition to NINS because, he alleges, as members of NINS’s Board of Directors, they approved and oversaw the unlawful intrusions into his emails and files. Id. at ¶¶ 7-8. Based on those allegations, Plaintiff asserts violations of the Computer Fraud and Abuse Act (CFAA), 18 U.S.C. §§ 1030, et seq., Invasion of Privacy, and violation of New Jersey’s Computer Related Offense Act, N.J.S.A. 2A:38A-3. Id. at ¶¶ 27-41.
In the instant matter, Defendants move to dismiss the complaint for lack of personal jurisdiction pursuant to Fed. R. Civ. P. 12(b)(2). Defendants argue that them conduct related to Plaintiff is insufficient to meet the requisite minimum contacts with New Jersey for them to be subject to
DISCUSSION
I. Standard of Review
“A federal court sitting in New Jersey has jurisdiction over parties to the extent provided under New Jersey state law.” Miller Yacht Sales, Inc. v. Smith,
In the context of a motion to dismiss for lack of personal jurisdiction under Federal Rule of Civil Procedure 12(b)(2), “when the court does not hold an evidentiary hearing on the motion to dismiss, the plaintiff need only establish a prima facie case of personal jurisdiction and the plaintiff is' entitled to have its allegations taken as true and all factual disputes drawn in its favor.” Miller Yacht Sales, Inc.,
II. Personal Jurisdiction
To subject a defendant to personal jurisdiction in New Jersey, Due Process requires that the defendant “have certain minimum contacts with [New Jersey] such that the'maintenance of the suit does not offend ‘traditional notions of fair play and substantial justice.’ ” Int’l Shoe Co. v. State of Wash., Office of Unemployment Comp., and Placement,
Here, Plaintiff concedes that” Defendants “lack[] the ‘continuous and systematic’ contacts to satisfy the requiremеnts for general jurisdiction.” Pl.’s Br. 3. Thus, the question before the Court is whether there is claim-specific jurisdiction over Defendants, which “depends on an af01iatio[n] between the forum and the underlying controversy (i.e,, an activity or an occurrence that takes place in the forum State and is therefore subject to the
A. Specific Jurisdiction
To examine whether specific jurisdiction exists, courts apply a three-part inquiry:
(1) Defendant’s activities must be purposefully directed at the forum;
(2) “[Plaintiff’s claim[s] must arise out of or relate to at-least one of those specific activities”; and
(3) The assertion of jurisdiction must be reasonable or “otherwise com- • port[] with fair play and substantial justice.”
Marten v. Godwin,
In .this case, Plaintiff alleges that the out-of-state Defendants hacked into his computer, and deleted emails and other data, which constitute tortious activity. In that regard, there is no dispute that the Calder “effects test” applies here, because whether tortious conduct is committed via the Internet or in more traditional means, does not change the inquiry of the location where Defendants purposefully aimed their, alleged cyberactivity. See Ralsky,
B. Calder Effects Test
The Third Circuit has explained that the Calder “effects test” requires -the plaintiff to show:
(1) The defendant committed an intentional tort;
(2) The plaintiff felt the brunt of the harm in the forum such that the forum can be said to be the focal -point of the harm suffered by the plaintiff as a result of that tort; [and] ' ' ■
(3) The defendant expressly aimed his tortious conduct at the forum such that the forum can be said to be the .focal point of the tortious activity;
... in order to make out. the third prong of this test, the plaintiff must show that the defendant .knew that the plaintiff would suffer the brunt of the harm caused by the tortious conduct in the forum, and point to specific activity indi-eating that the defendant exрressly-aimed its tortious conduct at the forum.
IMO Indus., Inc.,
In Calder, petitioners in Florida wrote a libelous article about a California resident that caused harm to her reputation in the California community. “The article was drawn from California sources, and the brunt of the harm, in terms both of respondent’s emotional distress and the injury to her professional reputation, was suffered in .‘California.” Calder,
' Since Calder, courts have struggled to apply-the “effects test” to conduct other than defamation. Thus, the Supreme Court revisited its- test in Walden, and stressed that contacts with the forum State must be created by the “defendant himself.” Walden,
In Walden, while at an airport in Georgia, pétitioner, a Drug Enforcement Agent (DEA), searched respondent and seized a large sum of cash. Id. at 1119. Respondent filed a claim'against petitioner in Nevada, claiming that his injury occurred in Nevada since he, inter alia, could not access his money because of “the delayed return of .,. gambling funds.” Id. at 1120,1125. The DEA agent argued that the trial court lacked personal jurisdiction over him. The Supreme Court agreed and explained that the agent “never traveled to, conducted activities within, contacted anyone in, or sent anything or anyone to Nevada.” Id. at 1124. The only nexus to Nevada, the Court found, was the fact that the respondent was a Nevada resident and claimed injury once he returned home to Nevada. Id. at 1125. Indeed; the Court further found that any injury to respondent that continued in Nevada is not jurisdictionally relevant. Id. (“Calder made clear that mere injury to a forum resident is not a sufficient conneсtion to the forum.”). In that regard, the jurisdictional inquiry, the Walden Court explained, must not focus bn the' plaintiffs contacts with the forum; rather, “it [must] show[] that the defendant has formed a contact with the forum State.” Id. at 1125 (emphasis added). Because the search and seizure occurred in Georgia, no part of the DEA agent’s conduct giving rise to the respondent’s claims created the requisite minimum contacts with Nevada.
Specific Jurisdiction in the context of torts committed via the Internet requires a more nuanced inquiry under the “effects test.” See Walden,
In Remick, the Third Circuit considered specific personal jurisdiction over claims of defamation, misappropriation of image and likeness, tortious interference with a contract, and breach of a contract. Plaintiff Remick agreed to act as special counsel for a boxer for the purposes of procuring and negotiating high profile fights. When the boxer terminated his contract, Remick sued in Pennsylvania the boxer, his agent and the firm with which the agent was associated. The defendants, who were residents of Indiana and Illinois, moved to dismiss for lack of personal jurisdiction. The court found personal jurisdiction over the breach of contract and tortious interference claims, reasoning that the interference claim was “necessarily related to the contract” over which it found it had jurisdiction. As to the two other causes of action that sound in tort — defamation and misappropriation of image and likeness— the Third Circuit held that the “effects test” was not met.
Relevant here, the court applied the “effects test” to the misappropriation claim, which was asserted only against the boxer and his agent. The misappropriation consisted of posting a single photograph by the boxer on a boxing website without plaintiffs prior authorization. Remick,
In Marten, the Third Circuit reaffirmed its reasoning in Remick, emphasizing the importance of where defamatory statements are aimed. Marten,
Based on the body of case law applying Calder, and consistent with Walden, in this Court’s view, the jurisdictional inquiry should focus on where a defendant intendеd to direct its tortious conduct and whether that defendant -knew, or should have known, its activities would be felt in that forum State.
Here, Plaintiff alleges in his CFAA claim, which sounds in tort, that Defendants • intentionally and unlawfully accessed his personal files on his computer and his emails-hosted on Yahoo! servers. Further, Plaintiff alleges that after gaining access illegally, Defendants then deleted those files and emails. In their motion to dismiss, Defendants argue that they lack the requisite minimum contacts to be subject to personal jurisdiction in New Jersey. In doing so, it does not appear that Defendants dispute- the first two element of the “effects’test” — that an alleged intentional tort was committed and Plaintiff felt the brunt of the harm in New Jersey or the forum State. The bulk of Defendants’ contentions center on the last element— whether they expressly aimed their alleged tortious conduct at the forum such .that.the forum can be said to be the focal point of the tortious activity. See Marten,
More specifically, Defendants argue that (1) Plaintiff' has not sufficiently alleged facts .supporting specific jurisdiction, because Defendants’ activities were' not conducted in New Jersey, and Defendants did not purposefully avail themselvés of the privilege of doing business in New Jersey; and (2) subjecting Defendants to personal jurisdiction in New Jersey would be unfair, because New- Jersey and Pennsylvania have a shared interest in the fundamental social policy of protecting nonprofit, corporations from the burden of unnecessary costs, and Plaintiffs claims can be conveniently and effectively heard in Pennsylvania making New Jersey’s interest in this dispute limited. Finally, Defendants argue that even if NINS were subject to personal jurisdiction, the Individual Dеfendants are not. Each argument will be addressed below.-
Defendants argue that none of their alleged activities giving rise to this litigation occurred in New Jersey and that they did not physically- enter New- Jersey: At the outset, the Court rejects Defendant’s con
Next, Defendants argue that they have not “made any purposeful availment of the laws of New Jersey, or directed any conduct- specifically towards that forum.” Def.’s Mem. Supp. Mot. to Dismiss, at -3. In making this argument, Defendants focus on twо central points: first, Plaintiffs choice to live in New Jersey does not render them subject to jurisdiction, in Ne\y Jersey; and second, because Plaintiffs Yahoo! email’s server is located in California, any alleged access did not occur in New Jersey, These arguments, however, are misplaced.
Defendants are correct that, generally, a plaintiffs choice to reside in New Jersey does not subject defendants - to personal jurisdiction in New Jersey. See Hanson v. Denckla,
Indeed, before terminating Plaintiff, Ryan- — who knew Plaintiff was recovering from cancer .treatment at his -residence in New Jersey — had previously directed Plaintiff-to work from his home in New Jersey. Pl.’s Certification ¶ 13.-Thus, because of their former employment relationship with Plaintiff, Defendants knew that Plaintiff was in New Jersey and expected, or should have expected, that Plaintiffs computer was also in New Jersey. See IMO Indus., Inc.,
While' not the same as the “hacking” case before this Court, in tort cases that involve “harmful communications,' courts have held that the ‘express aiming1 requirement of the ‘effects test’ remains satisfied when the defendant is alleged to have engaged in wrongful conduct targeted at a plaintiff whom the defendant knows to be a resident of the forum state.” Cisco Sys. Inc. v. STMicroelectronics Inc., No. 14-3236,
In this case, based'on the alleged facts, Defendants actively communicated with Plaintiff in New Jersey, and affirmatively directed tortious conduct via the Internet at Plaintiff who they knew was located in New Jersey at that time. Thus, I find that Defendants expressly aimed tortious conduct at Plaintiff in New Jersey and knew that Plaintiff would feel the bruiit of the harm in New Jersey.
Nonetheless, Defendants argue that because Plaintiffs data was accessed using mobile technology and stored on Yahool’s email servers, an assertion of personal jurisdiction over them in New Jersey is improper. Defendants’ position is contrary to law.
As Defendants point out, moveable technology can follow its owner wherever he chooses to go. In that regard, Defendants submit that it is not jurisdictionally relevant that Plaintiff and his computer were located in New Jersey when they allegedly hacked Plaintiffs emails and files. Implicit in their argument, due to Plaintiffs mobility, Defendants argue they had no knowledge of where Plaintiff and his cоmputer would be. Certainly, an act performed over the Internet — without specifically targeting a-forum — cannot confer nationwide jurisdiction. See Remick,
Indeed, courts dealing with allegations of Internet torts under the CFAA, 18 U.S.C. §§ 1030, et seq., have reasoned that if an Internet tortfeasor claims ignorance of where his tortious conduct will be felt, but knows his conduct will result in an injury, his claim of ignorance cannot defeat personal jurisdiction. Ralsky,
Moreover, Defendants, argue that Plaintiffs email was stored on YahooPs servers in California, not New Jersey, and as such, Defendants’ alleged unauthorized access was targeting California. Since there is a dearth of case law in this Circuit involving tortious “virtual contacts,” this Court’s inquiry. must look beyond the Third Circuit for guidance on how the location of servers has been considered in jurisdictional questions by other courts involving similar Intеrnet activities.
Indeed, it would be fortuitous for the location of YahooPs servers in California to have any bearing on jurisdictional questions in this matter. The Seventh Circuit has explained:
As a practical matter, email does not exist in any location at all; it bounces from one server to another, it starts wherever the account-holder is sitting when she clicks the “send” button, and it winds up wherever the recipient happens to be at that instant. The connection between the place where an email is opened and a lawsuit is entirely fortuitous.
Advanced Tactical Ordnance Sys., LLC,
In circumstances, such as those here, where there is “evidence that a defendant in some Way targeted residents of a specific state, ... the focus would ... instead [be] on the deliberate actions by the defendant to target or direct itself toward the forum state.” Id. at 803. Indeed, the instant tortious conduct was not projected aimlessly into cyberspace (ie., posted on a blog or website). See Remick,
In Gridiron Management Group LLC v. Wranglers, this line of reasoning was, applied to similar facts that involved the hacking of a Yahoo! email account and claims under the CFAA. Wranglers, No. 12-3128,
In sum, the Court finds that (1) Defendants’ hacking constitutes a tort, (2) Defendants knew that their alleged hacking would harm Plaintiff in New Jersey, (3) Defendants affirmatively calculated their alleged hacking activities to harm Plaintiff in New Jersey, and (4) Plaintiff was in fact harmed in New Jersey. Thus, the Court holds that Defendants tortious activities satisfy the elements set forth in the Calder “effects test,” as Defendants’ contacts with New Jersey were meaningful and meet the “minimum contacts” prescribed by Due Process. See Walden,
C. Fundamental Fairness
After a court finds that “a defendant purposefully established minimum contacts within the forum State,” consideration may be given to “whether the assertion of personal jurisdiction would comport with ‘fair play and substantial justice.’” Burger King Corp.,
Defendants argue .that this Court should decline jurisdiction based on the “fairness factors” articulated in Pennzoil Prods. Co. v. Colelli & Associates., Inc.,
At the outset, the Court is mindful that the Supreme Court and the Third Cirсuit have cautioned “that cases are ‘rare ... in which minimum requirements in the concept of fair play and substantial justice ... defeat the reasonableness of jurisdiction even [though]' the defendant has purposefully engaged in forum activities.’” Pennzoil Prod. Co.,
With that said, the Court addresses Defendants’ initial fairness argument that “New Jersey and Pennsylvania have a shared interest in the fundamental social policy of protecting nonprofit corporations from the burden of any unnecessary costs, such as this remote litigation.” Def.’s Mem. Supp. Mot. to Dismiss, at 15. While novel, I find this argument unconvincing, and the cases Defendants cite do not support them proposition.
There is no general policy or special consideration providing any type of deference for .nonprofits that commit tortious behavior, from avoiding being haled to court. See, e.g., Christian Sci. Bd. of Dirs. of First Church of Christ, Scientist v. Robinson, 123 F.Supp.2d 965, 975-76 (W.D.N.C. 2000), aff'd sub nom. Christian Sci. Bd. of Dirs. of First Church of Christ, Scientist v. Nolan,
Defendants’ reliance on Severinsen v. Widener University is misplaced. In that case, the plaintiff sued Widener University, a Delaware entity, in New Jersey, arguing that although he was injured.in a university dormitory in Delaware, the university’s advertising provided New Jersey with general personal jurisdiction. The Severinsen court reasoned “educational institutions typically draw their student body from numerоus states, and [the plaintiffs’] theory would subject them to suit on non-forum related claims in every state where a member of the student body resides.” Severinsen v. Widener Univ.,
Indeed, the fact that the educational institution in Severinsen and NINS are both nonprofit entities is where the similarities stop. The circumstances in Severinsen are substantially different from those in this case, and none of the considerations in Severinsen are presént here. First and foremost, the case before this Court does
In their, second fairness argument, Defеndants insist that Plaintiff should bring his claims in Pennsylvania, because Plaintiff is already engaged in litigation with Defendants over employment discrimination in Pennsylvania. Because of that separate litigation, Defendants argue, Plaintiffs tort claims against them in this matter should also be brought in Pennsylvania. This argument, .however, is unavailing because whatever convenience may exist, it does not override New Jersey’s interest in protecting its residents from tortious behavior.
In cases such as the instant matter, “New Jersey maintains a significant policy interest in protecting [] residents of its state against [tortious conduct].” Formula One Licensing BV v. Valentine., No. 14-5812,
The instant matter is not rare, but is the kind described by Justice Brennan in As-ahi “[T]he foreseeability that is critical to due process analysis is ... that the defendant’s conduct and connection with the forum State are such that he should reasonably anticipate being haled into court there.” Marten,
III. Individual Defendants
Defendants argue that even if NINS were subject to jurisdiction, “Plaintiff would still have to allege more to establish personal jurisdiction over the Individual Defendants.” Def.’s Mem. Supp. Mot. to Dismiss, at 19. Defendants reason that “Plaintiff does not identify any such facts with respect to any of [the Individual Defendants],” or “a single concrete action that any Individual Defendant performed, much less one expressly directed towards New Jersey.” Def.’s Reply Mem. Supp. Mot. to Dismiss, at 12; 14. While it is true that Plaintiffs allegations involving all of the Individual Defendants are scant, “when the court does not hold an eviden-tiary hearing on the motion to dismiss, the plaintiff need only establish a prima facie case of personal jurisdiction and the plaintiff is entitled to have its allegations taken as true and all factual disputes drawn in its favor.” Miller Yacht Sales, Inc.,
Indeed, this Court’s determination of personal jurisdiction over the Individual Defendants cannot be based on NINS’s contacts. See Calder,
In the context of assessing personal jurisdiction, “[w]hile disputed issues are construed in favor of the plaintiff, allegations may be contradicted by the defendant through opposing affidavits or other evidence, at which point the plaintiff must respond with ‘actual proofs, not mere allegations.’ ” Am. Bd. of Internal Med.,
Accordingly, if the Individual Defendants could be held statutorily liable under 18 U.S.C. § 1030(a) or (b), or were otherwise “personally involved in committing a tort,” then jurisdiction exists “over an individual defendant who is acting in a ‘corporate capacity.’” Nelligan v. Zaio Corp., No. 10-1408,
CONCLUSION
For the above reasons, Defendants’ motion to dismiss for lack of personal jurisdiction is DENIED.
Notes
. The following facts are taken from the Complaint and assumed as true, except where noted. The Court will only .recount facts that are relevant to this motion..
. According to Defendants, Plaintiff used Yahoo! email services which stores emails on servers in California. Plaintiff does not dispute this assertion.
. Recently, the Supreme Court in Bristol-Myer reconfirmed Walden's holding that for
. Those “fairness factors” are:
the burden on the defendant, the forum State’s interest in adjudicating the dispute, the plaintiffs interest in obtaining convenient and effective relief, the interstate judicial system’s interest in obtaining the most efficient resolution of controversies, and the shared interest of the. several States in furthering fundamental social policies.
Pennzoil Prod. Co.,
. Defendants expansively argue that the following cases stand for the proposition that New Jersey and Pennsylvania share an interest in protecting nonprofits from the costs of litigation.' That general proposition does not, however, isolate a nonprofit from being subject to jurisdiction in the appropriate case.
Petty v. Hospital Serv. Ass’n of Ne. Pa., which, among other claims, dealt with a standing issue, where the plaintiff failed to “to plead a direct or immediate interest as to why or how” it was harmed in its breach of contract allegations,
Seiderman by Seiderman v. Am. Inst. for Mental Studies, which dealt with defendants’ motion for summary judgment on grounds of immunity under N.J. Stat. Ann. § 2A:53A-7.
Rodi v. S. New Eng. Sch. of Law, which dealt with plaintiff’s claims of “fraudulent inducement, breach of fiduciary duties, breach of contract and of an implied duty of good faith and fair dealing, violation of the Consumer Fraud Act, and for a continuing tort,”
The facts of Petty, Seiderman by Seiderman, and Rodi are substantially different from those in the instant case, and they, do not stand for the general proposition that nonprofits who engage in tortious behavior should be protected from litigation costs in foreign states where that tortious behavior was aimed and felt.
. The Court stresses that this decision does not assess the sufficiency of Plaintiff’s claims against the Individual Defendants, or the merits thereof. Issues in regard to a claim’s sufficiency have not been raised by Defendants in the instant matter, and therefore are not addressed. The question this Court has been called to answer is solely one of specific personal jurisdiction. As such, the Court only assesses the allegations against the Individual Defendants for the jurisdictional analysis.
