In May 2004, a Latvian fishing vessel called the Astrida sank in Swedish waters; the vessel was lost and its six crew members perished. Plaintiffs, the owner of the Astrida and representatives of the deceased fishermen, brought suit in the Southern District of New York against Marward Shipping Co. (“Marward”), the owner of a ship called the Vladimir. Plaintiffs assert that the Vladimir struck the Astrida, and that the collision resulted from the negligence of those operating the Vladimir. Marward, instead, maintains that the Vladimir had nothing to do with the accident. We do not, however, consider that question, because we hold that the federal district court could not, consistently with the Constitution’s guarantee of due process, exercise personal jurisdiction over Marward.
Background
I. Facts
The M/V Vladimir is a cargo ship. 1 Before Marward purchased the Vladimir, the vessel was owned by a Cypriot company called Florani Shipping Co. (“Florani”). On September 20, 2002, Florani time-chartered the Vladimir to a Maltese company called Ambery Maritime Ltd. (“Ambery”). The charter gave Ambery the use of the Vladimir’s cargo-carrying capacity, and the right to direct the ship’s course “for worldwide trading in Charterers’ option via good, safe, berth(s)/good, safe port(s).” The contract listed the intended area of service as: “U.S. Gulf, Carribbian [sic] Sea, U.S. East Coast/Canada, North Continent, United Kingdom and Baltic ports including Gulf of Finland and St. Peters-burg, Russia.” While subject to the 2002 charter, the Vladimir sailed as one of seven “specialized multipurpose vessels dedicated to U.S. trade”; these vessels comprised a carrier fleet advertised as “the only direct non-stop liner service to Russia from USA.” The Vladimir docked over sixty times in the United States between April 2000 and March 2004.
Marward has its sole place of business in Limassol, Cyprus, and is incorporated under Cypriot law. On March 29, 2004, six weeks before the
Astrida
sank, Marward bought the
Vladimir
from Florani. The purchase was subject to the 2002 charter with Ambery, which remained in effect until June 2004. When ownership was transferred to Marward, the
Vladimir
was
On May 10, 2004, during the Vladimir’s first return voyage to Russia under Mar-ward’s ownership, the Astrida sank on the Baltic Sea. After the alleged collision, the Vladimir arrived as scheduled at St. Petersburg. The Maritime Administration of Latvia (“MAL”), suspecting that the Vladimir was involved in the accident, asked the St. Petersburg Port State Control Inspectorate to examine the ship’s hull. Having done so, the Russian investigators stated that they saw no evidence of a recent collision. The Latvian authorities, not satisfied with this answer, then asked if they could come to St. Petersburg themselves to conduct a second inspection. This request was denied by the Harbormaster of St. Petersburg because “a repeated inspection of the hull of m/v V[LA]DIMIR would cause the vessel’s demurrage and losses to its owner since the vessel had already received permission to leave the port, and, therefore, it was offered to the representatives of the MAL to perform the inspection at the next port of call.”
The next port of call was Baltimore. There, the MAL, accompanied by representatives of Marward, the United States Coast Guard, and divers from private companies, conducted a full investigation. The Vladimir’s master produced no course records for the period relevant to the alleged collision, declaring that “the course recorder did not operate due to technical reasons.” Nevertheless, the inspectors concluded that the Vladimir and the Astrida had, in fact, collided. The report noted hull damage that was consistent with impact against the port side of the Astrida, including “[mjaroon dashes” that “could only be left by a foreign body” and were “visually the same colour” as the Astrida’s hull.
After the inspection, the Vladimir continued its transatlantic journeys. When, in June 2004, the Ambery charter expired, Marward entered into a similar arrangement with another charterer. While under Marward’s ownership, but always at the direction of its charterers, the vessel called at United States ports at least sixteen times between March 29, 2004, and September 22, 2005. 2
II. Procedural Background
Seeking damages for wrongful death and for the loss of the Astrida, plaintiffs brought suit in the Southern District of New York on June 16, 2005 against various parties; they did not at first include Mar-ward. On September 22, the plaintiffs filed a motion to amend the complaint to add Marward. The motion was granted with Marward’s consent, and the other parties were subsequently dropped from the case.
Marward then moved to dismiss the complaint for lack of personal jurisdiction.
3
Discussion
We review de novo a district court’s decision to dismiss a complaint for lack of personal jurisdiction.
DiStefano v. Carozzi N. Am., Inc.,
Plaintiffs do not assert that Marward has sufficient contacts with the state of New York to fall within the purview of that state’s long-arm statute. Instead, plaintiffs rely on Federal Rule of Civil Procedure 4(k)(2): 5
For a claim that arises under federal law, serving a summons or filing a waiver of service establishes personal jurisdiction over a defendant if:
(A) the defendant is not subject to jurisdiction in any state’s courts of general jurisdiction; and
(B) exercising jurisdiction is consistent with the United States Constitution and laws.
Rule 4(k)(2) was specifically designed to “correct[] a gap” in the enforcement of federal law in international cases. Fed R. Civ. P. 4 advisory committee’s note, 1993 Amendments. The gap arose from the general rule that a federal district court’s personal jurisdiction extends only as far as that of a state court in the state where the federal court sits. Before the 1993 amendments, even where a state’s long-arm statute would have permitted jurisdiction, the majority of courts to consider the question took the view that former Federal Rule of Civil Procedure 4(e) required a “lockstep” approach to the question of whether a federal court could, consistently with due process, exercise personal jurisdiction over a non-resident defendant.
See United Rope Distribs., Inc. v. Seatriumph Marine Corp.,
Accordingly, Rule 4(k)(2) now allows the exercise of personal jurisdiction by a federal district court when three requirements are met: (1) the claim must arise under federal law; (2) the defendant must not be “subject to jurisdiction in any state’s courts of general jurisdiction”; and (3) the exercise of jurisdiction must be “consistent with the United States Constitution and laws.” Plaintiffs’ suit relies on general maritime law; their claim, therefore, is one that “arises under federal law” for the purposes of Rule 4(k)(2).
6
World Tanker Carriers Corp. v. M/V Ya Mawlaya,
Due process permits a court to exercise personal jurisdiction over a nonresident where the maintenance of the suit would not “offend ‘traditional notions of fair play and substantial justice.’ ”
International Shoe Co. v. Washington,
The constitutional minimum contacts inquiry for personal jurisdiction requires us to distinguish between two forms of jurisdiction.
See
Arthur T. von Mehren & Donald T. Trautman,
Jurisdiction to
Plaintiffs make no serious attempt to show that their suit either arises out of, or is related to, Marward’s contacts with the United States. Accordingly, plaintiffs must satisfy the “more stringent minimum contacts test” for general jurisdiction cases, by showing that Marward had “ ‘continuous and systematic general business contacts’ ” with the United States.
Id.
(quoting
Helicopteros,
In general jurisdiction cases, we “examine a defendant’s contacts with the forum state over a period that is reasonable under the circumstances — up to and including the date the suit was filed.”
Metro. Life,
While conceding that the visits were made at the charterers’ direction, plaintiffs nevertheless maintain that Mar-ward purposefully availed itself of the advantages of doing business in the United States, thus invoking the benefits and protections of its laws. Marward, plaintiffs say, bought the
Vladimir
in the knowledge that the ship had visited, and was likely to continue visiting, the United States. Thus, plaintiffs have certainly shown that Mar-ward could reasonably expect that its ship would have repeated contacts with the United States. But “ ‘foreseeability’ alone has never been a sufficient benchmark for personal jurisdiction under the Due Process Clause.”
World-Wide Volkswagen Corp. v. Woodson,
In a similar vein, plaintiffs note that the financial benefits of the charterers’ course of business in the United States accrued to the ship’s owner. By the terms of the charters, however, Marward was entitled to receive the same financial benefit regardless of where the charterers directed the vessel. The fact that the ship’s
charterers
repeatedly made money from business in the United States does not suffice as a basis for a finding of continuous and systematic contacts on
Marward’s
part.
See id.
at 299,
The Sixth Circuit’s decision in
Fortis Corporate Ins. v. Viken Ship Mgmt.,
To resolve the case before us, we need not determine whether, and in what circumstances, a court might assert specific jurisdiction over the owner of a ship whose charterer directs it to the United States. We hold, however, that the owner of a vessel may not constitutionally be subjected to personal jurisdiction with respect to an unrelated suit merely because, as the owner may have expected, the vessel has repeatedly visited the forum’s ports at the sole direction of its charterers.
In addition to the Vladimir’s stops in the United States, plaintiffs also point to the Baltimore hull inspection, in which Marward itself participated. This isolated incident, we conclude, is inadequate to support a finding of continuous and systematic general business contacts with the United States. Marward, moreover, did not purposefully avail itself of the benefits of conducting activities in the United States when it sent representatives to Baltimore. Baltimore simply happened to be the vessel’s next charterer-directed port of call. Because Marward’s visit to Baltimore was born, not of a voluntary decision to do business in America, but of the necessity of defending itself in this dispute, the inspection provides no basis for a finding of the requisite contacts.
We conclude that Marward’s contacts with the United States do not satisfy the heightened minimum contacts requirement for general jurisdiction over a non-resident. As a result, we need not consider whether personal jurisdiction would be “reasonable” in the particular circumstances of the case.
See Metro. Life,
The assertion of personal jurisdiction over Marward with respect to this suit would not be “consistent with the United States Constitution.” See Fed.R.Civ.P. 4(k)(2)(B). Accordingly, we affirm Judge Patterson’s decision to dismiss the complaint.
Notes
. Until May 12, 2004, the Vladimir was named M/V Salvador. For simplicity, we refer to the ship as the Vladimir throughout.
. The Vladimir called at Baltimore, Maryland on April 16 and June 3, 2004; at Charleston, South Carolina on June 9, 2004; at Miami, Florida on June 14, 2004; at Houston, Texas on June 18, August 14, October 21, December 28, 2004, March 9, May 22, 2005; at Mobile, Alabama on December 19, 2004, and March 5, 2005; at New Orleans, Louisiana on May 11, 2005; at Newport News, Virginia on July 30, 2005; at Fairless Hills, Pennsylvania, on August 17, 2005; and at Philadelphia, Pennsylvania on August 22, 2005.
. In the alternative, Marward moved before the district court to dismiss the complaint pursuant to the doctrine of
forum non conveniens,
asserting that Cyprus was a more appropriate forum for the suit. The district
. The district court initially rendered its decision based solely on the pleadings and affidavits, but afforded plaintiffs sixty days to conduct jurisdictional discovery. The court then reviewed letters from counsel setting out the fruits of this discovery. Finding that plaintiffs had not adduced adequate grounds for the court to change its decision, Judge Patterson granted the motion to dismiss.
. The text of Rule 4(h)(2) was amended, effective December 1, 2007, “as part of the general restyling of the Civil Rules to make them more easily understood and to make style and terminology consistent throughout the rules." Fed. Civ. P. 4 advisory committee’s note, 2007 amendment. Because these changes “are intended to be stylistic only," id., we refer solely to the new version.
. Marward contends that plaintiffs have failed to show that Marward is not subject to personal jurisdiction in any of the fifty states. Given our conclusion on the due process issue, we do not find it necessary to decide whether the second requirement for Rule 4(k)(2) jurisdiction is met.
