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Changes in Personal Jurisdiction After The Ford Decision: Impact on Nonresident Corporations

Jurisdictional Limits Under Ford Motor Co. v. Montana Eighth Jud. Dist. Ct. and Ford Motor Co. v. Bandemer

Recording of a 90-minute CLE video webinar with Q&A

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Conducted on Wednesday, June 22, 2022

Recorded event now available

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This CLE course will discuss the issue of personal jurisdiction over nonresident corporate defendants in light of the Supreme Court's unanimous decisions in Ford Motor Co. v. Montana Eighth Jud. Dist. Ct. and Ford Motor Co. v. Bandemer. The program will discuss prior rulings by the Supreme Court on corporate jurisdiction, review issues that may have been resolved and issues that remain unresolved, and consider best practices for nonresident defendants.

Description

The Supreme Court’s decisions in Ford Motor Co. v. Montana Eighth Jud. Dist. Ct. and Ford Motor Co. v. Bandemer, 592 US __ (2021), were expected to clarify the test for specific jurisdiction. They did not. Instead, the Court held that specific jurisdiction over a nonresident defendant exists if the suit "arises out of" or "relates to" the defendant's forum activities, specifically stating that causation was not the controlling factor.

In the aftermath of the decision, both courts and practitioners have been trying to demarcate the limits of the in-forum conduct that is sufficiently "related to" a plaintiff's claims to support the exercise of personal jurisdiction over a defendant for purposes of adjudicating plaintiff’s claims. In some cases, the test has expanded jurisdiction and in others contracted it.

Defendants have been advised to develop a record showing a lack of purposeful availment in a jurisdiction and to present affidavits to that effect. But proving a negative can be difficult, and businesses that sell, market, and distribute their products and services broadly across multiple states may find it difficult to refute jurisdiction.

Listen as our panel of litigators analyzes personal jurisdiction over corporate defendants after the Ford decisions.

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Outline

  1. Introduction: historic principles and cases 2011-2021
  2. Analysis of Ford Motor Co. v. Montana Eighth Jud. Dist. Ct. and Ford Motor Co. v. Bandemer
  3. Applying the "related to" jurisdictional test

Benefits

The panel will review these and other important issues:

  • What are the implications of Ford Motor Co. v. Montana Eighth Jud. Dist. Ct. and Ford Motor Co. v. Bandemer for litigation proceedings in states where the defendant is not subject to general jurisdiction?
  • Does the Fifth Amendment similarly restrict personal jurisdiction by a federal court that the Fourteenth Amendment imposes on state courts?
  • How will plaintiffs and defendants adjust their litigation strategies in response to the Ford decisions?
  • What about personal jurisdiction over out-of-state class members now that several circuit courts have weighed in on the issue?
  • Will "tag, you're served" still work after the Ford cases?
  • Do "relate to" and "arise out of" overlap, or is each a separate basis for specific jurisdiction?

Faculty

Riley, Jennifer
Jennifer A. Riley

Partner
Seyfarth Shaw

Ms. Riley practices in the employment litigation area, with a particular emphasis on complex collective and class...  |  Read More

Sklaren, Cary
Cary Stewart Sklaren

Partner
Schnader Harrison Segal & Lewis

Sklaren is a litigation strategist and tactician, litigation manager, and trial lawyer, with high profile products...  |  Read More

Weiss, Aaron
Aaron S. Weiss

Shareholder
Carlton Fields

Mr. Weiss maintains a national litigation practice focused on telecommunications law, class actions and consumer...  |  Read More

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