Petition for Writ of Certiorari — Erica Davis, as Personal Representative of the Estate of Andrew Dale Davis, Deceased, and Minor Children, JC, Minor Child, SD, Minor Child, et al., Petitioners v. Cranfield Aerospace Solutions, Limited
Supreme Court briefJan 12, 2024
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No. 23-_____
IN THE
ERICA DAVIS, AS PERSONAL REPRESENTATIVE OF THE
ESTATE OF ANDREW DALE DAVIS, DECEASED, AND MINOR
CHILDREN, JC, MINOR CHILD, SD, MINOR CHILD;
MICHAEL M. MASCHMEYER, AS PERSONAL REPRESENTATIVE OF THE ESTATE OF R. WAYNE ESTOPINAL, DECEASED; JAMES JOHNSON, INDIVIDUALLY AND AS INDEPENDENT CO-ADMINISTRATORS OF THE ESTATE OF
SANDRA JOHNSON, DECEASED; BRADLEY HERMAN, INDIVIDUALLY AND AS INDEPENDENT CO-ADMINISTRATORS
OF THE ESTATE OF SANDRA JOHNSON, DECEASED,
Petitioners,
V.
CRANFIELD AEROSPACE SOLUTIONS, LIMITED,
Respondent.
On Petition for a Writ of Certiorari to the
United States Court of Appeals for the Ninth Circuit
PETITION FOR A WRIT OF CERTIORARI
Tejinder Singh
Counsel of Record
SPARACINO PLLC
1920 L Street, NW
Suite 835
Washington, DC 20036
(202) 629-3530
tejinder@sparacinopllc.com
Additional Counsel on Inside Cover
Thomas P. Routh
Michael S. McArdle
NOLAN LAW GROUP
20 N. Clark Street
30th Floor
Chicago, IL 60602
Attorneys for Petitioner
Maschmeyer
Joseph J. Slama
Krupnick Campbell
Malone
BUSER SLAMA HANCOCK, PA
12 SE 7th Street
Suite 801
Ft. Lauderdale, FL 33301
Attorneys for Petitioner
Davis
David Katzman
Bruce Lampert
Bradley Stoll
KATZMAN, LAMPERT &
STOLL PLLC
9596 Metro Airport Avenue
Bloomfield, CO 80021
Attorneys for Petitioner
Johnson
i
QUESTION PRESENTED
Whether an out-of-forum defendant that establishes a continuing relationship with an in-forum company by contracting to help the in-forum company develop and sell a product in the forum purposefully
avails itself of the forum for purposes of the Fourteenth Amendment’s personal jurisdiction inquiry.
ii
PARTIES TO THE PROCEEDING
The parties to the proceeding are named on the
cover page.
iii
RELATED PROCEEDINGS
Davis v. Cranfield Aerospace Solutions, Ltd.,
No. 2.20-cv-00536-BLW. U.S. District Court for the
District of Idaho. Judgment entered January 4, 2022
Davis v. Cranfield Aerospace Solutions, Ltd,
No. 22-35099. U.S. Court of Appeals for the Ninth
Circuit. Judgment entered June 23, 2023
iv
TABLE OF CONTENTS
QUESTION PRESENTED ........................................... i
PARTIES TO THE PROCEEDING ............................ ii
RELATED PROCEEDINGS....................................... iii
TABLE OF AUTHORITIES ........................................ v
OPINIONS BELOW .................................................... 1
JURISDICTION........................................................... 1
STATEMENT OF THE CASE..................................... 1
REASONS FOR GRANTING THE WRIT ................ 10
I. The Ninth Circuit’s Precedential Decision
Conflicts With the Precedents of Other
Circuits and State Courts of Last Resort ....... 11
II. The Decision Below Conflicts With This
Court’s Precedents .......................................... 25
III.The Question Presented Is Important ........... 29
CONCLUSION .......................................................... 31
v
TABLE OF AUTHORITIES
Cases
Adelson v. Hananel,
510 F.3d 43 (1st Cir. 2007) .................................... 13
Bristol-Myers Squibb Co. v. Superior Ct. of Cal.,
582 U.S. 255 (2017) ................................................ 29
Brockett Co. v. Crain,
483 P.3d 432 (Idaho 2021) ............................... 23, 24
Burger King Corp. v. Rudzewicz,
471 U.S. 462 (1985) .................. 10, 11, 25, 26, 27, 28
Central Freight Lines Inc. v. APA Transport
Corp.,
322 F.3d 376 (5th Cir. 2003) ............................ 14, 19
Citadel Group Ltd. v. Wash. Reg’l Med. Ctr., 536
F.3d 757 (7th Cir. 2008) ......................................... 15
Dakota Indus., Inc. v. Ever Best Ltd.,
28 F.3d 910 (8th Cir. 1994) .................................... 18
Ford Motor Co. v. Mont. Eighth Jud. Dist. Ct.,
141 S. Ct. 1017 (2021) ............................................ 28
Keeton v. Hustler Magazine, Inc.,
465 U.S. 770 (1984) ................................................ 27
MAG IAS Holdings, Inc. v. Schmückle,
854 F.3d 894 (6th Cir. 2017) ...................... 17, 22, 23
Marcus Food Co. v. DiPanfilo,
671 F.3d 1159 (10th Cir. 2011) .............................. 12
Miss. Interstate Express, Inc. v. Transpo, Inc.,
681 F.2d 1003 (5th Cir. 1982) .................... 17, 18, 19
Noll v. Am. Biltrite Inc.,
395 P.3d 1021 (Wash. 2017) .................................. 25
Polar Supply Co. v. Steelmaster Indus., Inc.,
127 P.3d 52 (Alaska 2005) ..................................... 25
vi
Schwab Short-Term Bond Mkt. Fund v. Lloyds
Banking Grp. PLC,
22 F.4th 103 (2d Cir. 2021) .................................... 17
Sloss Indus. Corp. v. Eurisol,
488 F.3d 922 (11th Cir. 2007) .................... 18, 21, 22
Whittaker Corp. v. United Aircraft Corp.,
482 F.2d 1079 (1st Cir. 1973) .............. 17, 20, 21, 22
World-Wide Volkswagen Corp. v. Woodson,
444 U.S. 286 (1980) ................................................ 27
Yamashita v. LG Chem, Ltd.,
518 P.3d 1169 (Haw. 2022) .................................... 25
Statutes
Cal. Civ. Proc. Code § 410.10..................................... 25
Nev. Rev. Stat. § 14.065(1) ........................................ 25
Regulations
14 C.F.R. § 21.115 ........................................................ 2
14 C.F.R. § 21.120 ........................................................ 5
Rules
Ariz. R. Civ. P. 4.2...................................................... 25
Or. R. Civ. P. 4(L) ...................................................... 25
OPINIONS BELOW
The Ninth Circuit’s precedential opinion (Pet.
App. 1a-33a) is published at 71 F.4th 1154. The district court’s opinion (Pet. App. 34a-53a) is not in the
Federal Supplement, but is available at 2022 WL
36488.
JURISDICTION
The Ninth Circuit issued its decision on June 23,
2023, Pet. App. 1a, and denied a timely petition for rehearing on August 30, 2023, id. at 54a. On November
28, 2023, Justice Kagan granted a timely application
to extend the time to file this petition to and including
January 12, 2024. See No. 23A467. This Court has jurisdiction under 28 U.S.C. § 1254.
STATEMENT OF THE CASE
I.
Factual Background
1. This tort action arises out of a fatal air crash
caused by a defective aviation product called the Active Winglet Load System (ATLAS), manufactured
and installed by Tamarack Aerospace Group, a Washington corporation with its principal place of business
in Idaho. See Pet. App. 3a. Petitioners are the family
members and estates of the accident victims. Id. at 2a.
Respondent is Cranfield Aerospace Solutions, a British company that enabled Tamarack to obtain key regulatory approvals that allowed it to install the ATLAS
on aircraft. Id. at 2a-3a. Indeed, when the ATLAS was
installed on the accident aircraft, Cranfield held the
federal government approval that allowed Tamarack
to install the system. Id. at 4a.
More specifically, Tamarack contractually retained Cranfield to help Tamarack obtain
2
Supplemental Type Certificates (STC), which are regulatory approvals from American and European aviation authorities that were necessary before Tamarack
could sell the ATLAS in those jurisdictions. Pet. App.
3a-4a. Obtaining an STC requires the manufacturer to
conduct appropriate testing on the product and present the results to regulatory agencies for approval.
See 14 C.F.R. § 21.115. Tamarack initially retained
Cranfield to obtain an STC for the ATLAS from the
European Aviation Safety Agency (EASA), and later
expanded the engagement to include an STC from the
Federal Aviation Administration (FAA). Pet. App. 3a4a.
Pursuant to these agreements, Cranfield and
Tamarack enjoyed a continuous business relationship
from 2013 until 2019 where Cranfield both oversaw
Tamarack’s testing work and also acted as its agent
with the EASA and the FAA. See Pet. App. 3a-4a. Beginning in 2013, Cranfield took the lead role in preparing the STC applications as an agent for Tamarack.
Id.; C.A. ER-36. 1 Cranfield oversaw Tamarack’s testing, approved the resulting data, presented applications to the regulators on Tamarack’s behalf, and even
held a proprietary interest in the STCs for Tamarack’s
benefit, enabling Tamarack’s production and sales of
the ATLAS. See Pet. App. 24a-25a (Baker, J., dissenting in part) (summarizing Cranfield’s obligations); see
also C.A. ER-72-73; id. at 86-88; C.A. SER-83-86
Citations to C.A. ER are to the Excerpts of Record filed in
the Ninth Circuit; citations to C.A. SER are to the Supplemental
Excerpts of Record. The cited documents include the transcript of
testimony from Cranfield’s head of design (taken during jurisdictional discovery), as well as the contracts between Cranfield and
Tamarack.
1
3
(contracts between Tamarack and Cranfield). Those
years of collaboration allowed Tamarack to sell the
ATLAS from its facility in Idaho to buyers in the
United States and Europe. For this work, Tamarack
paid Cranfield hundreds of thousands of dollars. See
C.A. ER-88; C.A. SER-84.
Cranfield’s work centered on Idaho. Shortly after
the contracts were executed, Cranfield employees, including its head of design, visited Tamarack in Idaho
to familiarize themselves with Tamarack’s facilities,
set the plan for the certification application, and help
Tamarack begin its portion of the work in Idaho. C.A.
ER-9-10. Cranfield’s head of design agreed that the
purpose of this visit was “to commence performance
under the contract. To get it headed in the right direction to turn it over to engineering and to make sure
that the contract was in force and effect.” Id. at 39-40.
These meetings happened in Idaho because Cranfield
knew “that’s where the testing was—was being done,
the manufacturing was going to be done, and the sales
were going to be done for [the ATLAS] system.” Id. at
40. And the ATLAS was what the Cranfield employees
“were in Idaho . . . to work on.” Id. In addition to seeing
a prototype of the system (including participating in a
test flight), Cranfield employees met with approximately a dozen engineers “to go through what we call
certification planning,” which included “looking where
we’d need input from Tamarack” so that that the engineers in Idaho understood “in terms of the contract
how it’s actually going to work in practical terms.” Id.
at 41. The Cranfield employees thus reviewed Tamarack’s testing plan, which was “a long and detailed process to make sure that we helped send them off in
4
terms of doing then what we felt were the necessary
activities.” Id. at 43.
Cranfield’s head of design testified that this meeting was part of “a typical launch activity with any customer” because “you need to get to know their team”;
thus, the witness agreed that the Idaho visit was neither “fortuitous” nor “random,” explaining that it was
“definitely with a specific purpose in mind.” C.A. ER42. Pursuant to the contract, Tamarack paid the Cranfield employees’ travel expenses, as well as a per diem.
Id. at 38-39.
For years after the launch meeting, Cranfield
worked closely with Tamarack, overseeing its testing
activities in Idaho. Tamarack conducted the actual
testing in Idaho, and the contract gave Cranfield unilateral power to deem any test that Tamarack conducted a failure, and thus to prevent its submission.
C.A. ER-47. Pursuant to that responsibility to supervise testing in Idaho, Cranfield’s chief stress engineer
(id. at 49) traveled to Idaho in 2017 to witness tests.
Id. at 47. “[H]e was not only there to observe the test
in Idaho,” but in fact “literally had control over
whether or not the test was a pass or a fail”; and that
was “true of all the work [Tamarack] did for [Cranfield]” in Idaho. C.A. ER-48. These tests were “a key
step” in the process and were “critical to safety.” Id. at
49. That trip lasted a week, id. at 51, and again Tamarack paid Cranfield’s expenses plus an extra per diem
pursuant to the contract’s terms, id. at 52.
Over the years, Cranfield “reviewed thousands of
pages of documents” prepared by Tamarack, and also
had “regular[]” phone conferences with Tamarack employees. C.A. ER-53. Once Cranfield determined that
Tamarack’s testing was adequate, Cranfield applied
5
for the STCs in its own name because Tamarack was
not qualified to hold them. Id. at 36; C.A. SER-53-54.
To support that application, Cranfield used test reports produced by Tamarack in Idaho, then created “a
version of this with our front cover on, that we would
sign off as part of the certification.” C.A. ER-46; see
also C.A. SER-42.
When the STCs were granted, Cranfield held
them for Tamarack’s benefit, allowing Tamarack (in
Idaho) to use Cranfield’s STCs to sell the ATLAS. C.A.
ER-54. Under this arrangement, “Cranfield’s approval
was necessary for Tamarack to install the ATLAS system on any aircraft”—including the accident aircraft
in this case. Pet. App. 25a (Baker, J., dissenting); see
14 C.F.R. § 21.120. Ultimately—approximately six
years after Cranfield was originally engaged, and after
the accident—Cranfield transferred the STCs to Tamarack in Idaho. Pet. App. 4a (majority op.). All of that
was contemplated by the contract, which had no fixed
term (C.A. ER-75-76) and called for all of these interactions between Cranfield and Tamarack in Idaho.
The upshot is that Cranfield contracted with Tamarack in Idaho; advised and supervised Tamarack in
conducting necessary tests in Idaho (including by
sending high-level employees to the State); obtained
the necessary FAA approval that allowed Tamarack to
sell the ATLAS in Idaho, and approved Tamarack’s installation of the ATLAS on the accident aircraft in
Idaho. This relationship lasted for six years.
2. When the ATLAS caused a fatal air crash (in
Indiana), petitioners sued both Tamarack and Cranfield in federal district court in Washington, where
Tamarack is incorporated. Pet. App. 4a. The action
against Tamarack remained there; the action against
6
Cranfield was dismissed for lack of personal jurisdiction, and petitioners brought a new action against
Cranfield in federal district court in Idaho. Id.
The district court ordered jurisdictional discovery,
where Cranfield’s head of design testified about the
work Cranfield performed—including in Idaho. See supra pp.3-4. Notwithstanding that testimony, the district court granted Cranfield’s motion to dismiss for
lack of personal jurisdiction, holding that Cranfield’s
contacts with Idaho did not constitute purposeful
availment. See Pet. App. 35a. The district court found
it particularly significant that Tamarack sought out
Cranfield (and not the other way around), and that
Cranfield performed the bulk of its work in England.
See id. at 48a-49a. The district court accordingly ordered the action dismissed. Id. at 53a.
3. A sharply divided panel of the Ninth Circuit affirmed in a precedential decision. The court held that
it would be reasonable to apply both the tests for purposeful direction and purposeful availment to determine whether Cranfield was subject to personal jurisdiction. See Pet. App. 7a-9a. It determined that the
purposeful direction test was not met because no harm
occurred in Idaho. Id. at 9a-10a.
Turning to purposeful availment, the court of appeals, like the district court, concluded that:
Appellants failed to establish that Cranfield
purposefully availed itself of the benefits and
protections of Idaho. While Tamarack is an
Idaho resident, there’s no evidence that Cranfield sought out Tamarack in Idaho or benefitted from Tamarack’s residence in Idaho.
Neither the contract’s negotiations, terms,
7
nor contemplated consequences establish
that Cranfield formed a substantial connection with Idaho. And while the course of dealings show that Cranfield employees entered
Idaho several times, those transitory trips
into the forum state do not sufficiently reflect
purposeful availment.
Pet. App. 11a.
The court recognized that “the contract contemplated that Cranfield would hold the EASA and FAA
supplemental type certification on behalf of Tamarack,” and that Cranfield held these “at the time of the
crash.” Pet. App. 13a. But the court concluded that this
was insufficient, comparing it to the “‘normal incidents
of [legal] representation.’” Id. In this regard, the court
of appeals emphasized that although Cranfield held
the certificates, “Tamarack remained responsible for
any modifications to the FAA certification and any
testing or analysis necessary for the modifications.” Id.
The court also held that it was not enough that
Cranfield engaged in substantial remote work for
Tamarack, nor that Cranfield’s employees made trips
“to Tamarack’s Idaho facility as part of the contract.”
Pet. App. 14a. The court concluded that these trips
were “too attenuated to establish minimum contacts
with the State” because “the employees traveled at
Tamarack’s request and expense, and the trips did not
suggest a ‘special place’ in Cranfield’s years-long performance of its contract with Tamarack.” Id. at 16a.
“While observing testing of the ATLAS system is important, the record shows that approval of the testing
could have occurred in the United Kingdom,” and so
the fact that such observation actually occurred inperson in Idaho was immaterial. Id.
8
The panel decision was not unanimous. A vociferous dissent explained that petitioners “lopsidedly carried [their] burden by showing that Cranfield undertook continuing obligations entailing substantial activity directed toward Tamarack . . . in Idaho for over
six years.” Pet. App. 17a (Baker, J., dissenting).
In the dissent’s view, the correct legal rule is that
“[a] nonresident purposefully avails itself of the forum
state when it undertakes (1) continuing obligations (2)
entailing some meaningful activity directed toward or
producing effects in the forum.” Pet. App. 18a. “On the
other hand, if a nonresident’s contract with a forum
resident does not create any ongoing obligations, purposeful availment does not exist.” Id. at 20a (quotation
marks omitted). “And even if a nonresident’s contract
with a forum resident does involve continuing obligations, purposeful availment is not satisfied if the nonresident’s obligations do not entail any significant activity toward, or create effects within, that forum.” Id.
The dissent argued that this test was met because the
contract between Cranfield and Tamarack “created,
and the parties’ course of dealing reflected, continuing
and meaningful Idaho-facing obligations by Cranfield
until 2019 when the British company transferred the
ATLAS certification to Tamarack.” Id. at 21a.
The dissent elaborated that the contract’s terms
showed that “the two companies partnered—with
Cranfield acting as the senior partner because it would
‘oversee’ the junior partner’s work in Idaho.” Pet. App.
24a (quoting the contract). Thus, the contract required
Cranfield to “approv[e] . . . test schedules and reports
provided by Tamarack,” “define and outline certification requirements,” and “‘ensure’ Tamarack’s ‘compliance with all applicable laws and regulations.’” Id.
9
(quoting the contract). The dissent also emphasized
that the contract required Cranfield to maintain the
certification for Tamarack’s benefit. “As the certification holder, Cranfield’s approval was necessary for
Tamarack to install the ATLAS system on any aircraft.” Id. at 25a.
The dissent further explained that “no federal
court—until today—has ever held that continuous supervision or management of forum-state activities is
insufficient to establish personal jurisdiction.” Pet.
App. 30a. It accordingly cited precedents from “the Supreme Court and our sister circuits” reaching the opposite conclusion. Id. at 30a-31a.
The dissent also addressed each of the concerns
that motivated the majority, including that Tamarack
initiated the contractual relationship, Pet. App. 21a,
that the contract contained a choice-of-law clause selecting New York, id. at 22a, that most of Cranfield’s
work was done remotely, id. at 23a-24a, 28a-30a, and
that the two visits by Cranfield’s employees were random or fortuitous, id. at 31-32a. The dissent explained
that in light of Cranfield’s years-long active role, and
substantial Idaho-facing conduct, Cranfield had minimum contacts with Idaho.
The dissent concluded sharply:
Sometimes we decide close cases, where only
a slight breeze might tip the balance. This is
not one of them. Plaintiffs have established
that in over six years of continuing obligations, Cranfield remotely supervised Tamarack’s work in Idaho, physically supervised
that work in two visits expressly contemplated by their contract, held a regulatory
10
certification on Tamarack’s behalf that allowed the transaction of business within the
forum, and specifically approved Tamarack’s
installation of the ATLAS system on the accident aircraft in Idaho. That’s much, much,
more than enough to establish purposeful
availment under our published cases. I respectfully dissent from today’s aberrational
decision.
Pet. App. 32a-33a.
4. Petitioners sought rehearing en banc, which
was denied, with the dissenting judge recommending
that the petition be granted. Pet. App. 54a.
5. This petition followed.
REASONS FOR GRANTING THE WRIT
Certiorari should be granted because the Ninth
Circuit’s precedential decision conflicts with the decisions of other courts of appeals, state courts of last resort, and this Court. The questions posed by this case
are also important and frequently recurring, and this
case is a suitable vehicle to resolve them.
In Burger King Corp. v. Rudzewicz, 471 U.S. 462
(1985), this Court explained that where a defendant
“deliberately has engaged in significant activities
within a State, or has created continuing obligations
between himself and residents of the forum, he manifestly has availed himself of the privilege of conducting
business there” for purposes of establishing minimum
contacts. Id. at 475-76 (citations and quotation marks
omitted). The Court was clear that “[j]urisdiction in
these circumstances may not be avoided merely because the defendant did not physically enter the forum
State.” Id. That was because, even in 1985, it was “an
11
inescapable fact of modern commercial life that a substantial amount of business is transacted solely by
mail and wire communications across state lines, thus
obviating the need for physical presence within a State
in which business is conducted.” Id.
Applying that precedent, federal circuit courts
and state courts of last resort hold that when a defendant enters into and performs a contract creating continuing obligations between itself and a forum resident, that is sufficient to establish minimum contacts.
Here, however, the Ninth Circuit disregarded that
bright-line rule, giving short shrift to facts that other
courts deem sufficient to create jurisdiction. The conflict is acute because Cranfield did far more than
merely create continuing obligations with Tamarack
in Idaho: It controlled Tamarack’s in-forum testing activities, physically visited Idaho twice, and then held
the certification on Tamarack’s behalf, thus controlling whether Tamarack could install the ATLAS on
planes in Idaho—including the accident aircraft. Most
other circuits would hold that such contacts easily constitute purposeful availment of the State, and this
Court should grant certiorari to resolve the conflict.
I.
The Ninth Circuit’s Precedential
Decision Conflicts With the Precedents
of Other Circuits and State Courts of
Last Resort
Certiorari should be granted first because the
Ninth Circuit’s precedential decision conflicts with decisions of eight other circuits and state courts of last
resort.
1. First, although the dissent set forth the controlling rule that a defendant creates minimum contacts
12
with a forum by entering into a contract that creates
continuing obligations toward forum residents, the
majority never mentions that rule—not once. Nor did
the majority dispute the fact that Cranfield’s contract
created continuing obligations vis-à-vis Tamarack
that resulted in Cranfield taking actions in the forum.
Instead, the majority brushed these obligations and
relationships aside by focusing on other facts—including that most of Cranfield’s work was done remotely.
That decision can’t be reconciled with Marcus
Food Co. v. DiPanfilo, 671 F.3d 1159 (10th Cir. 2011).
There, a Kansas business hired a Canadian sales and
purchasing agent to facilitate sales outside the United
States. See id. at 1163-64. When the relationship
soured, the company sued the agent in Kansas. The
agent’s contacts with Kansas were similar to Cranfield’s contacts with Idaho: He worked as an independent contractor, communicated regularly with the business by mail, e-mail, and fax, visited the Kansas office
twice over a ten-year period, and was paid by the business from Kansas. See id. The district court held these
contacts sufficient, explaining that “[t]he parties’
agreement created precisely the type of ‘continuing relationship’ on which the Supreme Court grounded personal jurisdiction in Burger King.” Id. at 1167.
The facts here are either the same as or stronger
than the facts of Marcus Food. Cranfield also worked
as Tamarack’s agent. It regularly communicated with
Tamarack in Idaho. It visited twice. And it received
payment from the Idaho business for its work. On top
of those facts, Cranfield exercised actual control over
Tamarack’s in-forum activities—which the agent in
Marcus Food did not. And it held a key regulatory approval in trust for Tamarack, thus enabling Tamarack
13
to install the ATLAS on aircraft in Idaho—a level of
involvement with no analogue in Marcus Food. The
only sense in which Marcus Food had even arguably
stronger facts is that the relationship between the parties lasted ten years rather than six—but no court has
ever held that such a difference could matter; indeed,
even the Ninth Circuit did not suggest that six years
was not long enough to constitute a continuing relationship. By necessity, this case would have come out
the other way in the Tenth Circuit.
The decision below also conflicts with Adelson v.
Hananel, 510 F.3d 43 (1st Cir. 2007). There, a resident
of Israel took an offer of employment to run the Israeli
office of a company headquartered in Massachusetts;
his role was to identify investment opportunities in Israel. See id. at 46. The employee resided in Israel, but
he joined the company during a visit to Massachusetts;
he regularly spoke and corresponded with individuals
in the Massachusetts office during his employment;
and his budgets and expenses were submitted to and
obtained from Massachusetts. See id. at 46-47, 50. The
First Circuit deemed these contacts sufficient to hale
the employee into federal court in Massachusetts after
the employment relationship soured. See id. at 51.
Cranfield’s contacts are, again, stronger. It also
initiated its relationship with Tamarack during an inperson kick-off meeting; it corresponded regularly
with Tamarack’s employees; and it obtained funds
from Tamarack in Idaho—and each of those contacts
has a clear parallel with the contacts deemed sufficient in Adelson. In addition, Cranfield exercised control over some of Tamarack’s operations in Idaho,
which is a significant contact with no parallel in Adelson.
14
The Fifth Circuit’s decision in Central Freight
Lines Inc. v. APA Transport Corp., 322 F.3d 376 (5th
Cir. 2003), also conflicts with the decision below.
There, the defendant was a New Jersey-based freight
delivery company that affiliated with a different
freight delivery company in Texas through a contract
called an “Interline Agreement.” Id. at 379. The record
showed that “all of the formal negotiations [for the
agreement] took place via telephone and written correspondence between the two parties from their respective headquarters.” Id. at 382. The court held that
by participating in these negotiations, the defendant
“specifically and deliberately ‘reached out’ to a Texas
corporation by telephone and mail with the deliberate
aim of entering into a long-standing contractual relationship with a Texas corporation.” Id. The defendant
also “knew that it was affiliating itself with an enterprise based primarily in Texas,” and “presumably
knew that many of [the plaintiff’s] customers would
also come from that state.” Id. These contacts constituted purposeful availment. The relationship lasted
for less than a year. See id. at 379.
Cranfield similarly corresponded with Tamarack
in Idaho, thus reaching out to that state like the defendant in Central Freight Lines. It contracted with
Tamarack, knowing that Tamarack was in Idaho, and
that Tamarack’s customers were there, too. That is
enough to place the contacts here on par with the ones
in Central Freight Lines—but this case includes substantial additional contacts that make it even easier,
including a longer relationship, more personal contact,
and control and supervision over Idaho-based testing
and then installations.
15
The decision below also conflicts with Citadel
Group Ltd. v. Washington Regional Medical Center,
536 F.3d 757 (7th Cir. 2008). There, an Arkansasbased nonprofit solicited bids for a construction project
in Arkansas. Id. at 758-59. An Illinois-based developer
responded to the solicitation, and the non-profit sent
various messages to the developer asking questions,
followed by an authorization to engage in project development, which the developer executed. Id. at 75960. The parties corresponded about the project for less
than a year before the non-profit ultimately decided
not to proceed. Id. Nobody from the non-profit ever
traveled to Illinois. Id. at 759.
The developer sued the non-profit in Illinois, seeking to recover its costs. Based on “twenty-four ‘contacts’—primarily consisting of correspondence by
mail, fax, phone, and e-mail—”the Seventh Circuit
held that jurisdiction existed. Citadel, 536 F.3d at 762.
The court stressed that the contract required the developer “to provide a service,” and that “the parties
had continuing obligations and repeated contacts,”
which “cross[ed] the threshold from offending due process to sufficient minimum contacts.” Id. at 763.
Cranfield’s contacts with Idaho surpass the defendant’s contacts with Illinois in Citadel. Here, as in
Citadel, the contract was to perform services involving
continuing obligations and repeated contacts. But unlike the relationship in Citadel, which was “truly preliminary,” 536 F.3d at 762, Cranfield’s relationship
with Tamarack was mature: It completed multiple
projects for the Idaho company. Thus, Cranfield
worked with Tamarack to create a testing plan, which
Tamarack implemented in Idaho, and then supervised
the resulting testing through robust correspondence
16
and two in-person visits. This relationship lasted for
six years. Under Citadel, this case would have come
out differently.
2. The foregoing cases show that even if Cranfield
had merely contracted to create a continuing relationship with Tamarack in Idaho, and then followed
through on its agreement, that would have been
enough to constitute purposeful availment in at least
four circuits. But the scope and depth of Cranfield’s
contacts were far greater: Cranfield helped create the
testing plan that Tamarack implemented in Idaho;
oversaw the testing that occurred in Idaho (including
through an in-person visit); reviewed and approved
the relevant test data before applying for an STC from
the FAA—and then held that STC for Tamarack, approving each of Tamarack’s installations of the ATLAS
on aircraft in Idaho, including the accident aircraft.
The Ninth Circuit deemed all of that insufficient.
To be sure, the court of appeals acknowledged that as
part of its contract, Cranfield “oversaw” Tamarack’s
testing activities in connection with the relevant certification applications. Pet. App. 3a. Those tests undisputedly occurred at Tamarack’s facility in Idaho. But
the court held that this was insufficient because the
contract did “not specify whether Cranfield must ‘witness’ any tests in person.” Id. at 12a. The court elaborated that “Cranfield’s remote work on behalf of Tamarack’s ATLAS project does not, without more, establish purposeful availment.” Id. at 14a. And with respect to the in-person overseeing of the testing that did
occur, the court held that “[w]hile observing testing of
the ATLAS system is important, the record shows that
approval of the testing could have occurred in the
United Kingdom.” Id. at 16a. Putting these
17
conclusions together, the rule in the Ninth Circuit is
that an out-of-forum defendant’s ongoing supervision
of an in-forum entity does not constitute purposeful
availment of the forum unless in-person supervision is
contractually required. In the Ninth Circuit, neither
continuous remote supervision nor even voluntary inperson supervision suffice.
That rule is an outlier. As the dissent explained,
“no federal court—until today—has ever held that continuous supervision or management of forum-state activities is insufficient to establish personal jurisdiction.” Pet. App. 30a (Baker, J., dissenting). The dissent
thus cited cases from the First, Second, Fifth, and
Sixth Circuits holding that “controlling ongoing activities in the forum state” constitutes purposeful availment. Id. (citing Schwab Short-Term Bond Mkt. Fund
v. Lloyds Banking Grp. PLC, 22 F.4th 103, 125 (2d Cir.
2021) (holding that foreign defendant’s control over inforum company’s behavior was sufficient, but not necessary, to impute domestic contacts to foreign defendant); MAG IAS Holdings, Inc. v. Schmückle, 854 F.3d
894, 901-02 (6th Cir. 2017) (holding that foreign executive was subject to personal jurisdiction when he exercised some control over Michigan subsidiary’s operations); Miss. Interstate Express, Inc. v. Transpo, Inc.,
681 F.2d 1003, 1009 (5th Cir. 1982) (holding that foreign freight broker was subject to personal jurisdiction
when it exercised control over certain details of shipments from the forum); Whittaker Corp. v. United Aircraft Corp., 482 F.2d 1079, 1084 (1st Cir. 1973) (holding that foreign purchaser was subject to jurisdiction
when it provided product specifications and instructions to domestic manufacturer/seller)). Other circuit
decisions are to similar effect. See, e.g., Dakota Indus.,
18
Inc. v. Ever Best Ltd., 28 F.3d 910, 915 (8th Cir. 1994)
(holding that foreign shareholders of company had
minimum contacts because they exercised control over
company’s in-forum conduct); Sloss Indus. Corp. v.
Eurisol, 488 F.3d 922, 933 (11th Cir. 2007) (finding a
foreign purchaser had minimum contacts in seller’s forum when the purchaser sent personnel to the plant to
discuss manufacturing processes).
The conflict is clear. It is most stark with respect
to the Fifth Circuit’s decision in Mississippi Interstate
Express. There, a Mississippi trucking company and a
California freight broker negotiated and then carried
out an agreement entirely by phone, under which the
California broker was meant to pay the Mississippi
trucking company for various shipments the trucking
company delivered. See 681 F.2d at 1005. When the
broker didn’t pay, the trucking company sued it in
Mississippi, and the broker challenged jurisdiction, arguing that: (1) the contract discussions occurred in
California; (2) the defendants “did no act inside Mississippi” other than placing telephone calls to the
plaintiff there; (3) none of the shipments pursuant to
the contract originated or terminated in Mississippi;
(4) the defendants had no office in Mississippi, nor
ever sent representatives there; (5) the defendants solicited no business in Mississippi and had no local advertising or bank accounts there; and (6) all of the alleged acts in furtherance of the alleged tort occurred
outside Mississippi. See id.
The Fifth Circuit recognized that the defendant’s
“contact with the State of Mississippi was somewhat
minimal, consisting primarily of entering into a contract with a Mississippi corporation and engaging that
corporation to deliver certain shipments between
19
states other than Mississippi.” Miss. Interstate Exp.,
681 F.2d at 1006. But the court nevertheless held that
the due process clause permitted Mississippi courts to
assert jurisdiction. It explained that the rule in the
Fifth Circuit “is that when a nonresident defendant
takes purposeful and affirmative action, the effect of
which is to cause business activity, foreseeable by (the
defendant), in the forum state, such action by the defendant is considered a minimum contact for jurisdictional purposes.” Id. at 1007 (quotation marks omitted). The defendant was subject to jurisdiction because
it had contracted with a Mississippi counterparty and
because it was reasonably foreseeable that the counterparty would perform a material part of its contractual obligations in the forum. Id. at 1008. And that was
especially clear because “the non-resident defendant
was no mere passive customer.” Id. at 1009. Instead,
it initiated the shipments, “exercised a significant
measure of control” over the details of the shipments,
had a “sustained” relationship with the in-forum company, and knew that the in-forum company would perform its share of the work “at its sole place of business
in Mississippi.” Id. 2
Although Mississippi Interstate Express is an
older precedent, the Fifth Circuit has repeatedly reaffirmed the rule stated therein. See, e.g., Cent. Freight
Lines, 322 F.3d at 382 n.6 (reaffirming the rule “that
a nonresident can establish contact with the forum by
taking purposeful and affirmative action, the effect of
which is to cause business activity (foreseeable by the
defendant) in the forum state,” and citing Mississippi
Interstate Express as the relevant authority).
2
20
The decision below plainly conflicts with the Fifth
Circuit’s rule and holding. Here, Cranfield took purposeful and affirmative action by contracting with
Tamarack to supervise (and then in fact supervising)
Tamarack’s testing of the ATLAS in Idaho. This action
led to business activity in Idaho, i.e., the testing of the
ATLAS, and its subsequent sale and installation on
aircraft in Idaho. The relationship was six years long
and involved robust correspondence and collaboration,
including two substantive in-person visits by Cranfield personnel to Idaho. These contacts far exceed the
ones the Fifth Circuit would find sufficient.
The same is true vis-à-vis other circuits. In Whittaker, the First Circuit held that an out-of-forum defendant (with its principal place of business in Connecticut) had minimum contacts with Massachusetts
when the defendant contracted with an in-forum company to supply metal alloy for use in jet engines. See
482 F.2d at 1081. The defendant requested materials
from the Massachusetts company for testing purposes,
and then conducted tests on those materials at its outof-forum facility; it then executed a contract with the
Massachusetts company that required the company to
promise not to change its manufacturing process, and
not to disclose details of the defendant’s processes to
third parties. Based on that agreement, the defendant
notified its suppliers that they could use the Massachusetts company as a source of materials. During
their five-year relationship, the defendant sent employees to visit the in-forum company’s facility nine
times, and also exchanged a few dozen messages by
phone, mail, or teletype. See id. at 1081-82.
The First Circuit held that these contacts were
sufficient to support personal jurisdiction, explaining
21
that from the contacts, “it seems a fair inference that
[the defendant] either actively supervised or actually
participated in [the in-forum company’s] initial development of the alloy logs.” 482 F.2d at 1084. Thereafter,
“the contacts continued to be extensive,” including
substantial correspondence. Id. And “[g]iven the five
year history of prior dealing between the parties, [the
defendant] may not claim surprise at being expected
to appear in this forum.” Id.
The Eleventh Circuit reached the same result in a
case involving even slimmer contacts in Sloss Industries. There, an Alabama insulation producer sued a
European purchaser in federal court in Alabama, and
the defendant challenged jurisdiction. The court recognized that the defendant did “not have any offices,
officers, employees, or agents in Alabama,” did “not
own any real property in Alabama,” was “not licensed
or authorized to do business in Alabama, does not do
business in Alabama, and does not have any customers in Alabama,” sold “all of its goods in Europe,” and
did “not solicit business in Alabama.” Sloss Indus., 488
F.3d at 925-26. Indeed, other than the plaintiff in-forum company, the defendant did “not have any suppliers in Alabama.” Id. at 926.
Nevertheless, the Eleventh Circuit held that jurisdiction was appropriate when the defendant had
placed ten unsolicited orders for the Alabama company’s product during a time period spanning several
months, “thereby establishing a course of dealing”;
when it had its agent send containers to the Alabama
company on six occasions to pack the shipments for
shipping; and when its executives had, on one occasion, visited the Alabama company’s plant, during
which “they discussed the manufacturing process and
22
proposed” that the Alabama company enter into an exclusive business arrangement with them. Sloss Indus.,
488 F.3d at 933.
The contacts here are more robust than the contacts that gave rise to jurisdiction in both Whittaker
and Sloss. In those cases, the courts essentially held
that it was enough that the defendant was “more than
a mere passive purchaser.” Sloss, 488 F.3d at 933; see
also Whittaker, 482 F.2d at 1084 (explaining that the
defendant’s “participation in the economic life of Massachusetts seems clearly to rise above that of a purchaser who simply places an order and sits by until the
goods are delivered”). Instead, the defendants in those
cases took an active role in the forum company’s business by offering input in the form of specifications and
advice. Cranfield’s contacts with Tamarack were even
more robust because Cranfield was not even arguably
a mere purchaser; it was hired by Tamarack to provide
exactly that sort of input into Tamarack’s Idaho business. Thus, Cranfield advised Tamarack about the creation of a testing plan that Tamarack would run in
Idaho, and then oversaw Tamarack’s testing before reviewing and approving the resulting test data. Just as
in Sloss and Whittaker, some of that supervision was
conducted remotely, and some was in-person. But
there is no serious basis to dispute that Cranfield’s
role in the approval process for the ATLAS, which enabled the ATLAS to be sold in Idaho, was substantial.
The Sixth Circuit reached the same conclusion on
slightly different facts in MAG IAS Holdings. There, a
company sued its German former CEO in Michigan
courts. See 854 F.3d at 896-97. The company alleged
that the CEO oversaw aspects of the company’s Michigan subsidiary, improperly used his power to steer
23
assets and work away from the Michigan business and
toward the company’s businesses in Germany, and visited the Michigan facility twice during his eight-month
tenure as CEO—once to meet with the management
team and learn about the facility, and once to meet
with the company’s largest client. See id. at 898.
The Sixth Circuit held that personal jurisdiction
existed, explaining that the CEO “was directly involved in planning for future operations in the state,”
including through his two visits, and “in regular contact with Michigan-based executives by phone and
email.” 854 F.3d at 901-02. He also “held himself out
both to . . . employees and to clients as being responsible for [the Michigan subsidiary’s] operations,” and
“would have known that his conduct both targeted the
state and impacted the Michigan economy more
broadly.” Id. at 902. Against the weight of those contacts, the Sixth Circuit held that it did not matter that
the CEO’s employment agreement had “German
venue and choice-of-law clauses.” Id.
3. Independently, the decision below conflicts with
the Idaho Supreme Court’s precedential decision in
Brockett Co. v. Crain, 483 P.3d 432 (Idaho 2021).
There, an Idaho company (Brockett) reached out to an
Oklahoma resident (Crain) and offered to help sell
Crain’s storage tanks. Id. at 435. The parties allegedly
formed a brokerage arrangement. Id. Aside from
Brockett’s work to line up buyers (which it found in
Texas), nothing took place in Idaho: the storage tanks
were not physically there, and Crain never visited. See
id. at 435-36. After Brockett claimed to have found a
buyer for the tanks in Texas, Crain allegedly cut
Brockett out of the deal and sold to the buyer directly.
Id. Brockett sued in Idaho, and the question whether
24
Idaho courts had jurisdiction over Crain reached the
State’s highest court.
The court held that the answer was “yes” under
the Burger King continuing-relationship rule. See
Brockett, 483 P.3d at 442. As the court explained, “the
parties engaged in a fifteen-month brokerage relationship” that “was made possible by consistent back-andforth communication . . . via electronic means,” which
constituted minimum contacts. Id. at 443. Even
though Crain “did not set foot in Idaho,” that was immaterial because had he “followed through with the
brokerage relationship,” he would have “continued to
coordinate with Brockett Co. in Idaho until they found
a suitable third-party buyer.” Id. The court thus held
that the defendants, “through their electronic communications directed at a forum resident, engaged in precisely the type of ‘continuing relationship and obligations’ contemplated in Burger King.” Id.
The contacts here are far stronger than the ones
that sufficed in Brockett. The relationship was longer
(six years versus fifteen months). The amount of physical contact was greater (two important visits versus
none). The amount of back-and-forth was greater
(thousands of pages of documents versus some unspecified amount of e-mail). The amount of control was
greater (including ability to reject test results). And a
written contract anticipated all of this (versus a disputed agreement). Put simply, Brockett is irreconcilable with the Ninth Circuit’s holding.
That creates an acute conflict of law because parties in the same jurisdiction (Idaho) now face entirely
different legal rules depending on whether their suits
land in state or in federal court. The issue is also not
limited to Idaho. Almost every State in the Ninth
25
Circuit allows courts to assert personal jurisdiction to
the extent permitted by due process. See Cal. Civ.
Proc. Code § 410.10; Nev. Rev. Stat. § 14.065(1); Ariz.
R. Civ. P. 4.2; Or. R. Civ. P. 4(L); Yamashita v. LG
Chem, Ltd., 518 P.3d 1169, 1171 (Haw. 2022); Noll v.
Am. Biltrite Inc., 395 P.3d 1021, 1026 (Wash. 2017) (en
banc); Polar Supply Co. v. Steelmaster Indus., Inc., 127
P.3d 52, 55 (Alaska 2005). The panel decision creates
new uncertainty in all those jurisdictions.
In sum, the Ninth Circuit’s precedential decision
conflicts with other binding precedents interpreting
the same federal constitutional provisions. This lack of
uniformity is untenable, and this Court should grant
certiorari to reverse.
II.
The Decision Below Conflicts With This
Court’s Precedents
The Ninth Circuit’s decision conflicts with this
Court’s seminal precedent in Burger King, which established that when a defendant contractually creates
continuing obligations to a forum resident, the minimum contacts inquiry is satisfied—even if the defendant did not physically enter the forum. See 471 U.S. at
475-76. As early as 1985, Burger King presciently foreshadowed that technological advances would render
travel unnecessary for purposeful availment. See id. at
476. That proposition was true then; it is glaringly obvious now that remote work has become the norm for
millions around the world. Accordingly, today—no less
than in 1985—Cranfield’s continuous relationship
with Tamarack, coupled with its remote activities directed toward Idaho and its in-person activities in
Idaho, constitute sufficient minimum contacts to support personal jurisdiction over Cranfield in Idaho.
26
The Ninth Circuit’s disregard for Burger King is
evident: The majority opinion cites it only fleetingly,
Pet. App. 11a-12a, never quotes from it, and flouts this
Court’s central guidance about remote work. Indeed,
the Ninth Circuit’s reasoning is directly contrary to
Burger King in this respect. The court of appeals
placed great weight on the fact that Cranfield may
have been permitted to “witness” Tamarack’s tests remotely (even though Cranfield actually witnessed
them in person), Pet. App. 12a, 14a-15a, and treated
Cranfield’s “remote work on behalf of Tamarack’s ATLAS project” as essentially irrelevant, id. at 14a, despite this Court’s clear holding that physical presence
in the State is not required at all, Burger King, 471
U.S. at 476.
The Ninth Circuit also erred in its determination
that Cranfield’s two in-person visits to Idaho were too
“random, fortuitous, or attenuated” to constitute minimum contacts with the State. Recall that the first
visit, in 2013, included Cranfield’s head of design, who
later testified that the purpose of the visit was to commence performance of the contract. This senior employee conceded that the visit was not “random” or
“fortuitous”; it was part of Cranfield’s standard engagement launch procedure and necessary to allow
Cranfield to instruct Tamarack’s team in Idaho about
what tests to perform there. See supra pp.3-4. The second visit, in 2017, was by Cranfield’s chief stress engineer, who was there to witness tests and decide
whether the product passed or failed; this was considered a key step that was critical for safety. See supra
p.4. The Ninth Circuit characterized these visits as
“too attenuated to establish minimum contacts” because they occurred “at Tamarack’s request and
27
expense, and the trips did not suggest a ‘special place’
in Cranfield’s years-long performance of its contract.”
Pet. App. 16a. In the circuit court’s opinion, even
though “observing testing of the ATLAS system is important, the record shows that approval of the testing
could have occurred in the United Kingdom.” Id.
With all due respect to the court of appeals, it fundamentally misconstrued the “random, fortuitous, and
attenuated” language in this Court’s decisions. When
this Court has used that phrase, it has typically referred to circumstances in which a small quantity of a
manufacturer’s product might make its way to a forum
State. For example, in Burger King, the Court used
that language and then cited World-Wide Volkswagen
Corp. v. Woodson, 444 U.S. 286, 299 (1980), which held
that jurisdiction in Oklahoma was lacking when an
automobile sold in New York to New York residents
later became involved in an accident in Oklahoma; and
also Keeton v. Hustler Magazine, Inc., 465 U.S. 770,
774 (1984), where the Court reasoned that the regular
sale of magazines within a forum was not “random,
isolated, or fortuitous.” 471 U.S. at 475. One could imagine the movement of people meeting this standard—
for example, when a defendant passes through a forum
State while in transit—and while there engages in
some tangential suit-related conduct. But this Court
has never described conduct like the visits here—
which arose solely out of Cranfield’s contractual obligations to a forum resident—as “random, fortuitous,
or attenuated,” and this Court’s precedents provide no
support for that proposition.
The only proposition the Ninth Circuit (correctly)
took from Burger King is that merely contracting with
a forum resident is not enough to establish purposeful
28
availment; instead, the inquiry looks to the parties’
“prior negotiations and contemplated future consequences, along with the terms of the contract and the
parties’ actual course of dealing,” when “determining
whether the defendant purposefully established minimum contacts within the forum.” 471 U.S. at 479. But,
to be clear, nobody is arguing that merely contracting
with a forum resident is enough. Moreover, the proposition the Ninth Circuit relied on merely describes
what sources a court should consider when conducting
the purposeful availment inquiry; it does not override
this Court’s clear statement that a defendant that has
“created continuing obligations between himself and
residents of the forum . . . manifestly has availed himself of the privilege of conducting business there,”
which describes the focus of the inquiry. Id. at 476
(quotation marks omitted). And it certainly does not
cast doubt on the Court’s holding that purposeful
availment can be obtained “solely by mail and wire
communications,” if they “are purposefully directed toward residents of another State.” Id. (quotation marks
omitted).
Independent of the conflict with Burger King, this
Court’s decisions also strongly imply that when, as
here, a foreign defendant takes deliberate actions in
and toward a forum State that assist in the development and sale of a defective product in that State, jurisdiction is appropriate. For example, in Ford Motor
Co. v. Montana Eighth Judicial District Court, 141 S.
Ct. 1017, 1026 (2021), the losing defendant in a product liability action argued that jurisdiction could only
attach in the State where the defective vehicle was
sold, designed, or manufactured. This Court rejected
the argument by adopting an even broader conception
29
of personal jurisdiction—but the Court never suggested that the defendant’s examples were insufficient. Similarly, in Bristol-Myers Squibb Co. v. Superior Court of California, 582 U.S. 255, 259 (2017), the
Court found jurisdiction lacking, in part, because the
allegedly defective drug has not been developed or
manufactured in California, and the defendant did not
“work on the regulatory approval of the product in California,” either. The Court at least strongly suggested
that if the opposite were true, jurisdiction would attach.
Here, the ATLAS was designed, manufactured,
and sold in Idaho—and Cranfield played an important
role in each step of that process by helping Tamarack
secure necessary U.S. governmental regulatory approvals (including by supervising testing conducted in
Idaho), and then holding the FAA-issued STC for Tamarack’s benefit and approving the installation of the
part on aircraft in Idaho, including the accident aircraft. That is more than enough to satisfy the minimum contacts test under this Court’s precedents.
III.
The Question Presented Is Important
Certiorari should also be granted because the
question presented is important. Businesses frequently collaborate across state lines, and consumers
as well as industry need clear rules explaining when
an out-of-forum party is subject to jurisdiction in a
counterparty’s forum. As this case and the cited cases
show, this issue arises frequently, including in tort
cases based on defective products, other consumer
matters, as well as disputes involving contracts and
quasi-contracts. The Ninth Circuit’s opinion casts a
cloud of uncertainty over settled understandings,
30
making it difficult for businesses to understand the
implications of their conduct and for third parties to
determine where to sue. That is true regardless of the
Court’s ultimate view on the merits.
Beyond the sheer number of cases implicated, the
question presented is also qualitatively important because the existence of personal jurisdiction will often
be outcome-determinative—especially in cases, like
this one, involving foreign defendants. The upshot of
the Ninth Circuit’s ruling is that Cranfield likely cannot be sued anywhere in the United States—even
though Cranfield made hundreds of thousands of dollars by helping an Idaho company gain FAA certification to install products on aircraft in Idaho. In other
cases, too, plaintiffs’ access to a U.S. forum (and therefore to counsel of their choice, and a convenient forum
to litigate) will often hang in the balance.
31
CONCLUSION
The petition should be granted.
Respectfully submitted,
s/ Tejinder Singh
Thomas P. Routh
Michael S. McArdle
NOLAN LAW GROUP
20 N. Clark Street
30th Floor
Chicago, IL 60602
Attorneys for Petitioner
Maschmeyer
Joseph J. Slama
Krupnick Campbell
Malone
BUSER SLAMA HANCOCK, PA
12 SE 7th Street
Suite 801
Ft. Lauderdale, FL 33301
Attorneys for Petitioner
Davis
Tejinder Singh
Counsel of Record
SPARACINO PLLC
1920 L Street, NW
Suite 835
Washington, DC 20036
(202) 629-3530
tejinder@sparacinopllc.com
Attorney for Petitioners
David Katzman
Bruce Lampert
Bradley Stoll
KATZMAN, LAMPERT & STOLL
PLLC
9596 Metro Airport Avenue
Bloomfield, CO 80021
Attorneys for Petitioner
Johnson
APPENDIX
APPENDIX TABLE OF CONTENTS
Appendix A: Opinion of the Court of Appeals .......... 1a
Appendix B: Opinion of the District Court ............. 34a
Appendix C: Order Denying Rehearing .................. 54a
1a
APPENDIX A
IN THE UNITED STATES COURT OF APPEALS
FOR THE NINTH CIRCUIT
No. 22-35099
ERICA DAVIS, as Personal Representative of the
Estate of Andrew Dale Davis, deceased, and minor
children, JC, minor child, SD, minor child; MICHAEL
M. MASCHMEYER, as Personal Representative of
the Estate of R. Wayne Estopinal, deceased; JAMES
JOHNSON, individually and as Independent CoAdministrators of the Estate of Sandra Johnson,
deceased; BRADLEY HERMAN, individually and as
Independent Co-Administrators of the Estate of
Sandra Johnson, deceased,
Plaintiffs-Appellants,
v.
CRANFIELD AEROSPACE SOLUTIONS, LIMITED,
Defendant-Appellee
Appeal from the United States District Court for the
District of Idaho
B. Lynn Winmill, Chief District Judge, Presiding
Argued and Submitted November 9, 2022 Portland,
Oregon
Filed June 23, 2023
Before: Patrick J. Bumatay and Gabriel P. Sanchez,
Circuit Judges, and M. Miller Baker, * International
Trade Judge.
The Honorable M. Miller Baker, Judge for the United States
Court of International Trade, sitting by designation.
*
2a
Opinion by Judge Bumatay; Partial Dissent by Judge
Baker
OPINION
BUMATAY, Circuit Judge:
This case asks whether a federal court in Idaho
may exercise personal jurisdiction over an English
corporation in an action brought by plaintiffs from
Louisiana and Indiana for an accident that occurred
in Indiana. Because this case involves an out-of-state
accident, out-of-state plaintiffs, and an out-of-state
defendant with no minimum contacts with the state,
we say no.
I.
In November 2018, a Cessna Model 525
corporate jet tried to fly from Sellersburg, Indiana, to
Chicago, Illinois. It never made it to Chicago. It
crashed a few minutes after takeoff in Clark County,
Indiana. The pilot of the plane, Andrew Davis, and
the two passengers, R. Wayne Estopinal and Sandra
Johnson, were killed instantly.
Representatives for the three decedents brought
this wrongful death and product liability suit against
Cranfield Aerospace Solutions, LLC, in the District of
Idaho. These representatives include Erica Davis for
her late husband’s estate and for her minor children;
Michael Maschmeyer for the Estopinal estate; and
James Johnson and Bradley Herman for the Johnson
estate
(collectively,
the
“Appellants”).
The
representatives for Davis and Estopinal are residents
of Indiana, while Johnson’s representatives reside in
Louisiana. Cranfield is incorporated in and has its
principal place of business in England.
3a
Appellants allege that a load alleviation system,
the Tamarack Active Winglet Load System—
trademarked as the ATLAS system—caused the
plane crash. They believe that the ATLAS system’s
defective design caused the Cessna to deviate from its
flight path and hit trees and the ground in Indiana.
Tamarack Aerospace Group, Inc., a Washington State
corporation with its principal place of business in
Idaho, manufactured and installed the ATLAS system
on the Cessna in May 2018.
But before being allowed to install the ATLAS
system on planes within the United States,
Tamarack needed a special certification from the
Federal Aviation Administration (“FAA”)—known as
a supplemental type certification. This certification
allows the holder to modify airplanes from their
original design. This is where Cranfield comes into
the picture. Cranfield helped Tamarack obtain the
FAA supplemental type certification.
Tamarack and Cranfield had a preexisting
relationship. After Tamarack designed the ATLAS
system, it asked Cranfield for help in obtaining a
supplemental type certification from the European
equivalent of the FAA—the European Aviation Safety
Agency (“EASA”). In 2013, Tamarack contracted
Cranfield to provide services to attain an EASA
certificate for the ATLAS system. Cranfield oversaw
and provided technical assistance for the process to
obtain the certification. Cranfield acted as the point
of contact between the EASA and Tamarack.
Cranfield successfully obtained the EASA certificate
for Tamarack in 2015.
A year into the contract, Tamarack asked
4a
Cranfield to expand its scope to include obtaining an
FAA certificate for the ATLAS system. Once again,
Cranfield acted as the primary interface with the
agency. Cranfield was again successful—obtaining
the FAA certificate on behalf of Tamarack in 2016.
Tamarack then installed the ATLAS winglet system
on the Cessna in 2018. At the time of the crash,
Cranfield still held the FAA and EASA certificates for
Tamarack. After the crash, in 2019, Cranfield
transferred both certificates to Tamarack.
Appellants first sued Tamarack and Cranfield in
the Eastern District of Washington, alleging both
companies were liable for the crash under
Washington’s Product Liability Act. Cranfield moved
to dismiss for lack of personal jurisdiction, and
Appellants conceded that jurisdiction was lacking.
Cranfield was dismissed from the action, but the
litigation against Tamarack continued. That case is
still pending.
In November 2020, Appellants brought this
diversity action against Cranfield in the District of
Idaho under 28 U.S.C. § 1332(a). Appellants’
complaint alleges three causes of action under Idaho
state law: (1) liability under Idaho’s Product Liability
Reform Act; (2) negligence; and (3) willful and
reckless misconduct. Cranfield again moved to
dismiss for lack of jurisdiction. After permitting
jurisdictional discovery, the district court granted
Cranfield’s motion to dismiss for lack of personal
4 The court ruled that Appellants could
jurisdiction.
not establish specific jurisdiction over Cranfield.
This appeal followed, which we review de novo.
Glob. Commodities Trading Grp., Inc. v. Beneficio de
5a
Arroz Choloma, S.A., 972 F.3d 1101, 1106 (9th Cir.
2020).
II.
A.
Personal Jurisdiction: General and Specific
The central question here is whether a federal
court sitting in Idaho can exercise personal
jurisdiction over Cranfield, an English corporation.
To establish federal jurisdiction over a nonresident
defendant in a diversity suit, we look to both state
jurisdictional rules and the constitutional principles
of due process. Daimler AG v. Bauman, 571 U.S. 117,
125 (2014). We first look to state law to see how far
the state extends the bounds of its courts’ jurisdiction.
Id. We then make sure that the exercise of
jurisdiction would “comport[] with the limits imposed
by federal due process.” Id.
In this case, Idaho’s long-arm statute authorizes
the exercise of “all the jurisdiction available to the
State of Idaho under the due process clause of the
United States Constitution.” Lake v. Lake, 817 F.2d
1416, 1420 (9th Cir. 1987) (citing Doggett v. Elecs.
Corp. of Am., 93 Idaho 26, 30 (1969)); see also Idaho
Code § 5-514. So, for our purposes, jurisdiction under
state law and due process are coextensive.
Whether the exercise of jurisdiction satisfies due
process turns on “the nature and extent of the
defendant’s relationship to the forum State.” Ford
Motor Co. v. Mont. Eighth Jud. Dist. Ct., 141 S.
Ct.
1017,
1024
(2021) (simplified). “Since
International Shoe, the rule has been that a state
court can exercise personal jurisdiction over a
6a
defendant if the defendant has ‘minimum contacts’
with the forum—which means that the contacts must
be ‘such that the maintenance of the suit does not
offend ‘traditional notions of fair play and substantial
justice.’” Id. at 1032 (Alito, J., concurring) (quoting
Int’l Shoe Co. v. Washington, 326 U.S. 310, 316
(1945)). Given this focus on forum state contacts,
jurisdiction comes in two forms: general jurisdiction
and specific jurisdiction. Id. at 1024.
General
jurisdiction—or
“all-purpose”
jurisdiction— comes into play when a defendant is
“essentially at home” in the forum state. Id. For
corporations, this type of extensive contact generally
means the company’s place of incorporation and its
principal place of business. Id. Such jurisdiction
extends over “any and all claims” against the
defendant concerning “events and conduct anywhere
in the world.” Id.
Specific jurisdiction, on the other hand, permits
jurisdiction over a defendant “less intimately
connected” with a forum state. Id. To assert specific
jurisdiction, the defendant must have “take[n] some
act by which it purposefully avails itself of the
privilege of conducting activities within the forum
State.” Id. (simplified). But given the more limited
contacts with the forum state, this type of jurisdiction
is “case-linked,” only covering a “narrower class of
claims.” Id. To comply with due process, the
plaintiff’s claims “must arise out of or relate to the
defendant’s contacts with the forum.” Id. at 1025
(simplified).
Our court uses a three-part test to determine
whether specific jurisdiction exists:
7a
(1) The non-resident defendant must
purposefully direct his activities or
consummate some transaction with
the forum or resident thereof; or
perform some act by which he
purposefully avails himself of the
privilege of conducting activities in
the forum, thereby invoking the
benefits and protections of its laws;
(2) the claim must be one which arises
out of or relates to the defendant’s
forum-related activities; and
(3) the exercise of jurisdiction must
comport
with
fair
play
and
substantial justice, i.e. it must be
reasonable.
Schwarzenegger v. Fred Martin Motor Co., 374 F.3d
797, 802 (9th Cir. 2004) (quoting Lake, 817 F.2d at
1421). The plaintiff bears the burden of meeting the
first two prongs while the defendant shoulders the
burden on the final prong. Id. All three prongs must
be met to exercise personal jurisdiction over the
defendant. Id.
Only specific jurisdiction is at issue here.
B.
Purposeful Direction v. Purposeful Availment
Before turning to application of the specificjurisdiction test, we start with a word about the first
prong—the “purposeful availment” prong. In the
past, we’ve suggested that we evaluate this prong
“somewhat differently” depending on whether the
8a
case involves tort or contract claims. Yahoo! Inc. v.
La Ligue Contre Le Racisme Et L’Antisemitisme, 433
F.3d 1199, 1205–06 (9th Cir. 2006) (en banc). As
we’ve said, the prong incorporates two distinct
concepts—“purposeful direction” and “purposeful
availment.” Id.; see also Schwarzenegger, 374 F.3d at
802. The “purposeful direction” test “typically”
applies to tort claims while the “purposeful
availment” test “typically” applies to contract cases.
See Yahoo! Inc., 433 F.3d at 1206; see also Picot v.
Weston, 780 F.3d 1206, 1212 (9th Cir. 2015) (stating
that we “generally” apply purposeful availment to
claims sounding in contract). While our precedent
mentions what “typically” happens, we have never
held that this line is a hard-and-fast rule. Rather,
“our cases do not impose a rigid dividing line between
these two types of claims.” Glob. Commodities, 972
F.3d at 1107. Indeed, the first prong “may be
satisfied by purposeful availment,” “by purposeful
direction,” or “by some combination thereof.” Yahoo!
Inc., 433 F.3d at 1206.
After all, a “rigid dividing line” doesn’t serve the
purposes of due process. “[B]oth purposeful
availment and purposeful direction ask whether
defendants have voluntarily derived some benefit
from their interstate activities such that they will not
be haled into a jurisdiction solely as a result of
random, fortuitous, or attenuated contacts.” Glob.
Commodities, 972 F.3d at 1107 (simplified). So
there’s no need to adhere to an iron-clad doctrinal
dichotomy to analyze specific jurisdiction. Rather,
when considering specific jurisdiction, courts should
comprehensively evaluate the extent of the
defendant’s contacts with the forum state and those
9a
contacts’ relationship to the plaintiffs’ claims—which
may mean looking at both purposeful availment and
purposeful direction.
Thus, to the extent Cranfield argues that we
should only review Appellants’ tort claims under the
purposeful direction test, we disagree. We think it
appropriate to look at both approaches in
determining jurisdiction over Cranfield. But under
either approach, jurisdiction over Cranfield in Idaho
is lacking.
C.
No Purposeful Direction in Idaho
Start with the purposeful direction test. We
evaluate purposeful direction under the three-part
“effects” test from Calder v. Jones, 465 U.S. 783, 789–
90 (1984): the defendant must have allegedly “(1)
committed an intentional act, (2) expressly aimed at
the forum state, (3) causing harm that the defendant
knows is likely to be suffered in the forum state.”
Yahoo!, 433 F.3d at 1206 (quoting Schwarzenegger,
374 F.3d at 803). An action may be directed at a forum
state even if it occurred elsewhere. Morrill v. Scott
Fin. Corp., 873 F.3d 1136, 1142 (9th Cir. 2017). This
analysis is driven by the defendant’s contacts with
the forum state—not the plaintiff’s or other parties’
forum connections. Walden v. Fiore, 571 U.S. 277,
289 (2014); Bristol-Myers Squibb Co. v. Superior Ct.
of Cal., S.F. Cnty., 582 U.S. 255, 265 (2017).
The purposeful direction test cannot support
jurisdiction here because Appellants fail to allege
that Cranfield injured them in Idaho. “Harm suffered
in the forum state is a necessary element in
10a
establishing purposeful direction.” Morrill, 873 F.3d
at 1144. As alleged, the harms to Appellants
occurred in Indiana, where the plane crash killed
their loved ones, or in Indiana and Louisiana, where
they resided when the crash occurred. Under the
purposeful direction test, haling Cranfield into court
in Idaho for a harm that was suffered elsewhere does
not satisfy due process. Because this lack of forumstate harm is dispositive, we need not address the
other elements of the purposeful direction test.
D.
No Purposeful Availment in Idaho
While closer, purposeful availment leads to the
same result. To establish purposeful availment, we
look at a defendant’s “entire course of dealing” with
the forum state— “not solely the particular contract
or tortious conduct giving rise to [a plaintiff’s] claim.”
Glob. Commodities, 972 F.3d at 1108. It exists when
a defendant’s dealings with a state establishes a
“quid pro quo”—where the defendant “purposefully
avails itself of the privilege of conducting activities
within the forum State, thus invoking the benefits
and protections of its laws,” and in return “submit[s]
to the burdens of litigation” in the State.
Schwarzenegger, 374 F.3d at 802 (simplified). In
other words, we examine whether the defendant
“deliberately reached out beyond [its] home—by, for
example, exploiting a market in the forum State or
entering a contractual relationship centered there.”
Yamashita v. LG Chem, Ltd., 62 F.4th 496, 503 (9th
Cir. 2023) (simplified). The “unilateral activity” of
another party does not meet this standard. Id.
Purposeful availment can be established by a
11a
contract’s negotiations, its terms, its contemplated
future consequences, and the parties’ actual course of
dealing. Burger King Corp. v. Rudzewicz, 471 U.S.
462, 479 (1985).
Looking at these factors, we agree with the
district court that Appellants failed to establish that
Cranfield purposefully availed itself of the benefits
and protections of Idaho. While Tamarack is an
Idaho resident, there’s no evidence that Cranfield
sought out Tamarack in Idaho or benefitted from
Tamarack’s residence in Idaho. Neither the contract’s
negotiations, terms, nor contemplated consequences
establish that Cranfield formed a substantial
connection with Idaho. And while the course of
dealings show that Cranfield employees entered
Idaho several times, those transitory trips into the
forum state do not sufficiently reflect purposeful
availment.
Contract Negotiations. At the time that
Tamarack contacted Cranfield about the ATLAS
Winglet project in early 2012, Cranfield had no
offices, facilities, employees, or agents in the United
States. It never advertised or marketed services in
Idaho. Appellants do not allege that Cranfield had
any Idaho contacts before its contract with
Tamarack. And Cranfield did not solicit the business
with Tamarack. Instead, Tamarack initiated contact
with Cranfield by phone and email. Negotiations
between the two parties continued remotely, although
there was one in-person meeting in England,
Cranfield’s headquarters. During negotiations,
Cranfield let Tamarack know that all Cranfield staff
working on the project would be based in the United
Kingdom. So nothing in the contract negotiation
12a
reflects Cranfield’s intent to avail itself of Idaho’s
laws. See Sher v. Johnson, 911 F.2d 1357, 1363 (9th
Cir. 1990) (finding no purposeful availment in the
course of negotiations when defendant “is solicited in
its home state and takes no affirmative action to
promote business within the forum state”).
Contract Terms. None of the contract terms
invoke the laws of Idaho. Instead, by its terms, New
York law governs the contract’s enforcement and
interpretation. The agreement also selects New York
as its choice of forum. The closest the contract gets to
referring to Idaho is that Cranfield may “witness” any
tests associated with the project and Cranfield will
have access to Tamarack’s facility “as and when
necessary.” This suggests some contact with Idaho
given that Tamarack’s facility is in Idaho, but the
contract is permissive—not mandatory—and does not
specify whether Cranfield must “witness” any tests in
person. Given that the overall purpose of the contract
terms was to obtain a certification from European
aviation authorities and the FAA, which is
headquartered in Washington, D.C., we think the
contract terms count against finding purposeful
availment in Idaho. See Burger King, 471 U.S. at 478
(entering a contract with a forum state resident is not
enough in itself to establish minimum contacts).
Contemplated
Consequences.
The
contemplated consequences of the contract do not
change the analysis. Nothing in the contract’s
contemplated consequences suggests that Cranfield
sought to benefit from Idaho’s laws. Once again, the
contract contemplated that Cranfield would provide
technical assistance in obtaining certifications from
the EASA and the FAA and serve as Tamarack’s
13a
main representative to those agencies. Even while
delegating those functions to Cranfield, Tamarack
remained responsible for developing and coordinating
all engineering and certification testing. The
strongest fact for Appellants is that the contract
contemplated that Cranfield would hold the EASA
and FAA supplemental type certification on behalf of
Tamarack. Indeed, Cranfield held the certifications
on behalf of Tamarack at the time of the crash. But
we do not think such a legal obligation in itself
establishes purposeful availment in Idaho. Cf. Sher,
911 F.2d at 1362 (“normal incidents of [legal]
representation” of an in-forum client do not by
themselves establish minimum contacts). This is
especially true when Tamarack remained responsible
for any modifications to the FAA certification and any
testing or analysis necessary for the modifications.
Actual Course of Dealings. This leaves
Cranfield’s actual course of dealing with Tamarack
in Idaho, which presents a somewhat closer question.
Appellants allege that Cranfield employees engaged
in several telephone calls, emails, and other
correspondence with individuals in Idaho related to
the design and safety aspects of Tamarack’s ATLAS
system. While remaining in England, Cranfield
employees provided Tamarack technical advice and
assistance and helped them develop procedures and
analysis to obtain the EASA and FAA certifications.
Throughout each of these activities, Cranfield and its
employees worked in the United Kingdom. In return,
Tamarack compensated Cranfield from Idaho.
We have explained that “the fact that a contract
envisions one party discharging his obligations in the
forum state cannot, standing alone, justify the
14a
exercise of jurisdiction over another party to the
contract.” Picot, 780 F.3d at 1213. And remote
actions taken to service a contract in the forum state
seldom lead to purposeful availment by themselves.
See Sher, 911 F.2d at 1362 (explaining that, without
more, out-of-state contacts by mail and phone and
payments sent from forum state did not establish “the
deliberate creation of a ‘substantial connection’” with
the forum state). Thus, Cranfield’s remote work on
behalf of Tamarack’s ATLAS project does not,
without more, establish purposeful availment.
But Appellants don’t rely solely on Cranfield’s
remote work. Besides Cranfield’s remote activities,
Appellants point to two trips by Cranfield employees
to Tamarack’s Idaho facility as part of the contract.
First, after the contract was executed, Cranfield’s
head of design traveled to Idaho in 2013. During this
three-day trip, he met with Tamarack’s developers of
the ATLAS winglet system, observed a working
prototype, and held several meetings with Tamarack
engineers to learn more about the system. He also
spent time going through the regulations necessary
for obtaining a European certificate for the ATLAS
system and worked with Tamarack to plan the
certification process.
Appellants also highlight a 2017 trip by
Cranfield’s chief stress engineer to observe a “critical
stage” of testing of the ATLAS system. The purpose
of the week-long Idaho visit was to determine
whether Tamarack’s test protocols and test results
complied with the EASA and FAA regulations. The
Cranfield engineer’s role was to later validate the test
reports while in the United Kingdom or in Idaho, but
he also had the authority to request a retest while in
15a
Idaho if something had gone wrong.
“While physical entry into the State is certainly a
relevant contact, a defendant’s transitory presence
will support jurisdiction only if it was meaningful
enough to create a substantial connection with the
forum State.” Picot, 780 F.3d at 1213 (simplified). In
Picot, we examined whether an out-of-state
defendant’s forays into the forum state established
purposeful availment. There, the defendant made two
trips to California to assist with presentations given
to potential clients at the plaintiffs’ request and
expense. Id. Both trips lasted about two weeks, but
the defendant’s role in the presentations was
“relatively small.” Id. We declined to find a
substantial connection with California under those
facts. We determined that the two trips had “no
special place” in the performance of the plaintiffs’
contract “as a whole.” Id. They were not part of the
initial agreement between the parties. Id. And the
defendant had performed the “bulk of his efforts” outof-state and met with clients and plaintiffs outside of
California. Id. At most, we held, the trips were
“random, fortuitous, or attenuated” contacts with the
forum state. Id. And we reached the same
conclusion in other cases. See Sher, 911 F.2d at
1363; Omeluk v. Langsten Slip & Batbyggeri A/S, 52
F.3d 267, 271 (9th Cir. 1995).
Our recent decision in Silk v. Bond, 65 F.4th 445
(9th Cir. 2023), does not change our analysis. While
Silk shows that physical travel to the forum state
may not be necessary to establish purposeful
availment, it illustrates the level of substantial
connections under a contractual relationship that
may suffice. Id. at 456–57. There, the defendant
16a
sought out a contractual relationship in the forum
state that would require all related work to take place
in that state. Id. at 457. The contract referenced the
forum state and the defendant paid into forum-state
bank accounts, mailed paper copies of relevant
documents to the forum state each month for two
decades, and at times sent family members to the
forum state for contract-related meetings on his
behalf. Id. at 456. In comparison, Cranfield’s
interactions with Idaho are far more random,
fortuitous, and attenuated, making this case more
like Picot than Silk.
Given this precedent, we conclude that the two
trips by Cranfield employees to Idaho were too
attenuated to establish minimum contacts with the
State. As in Picot, the employees traveled at
Tamarack’s request and expense, and the trips did
not suggest a “special place” in Cranfield’s years-long
performance of its contract with Tamarack. Picot, 780
F.3d at 1213. While observing testing of the ATLAS
system is important, the record shows that approval
of the testing could have occurred in the United
Kingdom. And it is undisputed that the bulk of
Cranfield’s work under the contract took place in that
country.
So none of Cranfield’s actual course of dealings in
Idaho was so substantial or widespread that it
reflects Cranfield’s attempt to gain the “benefits and
protections” of the forum state.
***
Because Appellants’ allegations fail to establish
that Cranfield had sufficient minimum contacts with
Idaho, we decline to proceed to the remaining two
17a
prongs of the specific jurisdiction test.
In one last try, Appellants ask us to find specific
jurisdiction based on public policy concerns. They
argue that the United States’ interest in regulating
and promoting safety in the aviation industry favors
asserting jurisdiction over Cranfield here. Without
Cranfield’s actions to obtain the FAA certificate here,
Appellants contend that the plane crash would not
have happened. While we are mindful that this
appeal stems from tragic circumstances, that does
not give us license to dispense with constitutional
requirements.
III.
Because this case involves out-of-state conduct
by an out-of-state defendant and an out-of-state
harm, the district court properly declined to exercise
jurisdiction over Cranfield.
AFFIRMED.
BAKER, Judge, dissenting in part:
I join Parts I, II.A., II.B. except for its final
sentence, and II.C. of the panel’s opinion. I part
company, however, with the majority’s conclusion
that Plaintiffs did not demonstrate that the U.K.based
Cranfield
Aerospace
Solutions,
Ltd.,
purposefully availed itself of the forum state, Idaho.
In my view, they lopsidedly carried that burden by
showing that Cranfield undertook continuing
obligations entailing substantial activity directed
toward Tamarack Aerospace Group, Inc., in Idaho for
over six years.
18a
I
To constitute “purposeful availment,” the
defendant’s contacts with the forum state must
“proximately result from actions by the defendant
himself that create a substantial connection with”
that state. Burger King Corp. v. Rudzewicz, 471 U.S.
462, 475 (1985) (cleaned up). The question is whether
“the defendant’s conduct . . . form[s] the necessary
connection with the forum State.” Walden v. Fiore, 571
U.S. 277, 285 (2014) (emphasis added). Because “an
individual’s contract with an out-of-state party alone”
cannot subject the individual to the jurisdiction of the
other party’s home state, Burger King, 471 U.S. at 478
(emphasis removed), when the defendant has a
contractual relationship with a forum resident, a
court must look to “prior negotiations and
contemplated future consequences, along with the
terms of the contract and the parties’ actual course of
dealing.” Id. at 479. Essential to this inquiry is
whether the contract creates “continuing obligations
between [the defendant] and residents of the forum.”
Id. at 476 (cleaned up).
In our cases applying Burger King over the last 38
years, a clear principle emerges: A nonresident
purposefully avails itself of the forum state when it
undertakes (1) continuing obligations (2) entailing
some meaningful activity directed toward or
producing effects in the forum. See, e.g., Silk v. Bond,
65 F.4th 445, 457 (9th Cir. 2023) (holding that a
nonresident who engaged a California financial
planner in “a multi-year business relationship”
purposefully availed himself of that state by
“creat[ing] ‘continuing [payment] obligations’ ” to the
planner) (citing Hirsch v. Blue Cross, Blue Shield of
19a
Kan. City, 800 F.2d 1474, 1478 (9th Cir. 1986)), pet.
for cert. filed, No. 22-1167 (U.S. June 2, 2023); Glob.
Commodities Trading Grp., Inc. v. Beneficio de Arroz
Choloma, S.A., 972 F.3d 1101, 1108 (9th Cir.
2020) (Honduras importer purposefully availed itself
of the California forum by “ ‘creat[ing] continuing
relationships and obligations with citizens of’ ” that
state “over several years” through “payments on . . .
contracts” for sales of grain) (quoting Burger King,
471 U.S. at 473); Columbia Pictures Television v.
Krypton Broad. of Birmingham, Inc., 106 F.3d 284,
289 (9th Cir. 1997) (nonresident licensee of California
television producer purposefully availed itself of that
state by creating “continuing obligations” to pay
producer) (quoting Burger King, 471 U.S. at 476),
rev’d on other grounds sub nom. Feltner v. Columbia
Pictures Television, Inc., 523 U.S. 340 (1998); Ballard
v. Savage, 65 F.3d 1495, 1498 (9th Cir. 1995)
(Austrian bank merely holding accounts of American
citizens satisfied purposeful availment by its
“continuing obligations to forum residents”); Roth v.
Garcia Marquez, 942 F.2d 617, 621–22 (9th Cir. 1991)
(Mexican author’s sale of film rights to a California
movie producer satisfied purposeful availment by
creating “continuing relationships and obligations”
that “would have continuing and extensive
involvement with the forum,” even though the
producer solicited the author, whose visits to the
forum were minor); Sher v. Johnson, 911 F.2d 1357,
1362–64 (9th Cir. 1990) (Florida law firm
representing California clients in Florida litigation
purposefully availed itself of California through its
partners’ travel to the forum, communications with
those clients, and encumbrance of the clients’ forum
property); Hirsch, 800 F.2d at 1479–80 (nonresident
20a
insurer purposefully availed itself of California forum
by accepting “a continuing obligation” to cover
insureds in that state, even though the insurer did
not solicit the business and never visited the forum);
Haisten v. Grass Valley Med. Reimbursement Fund,
Ltd., 784 F.2d 1392, 1397–1400 (9th Cir. 1986) (same,
with the added fact that the policies were governed
by Cayman Islands law).
On the other hand, if a nonresident’s contract
with a forum resident does “not create any ongoing
obligations,” purposeful availment does not exist.
Boschetto v. Hansing, 539 F.3d 1011, 1017 (9th Cir.
2008) (emphasis added); cf. Glob. Commodities, 972
F.3d at 1108 (observing that a “fleeting” business
relationship cannot support purposeful availment).
And even if a nonresident’s contract with a forum
resident does involve continuing obligations,
purposeful availment is not satisfied if the
nonresident’s obligations do not entail any significant
activity toward, or create effects within, that forum.
For example, in Picot v. Weston, 780 F.3d 1206 (9th
Cir. 2015), we held that a nonresident defendant did
not purposefully avail himself of the California
forum, despite his continuing obligations under an
alleged contract with forum residents, because he did
not “perform[ ] some type of affirmative conduct
which allows or promotes the transaction of business
within the forum state.” Id. at 1212 (emphasis added)
(quoting Sher, 911 F.2d at 1362). His work under the
agreement was performed in Michigan, that work
was not directed toward California in any significant
way, and his two visits to California were not
“envisioned in the initial oral agreement” and “h[e]ld
no special place in his performance under the
21a
agreement as a whole.” Id. at 1213.
II
The majority concludes that neither the
contract’s negotiations, terms, and contemplated
consequences nor the parties’ actual course of dealing
created a substantial connection with Idaho. I
disagree because the 2013 contract created, and the
parties’ course of dealing reflected, continuing and
meaningful Idaho-facing obligations by Cranfield
until 2019 when the British company transferred the
ATLAS certification to Tamarack.
Contract Negotiations. The majority observes
that Tamarack solicited Cranfield’s services. Opinion
at 15. That fact carries little weight, however, when
measured against the latter’s significant activity
directed toward Idaho. In several cases we have
found that a defendant purposefully availed itself of
the forum by undertaking continuing obligations
entailing some activity directed at that jurisdiction,
even though the forum resident initiated the business
relationship. See, e.g., Sher, 911 F.2d at 1362; 1
Roth, 942 F.2d at 621–22; Hirsch, 800 F.2d at 1479–
80; and Haisten, 784 F.2d at 1397–98.
The majority cites Sher as an example of no purposeful
availment when a forum resident solicits a business relationship
with the defendant. Opinion at 15. But we found purposeful
availment in that case, even though forum residents solicited
the defendant law firm, because the “entire course of dealing”
there created a “significant contact” with the forum through
partner visits, communications with the forum residents, and an
encumbrance of the clients’ forum property to secure payment.
Sher, 911 F.2d at 1363–64 (cleaned up). As explained below,
Cranfield’s contacts with the Idaho forum are qualitatively
stronger than what sufficed for purposeful availment in Sher.
1
22a
Contract Terms. My colleagues conclude that the
contract’s terms don’t support Cranfield’s purposeful
availment of Idaho. They first point to the contract’s
choice-of-law and forum-selection clauses, neither of
which invokes Idaho. Opinion at 15.
“While [a choice-of-law] provision should not be
ignored in determining purposeful availment, it alone
will not suffice to block jurisdiction in the [forum
state] where other facts indicate that the [defendant]
has purposefully directed its activities toward [forum
residents].” Haisten, 784 F.2d at 1400. Thus, in
Haisten we held that an insurer purposefully availed
itself of the forum when it “directed its activities
toward California residents” by covering them, even
though the insurance contracts were governed by
Cayman Islands law. Id.
So if Cranfield continuously directed meaningful
activities toward Tamarack in Idaho, that the
contract was governed by New York law counts for
little. “The issue is personal jurisdiction, not choice of
law. It is resolved . . . by considering the acts of the
[defendant]” aimed at the forum, Hanson v. Denckla,
357 U.S. 235, 254 (1958), and whether those acts
“allow[ed] or promote[d] the transaction of business
within the forum state,” Picot, 780 F.3d at 1212. 2
In my view, a forum-selection clause has no probative value in
determining whether a defendant’s contract performance
constitutes purposeful availment of the forum for purposes of a
third party’s claim arising out of that performance. Although
parties “can, through forum selection clauses and the like, easily
contract around” personal jurisdiction rules, RAR, Inc. v. Turner
Diesel, Ltd., 107 F.3d 1272, 1280 (7th Cir. 1997), such actions do
not bind nonparties.
2
23a
The majority then brushes past the contract’s
substantive terms: “The closest the contract gets to
referring to Idaho is that Cranfield may ‘witness’ any
tests” and “have access to Tamarack’s facility ‘as and
when necessary.’ ” Opinion at 15. According to the
majority, this “suggests some contact with Idaho . . . ,
but the contract is permissive—not mandatory—and
does not specify whether Cranfield must ‘witness’ any
tests in person.” Id. at 15–16.
By only considering contractual terms referring
to physical contacts by Cranfield with Idaho, the
majority implies that those are the only contacts
relevant to purposeful availment. “Jurisdiction,”
however, “may not be avoided merely because the
defendant did not physically enter the forum State.”
Burger King, 471 U.S. at 476 (emphasis in original).
Instead, remote “entry” into a state through “goods,
mail, or some other means . . . is certainly a relevant
contact.” Walden, 571 U.S. at 285; 33 see also
Boschetto, 539 F.3d at 1019 (recognizing that a
defendant that never actually enters the state but
employs technological “means for establishing regular
business with a remote forum” may be subject to
personal jurisdiction).
My colleagues do not acknowledge the contract’s
In 1985, a decade before the advent of the modern internet,
which exponentially expanded the technological means for
remote entry into a jurisdiction, the Burger King Court observed
that “it is an inescapable fact of modern commercial life that a
substantial amount of business is transacted solely by mail and
wire communications across state lines, thus obviating the need
for physical presence within a State in which business is
conducted.” 471 U.S. at 476.
3
24a
terms mandating continuing contacts with Idaho that
Cranfield could perform either in-person or remotely,
much less the strong “quality and nature” of those
contacts. Burger King, 471 U.S. at 480 (quoting
Hanson, 357 U.S. at 253).
Cranfield’s obligations under the first phase of
the parties’ contract were entirely Idaho-facing. They
required it to “oversee” Tamarack in their “work
together to draft and finalize” two “deliverables,”
beginning with “a mutually agreeable Certification
Plan” for the Idaho company’s ATLAS system,
followed later by a “mutually agreeable application”
for that system, “including all supporting data and
documentation” necessary in “Cranfield’s professional
opinion.” 4 In short, the two companies partnered—
with Cranfield acting as the senior partner because it
would “oversee” the junior partner’s work in Idaho—to
produce the two “deliverables” necessary to apply for
certification of the ATLAS system.
In supervising Tamarack’s Idaho work on these
deliverables, the contract’s terms required Cranfield
to “approv[e] . . . test schedules and reports provided
by Tamarack” (emphasis added), “define and outline
certification requirements to Tamarack personnel” in
Idaho (emphasis added), provide input to Tamarack’s
preparation of “draft Flight Test Plans and Test
Plans” in Idaho and then “review, check and submit”
those plans (emphasis added), and “ensure”
Tamarack’s “compliance with all applicable laws and
regulations relating to the . . . certification process.”
Because the contract’s terms gave the British
The Certification Plan was to be included in the supporting
data and documentation submitted with the application.
4
25a
company “access to Tamarack’s facility as and
when
necessary,” Cranfield could supervise
Tamarack remotely and/or in person.
And after the contract’s “deliverables” were
ready to submit, the contract’s second phase required
Cranfield to “apply” for certification in its name
because Tamarack was not “qualified” to do so.
Following aviation officials’ approval of the
application, the contract’s third phase required
Cranfield to “hold[ ] and/or maintain[ ]” the
certification—a valuable right—“for Tamarack’s
benefit.”
As the certification holder, Cranfield’s approval
was necessary for Tamarack to install the ATLAS
system on any aircraft. See 14 C.F.R. § 21.120
(providing that a “supplemental type certificate
holder who allows a person to use the supplemental
type certificate to alter an aircraft, aircraft engine, or
propeller must provide that person with written
permission acceptable to the FAA”). The former’s
remote holding of this certification and approval of
the latter’s installation of the ATLAS system on the
accident aircraft was Idaho-facing much as the
remote provision of insurance coverage to forum
residents in Hirsch and Haisten was forum-facing.
In sum, the contract’s terms “created a multiyear
business
relationship
‘that
envisioned
continuing and wide- reaching contacts’ ” by
Cranfield with Tamarack in Idaho. Silk, 65 F.4th at
457 (quoting Burger King, 471 U.S. at 480); see also
Roth, 942 F.2d at 622 (purposeful availment satisfied
when a contract requires the defendant to have
“continuing and extensive involvement with the
26a
forum”). Thus, Cranfield “not only could foresee that
its actions would have an effect in [Idaho], but also
that the effect was ‘contemplated and bargained for.’ ”
Hirsch, 800 F.2d at 1479 (quoting Haisten, 784 F.2d
at 1398).
The majority’s second reason for dismissing the
contract’s terms—that their “overall purpose” was to
obtain certification for Tamarack’s ATLAS system
from aviation regulatory authorities in Europe and
America, Opinion at 16—doesn’t tell the full story.
Obtaining certification alone was useless to
Tamarack because it was not qualified to hold that
status; it needed Cranfield not only to apply for
certification, but also to then hold it so that the Idaho
company could then sell and install the ATLAS
system on third-party aircraft in Idaho under the
British company’s tutelage.
In any event, the contract’s “overall purpose” is
irrelevant to personal jurisdiction. What matters,
instead, is whether the contract required “acts of the
[defendant]” directed toward the forum. Hanson, 357
U.S. at 254. As explained above, the contract’s terms
did exactly that, in spades.
Finally, Sher would have come out the other way
if we had applied the reasoning that the majority
employs here. In that case, the “overall purpose” of
the business relationship between the defendant law
firm and the California clients was to represent the
latter in Florida litigation. Even so, we held that the
law firm purposefully availed itself of California
through its actions directed toward that state—
partner visits for meetings, communications with its
clients, and its encumbrance of its client’s forum
27a
property. See 911 F.2d at 1362–64.
Contemplated Consequences. My colleagues
contend that “[n]othing in the contract’s contemplated
consequences suggests that Cranfield sought to
benefit from Idaho’s laws,” because the contract
merely “contemplated that Cranfield would provide
technical assistance in obtaining [regulatory]
certifications . . . and serve as Tamarack’s main
representative” to the relevant agencies, while
“Tamarack remained responsible for developing and
coordinating all engineering and certification
testing.” Opinion at 16.
The majority again turns a blind eye toward
Cranfield’s duty to supervise all of Tamarack’s work
under the contract, which had foreseeable
consequences in Idaho. And although “Tamarack
remained responsible for any modifications to the
FAA certification and any testing or analysis
necessary for the modifications,” id., Cranfield in turn
was responsible for overseeing and approving that
work because the certification was in its name. See 14
C.F.R. § 21.120.
And quite apart from its supervision of
Tamarack’s work, Cranfield’s holding of the
certification also had foreseeable consequences in
Idaho: Tamarack’s installation of the ATLAS system
on the accident aircraft. The majority, though,
minimizes the significance of Cranfield so holding the
certification at the time of the installation and later
accident, comparing it to the out-of-state legal
representation in Sher. Opinion at 16.
This analogy is unpersuasive. Cranfield’s holding
the certification once granted—a valuable property
28a
right—is more properly analogized to the Austrian
bank’s holding of deposit accounts in Ballard, which
we held satisfied purposeful availment. See 65 F.3d at
1498; 5 cf. Haisten, 784 F.2d at 1398 (“A defendant
who enters into an obligation which she knows will
have effect in the forum state purposely avails herself
of the privilege of acting in the forum state.”).
Actual Course of Dealing. The majority concludes
that the parties’ course of dealing does not support
purposeful availment because “remote actions taken
to service a contract in the forum state seldom lead to
purposeful availment by themselves.” Opinion at 17
(citing Sher, 911 F.2d at 1362). Thus, they reason,
“Cranfield’s remote work on behalf of Tamarack’s
ATLAS project does not, without more, establish
purposeful availment.” Id.
This sweeping generalization ignores the
Supreme Court’s “reject[ion of] the notion that an
absence of physical contacts can defeat personal
jurisdiction,” Burger King, 471 U.S. at 476, to say
nothing of circuit precedent stating that what
matters is not whether a defendant’s contacts with
the forum under a contract with continuing
obligations were remote or physical, see, e.g., Haisten,
784 F.2d at 1399 (holding that the defendant
Indeed, consider a counterfactual where Cranfield breached its
obligation to transfer the certification to Tamarack when the
latter was finally eligible to hold it. Given that forum-selection
clauses are unenforceable against Idaho residents as matter of
public policy, see Idaho Code § 29-110, in such circumstances a
court in that state could surely exercise personal jurisdiction
over Cranfield for the same reasons that we held a California
court could permissibly exercise jurisdiction over the Austrian
bank in Ballard.
5
29a
purposefully availed itself of the forum state despite
“no physical contacts between the forum state and the
defendant”) (emphasis in original); Hirsch, 800 F.2d
at 1480 (same), but instead the “ ‘quality and nature’
of the relationship created by the contract.” Haisten,
784 F.2d at 1399 (quoting Burger King, 471 U.S. at
480).
Moreover, the majority misapprehends Sher. The
Florida law firm’s communications with its California
clients, even when coupled with partner visits to the
forum, were relatively weak contacts not because they
were remote as the majority implies, but rather
because they involved no “affirmative conduct which
allows or promotes the transaction of business within
the forum state,” which is the relevant inquiry. Sher,
911 F.2d at 1362 (quoting Sinatra v. Nat’l Enquirer,
Inc., 854 F.2d 1191, 1195 (9th Cir. 1988)). But when
conjoined with the law firm’s remote encumbrance of
the clients’ forum property, those contacts collectively
created a “substantial [enough] connection with
California for jurisdictional purposes.” Id. at 1363
(cleaned up).
In comparison to Sher, the quality of Cranfield’s
contacts with the Idaho forum is much stronger
because the British company “direct[ly] supervis[ed]
and control[led]” Tamarack’s on-the-ground Idaho
activities in their joint production of the deliverables
necessary for the certification application. Int’l Shoe
Co. v. Washington, 326 U.S. 310, 313 (1945). To that
end, Plaintiffs allege in uncontroverted allegations
that we must accept as true, see Lang Van, Inc. v.
VNG Corp., 40 F.4th 1034, 1038 (9th Cir. 2022),
cert. denied, No. 22-937, 2023 WL 3696150, at *1
(U.S. May 30, 2023), that Cranfield gave “substantial
30a
and frequent engineering advice and opinions . . .
relating to the design, function, and safety aspects” of
the ATLAS system and “worked jointly with
[Tamarack] to develop materials, procedures, and
data to be used in support of” the certification
applications. And even after aviation authorities
granted certification, Cranfield remained on the
Idaho scene to supervise and approve modifications to
the certification and Tamarack’s installations of the
ATLAS system. Following its installation on the
accident aircraft in May 2018, Cranfield continued to
provide “customer support and engineering services
related to” that system until the fatal crash in
November 2018.
To my knowledge, no federal court—until
today—has ever held that continuous supervision or
management of forum-state activities is insufficient
to establish personal jurisdiction. To the contrary,
and as Sher illustrates, we have repeatedly held that
continuing remote contacts of much lower quality are
enough to sustain such jurisdiction. See also Silk, 65
F.4th at 457 (payments for services, coupled with
occasional visits and shipments of records); Glob.
Commodities, 972 F.3d at 1108 (payments for goods);
Columbia Pictures, 106 F.3d at 289 (payments for
television programing licensing rights); Roth, 942
F.2d at 621–22 (licensing film rights).
If merely making payments or licensing film
rights to a forum state resident in connection with a
contract’s continuing obligations is purposeful
availment, then surely controlling ongoing activities
in the forum state is as well, as both the Supreme
Court and our sister circuits have recognized. See,
e.g., Daimler AG v. Bauman, 571 U.S. 117, 135 n.13
31a
(2014) (“[A] corporation can purposefully avail itself
of a forum by directing its agents or distributors to
take action there.”); Int’l Shoe, 326 U.S. at 313, 320
(by “direct[ly] supervis[ing] and control[ling]” sales
personnel in the forum state, the defendant “received
the benefits and protection of the laws of the state”
for purposes of specific jurisdiction); Schwab ShortTerm Bond Mkt. Fund v. Lloyds Banking Grp. PLC,
22 F.4th 103, 125 (2d Cir. 2021) (“[A] relationship of
control, direction, or supervision . . . serves the
purposeful availment requirement.”) (emphasis
removed), cert. denied, 142 S. Ct. 2852 (2022); MAG
IAS Holdings, Inc. v. Schmückle, 854 F.3d 894, 901–
02 (6th Cir. 2017) (defendant’s “directing and
controlling” activities in the forum state through
“phone and email” and two meetings satisfied
purposeful availment); Miss. Interstate Express,
Inc. v. Transpo, Inc., 681 F.2d 1003, 1009 (5th Cir.
1982) (defendant’s “exercise[] [of] a significant
measure of control” over activities in the forum state
satisfied purposeful availment); Whittaker Corp. v.
United Aircraft Corp., 482 F.2d 1079, 1084 (1st Cir.
1973) (defendant purposefully availed itself of the
forum by “actively supervis[ing] or actually
participat[ing] in” activities in that state); cf.
Reynolds v. Int’l Amateur Athletic Fed’n, 23 F.3d
1110, 1119 (6th Cir. 1994) (defendant did not
purposefully avail itself of the forum state, in part
because it did “not supervise” any activities there).
After dismissing Cranfield’s remote supervision
of Tamarack’s work, the majority then characterizes
the two Idaho visits made by the former’s personnel
as “random, fortuitous, and attenuated, making this
case more like Picot than Silk.” Opinion at 19.
32a
The visits in Picot, however, were not “envisioned
in the initial . . . agreement,” 780 F.3d at 1213, which
means they were not foreseeable. 6 Here, the
contractual terms expressly contemplated the visits,
so they can hardly be characterized as “random” or
“fortuitous.” Nor can they be characterized as
“attenuated,” because they were to further
Cranfield’s contractually mandated supervision of
Tamarack’s work in the forum. 7 This case is more like
Silk that Picot, except that Cranfield’s contacts with
the forum here are far stronger than the contacts that
sufficed for purposeful availment in Silk.
Finally, in its discussion of the parties’ course of
dealing, the majority disregards the significance of
Cranfield’s holding the ATLAS certification. By so
holding it on Tamarack’s behalf, and by affirmatively
approving Tamarack’s installation of the ATLAS
system on the accident aircraft in Idaho, the British
company “performed some type of affirmative conduct
which allow[ed] or promot[ed] the transaction of
business within the forum state.” Picot, 780 F.3d at
1212 (emphasis added) (quoting Sher, 911 F.2d at
1362).
* * *
Sometimes we decide close cases, where only a
Foreseeability rests at the center of purposeful availment, as it
speaks to whether the defendant “reasonably anticipat[ed] being
haled into court” in the forum state. Burger King, 471 U.S. at
474.
6
The other key fact distinguishing Picot is that unlike here,
where Cranfield’s performance under the first and third phases
of the contract was directed at the forum, in that case the
defendant’s performance was unrelated to the forum.
7
33a
slight breeze might tip the balance. This is not one of
them. Plaintiffs have established that in over six
years of continuing obligations, Cranfield remotely
supervised Tamarack’s work in Idaho, physically
supervised that work in two visits expressly
contemplated by their contract, held a regulatory
certification on Tamarack’s behalf that allowed the
transaction of business within the forum, and
specifically approved Tamarack’s installation of the
ATLAS system on the accident aircraft in Idaho.
That’s much, much, more than enough to establish
purposeful availment under our published cases. I
respectfully dissent from today’s aberrational
decision.
34a
APPENDIX B
UNITED STATES DISTRICT COURT FOR
THE DISTRICT OF IDAHO
Case No. 2.20-cv-00536-BLW
ERICA DAVIS, as Personal Representative of the
Estate of ANDREW DALE DAVIS, deceased, and
minor children, JC, minor child, SD, minor child;
MICHAEL M. MASCHMEYER, as
Personal Representative of the Estate of R. WAYNE
ESTOPINAL, deceased; and
JAMES JOHNSON and BRADLEY
HERMAN, individually and as Independent CoAdministrators of the Estate of SANDRA JOHNSON,
deceased,
Plaintiffs,
v.
CRANFIELD AEROSPACE SOLUTIONS LIMITED,
Defendant.
INTRODUCTION
Before the Court is Defendant Cranfield
Aeropsace Solution Limited’s Motion to Dismiss
Plaintiffs’ Complaint for lack of personal jurisdiction.
(Dkt. 13). Having fully reviewed the record, the Court
finds that the facts and legal arguments are
35a
adequately presented in the briefs and record.
Accordingly, in the interest of avoiding further delay,
and because the Court conclusively finds that the
decisional process would not be significantly aided by
oral argument, this matter shall be decided on the
record before this Court without oral argument. Dist.
Idaho Loc. Civ. R. 7.1(d)(1)(B). For the reasons
explained below, the Court finds it does not have
personal jurisdiction over Cranfield to entertain
Plaintiffs’ claims.
BACKGROUND
1. Procedural Background
This case concerns a fatal crash of a Cessna
Model 525 corporate jet airplane that occurred on
November 30, 2018, causing the deaths of its pilot
and two passengers, R. Wayne Estopinal, Sandra
Johnson, and Andrew Davis. The aircraft, piloted by
Mr. Davis, took off from a small airport in Clark
County, Indiana, bound for Chicago, Illinois. A few
minutes after takeoff, the aircraft crashed in Clark
County, Indiana. Everyone on board was killed.
Plaintiffs bring this action on behalf of the three
decedents, along with Andrew Davis’s two minor
children. Plaintiffs allege that the crash was caused
by the Tamarack Active Winglet aircraft load
alleviation system, trademarked as “ATLAS,” which
was manufactured and installed on the aircraft on
May 28, 2018, by Tamarack Aerospace Group, Inc.
Tamarack installed the ATLAS system on the
aircraft pursuant to a Supplemental Type Certificate
(“STC”),
issued
by
the
Federal
Aviation
Administration. These certificates allow an applicant
to modify an aeronautical product from its original
36a
design. Defendant Cranfield Aerospace Solutions
Limited applied for and held the STC on behalf of
Tamarack until it transferred the STC to Tamarack
in 2019 – after the fatal crash.
Plaintiffs, as personal representatives for the
decedents, initially filed suit in the Eastern District
of Washington, naming both Tamarack and Cranfield
as defendants and alleging both were liable as
“manufacturers” under the Washington Product
Liability Act (“WLPA”) and that Tamarack was also
liable as a “seller.” After Cranfield moved to dismiss
the complaint for failure to state a claim and lack of
jurisdiction, Plaintiffs conceded that personal
jurisdiction over Cranfield was lacking in
Washington.
About two months later, they filed this lawsuit
against Cranfield in this Court, alleging claims under
Idaho’s Product Liability Reform act, common-law
negligence, and a willful-and-reckless misconduct
theory. Plaintiffs, who are residents of Indiana and
Louisiana, do not identify any tortious conduct by
Cranfield that occurred in Idaho but instead allege
that Cranfield’s contractual relationship with
Tamarack justifies exercising personal jurisdiction
over Cranfield in Idaho. Tamarack is not a party to
this lawsuit.
On April 28, 2021, Cranfield filed a motion to
dismiss for lack of personal jurisdiction to Rule
12(b)(2) of the Federal Rules of Civil Procedure (Dkt.
13). On May 17, 20, the Court approved the parties’
stipulation to conduct jurisdictional discovery. After
conducting discovery, Plaintiffs filed their opposition
to the motion to dismiss, arguing that this Court may
37a
exercise specific jurisdiction over Cranfield.
2. Factual Background
A. Defendant Cranfield and its Contractual
Relationship with Tamarack
Cranfield is an English company that performs
its work in England. Howarth Decl., ¶ 3, Dkt. 13-2.
All its employees, including its executive leadership,
are based in England. Id. ¶ 5. Cranfield has never
had offices or facilities in Idaho, nor have any of its
employees been based in Idaho while working for
Cranfield. Id. ¶ 6. Cranfield has never advertised or
otherwise cultivated a market for its services in
Idaho. Id. ¶ 11.
In 2013, Tamarack approached Cranfield,
seeking assistance in obtaining an STC from the
European Union Aviation Safety Agency (“EASA”),
which would authorize the installation of the ATLAS
system on certain variants of the Cessna Model 525
jet. Id. ¶ 8. Tamarack’s initial contact with Cranfield
led the parties to enter a contract titled, “Testing and
Certification Agreement.” Id. ¶ 12, Ex. A. The parties
negotiated the contract primarily through phone and
email communications—although one negotiation
meeting occurred in person at Cranfield’s offices in
England. Id. ¶ 12(a). During the negotiations,
Cranfield informed Tamarack that all Cranfield staff
working pursuant to the contract would be based in
the United Kingdom. Id. Tamarack and Cranfield
also agreed that New York law would govern their
agreement, and the parties “IRREVOCABLY”
submitted to the venue and jurisdiction of the federal
courts located in New York and waived any objection
to venue and jurisdiction in New York. Howarth
38a
Decl., Ex A at Sec. 13.6, Dkt. 13-3. The parties’
agreement makes no mention of Idaho other than to
say that Tamarack is a Washington corporation with
its principal place of business in Sandpoint, Idaho.
Id., p. 1.
The parties’ contract required Cranfield to assist
in preparing the documentation for the EASA
application, submitting the application to EASA,
acting as a direct liaison with EASA, and serving as
the official holder of the STC once it was issued. Id.
¶¶ 15-16, 18-20. Pursuant to the parties’ contract,
Cranfield served as the main point of contact with
EASA during the process of obtaining the STC and
also provided consulting services to Tamarack to help
develop a “Certification Plan” for the ATLAS system
to submit to EASA, as well as the application for the
STC from EASA. Id. ¶¶ 13, 15.
After EASA issued the STC, Cranfield then
played the same role in securing and maintaining an
STC from the FAA. Id. ¶¶ 24-30. In 2019, Cranfield
transferred both STCs to Tamarack. Id. ¶¶ 21, 31.
The transfer was done pursuant to Section 4.3 of
their Agreement, as the parties had contemplated
and anticipated that the STCs would ultimately be
transferred to Tamarack. Id. ¶¶ 12.c, 21, 31.
Cranfield maintains it performed no work related
to the ATLAS system beyond the services outlined in
its agreement with Tamarack: it helped develop the
Certification Plans and applications sent to EASA
and the FAA, id. ¶¶ 15-16, 26- 27, but never
suggested or made any design changes to the
winglets system, id. ¶¶ 19, 20.b, 29, 30.b, never
physically produced, repaired, or refurbished any
39a
winglets, id. ¶ 32, nor sold, distributed, or delivered
any winglets, id. ¶ 33. Cranfield further maintains
that it did not disseminate to any customers in the
United States any materials related to the winglets
system, such as bulletins or manuals. Id. ¶ 30.c.
Moreover, according to Cranfield, its employees
did not perform any substantive work in Idaho
related to the winglets system. Id. ¶¶ 14.c, 17.b.
Cranfield employees worked on the EASA and FAA
Certification Plans and applications in England,
communicating with Tamarack employees in Idaho.
Id. ¶¶ 1C5.a, 20.a, 26.b, 30.a. Cranfield employees
did not make any contact with Idaho when
interfacing with European and U.S. regulators. The
STC applications were sent to the EASA office in
Germany and the FAA office in New York. d. ¶ 15.b.
And none of the FAA officials they interacted with
were based in Idaho. Id. ¶ 26.c.
As explained in more detail below, Cranfield
employees took just two trips to Idaho during the
duration of Cranfield’s work with Tamarack. Id. ¶¶
14.b, 17.c. Both visits were proposed by Tamarack,
and neither resulted in substantive work being
performed by Cranfield employees in Idaho. Id. ¶¶
14, 17. By contrast, Tamarack employees travelled to
England approximately twelve times to meet with
Cranfield employees and to prepare the applications
to EASA and the FAA.
B. Cranfield’s Trips to Idaho
Cranfield employees travelled to Idaho twice
between executing the agreement with Tamarack
and the fatal plane crash at issue in the case: once in
2013 and a second time in 2017.
40a
1) 2013 Trip
Following the execution of the contract between
Tamarack and Cranfield in June 2013, Cranfield sent
its employees, Peter Howarth, a senior engineer and
Cranfield’s head of design, and Graham Campion, a
member of Cranfield’s business-development team
who negotiated the contract, to Tamarack’s facility in
Sandpoint, Idaho. Howarth Dep. 8:20; 36:18-40:2.
Cranfield’s employees traveled to Idaho to get to
know the people at Tamarack, to “launch the
[contract] activities,” and to transition Tamarack
from Cranfield’s business-development team to its
engineering team. Howarth Dep. 39:20-43:21.
During the three days of meetings in Idaho
between Cranfield employees and Tamarack, Mr.
Howarth met Tamarack’s engineers working on the
development of the ATLAS system’s design and
observed a working protype of the ATLAS system
installed on an aircraft at the Tamarack facility.
Howarth Dep. 43:13-47:25. These in-person meetings
between Cranfield and Tamarack allowed Mr.
Howarth to speak directly to the Tamarack engineers
and familiarize himself with the ATLAS system, so
Cranfield could develop an overall approach for
certification planning. In addition, Mr. Howarth
reviewed with the Tamarack engineering team the
regulations necessary to obtain the EASA
certification for the ATLAS system and to determine
4
what testing and data gathering Cranfield would
need from Tamarack for inclusion in the EASA
certification application. Howarth Dep. 54:15-24;
58:10-60:14.
41a
2) 2017 Trip
In April 2017, Cranfield sent its Chief Stress
Engineer, Alan Missenden, to Tamarack’s facility in
Idaho. Howarth Dep. 71:14-72:5; 77:6-24. Mr.
Missenden traveled to Idaho to oversee testing EASA
and the FAA required as part of certification process
to show the integrity and safety of the aircraft or
aircraft design for which certification was sought.
Howarth Dep. 82:14-83:1. In this capacity, Mr.
Missenden observed testing of the ATLAS to
determine whether the test protocols and test results
satisfied the relevant certifying agency’s regulation.
Howarth Dep. 3:2-84:22. Mr. Missenden oversaw this
testing over the course of a “Sunday to Saturday,”
with a day on either end spent traveling to and from
the United Kingdom. Howarth Dep. 85:1-5. Cranfield
maintains that Mr. Missenden did not provide any
substantive input on the design or construction of the
winglet system, and no changes were made to its
design or construction as a result of the trip. Howarth
Decl. ¶ 17b.
Cranfield employees took no other trips to Idaho.
As noted, Plaintiffs allege these two trips to Idaho,
along with Cranfield’s contractual relationship with
Tamarack, justifies a finding of personal jurisdiction
over Cranfield in Idaho.
LEGAL STANDARD
4 context of Cranfield’s motion to dismiss
In the
under Fed.R.Civ.P. 12(b)(2), Plaintiffs bear the
burden of proving that jurisdiction is appropriate. See
Boschetto v. Hansing, 539 F.3d 1011. 1015 (9th Cir.
2008); see also Schwarzenegger v. Fred Martin Motor
42a
Co., 374 F.3d 797, 800 (9th Cir.1990). Where, as here,
the motion is based on written materials rather than
an evidentiary hearing, Plaintiffs need only establish
a prima facie showing of jurisdictional facts to
withstand the motion to dismiss. See Ballard v.
Savage, 65 F.3d 1495 (9th Cir. 1995). The Court must
take Plaintiffs’ uncontroverted allegations in the
complaint as true and resolve factual disputes in
affidavits in its favor. See Dole Food Co., Inc. v.
Watts, 303 F.3d 1104, 1108 (9th Cir. 2002). But if
Cranfield offers evidence in support of its motion,
Plaintiff may not simply rest on the bare allegations
of their complaint. See Amba Mktg. Sys., Inc. v. Jobar
Int'l, Inc., 551 F.2d 784, 787 (9th Cir. 1977). Instead,
Plaintiffs must come forward with facts, by affidavit
or otherwise, in response to Cranfield’s version of the
facts. See id.
Where there is no applicable federal statute
governing personal jurisdiction, as in this case, the
law of the state in which the district court sits
applies. See Schwarzenegger, 374 F.3d at 800.
Because Idaho’s long-arm statute, codified in Idaho
Code § 5–514, allows a broader application of
personal jurisdiction than the Due Process Clause,
the Court need look only to the Due Process Clause to
determine personal jurisdiction. Thus, under Idaho
law, the jurisdictional analysis and federal due
process analysis are one and the same.
ANALYSIS
4
The Fourteenth Amendment’s Due Process
Clause limits a state court’s power to exercise
jurisdiction over a defendant. Bristol-Myers Squibb
Co. v. Superior Court of Cal., San Francisco Cty., 137
43a
S.Ct. 1773, 1779 (2021). “Because a state court’s
assertion of jurisdiction exposes defendants to the
State’s coercive power, it is subject to review for
compatibility with the Fourteenth Amendment’s Due
Process Clause, which limits the power of a state
court to render a valid personal judgment against a
nonresident defendant.” Id. (internal quotation
marks and citations omitted). A nonresident
defendant must have “certain minimum contacts
with [the forum] such that the maintenance of the
suit does not offend traditional notions of fair play
and substantial justice.” Int'l Shoe Co. v. Washington,
326 U.S. 310, 316 (1945) (internal quotation marks
omitted). The primary focus of the personal
jurisdiction inquiry is the defendant’s relationship to
the forum state. Bristol-Meyers, 137 S.,Ct. at 1779.
This focus has led courts to recognize two types
of personal jurisdiction: general and specific. A court
may exercise general jurisdiction only when a
defendant is “essentially at home” in the State.
Goodyear Dunlop Tires Operations, S. A v. Brown,
564 U.S 915, 919 (2011). “A court with general
jurisdiction may hear any claim against that
defendant, even if all the incidents underlying the
claim occurred in a different State.” Bristol-Myers,
137 S. Ct. at 1780. “But only a limited set of
affiliations with a forum will render a defendant
amenable to general jurisdiction in that State.” Id.
(internal quotation marks omitted).
4
“Specific
jurisdiction is different: It covers
defendants less intimately connected with a State,
but only as to a narrower class of claims.” Ford
Motor, 141 S. Ct. at 1024. “The inquiry whether a
forum State may assert specific jurisdiction over a
44a
nonresident defendant focuses on the relationship
among the defendant, the forum, and the litigation.”
Walden v. Fiore, 571 U.S. 277, 285 (2014).
Specifically, “the defendant’s suit-related conduct
must create a substantial connection with the forum
State.” Id. “For this reason, specific jurisdiction is
confined to adjudication of issues deriving from, or
connected with, the very controversy that establishes
jurisdiction.” Bristol-Myers Squibb Co. v. Superior
Court, 137 S. Ct. 1773, 1780 (2017) (internal
quotation marks omitted). “When there is no such
connection, specific jurisdiction is lacking regardless
of the extent of a defendant’s unconnected activities
in the State.” Id.
Plaintiffs here concede the Court cannot exercise
general jurisdiction over Cranfield. Instead, they
argue that Cranfield’s contacts with Idaho give rise to
specific jurisdiction. The Ninth Circuit analyzes
specific jurisdiction under a three-prong test. This
test examines whether (1) the defendant has either
purposefully (a) directed its activities towards the
forum or initiated a transaction with the forum or
one of its residents or (b) availed itself of the
privileges and benefits of the forum permitting it to
benefit from the protections of the forum’s laws; (2)
the cause of action arises out of or relates to the
defendant’s forum- related activities; and (3) the
assertion of jurisdiction is reasonable and comports
with “fair play and substantial justice.” Glob.
Commodities
4 Trading Grp., Inc. v. Beneficio de Arroz
Choloma, S.A., 972 F.3d 1101, 1107 (9th Cir. 2020).
Plaintiffs bears the burden of satisfying the first
two prongs of the test. Wells Cargo, Inc. v. Transp.
Ins. Co., 676 F. Supp. 2d 1114, 1119–20 (D. Idaho
45a
2009) (citing Yahoo! Inc. v. La Ligue Contre Le
Racisme Et L'Antisemitisme, 433 F.3d 1199, 1205
(9th Cir. 2006) (en banc)). If Plaintiffs succeed in
meeting the first two prongs, the burden then shifts
to Cranfield “to present a compelling case that the
exercise of jurisdiction would not be reasonable.” Id.
(internal quotation marks and citation omitted).
1. Purposeful Availment
Either purposeful availment of the forum or the
purposeful direction of activities toward the forum
can satisfy the first prong. See, e.g., Albertson's LLC
v. Kleen-Sweep Janitorial Co., No. CIV. 09-263-SBLW, 2009 WL 3786290, at *3 (D. Idaho Nov. 9,
2009) (citing Yahoo! Inc. v. La Ligue Contre Le
Racisme, 433 F.3d 1199, 1206 (9th Cir. 2006).
“Purposeful direction generally applies to tort cases,
in which a court applies an effects test focusing on
the forum where the defendant’s actions were felt,
whether or not the actions themselves occurred
within that forum.” Id. When a case involves tort
claims, a single act creating a substantial connection
with the state can support personal jurisdiction. Roth
v. Garcia Marquez, 942 F.2d 617, 621 (9th Cir. 1991).
In contrast, purposeful availment applies to contract
claims, and requires the Court to examine whether
the defendant “purposefully avails itself of the
privilege of conducting activities’ or consummates a
transaction’ in the forum, focusing on activities such
as delivering goods or executing a contract.” Id.
(quoting 4
Schwarzenegger v. Fred Martin Motor Co.,
374 F.3d 797, 802 (9th Cir. 2004) (internal quotation
marks and brackets omitted).
This case sounds in tort; thus, the Court would
46a
typically employ a “purposeful direction” analysis.
See, e.g., Axiom Foods, Inc. v. Acerchem Int'l, Inc.,
874 F.3d 1064, 1069 (9th Cir. 2017) (“Where, as here,
a case sounds in tort, courts typically employ the
“purposeful direction test.”). But Plaintiffs cannot
show they suffered any harm in Idaho – a critical
element of the purposeful direction or “effects test.”
See, e.g., Dole Food Co. v. Watts, 303 F.3d 1104, 111213 (9th Cir. 2002) (noting a “harm in the forum” is
“necessary” to satisfy the purposeful direction test).
They therefore argue that the Court should instead
apply the “purposeful availment” standard typically
employed in cases sounding in contract. In support of
this assertion, Plaintiffs rely heavily on the court’s
reasoning in Costa v. Keppel Singmarine Dockyard
PTE, Ltd., No. CV 01-11015MMM, 2003 WL
24242419, at *15 (C.D. Cal. Apr. 24, 2003).
In Costa, the plaintiff’s decedent, a crew member
working on a ship as it sailed in the Western Pacific
Ocean, sustained fatal injuries resulting from an
ammonia discharge valve explosively separating. Id.
The plaintiff alleged that a Wisconsin corporation
improperly designed the valve, and the Singaporean
defendant (KSD) improperly installed the valve at its
shipyard in Singapore pursuant to a contract with
the California-based shipowner. Although plaintiff
alleged strict liability and negligence claims and was
not a party to the contract, the court applied a
purposeful availment analysis; it reasoned that the
claims against
KSD arose “out of its performance of
4
contractual obligations, as the company undertook to
repair the [ship] only as a consequence of its entry
into a contract with [the shipowner].” Id. at *15.
Based on Costa, Plaintiffs argue that the Court
47a
should apply the purposeful availment analysis in
this case because their negligence and product
liability claims against Cranfield arise from
Cranfield’s performance of its contractual obligations
with Tamarack. But even applying the purposeful
availment analysis, Plaintiffs cannot show Cranfield
had sufficient minimum contacts with Idaho to
subject it to specific personal jurisdiction here.
The purposeful availment analysis examines
whether the defendant purposefully availed itself of
the privilege of doing business in a forum state by
engaging in some type of affirmative conduct that
allows or promotes the transaction of business within
the forum state. Sher v. Johnson, 911 F.2d 1357,
1362 (9th Cir.1990). In this way, a defendant
“purposefully avails itself of the privilege of
conducting activities within the forum State, thus
invoking the benefits and protections of its laws.”
Schwarzenegger v. Fred Martin Motor Co., 374 F.3d
797, 802 (9th Cir. 2004) (quoting Hanson v. Denckla,
357 U.S. 235, 253 (1958). “In return for these benefits
and protections, a defendant must—as a quid pro
quo—submit to the burdens of litigation in that
forum.” Id. (quoting Burger King Corp. v. Rudzewicz,
471 U.S. 462, 476 (1985) (internal quotation marks
omitted). This analysis is designed to ensure that the
defendant will not be haled into a jurisdiction solely
based on random, fortuitous, or attenuated contacts.
Id. at 475.
4
“A showing
that a defendant purposefully availed
himself of the privilege of doing business in a forum
state typically consists of evidence of the defendant’s
actions in the forum, such as executing or performing
a contract there.” Schwarzenegger, 374 F.3d at 802.
48a
But Cranfield’s contracting with Tamarack, an Idahobased corporation, does not by itself establish
minimum contacts with Idaho. Burger King, 471 U.S.
at 478. Rather, the Court must assess “prior
negotiations and contemplated future consequences,
along with the terms of the contract and the parties’
actual course of dealing” to determine whether it is
appropriate to exercise specific jurisdiction over
Cranfield. Id. at 479.
Considering these factors, none of the facts here
show that Cranfield, itself, engaged in any
affirmative conduct that allowed or promoted the
transaction of business in Idaho. First, it is
undisputed that Cranfield did not initiate the
contract discussions with Tamarack or otherwise
directly solicit business in Idaho, and none of
Cranfield’s contract negotiations occurred in Idaho.
As noted by this Court, “if the defendant directly
solicits business in the forum state, the resulting
transactions will probably constitute the deliberate
transaction of business invoking the benefits of the
forum state’s laws.” Clearwater Rei, LLC v. Focus
Consulting Advisors, LLC, No. CIV. 1:10-448 WBS,
2011 WL 3022071, at *4 (D. Idaho July 22, 2011)
(quoting Decker Coal Co. v. Commonwealth Edison
Co., 805 F.2d 834, 840 (9th Cir. 1986)). “Similarly,
conducting contract negotiations in the forum state
will probably qualify as an invocation of the forum
law’s benefits and protections.” Id. By contrast,
“when a plaintiff
solicits a defendant to enter into a
4
contract, the defendant is not normally considered to
have availed itself of the laws of the [forum’s] state.”
Id. (citing Sher v. Johnson, 911 F.2d 1357, 1362 (9th
Cir. 1990).
49a
Here, there is no evidence that Cranfield sought
out any Tamarack services in Idaho or benefitted
from the fact that Tamarack happens to reside in
Idaho. Indeed, the Tamarack and Cranfield expressly
agreed New York – not Idaho law – would govern the
parties’ agreement,
which indicates “rather
forcefully” that Cranfield “did not purposefully direct
its activities toward” Idaho. Id. at *6 (citing, e.g.,
Jones v. Petty–Ray Geophysical Geosource, Inc., 954
F.2d 1061, 1069 (5th Cir.1992) (noting that choice of
law provision designating non-forum state's laws
“indicate[d] rather forcefully” that the defendant “did
not purposely direct its activities toward” the forum).
And during the contract negotiations, Tamarack
representatives traveled to England, but Cranfield’s
representatives never traveled to Idaho.
Moreover, the parties understood Cranfield
would perform most of its work, and where Cranfield
did indeed perform most, if not all, its substantive
work pursuant to the contract. Cranfield has never
played a role in manufacturing, assembling, or
refurbishing Tamarack’s ATLAS winglets system,
and Cranfield has never sold, distributed, or
delivered the Tamarack winglet system in the United
States. Tamarack wired all of its payments to
Cranfield in England, and Cranfield made no
payments to Tamarack in Idaho. These facts indicate
Cranfield’s contacts with Idaho were merely “random,
fortuitous, or attenuated” and thus cannot establish
jurisdiction
4 over Cranfield in Idaho. Burger King, 471
U.S. at 475.
Nor did Cranfield employees’ two short trips to
Idaho create the requisite contacts with Idaho to
support a finding of jurisdiction. “While physical
50a
entry into the State ... is certainly a relevant contact,
a defendant’s transitory presence will support
jurisdiction only if it was meaningful enough to
create a ‘substantial connection’ with the forum
State.” Picot v. Weston, 780 F.3d 1206, 1213 (9th Cir.
2015) (internal citations and quotation marks
omitted).
Here, this substantial connection is lacking. In
both instances, Cranfield traveled to Idaho at
Tamarack’s request and expense. The first visit –
which lasted a mere three days – amounted to
essentially a “meet and greet” between the parties,
and little, if any, substantive work was performed.
During the second visit, Cranfield oversaw some
testing performed by Tamarack over the course of a
week, with a day on either end spent traveling to and
from the United Kingdom, and, again, Cranfield
performed little substantive work while in Idaho. By
contrast, over the course of the parties’ contract,
Tamarack
employees
traveled
to
England
approximately twelve times to meet with Cranfield
employees and to prepare the applications to EASA
and the FAA.
In short, the two trips by Cranfield employees to
Idaho over the course of five years “hold no special
place in [Cranfield’s] performance under the
agreement as a whole.” Picot, 780 F.3d at 1213. As
contemplated by the parties, the overwhelming bulk
of Cranfield’s work for Tamarack occurred in
England. Cranfield employees worked on the EASA
and FAA Certification Plans and applications in
England, communicating with Tamarack employees
in Idaho. Cranfield sent the STC applications the
EASA office in Germany and the FAA office in New
51a
York. And none of the FAA officials they interacted
with were based in Idaho.
Despite Cranfield’s lack of ties to Idaho,
Plaintiffs contend that “courts have found that the
‘purposeful availment’ standard was satisfied in cases
involving far lesser contacts with the forum state.”
Pls’ Resp. Br., p. 14, Dkt. 32. Once again relying on
Costa, Plaintiffs note the court there found
purposeful availment “despite the fact that the
contract contemplated that KSD’s work would be
performed outside the forum state, and despite the
fact that KSD negotiated the contract from Singapore
and provided for the application of Singapore law.”
Id. (quoting Costa, 2003 WL 24242419, at *17).
But the court in Costa exercised jurisdiction
based solely on the fact the Singaporean defendant
solicited the contract that gave rise to the plaintiff’s
claims in California. Costa, 2003 WL 24242419, at
*20. Had the defendant in Costa “not purposefully
injected itself into California to solicit the repair
contract on the [ship],” the Court would have found
jurisdiction lacking. Costa, 2003 WL 24242419, at
*20. Because Plaintiffs present no evidence that
Cranfield purposefully injected itself into Idaho to
solicit the contract with Tamarack, Plaintiffs cannot
rely on Costa to support a finding of jurisdiction in
this case. Indeed, if anything, Costa supports a
finding of no jurisdiction in this case.
Plaintiffs’ reliance on McHugh v. Vertical
Partners West, LLC, 2021 WL 1554065 (D. Idaho Apr.
19, 2021) is also misplaced. Plaintiffs argue McHugh
supports jurisdiction here on the grounds that both
cases involve an indemnification agreement. But this
52a
case differs from McHugh in significant ways.
In McHugh, this Court found the following facts
supported a finding that the defendant, a Chinese
manufacturer, purposefully availed itself of the
privilege of doing business in Idaho: the defendant
had “routinely conducted business in Idaho” by
selling its products to the third-party plaintiff and
shipping them to the plaintiff’s Idaho headquarters;
the defendant entered into an “exclusive” supply
agreement with the plaintiff, which stated the
plaintiff was based out of Idaho and made the
plaintiff the exclusive purchaser of the defendant’s
products; the agreement was “of great pecuniary
significant” for the defendant. Id. at *4. In addition,
the parties’ exclusive supply agreement referenced
Idaho several times, specifically making Idaho the
governing law of the contract in the choice-of-law and
arbitration provisions. Id. And, importantly, the
third-party plaintiff had sued the Chinese defendant
under the indemnity provision in the parties’
agreement, alleging harm suffered in Idaho. Id.
This case, by contrast, is a tort case involving all
out-of-state plaintiffs, an out-of-state accident, and
an out-of-state defendant. No party alleges any harm
suffered in Idaho, and Cranfield, unlike the
defendant in McHugh, did not “routinely conduct
business in Idaho” by regularly shipping products to,
or providing services, in Idaho. Cranfield’s only tie to
Idaho is through the non-party, Tamarack. This
singular tie, without more, does not establish the
minimum contacts necessary for to subject Cranfield
to personal jurisdiction in Idaho.
53a
2. Conclusion
Given that plaintiff cannot establish the first
prong of the test for specific personal jurisdiction, the
court need not proceed to the remaining inquiries
under the Ninth Circuit’s test. See Boschetto, 539
F.3d at1016 (“[I]f the plaintiff fails at the first step,
the jurisdictional inquiry ends and the case must be
dismissed.”).
Plaintiffs have thus failed to demonstrate that
the Court has specific personal jurisdiction over
defendant.
ORDER
IT IS ORDERED that Defendant Cranfield
Aerospace Solutions Limited’s Motion to Dismiss the
Complaint (Dkt. 13) is GRANTED.
DATED January 4, 2022
B. Lynn Winmill
U.S. District Court Judge
54a
APPENDIX C
UNITED STATES COURT OF APPEALS
FOR THE NINTH CIRCUIT
ERICA DAVIS, as Personal Representative of the
Estate of Andrew Dale Davis, deceased, and minor
children, JC, minor child, SD, et al.,
Plaintiffs-Appellants,
v.
CRANFIELD AEROSPACE SOLUTIONS, LIMITED,
Defendant-Appellee.
ORDER
Before: BUMATAY and SANCHEZ, Circuit Judges,
and BAKER, * International Trade Judge.
Judges Bumatay and Sanchez have voted to
deny the petition for rehearing en banc. Judge Baker
recommended granting the petition. Fed. R. App. P.
40. The full court has been advised of the petition,
and no judge has requested to vote on whether to
rehear the matter en banc. Fed. R. App. 35. The
petition for rehearing en banc (Dkt. No. 41), is
therefore DENIED.
The Honorable M. Miller Baker, International Trade Judge for
the United States Court of International Trade, sitting by
designation.
*
This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.