Boone v. Oy Partek Ab

724 A.2d 1150, 1997 Del. Super. LEXIS 483, 1997 WL 1054103
CourtSuperior Court of Delaware
DecidedSeptember 4, 1997
Docket96C-05-295C-11-121, 95C-12-089, 96C-03-050, 96C-01-083, 96C-08-065, 96C-07-018, 94C-08-247, 95C-12-057, 96C-04-112, 96C-01-067, 77, 96C-02-127, 96C-06-218, 96C-03-193, 96C-03-180, 96C-03-049, 96C-04-251, 96C-02-125, 96C-01-011, 96C-07-224, 96C-07-168, 96C-05-268. 96C-03-181, 96C-07-226, 96C-03-252, 96C-06-050, 96C-03-269, 96C-03-253, 96C-02-155, 96C-06-171, 96C-08-072, 95C-03-269,
StatusPublished
Cited by84 cases

This text of 724 A.2d 1150 (Boone v. Oy Partek Ab) is published on Counsel Stack Legal Research, covering Superior Court of Delaware primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Boone v. Oy Partek Ab, 724 A.2d 1150, 1997 Del. Super. LEXIS 483, 1997 WL 1054103 (Del. Ct. App. 1997).

Opinion

BABIARZ, Judge.

This is the Court’s opinion regarding Oy Partek Ab’s motion to dismiss for lack of personal jurisdiction. Oy Partek Ab argues that Delaware’s long arm statute, 10 Del.C. § 3104, and the Due Process Clause of the Constitution do not support the exercise of jurisdiction in this matter. In accordance with this opinion Oy Partek Ab’s motion is DENIED.

I.

This lawsuit arises from the plaintiffs’ alleged exposure to asbestos in Delaware. All of the plaintiffs worked at either Haveg Industries in Marshallton, Delaware or Amo-eo/Avisun in New Castle, Delaware. The asbestos used in these plants, known as an-thophyllite asbestos, was produced by defendant Oy Partek Ab (hereinafter “Partek”), a Finnish corporation.

Partek acquired its asbestos mine in Paakkila, Finland in 1959 and mined the anthophyllite asbestos until 1975 when the mine was closed for economic reasons. Par-tek, itself, did not sell or distribute the asbestos to Delaware. Instead, Partek had a contract with Huxley Development Corporation, a New York firm (hereinafter “Huxley”), which gave Huxley the exclusive right to sell Partek’s asbestos in the United States. Huxley was an independent company over which Partek had no control. Huxley would purchase asbestos from Partek, already bagged and labeled, F.O.B. Helsinki. Huxley would then ship the asbestos to ports in New York, Baltimore or Philadelphia. Huxley was the entity that found customers for Partek’s asbestos and any inquiries made to Partek from United States buyers regarding its asbestos were turned over the Huxley. Huxley distributed asbestos to approximately ten customers in the United States including Haveg and Avisun.

As a result of contracting illnesses related to asbestos, plaintiffs brought suit against several parties including Oy Partek Ab. Specifically, plaintiffs allege that Partek, the manufacturer of the asbestos, failed to properly label the asbestos by warning of its dangerous propensities. In addition, plaintiffs charge the bags that the asbestos was shipped in were defective in that they easily broke causing excess exposure to the asbestos fibers. In response, Partek has raised the defense of lack of personal jurisdiction. According to Partek, personal jurisdiction *1154 over them is barred by both Delaware’s long arm statute, 10 Del.C. § 3104, 1 and the Fourteenth Amendment of the United States Constitution.

II.

Before this Court may address the merits of Partek’s motion, the Court must first determine whether Partek is collaterally es-topped from asserting lack of personal jurisdiction in this case. In 1985, during an unrelated asbestos law suit involving different plaintiffs, Partek filed a similar motion to dismiss for lack of personal jurisdiction. Merganthaler v. Asbestos Corp. of America, Del.Super., C.A. No. 81C-OC-104, Poppiti, J. (Aug. 30, 1985). In that case, the court determined that personal jurisdiction over Partek was proper under 10 Del.C. § 3104(c)(4) and that the exercise of such jurisdiction did not offend the due process clause. Plaintiffs argue that since neither the facts nor the law has changed since the Merganthaler decision, Partek is collaterally estopped from re-litigating the issue of personal jurisdiction.

When the use of collateral estoppel advances the claims of the plaintiff as opposed to the defendant it is known as offensive collateral estoppel. Chrysler Corp. v. New Castle County, Del.Super., 464 A.2d 75, 81 (1983). Offensive collateral estoppel is designed to protect parties from having to relitigate identical issues and thereby promote judicial economy. Id. (citing Parklane Hosiery Co. v. Shore, 439 U.S. 322, 99 S.Ct. 645, 58 L.Ed.2d 552 (1979)). However, there are several considerations that may militate against the use of this doctrine, including issues of fairness. Chrysler Corp., 464 A.2d at 82. As a result, the use offensive collateral estoppel is left to the broad discretion of the trial court. Id. In instances where there have been changes in the controlling legal principles surrounding the controversy, the court should decline to exercise this discretion. Id. at 83 (citing Montana v. U.S., 440 U.S. 147, 161, 99 S.Ct. 970, 977, 59 L.Ed.2d 210 (1979)).

The parties cite a plethora of factors that courts have considered when addressing collateral estoppel. However, it is unnecessary to delve into these because this Court determines that the use of offensive collateral estoppel is inappropriate in this instance. This is so because Partek’s arguments arise from changes in the legal principles surrounding personal jurisdiction that occurred post Merganthaler. Thus, in the interest of fairness this Court finds it is necessary to address Partek’s jurisdictional arguments.

III.

In a motion to dismiss for lack of in personam jurisdiction the plaintiffs bear the burden of showing the basis for jurisdiction. Greenly v. Davis, Del.Supr., 486 A.2d 669, 670 (1984); Harmon v. Eudaily, Del.Super., 407 A.2d 232, 233 (1979). This burden is satisfied if the plaintiffs make a prima facie showing that Delaware’s long-arm statute confers jurisdiction. Outokumpu Engineering Enterprises, Inc. v. Kvaerner Enviropower, Inc., Del.Super., 685 A.2d 724 (1996). In assessing whether the exercise of jurisdiction is appropriate, the duty of the Court is two fold. First, it must determine whether jurisdiction is appropriate under Delaware’s long arm statute. And, second, it must evaluate whether asserting such jurisdiction would offend the Due Process Clause of the *1155 Constitution. Carlton Investments v. TLC Beatrice International Holdings, Inc., Del. Ch., C.A. No. 13950, Allen, C., 1996 WL 608492 (Oct. 16, 1996); Mumford v. Mumford, Del .Super., C.A. No. 93C-06-032, Terry, J., 1995 WL 108885 (Feb. 6, 1995). In making this determination the Court must view all factual disputes in a light most favorable to plaintiff. Outokumpu, supra.

IV.

In line with modern in personam jurisdiction philosophies Delaware’s long arm statute, 10 Del.C. § 3104, has been divided into two main categories: general and specific jurisdiction. Sections 3104(c)(1), (e)(2) and (c)(3) have been deemed to be specific jurisdiction provisions. Outokumpu, supra; Colonial Mortgage Service Co. v. Aerenson, 603 F.Supp. 323, 327 (D.Del.1985); Applied Biosystems, Inc. v. Cruachem, Ltd., 772 F.Supp. 1458, 1466 (D.Del.1991). Specific jurisdiction is at issue when the plaintiffs claims arise out of acts or omissions that take place in Delaware. Applied Biosystems, Inc., 772 F.Supp. at 1467;

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Bluebook (online)
724 A.2d 1150, 1997 Del. Super. LEXIS 483, 1997 WL 1054103, Counsel Stack Legal Research, https://law.counselstack.com/opinion/boone-v-oy-partek-ab-delsuperct-1997.