Cook Logistics LLC v. Equipment Express Inc

CourtDistrict Court, E.D. Wisconsin
DecidedJuly 28, 2022
Docket2:19-cv-01620
StatusUnknown

This text of Cook Logistics LLC v. Equipment Express Inc (Cook Logistics LLC v. Equipment Express Inc) is published on Counsel Stack Legal Research, covering District Court, E.D. Wisconsin primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cook Logistics LLC v. Equipment Express Inc, (E.D. Wis. 2022).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF WISCONSIN

COOK LOGISTICS LLC,

Plaintiff, Case No. 19-cv-1620-pp v.

EQUIPMENT EXPRESS INC.,

Defendant.

ORDER DENYING DEFENDANT’S MOTION FOR RECONSIDERATION OF MOTION TO DISMISS (DKT. NO. 44)

On July 23, 2020, the court held a hearing on the defendant’s motion to dismiss, denied the motion and ordered the defendant to file an answer. Dkt. No. 19. The court entered a scheduling order, and set an August 8, 2021, discovery deadline. Dkt. No. 30. Over two months after that deadline had passed, and fifteen months after the court denied the defendant’s motion to dismiss, the defendant filed a motion for reconsideration, arguing that new evidence disclosed in discovery weighed in favor of granting the motion. Dkt. No. 44. According to the defendant, the new evidence establishes that the plaintiff never solicited business for the defendant in Wisconsin and that the plaintiff’s “primary” witness, Brian Hillier—a Canadian citizen living in Canada— was the sole individual who had a relationship with the defendant. Id. at 1. A. Court’s Order Denying the Motion to Dismiss (Dkt. No. 19) On July 23, 2020, the court held a hearing on the defendant’s motion to dismiss for lack of personal jurisdiction under Federal Rule of Civil Procedure 12(b)(2) and improper venue or forum non conveniens under Fed. R. Civ. P.

12(b)(3). Dkt. No. 19. The court concluded that it had personal jurisdiction because “the plaintiff had carried on solicitation services in Wisconsin on behalf of the defendant as described in Wisconsin’s long arm statute” and because the defendant had sufficient minimum contacts with the state “through its business dealings with the plaintiff.” Id. at 1. The court found that the defendant deliberately had entered into a broker-carrier agreement (“BCA”) with the plaintiff, sending the BCA to Wisconsin for review and making the plaintiff its agent for solicitation activities. Dkt. No. 18 at 32:22. The court

found that the defendant knew that solicitation could occur in Wisconsin on its behalf and that collection would occur in Wisconsin; the defendant sent its receipts to Wisconsin and the plaintiff paid the invoices from Wisconsin. In other words, the defendant’s connection with Wisconsin arose out of contacts clearly articulated in the BCA. The court concluded that the defendant had targeted Wisconsin by hiring an “agent” in Wisconsin to solicit and refer business and manage the collections. Id. at 28:44-34:03

Under 28 U.S.C. §1391(b)(3), the court found that venue was proper in the Eastern District of Wisconsin because the court had personal jurisdiction over the defendant and there was no other district in which the case could otherwise be brought. Id. at 39:25. Finally, the court declined to dismiss the case on forum non conveniens grounds. The court acknowledged that Canada would be an available—and adequate—alternative forum. Id. at 40:06. But while the court found that the balance of private interests did not weigh in favor of one court or the other, it

concluded that the balance of public interests favored Wisconsin. Id at 46:11. It found that a court in the Eastern District of Wisconsin was better situated to consider interpretation of federal law such as the Carmack Amendment. Id. at 50:00-53:00. The court found that Wisconsin had a strong local interest in a breach of contract claim brought by a Wisconsin business. Id. Finally, the court found that Wisconsin citizens would not be unduly burdened by the court hearing a dispute over a Wisconsin contract. The court did not make a determination regarding whether this court might be more congested than a

Canadian court. Id. B. The Parties’ Arguments 1. The Defendant’s Motion to Reconsider (Dkt. No. 44) On September 28, 2021—fourteen months after the hearing on the defendant’s motion to dismiss—the defendant deposed Brian Hillier, an independent contractor for the plaintiff. Dkt. No. 44-1. The excerpt of the deposition transcript attached to the defendant’s motion shows that Hillier

testified that he was a contract driver and logistics coordinator for the plaintiff. Dkt. No. 44-1 at 3, lines 19-22. He testified that he was the only person employed by the plaintiff who had a relationship with the defendant. Id. at 6, lines 10-11. Hillier testified that he first learned of the defendant through a referral from a friend, Bill Harrison, who drove for the plaintiff and lived in Canada. Id. at 6, lines 13-25; 7, lines 1-6. Hillier testified that he himself was a Canadian citizen, had never been a United States citizen and had lived in St. Catherine’s, Ontario for the past thirty years. Id. at 2, lines 6-22. Hillier

testified that Hitec Power Protection, Inc. (the assignor of the plaintiff’s claim) was his customer, id. at 4, lines 1-10, and that Hitec was located in Rosenberg, Texas, id. at 7, lines 22-23. Hillier testified that he never randomly called customers to see if they had a new load to transport; the customer always contacted him first. Id. at 5, lines 2-8. The defendant also attached to the motion the plaintiff’s responses to the defendant’s first set of interrogatories. Dkt. No. 44-4. When asked to identify all documents and communications that the plaintiff contended constituted the

plaintiff’s solicitation within Wisconsin for the defendant, the plaintiff responded, in part, that With regard to Defendant, specifically, Plaintiff first retained Defendant’s services in connection with certain shipments on behalf of Hitec from Harrow, Ontario to Jacksonville, Florida in April 2018. After Defendant successfully transported those shipments, Plaintiff would keep Defendant in mind whenever it solicited any jobs that involved transportation to/from Canada. When the Hitec shipments to Washington1 became available, Plaintiff accepted the job with the idea that Defendant could provide at least a portion of the actual transportation. The communications regarding these preliminary dealings were almost all done via telephone conversations involving Brian Hillier, working as Plaintiff’s agent.

Id. at 2.

1 The reference to “Washington” may be a typo; the plaintiff may have meant to type “Wisconsin.” Finally, the defendant attached to the motion an email dated August 29, 2019 from dadinwi.bh@gmail.com to a William Cisler at hitec.ups.com. Dkt No. 44-2. In this email, signed “Brian,” the author wrote, “I’m getting close to scheduling a discovery hearing for the claim. We are disputing which country it

will be filed in. If heard in Wisconsin, I win! It won’t even see the courtroom. If it’s in Canada, it’s 50/50.” Id. at 1-2. The defendant asserts that the above constitutes evidence “revealed for the first time in discovery, after the Court’s hearing and decision on the Motion to Dismiss.” Dkt. No. 44 at 4. It asserts that this new evidence conflicts with statements made in the plaintiff’s brief in opposition to the motion to dismiss. Id. at 5. The defendant argues that the plaintiff’s opposition “falsely” stated that the plaintiff solicited business for the defendant from Wisconsin and

“communicated such leads from Wisconsin.” Id. The defendant contends that in fact, the plaintiff “does not actively solicit business” for the defendant, but that “Mr. Hillier acts as a contact person from [the plaintiff] for potential customers, who then sometimes refers the business to [the defendant], and Mr. Hillier does so from Canada, not Wisconsin.” Id. The defendant accuses the plaintiff of having “obscured the facts that Mr. Hillier conducts business for [the plaintiff] in Canada, that Mr. Hillier is the

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
Cook Logistics LLC v. Equipment Express Inc, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cook-logistics-llc-v-equipment-express-inc-wied-2022.