Creative Compounds, LLC v. Thermolife International, LLC

CourtMissouri Court of Appeals
DecidedMay 23, 2023
DocketED111095
StatusPublished

This text of Creative Compounds, LLC v. Thermolife International, LLC (Creative Compounds, LLC v. Thermolife International, LLC) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Creative Compounds, LLC v. Thermolife International, LLC, (Mo. Ct. App. 2023).

Opinion

In the Missouri Court of Appeals Eastern District DIVISION FOUR

CREATIVE COMPOUNDS, LLC, ) No. ED111095 ) Appellant, ) Appeal from the Circuit Court of ) Cape Girardeau County vs. ) ) Honorable Benjamin F. Lewis THERMOLIFE INTERNATIONAL, LLC, ) ) Respondent. ) Filed: May 23, 2023

Introduction

Creative Compounds, LLC (“Creative”) appeals the Circuit Court of Cape Girardeau

County’s judgment granting ThermoLife International, LLC’s (“ThermoLife”) motion to dismiss

for lack of personal jurisdiction. In its sole point on appeal, Creative argues the trial court erred

in dismissing the case for lack of personal jurisdiction because ThermoLife’s tortious conduct

was directed at and injured Creative in Missouri, subjecting ThermoLife to the personal

jurisdiction of this state.

Because Creative did not satisfactorily plead ThermoLife committed the tort of tortious

interference with contract or business expectancy or injurious falsehood in Missouri, Creative

did not adequately plead facts establishing personal jurisdiction over ThermoLife. We deny

Creative’s point on appeal.

We affirm. Factual and Procedural Background

Creative sources and sells bulk raw ingredients to the food industry, specifically the

sports nutrition and dietary supplement industries. One ingredient Creative sells customers is

NitroRocket®, a specially engineered extract of arugula developed for the sports nutrition and

nutraceutical industries. WG Nutrition is one of Creative’s customers who purchase

NitroRocket®. Multiple Creative customers, including WG Nutrition, told Creative they received

letters and emails from ThermoLife threatening to sue, alleging the incorporation of

NitroRocket® into their products infringed on “rights” owned by ThermoLife. Creative alleges

before ThermoLife sent its threatening letters and emails to its customers, ThermoLife’s prior

counsel admitted to Creative’s representative on September 4, 2018, that neither NitroRocket ®

by itself nor including NitroRocket® into a product marketed, offered for sale, and/or sold to

consumers violated any rights owned by ThermoLife. Creative also alleges the threatening letters

and emails caused WG Nutrition to terminate its agreement with Creative to purchase

NitroRocket®.

On July 27, 2021, Creative filed its petition against ThermoLife. Following other

motions, the trial court granted ThermoLife leave to file a motion to dismiss Creative’s petition.

After a hearing on the motion in June 2022, the trial court dismissed Creative’s petition with

leave to file an amended petition. On July 6, 2022, Creative filed its first amended petition

alleging tortious interference with a contract or business expectancy, Count I, and injurious

falsehood, Count II. On August 8, 2022, ThermoLife filed its motion to dismiss with prejudice

the amended petition asserting lack of personal jurisdiction and failure to state a claim. On

October 6, 2022, the trial court held a hearing on the motion to dismiss. On October 17, 2022,

2 the trial court dismissed with prejudice Creative’s first amended petition for lack of personal

jurisdiction.

This appeal follows.

Standard of Review

The plaintiff has the burden to show the trial court’s exercise of jurisdiction is proper

when a defendant raises the issue of personal jurisdiction in a motion to dismiss. Babb v.

Bartlett, 638 S.W.3d 97, 104 (Mo. App. E.D. 2021) (quoting Consol. Elec. & Mechs., Inc. v.

Schuerman, 185 S.W.3d 773, 775 (Mo. App. E.D. 2006)). “Whether a plaintiff has presented

sufficient evidence to establish a prima facie case of personal jurisdiction over a defendant is a

question of law that we review on appeal de novo.” Id. (citing Bryant v. Smith Interior Design

Grp., Inc., 310 S.W.3d 227, 231 (Mo. banc 2010)). In reviewing the grant of a motion to dismiss

a petition, “all facts in the petition are deemed true and the plaintiff is given the benefit of all

reasonable inferences.” Id. (citing Bryant, 310 S.W.3d at 231). “A reviewing court evaluates

personal jurisdiction by considering the allegations contained in the pleadings to determine

whether, if taken as true, they establish facts adequate to invoke Missouri's long-arm statute and

support a finding of minimum contacts with Missouri sufficient to satisfy due process.” Id.

(quoting Bryant, 310 S.W.3d at 231). As in this case, if a motion to dismiss for lack of

jurisdiction is based on facts not appearing in the record, “the trial court may hear it on affidavits

presented by the parties, or the court may direct that the matter be heard wholly or partly on oral

testimony or deposition.” Id. (quoting Lindley v. Midwest Pulmonary Consultants, P.C., 55

S.W.3d 906, 909 (Mo. App. W.D. 2001)).

“This standard of review does not convert the motion to dismiss into a motion for

summary judgment as ‘the trial court's inquiry is limited to an examination of the petition on its

3 face and the supporting affidavits to determine the limited question of personal jurisdiction.’”

Lindley, 55 S.W.3d at 909–10 (quoting Cap. Indem. Corp. v. Citizens Nat’l Bank, 8 S.W.3d 893,

898 (Mo. App. W.D. 2000)); see also Consolidated Elec. & Mechs., Inc. v. Schuerman, 185

S.W.3d 773, 776 n.1 (Mo. App. E.D. 2006). “The merits of the underlying action are not

considered.” Lindley, 55 S.W.3d at 910 (quoting Cap. Indem. Corp., 8 S.W.3d at 898).

Discussion

A. Party Positions

Creative argues the trial court erred in dismissing the case for lack of personal

jurisdiction because ThermoLife’s tortious conduct was directed at and injured Creative in

Missouri, subjecting ThermoLife to the personal jurisdiction of this state. Creative contends

extraterritorial tortious conduct, like ThermoLife’s, may support personal jurisdiction under

Missouri’s long-arm statute. Bryant, 310 S.W.3d at 232; see also State ex rel. Key Ins. Co. v.

Roldan, 587 S.W.3d 638, 641 (Mo. banc 2019); Brovont v. KS-I Med. Servs., P.A., 622 S.W.3d

671, 685 (Mo. App. W.D. 2020). Creative argues in Missouri, “a single tortious act is sufficient

to support personal jurisdiction consistent with due process standards.” Brovant, 622 S.W.3d at

686 (quoting Roldan, 587 S.W.3d at 643) (emphasis removed). Creative asserts ThermoLife

threatened to sue Creative and its customers if those customers did not stop purchasing

NitroRocket® from Creative. Creative argues because of ThermoLife’s tortious acts, “at least one

customer terminated its agreement with [Creative] to purchase NitroRocket®.”

ThermoLife argues the trial court did not err in dismissing the case because Creative’s

first amended petition failed to establish personal jurisdiction over ThermoLife. Specifically,

ThermoLife contends the first amended petition alleged no facts supporting the Missouri long-

arm statute attaching, or any facts satisfying due process requirements. ThermoLife argues the

4 first amended petition provides no allegations ThermoLife published any false statement in the

state or engaged in any other activity in Missouri. ThermoLife contends Creative’s first amended

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