Crowe v. Paragon Relocation Resources, Inc.

506 F. Supp. 2d 1113, 2007 U.S. Dist. LEXIS 60157, 2007 WL 2376061
CourtDistrict Court, N.D. Florida
DecidedAugust 16, 2007
Docket3:06cv407/MCR/MD
StatusPublished
Cited by10 cases

This text of 506 F. Supp. 2d 1113 (Crowe v. Paragon Relocation Resources, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Crowe v. Paragon Relocation Resources, Inc., 506 F. Supp. 2d 1113, 2007 U.S. Dist. LEXIS 60157, 2007 WL 2376061 (N.D. Fla. 2007).

Opinion

ORDER

RODGERS, District Judge.

This is an employment discrimination case which arose as a result of Defendant, Paragon Relocation Resources, Inc.’s (“Paragon”) decision not to hire the Plaintiff, Carmen Crowe for a sales position with the company. Plaintiff alleges that Paragon’s decision was motivated by his age and thus in violation of both the Age Discrimination in Employment Act, 26 U.S.C. § 621, et seq., and the Florida Civil Rights Act of 1992. Defendant has filed a motion to dismiss plaintiffs complaint on the basis of lack of personal jurisdiction pursuant to Federal Rule of Civil Procedure 12(b)(2). The court held an eviden-tiary hearing on May 11, 2007, to resolve issues of disputed fact raised by the parties’ affidavits. After considering the arguments of counsel, the evidence presented at hearing, and the relevant case law, the *1117 court concludes it does not have personal jurisdiction over the defendant and the case should be transferred to the United States District Court for the Central District of California.

Background

Paragon is a Delaware corporation with its primary place of business in California. 1 Paragon is a full service relocation management company providing relocation services in more than 140 countries and all fifty states, including Florida. 2 Paragon, however, is not registered or licensed to do business in Florida; does not maintain an office in Florida; and has no property, telephone numbers, or bank accounts in Florida. It also does not have any subsidiaries, agents, or employees in the state.

At the time of the events in this case, the president and CEO of Paragon was Joe Morabito. Craig Selders served as Paragon’s International Vice President. The remainder of Paragon’s employees in the United States worked in either sales or operations. Sales employees marketed the company’s services, while operations employees managed relocations for specific clients. Three regional vice presidents managed Paragon’s sales force, including Chris Furlotte, regional vice president for the West Coast and Gulf Coast states, and Brian Schaffer, regional vice president for the Eastern seaboard and several inland states. 3 Chris Furlotte’s sales force included Jay Acker, who operated from Paragon’s Texas office and was responsible for marketing in seven states around the Gulf Coast, including Florida. 4

Prior to 2004, Paragon’s marketing efforts were directed at companies seeking to relocate their employees. 5 In 2004, however, Paragon took steps to expand its business into affinity services, under which Paragon would contract with a membership or non-profit organization to allow Paragon to market its relocation services to the organization’s members. 6 As part of its planned expansion into the affinity area, Paragon sought to hire an Affinity Manager of Business Development. This employee would have been located in the Washington, D.C., area 7 and would have *1118 solicited organizations there, in New York City, and throughout the northeast. 8

In October 2004, as part of several emails between Schaffer, Acker, Furlotte, Selders, and Morabito discussing the open position, Schaffer indicated that there was currently an applicant in the “interview funnel.” 9 Def.’s Ex. 1 at 3. Morabito instructed Schaffer to “pass [the applicant] around for second interviews.” Id. Schaf-fer responded by sending Morabito and Selders Crowe’s resume, which identified Florida as Crowe’s home. Morabito responded by advising Schaffer that “Florida does not do us much good.” Id. Schaffer replied indicating that Crowe was willing to relocate and asked if Paragon wanted Crowe to relocate to Washington, D.C. 10 Morabito responded that “[Crowe] looks to be 50 years old and he appears to be going backwards in his career. That is not a good sign.” Id. at 2. Schaffer understood this comment to mean that Morabito thought Crowe was too old for the position. Soon thereafter, Schaffer repeated Mora-bito’s comment in an email to Selders and further stated “so I read that in Joe’s corporate speak as too old and a ‘No.’ Your take?” Id. at 1. Selders responded “I think you’ve read it right and time to move on.” Id. Schaffer felt this email confirmed his suspicion that Crowe was not hired because of his age.

Paragon took no further action to consider Crowe for the position. Paragon eventually offered the position to an individual who resided in the Washington, D.C., area., who declined the offer. Paragon later determined it did not require an Affinity Manager of Business Development and thus delegated the duties of the position to one of Paragon’s existing sales managers. Paragon discontinued its affinity services in 2006.

Legal Standards

Courts in the Eleventh Circuit follow a two-step analysis when deciding whether personal jurisdiction exists over a nonresident defendant. Sculptchair, Inc. v. Century Arts, Ltd., 94 F.3d 623, 626 (11th Cir.1996). First, the court must determine whether the state’s long-arm statute (in this case Florida) provides a *1119 basis for personal jurisdiction over the defendant. Id. Second, if the state’s long-arm statute provides a basis for personal jurisdiction, the court must then determine whether “minimum contacts” exist to satisfy the Due Process Clause of the Fourteenth Amendment such that “maintenance of the suit does not offend traditional notions of fair play and substantial justice” as set forth in International Shoe Co. v. Washington, 326 U.S. 310, 316, 66 S.Ct. 154, 90 L.Ed. 95 (1945). Id. (citations omitted). The minimum contacts requirement is satisfied if the defendant “purposefully directs activities at Florida and litigation arises out of those activities, or the defendant purposefully avails himself of the privilege of conducting activities within the forum state.” Achievers Unlimited, Inc. v. Nutri Herb, Inc., 710 So.2d 716, 719 (Fla. 4th DCA 1998); see also Burger King v. Rudzewicz, 471 U.S. 462, 105 S.Ct. 2174, 85 L.Ed.2d 528 (1985); Hanson v. Denckla, 357 U.S. 235, 78 S.Ct.

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506 F. Supp. 2d 1113, 2007 U.S. Dist. LEXIS 60157, 2007 WL 2376061, Counsel Stack Legal Research, https://law.counselstack.com/opinion/crowe-v-paragon-relocation-resources-inc-flnd-2007.