Durham v. Katzman, Wasserman and Bennardini

375 F. Supp. 2d 495, 2005 U.S. Dist. LEXIS 17847, 2005 WL 1528704
CourtDistrict Court, S.D. Mississippi
DecidedJune 9, 2005
DocketCivil Action 2:04CV423-KS-JMR
StatusPublished
Cited by3 cases

This text of 375 F. Supp. 2d 495 (Durham v. Katzman, Wasserman and Bennardini) is published on Counsel Stack Legal Research, covering District Court, S.D. Mississippi primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Durham v. Katzman, Wasserman and Bennardini, 375 F. Supp. 2d 495, 2005 U.S. Dist. LEXIS 17847, 2005 WL 1528704 (S.D. Miss. 2005).

Opinion

ORDER OVERRULING MOTIONS TO DISMISS

STARRETT, District Judge.

This case is before the Court on Defendants’ Motions to Dismiss for Lack of Personal Jurisdiction and the Court, after reviewing the memoranda and authorities cited, does hereby find that the motion *497 should be denied for the reasons as hereinafter set forth.

FACTUAL BACKGROUND

William H. “Rusty” Durham, M.D. (hereinafter “Durham”) is the sole proprietor of Durham Medical Solutions located in Hattiesburg, Mississippi. According to his complaint and response to motion to dismiss, Durham entered into an oral contract with the defendants to provide echo-cardiograms on potential plaintiffs in the defendants’ pending pharmaceutical litigation. The contract was formed by way of a telephone conversation, with Durham located in Mississippi and the defendants located in Virginia and Florida, respectively-

Durham claims the terms of the oral contract stipulated that he would subcontract to provide the services of a level II cardiologist to read the results of the tests, which were to be performed outside the state by Durham. The reading of the results, however, would take place in Jackson, Mississippi, with the reading services provided by a designated Mississippi cardiologist. Durham also claims that the defendants sent an agent into the state of Mississippi to seek assistance in filing the forms necessary to process the test results and compile paperwork for the claims.

The defendants deny virtually all of Durham’s allegations. In their motions for dismissal and reply defendants maintain that Durham stated that he was qualified to read test results himself and would do so outside of the state of Mississippi. While simultaneously denying the existence of the contract, the defendants claim that both formation of the contract occurred outside of Mississippi (that Durham was not in Mississippi during the telephone contract formation) and that no material portion of the contract was contemplated to be performed in Mississippi. The defendants also claim that the employee Durham refers to was not their agent and has never served in their employ.

Aside from the allegations in both parties’ motions and responses, the plaintiff has submitted, by way of response to the 12(b)(2) motions, an affidavit by Durham which restates under oath the elements of his claim necessary to establish personal jurisdiction. The plaintiff has also submitted a non-deposited check written by one of the defendants as partial payment for Durham’s services, which contained a note directing Durham when the check should be deposited.

The defendants have submitted a sworn affidavit by Jay Wasserman, restating the material portions of his claims that challenge the factual allegations used by Durham to establish personal jurisdiction in Mississippi.

DISCUSSION

In order for the Court to exercise personal jurisdiction over a non-resident defendant, the plaintiff must first demonstrate the defendant falls within one of the three prongs of the Mississippi long-arm statute. First Trust National Association v. Jones, Walker, Waechter, Poitevent, Carrere and Denegre, 996 F.Supp. 585, 590 (S.D.Miss.1998). These include either the “tort prong,” the “contract prong,” or the “doing business prong” of the state’s statute. Miss.Code Ann. § 13-3-57. To establish the “contract” prong of the Mississippi long-arm statute, the plaintiff must show that the nonresident defendant entered into a contract with the plaintiff which has been, or is to be, performed, at least in part, in Mississippi. Miller v. Glendale Equipment & Supply Co., 344 So.2d 736, 738 (1977).

After establishing that the state’s long-arm statute encompasses the defendants’ activity for purposes of the suit, the *498 plaintiff must also ensure that the state’s exercise of personal jurisdiction over the defendant would be permissible under the Fourteenth Amendment. As such, the defendants’ contacts with the forum must be sufficient so as to “not offend the traditional notions of fair play and substantial justice.” Wor ld-Wide Volkswagen Corp., v. Woodson, 444 U.S. 286, 291, 100 S.Ct. 559, 62 L.Ed.2d 490 (1980). More importantly, the “defendants’ conduct in connection with the forum state [must be] such that he should reasonably anticipate being haled into court there.” Id. at 297, 100 S.Ct. 559.

Are the Plaintiff’s Allegations Sufficient to Establish Personal Jurisdiction?

In defendant Scalon’s objection to personal jurisdiction, he claims that a plaintiff must establish that a potential defendant has systematic and continuous contacts with the forum state for it to exercise personal jurisdiction over such a defendant. (Memorandum Brief in Support of Motion to Dismiss Defendant, p. 8). This is not an accurate statement of the law, as “even a single purposeful contact is sufficient to satisfy the due process requirement of minimum contacts when the cause of action arises from the contact.” Gardner v. Clark, 101 F.Supp.2d 468, 476 (N.D.Miss.2000). The allegations by Durham that lend themselves to finding proper personal jurisdiction arise out of the specific contacts of this defendant with the forum state, and if true would be sufficient to find both the contract prong of the statute and the Fourteenth Amendment concerns satisfied.

A similar analysis can be used to weigh the allegations against the Wasser-man defendants in establishing personal jurisdiction. Though non-residents with no systematic contacts with the state, the plaintiff has alleged that they entered into a contract while one party was in Mississippi, and that a material portion of the contract was agreed to be performed in Mississippi by a third party Mississippi physician. (Memorandum Brief in Response to Motion to Dismiss Defendants, p.4).

Moreover, the plaintiff even alleges that the Wasserman defendants sent an agent into the state to help execute an additional portion of the contract. Whether this was contemplated at the time of formation of not, this activity would be sufficient to satisfy both the contract prong of the long-arm statute, and perhaps even the “doing business” prong. Also, the activity of the agent, when viewed independently of the use of an additional in-state physician, bolsters the plaintiffs claim that it was foreseeable to the defendants that they might be haled into court in Mississippi. In fact, their unilateral dispatch of an agent can be viewed as reaching out to the forum state and purposely availing themselves of its protection.

A counter-analysis might find that Durham failed to carry the burden of establishing jurisdiction because of the minimal submission of his own affidavit as the sole basis to establish jurisdiction. The affidavit merely rehashes his own complaint and gives the court little to build upon exercising jurisdiction. Even so, the inherent nature of an oral contract leaves little in the way of documentary evidence that might be offered to support personal jurisdiction.

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Bluebook (online)
375 F. Supp. 2d 495, 2005 U.S. Dist. LEXIS 17847, 2005 WL 1528704, Counsel Stack Legal Research, https://law.counselstack.com/opinion/durham-v-katzman-wasserman-and-bennardini-mssd-2005.