Erie Shores Industries, Inc. v. Cumberland Steel, Inc.

4 Ohio App. Unrep. 255
CourtOhio Court of Appeals
DecidedJune 7, 1990
DocketCase No. 57053
StatusPublished

This text of 4 Ohio App. Unrep. 255 (Erie Shores Industries, Inc. v. Cumberland Steel, Inc.) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Erie Shores Industries, Inc. v. Cumberland Steel, Inc., 4 Ohio App. Unrep. 255 (Ohio Ct. App. 1990).

Opinion

STILLMAN, J.

Plaintiff-appellant, Erie Shore Industrie^ Inc, appeals from the judgment of the trial court which granted the defendant-appellee's Cumberland Steel, Inc, motion to dismiss.

On June 13, 1988, the appellant filed a complaint in the Cuyahoga County Court of Common Pleas which alleged that the appellee had breached a contract for the purchase of steel. The complaint specifically alleged that;

" 1) on December 3, 1986, the appellee ordered from the appellant forty thousand pounds of twenty foot .525/.5205 round cold drawn steel bars, forty thousand pounds of twenty foot .5875/.5825 round cold drawn steel bars, and twenty thousand pounds of twenty foot .4662/.4619 round cold drawn steel bars;
[256]*256”2) on December 18, 1986, the appellee increased its order of .4662/.4619 steel to forty thousand pounds;
"3) on December 30, 1986, the appellant shipped to the appellee 49,958 pounds of steel bars;
"4) on February 1, 1987, the appellee refused to accept delivery of the balance of the steel bars;
"5) the appellant has attempted to mitigate its damages; and "6) the value of the undelivered steel bars is $15,409.24."

On November 2, 1988, the appellee filed a Civ. R. 12(B) (2) motion to dismiss based upon the trial court's lack of in personam jurisdiction over the appellee.

On December 15, 1988, the trial court granted the appellee's motion to dismiss for lack of in personam jurisdiction.

Thereafter, the appellant timely brought the instant appeal.

The appellant's sole assignment of error is that:

"THE CUYAHOGA COUNTY COURT OF COMMON PLEAS ERRED IN DISMISSING THE PLAINTIFF'S COMPLAINT FOR THE REASON THAT SAID COURT DOES, IN FACT, HAVE IN PERSONAM JURISDICTION OVER THE DEFENDANT."

The appellant, in this assignment of error, argues that the trial court erred in granting the appellee's motion to dismiss as based upon a lack of in personam jurisdiction. Specifically, the appellant argues that the existence of "minimum contacts" on the part of the appellee with the state of Ohio permitted the trial court to obtain in personam jurisdiction over the non-resistant appellee through the Ohio long-arm statute This assignment of error is well taken.

R.C. 2307.382, which deals with Ohio's long-arm statute; provides in pertinent part that:

"(A court may exercise personal jurisdiction over a person who acts directly or by an agent, as to a cause of action arising from the person's:
"(1) Transacting any business in this state; * *

In personam jurisdiction, per R.C. 2307.382, however, also requires the existence of "certain minimum contacts" on the part of the defendant.

"It is well-established that '* * * due process requires only that in order to subject a defendant to a judgment in personam, if he be not present within the territory of the forum, he have certain minimum contacts with it such that the maintenance of the suit does not offend 'traditional notions on fair play and substantial justice'" International Shoe Co. v. Washington (1945), 326 U.S. 310, 316. Ordinarily, this requires that a party 'purposefully * * * [avail] itself of the privilege of conducting activities within the forum State * * *.' Hanson v. Denckla (1958), 357 U.S. 235, 253. In judging minimum contact^ a court properly focuses on 'the relationship among the defendant, the forum, and the litigation * * *.. (sic)' Shaffer v. Heitner (1977), 433 U.S. 186, 204.

"Courtshave consistently held thatforeseeability is one of the primary factors to be considered in determining whether there are sufficient minimum contacts '* * * [T]he foreseeability that is critical to due process analysis * * * is that the defendant's conduct and connection with the forum State are such that he should reasonably anticipate being haled into court there.' World-Wide Volkswagen Corp. v. Woodson (1980), 444 U.S. 286, 297. Thus, where the defendant 'has created "continuing obligations" between himself and residents of the forum, Travelers Health Assn. v. Virginia [1950], 339 U.S. at 648, * * * he manifestly has availed himself of the privilege of conducting business there, and because his activities are shielded by "the benefits and protections" of the forum's laws, it is presumptively not unreasonable to require him to submit to the burdens of litigation in that forum as well. Jurisdiction in these circumstances may not be avoided merely because the defendant did not physically enter the forum State.' (Emphasis sic.) Burger King Corp. v. Rudzewicz (1985), 471 U.S. 462, 475-476." (Emphasis added.) Anilas v. Kirn (1987), 31 Ohio St. 3d 163, at 164.

The issue of "certain minimum contacts" has been defined by the Allen County Court of Appeals, in Kleinfeld v. Link (1983), 9 Ohio App. 3d 29, to involved the following five factors:

"1. established activity by non-resident in the forum state:
"2. non-resident takes advantage of privileges and benefits of forum state;
"3. non-resident solicits business through agents or advertising reasonably calculated to reach the forum state;
"4. it is foreseeable that the non-resident will litigate in the forum state; and
"5. convenience to the litigants and fairness of requiring the non-resident to come to the forum state"

In the case sub judice, the appellee's motion to dismiss was premised upon the non-existence of "minimum contacts" with the state of Ohio. In support of its motion to dismiss, an affidavit [257]*257provided by the president of the appellee (Cumberland) provided that:

"1) the appellee is a Washington corporation not qualified to do business within the state of Ohio;
"2) the appellee does not nor has it maintained officers and/or representatives in the state of Ohio;
"3) the transactions which formed the basis of the appellant's complaint were initiated by the appellant's sales representatives; "4) all discussions and negotiations with regard to the purchase of the steel bars were made telephonically and/or by fax machine;
"5) the purchase orders were signed by the appellee within the state of Washington;
"6) the appellee did not send any representatives to the state of Ohio; and
"7) all steel bars purchased by the appellee were delivered to third parties outside the state of Ohio."

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Related

International Shoe Co. v. Washington
326 U.S. 310 (Supreme Court, 1945)
Hanson v. Denckla
357 U.S. 235 (Supreme Court, 1958)
Shaffer v. Heitner
433 U.S. 186 (Supreme Court, 1977)
World-Wide Volkswagen Corp. v. Woodson
444 U.S. 286 (Supreme Court, 1980)
Burger King Corp. v. Rudzewicz
471 U.S. 462 (Supreme Court, 1985)
John Welsh and Flo-Start, Inc. v. James W. Gibbs
631 F.2d 436 (Sixth Circuit, 1980)
Priess v. Fisherfolk
535 F. Supp. 1271 (S.D. Ohio, 1982)
Kleinfeld v. Link
457 N.E.2d 1187 (Ohio Court of Appeals, 1983)
Jurko v. Jobs Europe Agency
334 N.E.2d 478 (Ohio Court of Appeals, 1975)
Barile v. University of Virginia
441 N.E.2d 608 (Ohio Court of Appeals, 1981)
Giachetti v. Holmes
471 N.E.2d 165 (Ohio Court of Appeals, 1984)
Anilas, Inc. v. Kern
509 N.E.2d 1267 (Ohio Supreme Court, 1987)

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Bluebook (online)
4 Ohio App. Unrep. 255, Counsel Stack Legal Research, https://law.counselstack.com/opinion/erie-shores-industries-inc-v-cumberland-steel-inc-ohioctapp-1990.