Exito Electronics, Co., Ltd. v. Virginia Trejo

CourtCourt of Appeals of Texas
DecidedJune 16, 2005
Docket13-02-00368-CV
StatusPublished

This text of Exito Electronics, Co., Ltd. v. Virginia Trejo (Exito Electronics, Co., Ltd. v. Virginia Trejo) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Exito Electronics, Co., Ltd. v. Virginia Trejo, (Tex. Ct. App. 2005).

Opinion

NUMBER 13-02-368-CV

                         COURT OF APPEALS

               THIRTEENTH DISTRICT OF TEXAS

                  CORPUS CHRISTI - EDINBURG

EXITO ELECTRONICS., CO., LTD.,                              Appellant,

                                           v.

VIRGINIA TREJO, ET AL.,                                         Appellees.

                   On appeal from the 93rd District Court

                           of Hidalgo County, Texas.

                              O P I N I O N

                  Before Justices Hinojosa, Yañez and Castillo

                           Opinion by Justice Castillo


This is an interlocutory appeal from the trial court's order denying the special appearance of Exito Electronics Company, Ltd. ("Exito-Taiwan"), appellant.[1]  Appellees include Virginia Trejo, individually and as representative of the estate of Paulino Trejo, Nadia Guadalupe Salvador Guzman, individually, and Aurelio Salvador Florez, individually and as representative of the estate of Juana Zuniga, deceased, and as next friend of Maria de la Luz Crecencia Salvador Guzman, a minor (together, "Trejo"). Appellees also include Pacific Electricord Co., Inc. ("Pacific Electricord") and Woods Industries, Inc. ("Woods").[2]  We affirm the trial court's denial of the special appearance as to Exito-Taiwan and reverse as to Exito-Philippines.

                       I.  RELEVANT FACTS AND PROCEDURAL BACKGROUND

On Christmas Day in 1998, Paulino Trejo and Juana Zuniga died in a house fire in Hillsboro, Texas.  Relatives of the victims filed suit on September 9, 1999, alleging the fire was caused by a defective extension cord.  Original defendants included numerous alleged distributors.  An amended petition filed December 22, 2000, included Exito-Taiwan as a defendant.  It alleged that Exito-Taiwan had manufactured the extension cord in issue and that, although Exito-Taiwan was a foreign corporation organized under the laws of Taiwan, it conducted business in Texas.  Trejo sought service on Exito-Taiwan under rule 108a(1)(c) of the Texas Rules of Civil Procedure and the Texas long-arm statute, as provided in sections 17.044 and 17.045 of the Texas Civil Practices and Remedies Code.  See Tex. R. Civ. P. 108a(1)(c); Tex. Civ. Prac. & Rem. Code Ann. '' 17.044, 17.045 (Vernon 1997 and Supp. 2004-05).



On March 5, 2001, Exito-Taiwan timely filed its special appearance and accompanying affidavits, objecting to jurisdiction being exercised over it by a Texas court.[3]  Trejo, Pacific Electricord, and Woods all opposed the special appearance, contending that (1) special and general personal jurisdiction existed over Exito-Taiwan, and (2) an exercise of that jurisdiction would not offend traditional notions of fair play and substantial justice.  The parties engaged in discovery related to the special appearance, including the deposition of Exito-Taiwan's corporate representative, Mr. Wu.  A hearing was held June 3, 2002, at which the parties addressed evidence developed in this process.  The trial court's order denying Exito-Taiwan's special appearance was entered June 19, 2002,[4] and provided "that sufficient minimum contacts exist to create both specific and general jurisdiction over Exito[-Taiwan] and Exito-P[hilippines], and that the exercise of jurisdiction over Exito[-Taiwan] and Exito-P[hilippines] will not offend the traditional notions of fair play and substantial justice." Specific findings provide as follows: 

a.         Exito[5] has voluntarily submitted to the jurisdiction of a Texas court by filing a general denial in Cause No. 99-4552; Quilicot v. Exito, Ltd., et al.; in the 205th Judicial District Court of El Paso County, Texas.

b.         The lawsuit in El Paso, Texas involves an extension cord allegedly manufactured by Exito which was allegedly defective and caused a fire.

c.         Exito has and still does systematically and continuously engage in business with a Texas resident, Intertrade Industries, in Fort Worth, Texas from as early as 1995.

d.         Exito exclusively manufactures SPT-2, 16AWG house-hold extension cords for sale in the United States and sells all of its cords to American companies.

e.         Exito has the expectation that many of the SPT-2, 16AWG extension cords will reach Texas consumers.

f.          Exito is aware that its SPT-2, 16AWG extension cords are shipped directly to Texas and has intentionally directed its cords to Dallas/Fort Worth airport in Texas via air-freight.

g.         Exito has knowingly shipped more than five million house-hold extension cords to Texas in 1998.

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