FAURECIA EXHAUST SYSTEMS, INC. v. Walker

464 F. Supp. 2d 700, 2006 U.S. Dist. LEXIS 79309, 2006 WL 3146431
CourtDistrict Court, N.D. Ohio
DecidedOctober 31, 2006
Docket3:05 CV 7482
StatusPublished
Cited by10 cases

This text of 464 F. Supp. 2d 700 (FAURECIA EXHAUST SYSTEMS, INC. v. Walker) is published on Counsel Stack Legal Research, covering District Court, N.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
FAURECIA EXHAUST SYSTEMS, INC. v. Walker, 464 F. Supp. 2d 700, 2006 U.S. Dist. LEXIS 79309, 2006 WL 3146431 (N.D. Ohio 2006).

Opinion

MEMORANDUM OPINION AND ORDER

ZOUHARY, District Judge.

This matter is before the Court on Defendant’s Motion to Dismiss for Lack of Personal Jurisdiction or, in the Alternative to Dismiss Based upon Forum Non-Con-veniens (Docket No. 16), to which Plaintiffs filed a Brief in Opposition (Docket No. 20), and Defendant filed a Reply Memorandum (Docket No. 21) and a Supplemental Memorandum (Docket No. 23). An Oral Argument was held on September 27, 2006. *703 The Court has jurisdiction pursuant to 28 U.S.C. § 1332.

Background

Plaintiffs are Faurecia Exhaust Systems, Inc. (Faurecia Toledo), a Delaware corporation headquartered in Toledo, Ohio, and Faurecia Siegles d’Automobiles, SA (Faurecia France), a French corporation headquartered in Boulogne, France (collectively Faurecia). Faurecia France is a parent company of Faurecia Toledo. Defendant John Walker is a resident of Switzerland with dual citizenship (United States and Ireland).

In April 2001, while working for Ford Motor Company in Michigan, Walker interviewed for the position of Vice President Purchasing, Exhaust Systems Business Group, of Faurecia France. The interview took place in Paris, and the position was located in Boulogne, France at Faurecia’s world headquarters. In June 2001, Faurecia France offered Walker the position, which he accepted on July 2, 2001. After accepting the position, Walker was informed that he would actually be employed by Faurecia Toledo in order to avoid the financial burdens of French employment, i.e. French social security, healthcare, and pension requirements. 1 The employment agreement, signed by Walker, specified that he was an employee of Faurecia Toledo, but was to be “seconded” to Faure-cia France (Docket No. 20, Ex. B). Walker was paid through Faurecia Toledo during his entire employment, and Faurecia France fully credited Faurecia Toledo for all compensation paid to Walker (Walker Declaration, Docket No. 23 at ¶ 11).

Shortly after he signed his employment agreement, Walker began to work part-time at Faurecia Toledo while preparing to move to France. During this approximately one-month period, Walker sold his Ann Arbor home and took intensive language lessons. On August 12, 2001, Walker assumed his position in France, and served in that capacity until March 2004. In March 2004, Walker accepted the position of Vice President Purchasing, Components Business Group, and remained at Faurecia France’s Boulogne headquarters. At this point, Walker signed a new employment agreement, but that contract expressly provided that the original agreement with Faurecia Toledo remained in full effect (Docket No. 20, Ex. I).

While working for Faurecia, Walker had no involvement with Faurecia Toledo other than receiving his salary and benefits. Walker never took orders from anyone in Toledo, nor did he report to Faurecia Toledo or its executives (Walker Decl. at ¶¶ 4-6). Expense reports show that Walker took a few reimbursed trips to Toledo during the course of his employment (Docket No. 20, Ex. H), but he contends these trips had nothing to do with the operation of Faurecia Toledo. Walker’s position often required trips to the United States, among other countries, all for the benefit of Faurecia France (Walker Decl. at ¶ 7). Further, although Walker’s travel expenses were paid by Faurecia Toledo, he was required to first obtain approval from Faurecia France, which would credit Faurecia Toledo (Walker Decl. at ¶¶ 9-11).

On May 28, 2004, Walker notified Faure-cia France of his intent to resign. He stopped working three months later, on August 27, 2004. Walker and his family now reside in Switzerland, where he works for a Swiss company. Plaintiffs claim that Walker did not give them the proper *704 amount of notice due under his employment agreements.

Plaintiffs first filed this suit on March 3, 2005 in the United States District Court, Eastern District of Michigan. That suit was dismissed by Judge Duggan for lack of personal jurisdiction over Walker. See Faurecia Exhaust Systems, Inc. v. Walker, No. 2:05-cv-70833, 2005 WL 2491447 (E.D.Mich. Oct. 7, 2005). Faced with these facts, the court held that Walker did not satisfy the requirements of Michigan’s long-arm statute, nor would the exercise of jurisdiction comport with due process. Id. at *3-5. Judge Duggan opined that he saw “no reason why [Michigan] — where Defendant’s contacts are minimal at best— [was] preferable to France or Ohio — where Defendant’s contacts with the forum clearly are stronger.” Id. at *5.

Plaintiffs next filed the instant action. Walker has again filed a Motion to Dismiss for Lack of Personal Jurisdiction, or in the alternative for dismissal pursuant to the doctrine of forum non conveniens (Docket No. 16).

Personal Jurisdiction

In response to a motion to dismiss for lack of personal jurisdiction, the burden is on the plaintiff to demonstrate that jurisdiction is proper. Dean v. Motel 6 Operating L.P., 134 F.3d 1269, 1272 (6th Cir.1998); CompuServe, Inc. v. Patterson, 89 F.3d 1257, 1261-62 (6th Cir.1996). “Presented with a properly supported 12(b)(2) motion and opposition, the court has three procedural alternatives: it may decide the motion upon the affidavits alone; it may permit discovery in aid of deciding the motion; or it may conduct an evidentiary hearing to resolve any apparent factual questions.” Theunissen v. Matthews d/b/a Matthews Lumber Transfer, 935 F.2d 1454, 1458 (6th Cir.1991) (citing Serras v. First Tennessee Bank Nat’l Ass’n, 875 F.2d 1212, 1214 (6th Cir.1989)). The method selected is left to the discretion of the district court. Id. Further, “in the face of a properly supported motion for dismissal, the plaintiff may not stand on his pleadings but must, by affidavit or otherwise, set forth specific facts showing that the court has jurisdiction.” Theunissen, 935 F.2d at 1458 (quoting Weller v. Cromwell Oil Co., 504 F.2d 927, 930 (6th Cir.1974)); Serras, 875 F.2d at 1214. The district court’s choice determines the weight the plaintiffs burden. See Dean, 134 F.3d at 1272; Theunissen, 935 F.2d at 1458; Serras, 875 F.2d at 1214.

“When ... a district court rules on a jurisdictional motion to dismiss ... without conducting an evidentiary hearing, the court must consider the pleadings and affidavits in a light most favorable to the plaintiff ... To defeat such a motion, [the plaintiff] need only make a prima facie showing of jurisdiction. Furthermore, a court ... does not weigh the controverting assertions of the party seeking dismissal....

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464 F. Supp. 2d 700, 2006 U.S. Dist. LEXIS 79309, 2006 WL 3146431, Counsel Stack Legal Research, https://law.counselstack.com/opinion/faurecia-exhaust-systems-inc-v-walker-ohnd-2006.