First Communications, LLC v. Renteria

CourtDistrict Court, N.D. Ohio
DecidedJanuary 3, 2022
Docket5:20-cv-02616
StatusUnknown

This text of First Communications, LLC v. Renteria (First Communications, LLC v. Renteria) 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
First Communications, LLC v. Renteria, (N.D. Ohio 2022).

Opinion

UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF OHIO EASTERN DIVISION

FIRST COMMUNICATIONS, LLC. ) CASE NO. 5:20-CV-02616 ) Plaintiff, ) JUDGE JOHN R. ADAMS ) vs. ) ) RENTERIA, et al. ) MEMORANDUM OF OPINION AND ) ORDER Defendants. ) ) )

Pending before this Court is Defendants’ Rafael Renteria (“Renteria”) and Maximum Technology, LLC (“Maximum”) (collectively “Defendants”), motion to dismiss for lack of personal jurisdiction or, in the alternative, to transfer for convenience. (Doc. 3). For the reasons set forth below, the Court DENIES Defendants’ motion to dismiss or in the alternative to transfer venue. (Doc. 3). I. Personal Jurisdiction Under Fed. R. Civ. P. 12(b)(2), a defendant may move to be dismissed from a case for lack of personal jurisdiction. First Communications, LLC (“Plaintiff” or “FirstComm”), as the plaintiff in this action, bears the burden of proving that the Court has personal jurisdiction over the respective defendants. Air Prods. and Controls, Inc. v. Safetech Intern., Inc., 503 F.3d 544, 549 (6th Cir. 2007). This Court applies Ohio law in determining whether it may exercise jurisdiction over Defendants. American Greetings Corp. v. Cohn, 839 F.2d 1164, 1167 (6th Cir. 1988). The Court must engage in a two-step analysis to determine personal jurisdiction under Ohio law. The Court must determine: “(1) ... whether [Ohio’s] ‘long-arm’ statute and the applicable Civil Rule confer 1 personal jurisdiction, and if so, (2) whether granting jurisdiction under the statute and rule would deprive the defendant of the right to due process of law pursuant to the Fourteenth Amendment to the United States Constitution.” Goldstein v. Christiansen, 638 N.E.2d 541, 543 (Ohio 1994) (quoting U.S. Sprint Communications Co., L.P. v. Mr. K’s Foods, Inc., 624 N.E.2d 1048, 1051

(Ohio 1994)). The Court must engage in both steps if Ohio’s long-arm statute applies because it does not extend jurisdiction fully to the limits of due process. Goldstein, 638 N.E.2d at 545, n.1. Accordingly, to establish that jurisdiction is proper, both prongs of the analysis must be satisfied. Id. As noted above, Plaintiff bears the burden of establishing personal jurisdiction. American Greetings Corp., 839 F.2d at 1168. However, when a court rules solely based upon the pleadings, a plaintiff need make only a prima facie showing of personal jurisdiction to survive a motion to dismiss. Dean v. Motel 6 Operating L.P., 134 F.3d 1269, 1272 (6th Cir. 1998); CompuServe, Inc., v. Patterson, 89 F.3d 1257, 1262 (6th Cir. 1996). II. LAW AND ANALYSIS

A. Maximum Technology, LLC Maximum moved to dismiss Plaintiff’s claims against it pursuant to Fed.R.Civ.P. 12(b)(2). Maximum has submitted the declaration of Renteria, sole Member and owner of Maximum, in support of its position. Plaintiff’s complaint asserts jurisdiction over Maximum as follows: 4. This Court has personal jurisdiction over the Defendants pursuant to Ohio R.C. §2307.382, as Renteria and Maximum have transacted business in Ohio and have caused tortious injury in Ohio in a manner designed to or reasonably expected to cause injury in Ohio. … 6. This Court also has personal jurisdiction over Maximum and venue is proper in this Court by virtue of paragraph 12 of the First Communications Sales Agency 2 Agreement that Maximum executed with FirstComm. Paragraph 12 of the First Communications Sales Agency Agreement provides: “This Agreement, the rights of the parties, and any claims or disputes shall be governed by and construed in accordance with the laws of Ohio without regard to principles of conflicts of laws. Any litigation arising out of this Agreement shall be brought only in Summit County, Ohio, and the parties consent to the jurisdiction of its courts for such purposes.” (Compl., Doc. 1-3, PageID# 97). Although Plaintiff asserts personal jurisdiction over Maximum by way of Ohio’s long arm statute, Ohio Revised Code §2307.382, such an analysis is not necessary because Maximum assented to jurisdiction in Ohio. “‘[T]he requirement that a court have personal jurisdiction over a party is a waivable right and there are a variety of legal arrangements whereby litigants may consent to the personal jurisdiction of a particular court system.’” Preferred Capital, Inc. v. Assocs. in Urology, 453 F. 3d 718, 721 (6th Cir. 2006) (quoting Kennecorp Mortgage Brokers, Inc. v. Country Club Convalescent Hospital, Inc., 66 Ohio St. 3d 173, 175 (1993), internal quotation marks omitted). A forum selection clause is one of those arrangements. Id. “The Supreme Court has stated that in light of present-day commercial realities, a forum selection clause in a commercial contract should control, absent a strong showing that it should be set aside.” Preferred Capital, supra, citing M/S Bremen v. Zapata Off-Shore Co., 407 U.S. 1, 92 S. Ct. 1907, 32 L. Ed. 2d 513 (1972). In deciding whether to enforce a forum selection clause, courts must consider: “(1) whether the clause was obtained by fraud, duress, or other unconscionable means; (2) whether the designated forum would ineffectively or unfairly handle the suit; and (3) whether the designated forum would be so seriously inconvenient such that requiring the plaintiff to bring suit there would be unjust.” Wong v. PartyGaming Ltd., 589 F.3d 821, 828 (6th Cir. 2009) (holding the 3 enforceability of the forum selection clause is governed by federal law.). The party opposing the forum selection clause carries the burden of demonstrating why it should not be enforced. Id. In this case, on September 8, 2004, Maximum entered into an Independent Dealer’s Agreement with Plaintiff’s predecessor, Globalcom. (Doc. 1-3, PageID# 137). Patrick Keefe

signed on behalf of Maximum. (Doc. 1-3, PageID# 143). In pertinent part, the contract stated: 21: GOVERNING LAW. This Agreement shall be governed by and construed in accordance with the substantive laws of the state of Illinois, without giving effect to any choice-of law rules that may require the application of the laws of another jurisdiction. Independent Dealer agrees that proper jurisdiction and venue, for any and all claims, is Cook County Circuit Court, Chicago, Illinois.

(Doc. 1-3, PageID# 142-43). In 2008, FirstComm acquired Globalcom. On February 3, 2012, Globalcom, Inc. dba First Communications and Maximum entered into a sales agency agreement. (Doc. 1-3, PageID# 150). Renteria signed on behalf of Maximum as Agent Manager. (Doc. 1-3, PageID# 152). The forum selection clause stated: 12.0 GOVERNING LAW: This Agreement, the rights of the parties, and any claims or disputes shall be governed by and construed in accordance with the laws of Ohio. Any litigation arising out of this Agreement shall be brought only in Summit County, Ohio, and all parties consent to the jurisdiction of its courts for such purposes. (Doc. 1-3, PageID #152). In 2013 Globalcom merged with FirstComm. On March 25, 2019, FirstComm and Maximum entered into a sales agency agreement. (Doc. 1-3, PageID# 155).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Milliken v. Meyer
311 U.S. 457 (Supreme Court, 1941)
International Shoe Co. v. Washington
326 U.S. 310 (Supreme Court, 1945)
McGee v. International Life Insurance
355 U.S. 220 (Supreme Court, 1957)
The Bremen v. Zapata Off-Shore Co.
407 U.S. 1 (Supreme Court, 1972)
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)
American Greetings Corporation v. Gerald A. Cohn
839 F.2d 1164 (Sixth Circuit, 1988)
The Kroger Company v. Malease Foods Corp.
437 F.3d 506 (Sixth Circuit, 2006)
Preferred Capital, Inc. v. Associates in Urology
453 F.3d 718 (Sixth Circuit, 2006)
Wong v. PartyGaming Ltd.
589 F.3d 821 (Sixth Circuit, 2009)
Kentucky Oaks Mall Co. v. Mitchell's Formal Wear, Inc.
559 N.E.2d 477 (Ohio Supreme Court, 1990)

Cite This Page — Counsel Stack

Bluebook (online)
First Communications, LLC v. Renteria, Counsel Stack Legal Research, https://law.counselstack.com/opinion/first-communications-llc-v-renteria-ohnd-2022.