Ford Motor Co. v. Great Domains, Inc.

141 F. Supp. 2d 763, 2001 U.S. Dist. LEXIS 12721, 2001 WL 348986
CourtDistrict Court, E.D. Michigan
DecidedMarch 30, 2001
Docket2:00-cv-71544
StatusPublished
Cited by6 cases

This text of 141 F. Supp. 2d 763 (Ford Motor Co. v. Great Domains, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Michigan primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ford Motor Co. v. Great Domains, Inc., 141 F. Supp. 2d 763, 2001 U.S. Dist. LEXIS 12721, 2001 WL 348986 (E.D. Mich. 2001).

Opinion

OPINION AND ORDER DENYING WITH PREJUDICE IN PART AND DENYING WITHOUT PREJUDICE IN PART DEFENDANTS RULE 12(b)(2) MOTIONS

CLELAND, District Judge.

I. BACKGROUND

Ford Motor Company, Jaguar Cars, Ltd., Aston Martin Lagonda Ltd., and Vol *770 vo Trademark Holding, AB (collectively “Ford”) commenced this lawsuit against over eighty persons and entities who have registered Internet domain names that incorporate the trademarks “Ford,” “Jaguar,” “Aston,” “Volvo,” or other words in which Ford has a proprietary interest (collectively “the Ford marks”). At the time this action was commenced, the domain names were posted for sale on the Internet at GreatDomains.com, an Internet website at which domain names can be bought and sold.

Ford’s complaint asserts Lanham Act claims for trademark infringement, trademark dilution, false designation of origin, and cyberpiracy against each of the named defendants. 15 U.S.C. § 1051, et seq. Eight of the defendants (collectively ref-fered to as the “Registrant Defendants”) have filed motions to dismiss pursuant to Federal Rule of Civil Procedure 12(b)(2) for lack of personal jurisdiction. The matter has been fully briefed and a hearing was conducted on January 24, 2001. 1

II. DISCUSSION

None of the Registrant Defendants reside, or otherwise are subject to general personal jurisdiction, in the State of Michigan. Furthermore, based on the absence of relevant, physical contacts with the State of Michigan, the Registrant Defendants move to dismiss this case for lack of personal jurisdiction. Although Ford admittedly has failed to set forth any evidence of actual contacts by the Registrant Defendants with the State of Michigan, it contests the motions to dismiss on grounds that the Registrant Defendants have committed intentional torts, the effects of which have been focused in the State of Michigan. For the following reasons, the court will deny the Rule 12(b)(2) motions to dismiss for lack of jurisdiction until limited discovery in aid of deciding the motions has been conducted.

A. Standard

When presented with a motion to dismiss pursuant to Rule 12(b)(2), a court has three procedural options: (1) it may decide the motion upon the affidavits alone; (2) it may permit discovery in aid of deciding the motion; or (3) it may conduct an evidentiary hearing to resolve any apparent factual questions. Theunissen v. Matthews, 935 F.2d 1454, 1458 (6th Cir.1991). Although the plaintiff always bears the burden of proving that jurisdiction exists, the weight of the burden varies depending upon the procedure adopted. Serras v. First Tenn. Bank Nat’l Ass’n, 875 F.2d 1212, 1214 (6th Cir.1989).

Where a court is able to decide the motion upon the affidavits alone, a plaintiff is required to set forth only a prima facie case for jurisdiction to avoid dismissal. Kerry Steel v. Paragon Indus., Inc., 106 F.3d at 149 (citing Theunissen, 935 F.2d at 1458). In such a case, the pleadings and affidavits submitted on the motion are “received in a light most favorable to the plaintiff,” and, “to prevent nonresident defendants from regularly avoiding personal jurisdiction simply by filing an affidavit denying all jurisdictional facts,” the court “does not weigh the controverting assertions of the party seeking-dismissal.” Theunissen, 935 F.2d at 1459 (citing Serras 875 F.2d at 1214). A court is not required, however, to “ignore undisputed factual representations of the defendant which are consistent with the representations of the plaintiff.” Kerry Steel, 106 F.3d at 153 (citing Market/Media Re *771 search, Inc. v. Union Tribune Pub. Co., 951 F.2d 102, 104 (6th Cir.1991)).

Furthermore, “[if] the written submissions raise disputed issues of fact or seem to require determinations of credibility, the court retains the power to order an evidentiary hearing and to order discovery of a scope broad enough to prepare the parties for that hearing.” Serras, 875 F.2d at 1214. If an evidentiary hearing is conducted, the plaintiff must demonstrate the existence of personal jurisdiction by a preponderance of the evidence. Id. Where “the disputed jurisdictional facts are intimately intertwined with the parties’ dispute on the merits” a full evidentiary hearing on the jurisdictional issue may be combined with the trial on the merits. See id. at 1215.

B. Analysis

No statute of the United States directly authorizes the assertion of personal jurisdiction over the Registrant Defendants. Accordingly, the court must determine whether jurisdiction would be permitted in the courts of the forum state. See Fed.R.Civ.P. 4(k)(l). Jurisdiction is proper in the forum state if “the defendant [is] amenable to suit under the forum state’s long-arm statute and the due process requirements of the Constitution [are] met.” Reynolds v. Int’l Amateur Athletic Fed’n, 28 F.3d 1110, 1115 (6th Cir.1994).

1. Michigan Long-arm Statute

The Michigan long-arm statute authorizes the exercise of personal jurisdiction of lawsuits arising out of “[t]he doing or causing any act to be done, or consequences to occur, in the state resulting in an action for tort.” Mich. Comp. Laws § 600.715. The Michigan Supreme Court has held that “[a] plain language reading of these words reveals that either the tor-tious conduct or the injury must occur in Michigan.” Green v. Wilson, 455 Mich. 342, 565 N.W.2d 813 (1997). It is undisputed that the tortious conduct at issue in this case, i.e., registering domain names that incorporate famous trademarks, did not take place in the State of Michigan. Nevertheless, misappropriating a trademark for use as a domain name causes an injury to occur where the trademark owner resides. Ford maintains its headquarters in the State of Michigan and thus is injured in Michigan when its trademarks are misappropriated by others for use as domain names. See Neogen Corp. v. Neo Gen Screening, Inc., 109 F.Supp.2d 724, 727-28 (W.D.Mich.2000) (concluding that the language of the Michigan long-arm statute “likely is broad enough” to encompass a defendant’s out of state activities that cause an adverse economic effect in Michigan). Thus the Michigan long-arm statute does not preclude the exercise of personal jurisdiction in this ease.

2.

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Bluebook (online)
141 F. Supp. 2d 763, 2001 U.S. Dist. LEXIS 12721, 2001 WL 348986, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ford-motor-co-v-great-domains-inc-mied-2001.