Home Products International-North America, Inc. v. Peoplesoft USA, Inc.

201 F.R.D. 42, 2001 U.S. Dist. LEXIS 9658, 2001 WL 740566
CourtDistrict Court, D. Massachusetts
DecidedJune 15, 2001
DocketNo. CIV. A. 01-10333-REK
StatusPublished
Cited by4 cases

This text of 201 F.R.D. 42 (Home Products International-North America, Inc. v. Peoplesoft USA, Inc.) is published on Counsel Stack Legal Research, covering District Court, D. Massachusetts primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Home Products International-North America, Inc. v. Peoplesoft USA, Inc., 201 F.R.D. 42, 2001 U.S. Dist. LEXIS 9658, 2001 WL 740566 (D. Mass. 2001).

Opinion

Opinion

KEETON, District Judge.

I. Matter Pending for Decision

Relevant to the matter pending for decision are the following filings:

[43]*43(1) Defendant’s Motion to Transfer Venue (Docket No. 4, filed March 16, 2001) with Memorandum in Support (Docket No. 5, filed March 16, 2001);
(2) Plaintiffs Memorandum in Opposition (Docket No. 8, filed April 16, 2001) and Affidavit (Docket No. 9, filed April 16, 2001);
(3) Defendant’s Motion for Leave to File Reply (Docket No. 10, filed April 26, 2001) with Memorandum in Support (Docket No. 11, filed May 4, 2001); and
(4) Plaintiffs Motion for Leave to File Sur-reply (Docket No. 12, filed May 17, 2001), with Sur-reply Brief in Support (Docket No. 13, filed May 17, 2001).

II. Background

Plaintiff Home Products International— North America, Inc. (“HPI”) is a Delaware corporation with a principal place of business in Illinois and a place of business in Leominster, Massachusetts. HPI is the successor in interest to Tamor Corporation (“Tamor”), a household plastic containers manufacturer located in Leominster, Massachusetts. Defendant PeopleSoft, USA, Inc. (“PeopleSoft”) is a California corporation with a principal place of business in Pleasanton, California and a place of business in Waltham, Massachusetts. On March 23, 1998, PeopleSoft entered into a Software License and Services Agreement (“SLSA”) with Tamor. This agreement is attached as part of Exhibit A, attached to Notice of Removal, Docket No. 1, filed February 23, 2001. The SLSA included a forum-selection clause stating that “[t]his Agreement is made in and shall be governed by the laws of the State of California, without regard to its choice of law principles. Venue shall be in San Francisco, California.” SLSA, Docket No. 1, Ex. A at § 15, 111 (emphasis added).

The SLSA provided that PeopleSoft “would license software for [Tamor’s] use, that [Tamor] would pay [PeopleSoft] license fees, and that [Tamor] would pay [People-Soft] an hourly rate for implementation work performed by [PeopleSoft].” Letter by John Foskett, with attached United States District Court for the Northern District of California’s Order Denying Defendant’s Motion for Transfer of Venue; Vacating Hearing, Docket No. 14, filed June 1, 2001, at 2. The type of software licensed to Tamor was used to assist companies in the management of their human resources, financial, manufacturing, and distribution functions. See Defendant’s Memorandum in Support of Motion to Transfer Venue, Docket No. 5 at 1. At some point after March 23, 1998, a dispute arose between the parties about the implementation of the licensed software.

The dispute culminated in PeopleSoft’s bringing a civil action against Tamor on January 17, 2001 in the United States District Court for the Northern District of California for damages resulting from Tamor’s alleged failure to pay fees required by the SLSA and for alleged copyright infringement of People-Soft’s software by Tamor.

Nine days later, on January 26, 2001, HPI brought a civil action against PeopleSoft in the Commonwealth of Massachusetts Superi- or Court, County of Middlesex, for fraud in the inducement of the SLSA and for violations of Massachusetts General Laws, Chapter 93A, § 11. PeopleSoft then removed the action filed by HPI in Massachusetts Superi- or Court to the United States District Court for the District of Massachusetts.

The action filed by PeopleSoft against Tamor in the San Jose division of the United States District Court for the Northern District of California was transferred to the San Francisco division of the Northern District of California on April 23, 2001, upon People-Soft’s motion, where it was reassigned to District Judge Maxine M. Chesney and given Case No. C-01-01662-MMC. See Defendant’s Reply Memorandum in Support of Its Motion to Transfer, Docket No. 11, Exs. A and B. On May 30, 2001, Judge Chesney issued an order denying HPI’s motion for transfer of venue from the Northern District of California to the United States District Court for the District of Massachusetts. See Docket No. 14.

Pending before this court is Defendant PeopleSoft’s Motion to Transfer Venue of this action from the United States District Court for the District of Massachusetts to [44]*44the United States District Court for the Northern District of California.

III. Requests for Leave

Defendant’s Motion for Leave to File Reply (Docket No. 10) and Plaintiffs Motion for Leave to File Sur-reply (Docket No. 12) are not opposed by either party and are ALLOWED in the Order below.

IV. Defendant’s Motion to Transfer Venue

A. Introduction

Defendant PeopleSoft contends that the present action pending in this court should be transferred to the United States District Court for the Northern District of California, San Francisco division, for the convenience of parties and witnesses and in the interest of justice, under Federal Rule of Civil Procedure 12(b)(3) and 28 U.S.C. § 1404(a).

The transfer of a civil action from one federal district to another is governed by 28 U.S.C. § 1404(a), which provides:

For the convenience of parties and witnesses, in the interest of justice, a district court may transfer any civil action to any other district or division where it might have been brought.

The decision to transfer a case to a more convenient forum under § 1404(a) is a matter within the discretion of the district court. See Codex Corp. v. Milgo Electronic Corp., 553 F.2d 735, 737 (1st Cir.1977). The district court should resolve a motion to transfer in a diversity case “in accordance with federal law.” New Medico Associates, Inc. v. Kleinhenz, 750 F.Supp. 1145, 1145 (D.Mass.1990) (citing Stewart Organization, Inc. v. Ricoh Corp., 487 U.S. 22, 108 S.Ct. 2239, 101 L.Ed.2d 22 (1988)).

Among the special circumstances that are argued as bearing on such a transfer is the fact that the original filing by PeopleSoft in the Northern District of California was in San Jose, rather than San Francisco.

B. Defendant’s Contentions

Defendant PeopleSoft argues that this removed case should be transferred to the Northern District of California, where PeopleSoft filed its lawsuit against HPI’s predecessor in interest on a dispute arising out of the same transaction that is the subject of the dispute now before me. PeopleSoft offers the following grounds for transfer:

[T]he contract between the parties ... contains a specific forum selection clause which requires that venue of any disputes between them be in San Francisco, California ...

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Bluebook (online)
201 F.R.D. 42, 2001 U.S. Dist. LEXIS 9658, 2001 WL 740566, Counsel Stack Legal Research, https://law.counselstack.com/opinion/home-products-international-north-america-inc-v-peoplesoft-usa-inc-mad-2001.