Howard v. Cunard Line Ltd.

575 N.E.2d 489, 62 Ohio App. 3d 285, 1988 Ohio App. LEXIS 4997
CourtOhio Court of Appeals
DecidedDecember 27, 1988
DocketNo. 54786.
StatusPublished
Cited by1 cases

This text of 575 N.E.2d 489 (Howard v. Cunard Line Ltd.) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Howard v. Cunard Line Ltd., 575 N.E.2d 489, 62 Ohio App. 3d 285, 1988 Ohio App. LEXIS 4997 (Ohio Ct. App. 1988).

Opinion

Dyke, Judge.

On October 20, 1984, the plaintiffs contacted a Cuyahoga County travel agency to reserve a cabin aboard defendant Cunard Line Limited’s cruise ship for a Caribbean cruise. Melvyn G. Howard, by way of affidavit, stated that he learned about Cunard Line Limited, and specifically the cruise he booked, through advertisements in local Cleveland newspapers as well as brochures provided him by the local travel agent.

Plaintiffs’ travel agent booked the reservation. Frank V. Kelly, Administrator of Legal Affairs for Cunard Line Limited, stated in his affidavit that the contractual offer for a cruise was accepted and consummated in the state of New York.

On December 18, 1985, plaintiff Howard filed his complaint against Cunard Line Limited in the Cuyahoga County Common Pleas Court seeking compensatory and punitive damages because the air conditioning unit in his cabin did not work properly. Plaintiff alleged that Cunard “falsely, fraudulently and maliciously” assured him that the unit would be repaired, and as a direct and proximate result of Cunard’s “false, fraudulent and inconsiderate conduct,” he and his wife were “caused to endure two (2) rather unhappy and intolerable weeks * * *.” Cunard did not answer or file an appearance.

On April 19, 1986, plaintiffs obtained a $15,000 default judgment. On April 9, 1987, Cunard moved the trial court to vacate the default judgment claiming it was void because the trial court lacked in personam jurisdiction over Cunard when it entered the default judgment. Cunard Line Limited stated that it was a corporation duly organized and existing under the laws of the United Kingdom with its principal place of business in London, England. Cunard claimed it had never been incorporated in Ohio, never transacted any business in Ohio, nor was it registered to do any business here. Cunard argued that the default judgment against it should be vacated because it did not have certain minimum contacts with Ohio so as to provide the trial court with in personam jurisdiction. The motion to vacate was supported by Frank V. Kelly’s affidavit. Kelly is Cunard’s Administrator of Legal Affairs. Plaintiff Howard opposed the motion to vacate and attached as evidence his own affidavit.

*287 The trial court overruled Cunard’s motion to vacate and it is from that ruling which Cunard appeals and assigns one error for review.

I

“The trial court erred by refusing to vacate a void default judgment entered without personal jurisdiction over the defendant.”

“A motion to vacate judgment on jurisdictional grounds is a direct attack upon a judgment authorized by common law, and constitutes an allegation that the judgment is void.” Associated Estates Corp. v. Fellows (1983), 11 Ohio App.3d 112, 11 OBR 166, 463 N.E.2d 417. A direct attack on a judgment alleging no personal jurisdiction need not satisfy the requirements of Civ.R. 60(B).

The issue before us is whether the Cuyahoga County Common Pleas Court, consistent with the due process requirements of the Fourteenth Amendment, could obtain in personam jurisdiction over the non-resident defendant.

The constitutional standard for obtaining non-resident jurisdiction was set forth in International Shoe Co. v. Washington (1945), 326 U.S. 310, 66 S.Ct. 154, 90 L.Ed. 95. In that case, the court stated that a defendant must “have certain minimum contacts with * * * [the forum state] such that the maintenance of the suit does not offend ‘traditional notions of fair play and substantial justice.’ ” “An essential ingredient in these cases is whether the ‘quality and nature’ of the defendant’s.activity is such that it is ‘reasonable’ and ‘fair’ to require him to conduct his defense in that State. International Shoe Co., supra, at 316-317, 66 S.Ct. at 158-159, 90 L.Ed. at 101-103. In Hanson v. Denckla (1958), 357 U.S. 235, 253, 78 S.Ct. 1228, 1240, 2 L.Ed.2d 1283, 1297, the court stated that, ‘it is essential in each case that there be some act by which the defendant purposefully avails himself of the privilege of conducting activities within the forum state.’ ” Kleinfeld v. Link (1983), 9 Ohio App.3d 29, 9 OBR 30, 457 N.E.2d 1187.

In Gelfand v. Costa Cruises (Jan. 15, 1987), Cuyahoga App. No. 53411, unreported, 1987 WL 5467, the plaintiff sued the defendant cruise line in Ohio. The plaintiff sought to establish personal jurisdiction through the cruise line’s solicitation of passengers in Ohio and contacts with Ohio travel agents which booked the cruises. The unrebutted affidavit of the vice president of the cruise line averred that the travel agency which booked the cruise was not an exclusive agent of the cruise line nor did it possess the authority to bind the cruise line. He further stated that the reservation was received and the booking passage issued in Florida.

*288 The court in Gelfand held:

“It is clear all the acts but for the mere solicitation of appellants as passengers took place outside the territorial jurisdiction of Ohio. Consequently, in light of International Shoe, supra, the maintenance of this personal injury suit cannot be in Ohio since to do otherwise would offend 'traditional notions of fair play and substantial justice.’ International Shoe, supra [326 U.S.] at 316 [66 S.Ct. at 158, 90 L.Ed. at 102].”

The present case contains similar facts. In this instance plaintiff Howard like the plaintiff in Gelfand sought to establish in personam jurisdiction through Cunard’s solicitation of passengers in local Cleveland newspapers and contacts with an Ohio travel agency which booked his cruise.

Cunard’s sworn allegations established that:

“3. Cunard does not own or lease any property in Ohio and does not maintain any office, bank accounts or telephone number in Ohio. Further, Cunard does not maintain, own or control any assets, tangible or intangible, in Ohio.
“6. Cunard does not contract with local travel agents for exclusive rights to make reservations for passengers aboard its vessel. Travel agents who arrange cruise reservations on the Cunard Princess are not given exclusive rights to make reservations for customers aboard the ship or on behalf of Cunard. Many different travel agencies may book reservations for passengers on the Cunard Princess. Travel agents are agents of the customer/passenger.
“7. Travel agents and agencies are not agents of Cunard. They are agents of the customer/passenger. Travel agencies do not possess authority to contractually bind Cunard. The function of a travel agent is to contact the New York office of Cunard to obtain a booking passage for the passenger. Reservations are received and the booking passage is issued in the State of New York.”

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Bluebook (online)
575 N.E.2d 489, 62 Ohio App. 3d 285, 1988 Ohio App. LEXIS 4997, Counsel Stack Legal Research, https://law.counselstack.com/opinion/howard-v-cunard-line-ltd-ohioctapp-1988.