MRI/Sales Consultants of Asheville, Inc. v. Edwards Publications, Inc.

577 S.E.2d 393, 156 N.C. App. 590, 2003 N.C. App. LEXIS 239
CourtCourt of Appeals of North Carolina
DecidedMarch 18, 2003
DocketCOA02-542
StatusPublished

This text of 577 S.E.2d 393 (MRI/Sales Consultants of Asheville, Inc. v. Edwards Publications, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals of North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
MRI/Sales Consultants of Asheville, Inc. v. Edwards Publications, Inc., 577 S.E.2d 393, 156 N.C. App. 590, 2003 N.C. App. LEXIS 239 (N.C. Ct. App. 2003).

Opinion

TIMMONS-GOODSON, Judge.

Edwards Publications, Inc. (“defendant”) appeals from an order of the trial court granting North Carolina courts in personam jurisdiction. For the reasons stated herein, we affirm the order of the trial court.

MRI/Sales Consultants of Ashville, Inc. (“plaintiff’) is a North Carolina corporation with its principal place of business in Buncombe County, North Carolina. Defendant is a corporation incorporated under the laws of the State of Iowa, and registered to do business in the States of Wyoming, Michigan and South Carolina. Defendant’s principal place of business is Seneca, South Carolina.

Plaintiff is a recruiting firm, specializing in locating candidates to fill positions in the publishing and printing industries. On 25 January 2001, Michael Gibson (“Gibson”), an account executive employed with plaintiff, made an unsolicited telephone call from North Carolina to defendant in South Carolina. Gibson contacted Steven Edwards (“Steven”), vice-president of defendant’s corporation. Gibson offered to assist defendant in locating personnel to fill positions at defendant’s corporation, specifically the newspaper division. As a result of the telephone conversation, Jerry Edwards (“Edwards”) gave plaintiff a job search assignment for six positions, none of which were located in North Carolina. Following the telephone conversation in which plaintiff was given the job search assignments, a letter was mailed to defendant confirming the agreement between the parties, establishing service fees and creating deadlines.

On 15 February 2001, Edwards contacted plaintiff seeking assistance in finding a web pressman to work in defendant’s Michigan plant. Following the conversation, defendant was again mailed a confirmation letter which contained the following provision:

*592 Because we will be performing our services in the State of North Carolina, its laws would be applicable to our relationship, and its court would have jurisdiction over both of us.
If these terms do not reflect your understanding of our agreement, please call us immediately. Unless we provide you with a modifying letter, we will rely on your acceptance of referrals from us as establishing that you have accepted these terms.

The job assignment to find a web pressman for the Michigan plant is the underlying action of the matter before this Court.

On 7 March and 12 March 2001, plaintiff made arrangements for a telephone interview between a candidate from New Hampshire and the management of defendant’s Michigan plant. As a result of the telephone interview, plaintiff made arrangements, at defendant’s expense, for the candidate to travel from New Hampshire to visit the Michigán facility. On 19 March 2001, plaintiff was notified by defendant that an offer had been made to the candidate. Following the notification, plaintiff mailed an invoice to defendant’s headquarters in South Carolina. The candidate accepted the offer and was employed by defendant as a web pressman. In May 2001, plaintiff called defendant concerning the unpaid invoice for locating a web pressman to work at defendant’s Michigan facility. On 15 June 2001, defendant advised plaintiff that the web pressman had been terminated and that defendant did not intend to pay the invoice.

On 18 June 2001, plaintiff brought suit against defendant in the District Court of Buncombe County, North Carolina, seeking damages. In response to plaintiff’s complaint, defendant filed a motion to dismiss under North Carolina General Statutes § 1A-1, Rule 12(b)(2) for lack of personal jurisdiction. Defendant pursued the motion on the following grounds: (1) defendant is a corporation organized and existing under the laws of the State of Iowa; (2) defendant is not doing business in North Carolina; and (3) defendant has never done business in the State of North Carolina so as to invoke the jurisdiction of the North Carolina courts. The trial court denied defendant’s *593 motion and found that personal “jurisdiction does in fact exist” over defendant. From this order, defendant appeals.

The dispositive issue before this Court is whether the trial court erred in denying defendant’s motion to dismiss for lack of personal jurisdiction. For the reasons stated hereafter, we affirm the order of the trial court.

“The standard of review of an order determining personal jurisdiction is whether the findings of fact by the trial court are supported by competent evidence in the record; if so, this Court must affirm the order of the trial court.” Replacements, Ltd. v. Midwesterling, 133 N.C. App. 139, 140-41, 515 S.E.2d 46, 48 (1999). We note that the trial court’s order is devoid of any findings of fact. Where no findings are made, proper findings are presumed, and the role of the appellate court is to review the record for competent evidence to support these presumed findings. Bruggeman v. Meditrust Acquisition Co., 138 N.C. App. 612, 615, 532 S.E.2d 215, 217-18, disc. review denied, 353 N.C. 261, 546 S.E.2d 90 (2000).

The question of whether the trial court has personal jurisdiction over a nonresident defendant involves a twofold determination. Fraser v. Littlejohn, 96 N.C. App. 377, 381, 386 S.E.2d 230, 233 (1989). First, the trial court must determine whether the North Carolina long-arm statute allows jurisdiction over the defendant. Id. If so, the trial court must then determine whether the exercise of this power comports with the due process requirements of the Fourteenth Amendment. Id. The burden is on the plaintiff to establish that one of the statutory grounds for jurisdiction is applicable. Stallings v. Hahn, 99 N.C. App. 213, 215, 392 S.E.2d 632, 633 (1990). The long-arm statute “is liberally construed to find personal jurisdiction over nonresident defendants to the full extent allowed by due process.” DeArmon v. B. Mears Corp., 67 N.C. App. 640, 643, 314 S.E.2d 124, 126 (1984), reversed on other grounds, 312 N.C. 749, 325 S.E.2d 223 (1985).

We first address the issue of statutory authority. Defendant contends that since the underlying matter concerns a job located in Michigan and a candidate from New Hampshire, the North Carolina courts do not have personal jurisdiction. Defendant, however, misapprehends the statutory requirement for a court to invoke personal jurisdiction over a defendant. North Carolina’s long-arm statute provides for in personam jurisdiction in the following actions:

*594 (5) Local Services, Goods or Contracts. — In any action which:
a. Arises out of a promise, made anywhere to the plaintiff or to some third party for the plaintiffs benefit, by the defendant ...

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Bluebook (online)
577 S.E.2d 393, 156 N.C. App. 590, 2003 N.C. App. LEXIS 239, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mrisales-consultants-of-asheville-inc-v-edwards-publications-inc-ncctapp-2003.