Peterson v. Test International, E.C.

904 F. Supp. 574, 1995 U.S. Dist. LEXIS 17100, 1995 WL 569412
CourtDistrict Court, S.D. Mississippi
DecidedAugust 28, 1995
DocketCiv. A. 1:94cv558GR
StatusPublished
Cited by8 cases

This text of 904 F. Supp. 574 (Peterson v. Test International, E.C.) is published on Counsel Stack Legal Research, covering District Court, S.D. Mississippi primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Peterson v. Test International, E.C., 904 F. Supp. 574, 1995 U.S. Dist. LEXIS 17100, 1995 WL 569412 (S.D. Miss. 1995).

Opinion

AMENDED MEMORANDUM OPINION

GEX, District Judge.

This cause is before the Court on the separate motions to dismiss filed by defendant Test International, E.C. [Test] [8-1], and Bechtel International, Inc. [Bechtel] [18-1]. Having considered the record in this action, the briefs of counsel, and being fully advised in the premises, the Court concludes, for reasons set forth below, that the defendants’ motions should be granted.

Statement of Facts

On October 27, 1993, plaintiff Kenneth Peterson, a resident of Mississippi, and defendant Test, a corporation formed under the laws of Bahrain, signed an employment agreement in Gretna, Louisiana. Test, a provider of engineering and technical services to the oil and gas industry, was a subcontractor of defendant Bechtel, a Nevada corporation. Peterson worked for Test at a project site located in Algeria. The contract between Peterson and Test contained a forum limitation clause, which provided the following:

The Employer and Employee shall be bound by the rules, regulations and laws of Bahrain. The only courts of jurisdiction in any matter, or dispute, and/or controversy arising out of this agreement and/or employment shall be the court of Bahrain.

See Test International’s Mot. to Dismiss, 1-3; Aff. of Phillip S. Rundle, Exh. A (attached), at 3. The contract further provided that, under certain specified circumstances, Test could terminate the contract of employment for cause without notice. Id., Aff. of Phillip S. Rundle, Exh. A (attached).

On June 30, 1994, Test terminated Peterson’s employment while he was on the job site in Algeria. On November 9,1994, Peterson filed the instant lawsuit against Test and Bechtel in state court, alleging damages pursuant to theories of breach of contract, negligence, and Bechtel’s alleged intentional interference of contract with regard to the employment agreement between Test and Peterson. The defendants removed the action to this Court, invoking diversity subject matter jurisdiction pursuant to 28 U.S.C. § 1332.

Legal Analysis

I. In Personam Jurisdiction

Both Test and Bechtel contend in their motions to dismiss that this Court lacks in personam jurisdiction under Mississippi’s *576 long-arm statute, Mississippi Code Annotated § 13-3-57. See Test’s Mem. in Supp. of Mot. to Dismiss at 6-16; Bechtel’s Mem. in Supp. of Mot. to Dismiss at 4-13.

The Fifth Circuit recently provided the following standard for reviewing the defendants’ motions:

When a nonresident defendant presents a motion to dismiss for lack of personal jurisdiction, the plaintiff bears the burden of establishing the district court’s jurisdiction over the nonresident. When the district court rules on the motion without an evidentiary hearing, the plaintiff may bear his burden by presenting a prima facie case that personal jurisdiction is proper. Moreover, on a motion to dismiss for lack of jurisdiction, uncontroverted allegations in the plaintiffs complaint must be taken as true, and conflicts between the facts contained in the parties’ affidavits must be resolved in the plaintiffs favor for purposes of determining whether a prima facie case for personal jurisdiction exists.

Wilson v. Belin, 20 F.3d 644, 648 (5th Cir.), cert. denied, — U.S. -, 115 S.Ct. 322, 130 L.Ed.2d 282 (1994). In federal diversity actions, the Court decides whether in person-am jurisdiction is lacking by determining (1) whether the nonresident defendant can be sued in the forum state under its applicable long-arm statute, and (2) if the exercise of jurisdiction pursuant to state law satisfies due process under the Fourteenth Amendment. See Murray v. Remington Arms Co., 795 F.Supp. 805, 807 (S.D.Miss.1991); Cycles, Ltd. v. W.J. Digby, Inc., 889 F.2d 612, 616 (5th Cir.1989); Smith v. DeWalt Prods. Corp., 743 F.2d 277, 278 (5th Cir.1984). If there is no basis in state law for exercising jurisdiction over a defendant, it follows that the Court need not consider the question of due process. See, e.g., Smith, 743 F.2d at 278 (due process issue not considered because personal jurisdiction lacking under Mississippi law).

Mississippi’s long-arm statute reads as follows:

Any nonresident person, firm, general or limited partnership, or any foreign or other corporation not qualified under the Constitution and laws of this state as to doing business herein, who shall make a contract with a resident of this state to be performed in whole or in part by any party in this state, or who shall commit a tort in whole or in part in this state against a resident or nonresident of this state, or who shall do any business or perform any character of work or service in this state, shall by such act or acts be deemed to be doing business in Mississippi and shall thereby be subjected to the jurisdiction of the courts of this state.

Miss.Code Ann. § 13-3-57 (Supp.1995) (emphasis added). 1 To establish a prima facie case of personal jurisdiction over the defendants, Peterson therefore has the burden of showing that he qualifies under the “contract,” “tort,” or “doing business” provision of Mississippi’s long-arm statute. E.g., Murray, 795 F.Supp. at 807; DeMelo v. Toche Marine, Inc., 711 F.2d 1260, 1270 (5th Cir.1983).

A. Contract

Peterson contends that the contract at issue was performed in part in Mississippi. Pi’s. Mem. in Opp. to Test’s Mot. to Dismiss at 5-6. Peterson sets forth the following in support of his argument:

It is undisputed that TEST and Peterson entered into a contract. Thus the contract prong also applies to the present facts. TEST entered into a contract with Peterson, a resident of Mississippi, which was performed, in pert [sic] in this State____ TEST provided round trip transportation from New Orleans, Louisiana and or Houston, Texas to the project site in Algeria, Africa. Additionally, TEST provided for transportation from other locations however such costs were borne by Peterson. Once Peterson left his resi *577 denee in Mississippi to travel to the project site in Algeria, he was “within the scope of employment” and was performing his obligation under the Employment Agreement and Memorandum of Assignment.

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

Related

Cite This Page — Counsel Stack

Bluebook (online)
904 F. Supp. 574, 1995 U.S. Dist. LEXIS 17100, 1995 WL 569412, Counsel Stack Legal Research, https://law.counselstack.com/opinion/peterson-v-test-international-ec-mssd-1995.