Rhoades v. Wright

622 P.2d 343, 1980 Utah LEXIS 1068
CourtUtah Supreme Court
DecidedNovember 26, 1980
Docket16246
StatusPublished
Cited by11 cases

This text of 622 P.2d 343 (Rhoades v. Wright) is published on Counsel Stack Legal Research, covering Utah Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rhoades v. Wright, 622 P.2d 343, 1980 Utah LEXIS 1068 (Utah 1980).

Opinions

WILKINS, Justice:

This is an appeal from an order of the District Court of San Juan County dismissing plaintiff’s complaint seeking damages for the wrongful death of plaintiff’s husband.

The underlying facts surrounding the wrongful death action can be found in ex-tenso in the opinion of this Court in Rhoades v. Wright, Utah, 552 P.2d 131 (1976) (hereafter Rhoades I). However, the following brief recitation of the facts is repeated here to provide the framework upon which decision of this case rests.

Plaintiff and her husband, Claude Rhoades, lived approximately three-quarters of a mile on the Utah side of the Utah-Colorado border. Mr. Rhoades farmed land that he owned in Utah and land that he leased in Colorado. Defendant James C. Wright lived about two miles on the Colorado side of the border with his parents, Defendants Clifford and Essie Wright. Wright farmed land owned by him and his parents both in Colorado and Utah.

Because of the location of the lands each owned and farmed, both Rhoades and Wright moved back and forth across the border frequently. On April 19, 1970, all of the parties herein were inspecting portions of their respective farms. On a country road in Colorado and within a few miles of the border, James Wright shot and killed Claude Rhoades.

On September 19, 1971, plaintiff commenced a wrongful death action in the United States District Court for Utah alleging diversity jurisdiction and personal jurisdiction over defendants under the Utah Long-Arm Statute, Section 78-27-24, et seq.1 That suit was subsequently dismissed without prejudice on September 19, 1973, after appeal to the Tenth Circuit Court of Appeals on the ground that the United States District Court could not exercise personal jurisdiction over the defendants based on the Long-Arm Statute.2

Thereafter on July 29, 1974, plaintiff commenced simultaneous wrongful death actions in the Colorado District Court for Dolores County and the Utah District Court for San Juan County.

Defendants were subsequently granted summary judgment by the Colorado court dismissing plaintiff’s complaint based on the running of the Colorado statute of limitations applicable to wrongful death actions. The dismissal occurred prior to this Court’s decision in Rhoades I.

In Rhoades I we reversed an order of the District Court vacating a writ of attachment on defendants’ Utah property, holding that the attachment was a proper method of conferring jurisdiction.

After remand of Rhoades I, defendants filed in the Utah District Court a motion for an order quashing service of process or, alternatively, dismissing the plaintiff’s complaint. As bases for this motion defendants alleged that (1) plaintiff lacked standing, (2) the District Court lacked jurisdiction, and (3) plaintiff’s claim was barred by the Colorado statute of limitations. In grant[345]*345ing the motion to dismiss, the District Court in its memorandum decision (1) ruled that plaintiff did have standing, (2) deferred ruling on the jurisdictional issue, and (3) ruled that plaintiff’s claim was governed by the Colorado statute of limitations for wrongful death actions and “under the substantive law of Colorado no cause of action exists.”

On appeal defendants have not questioned the ruling of the District Court as to plaintiff’s standing, and we therefore do not address that issue. Defendants do urge as an alternative basis for affirming the order of dismissal that federal due process requirements preclude the exercise of jurisdiction by the Utah Court. Plaintiff urges this Court to adopt new choice-of-law principles with respect to multi-state wrongful death actions which would result in the application of Utah law, rather than Colorado law, to this case.

I.

In Rhoades I, this Court ruled that the Utah court could properly exercise jurisdiction in this case based on the attachment of property owned by defendants and situated in Utah. Defendants now urge that the intervening case of Shaffer v. Heitner, 433 U.S. 186, 97 S.Ct. 2569, 53 L.Ed.2d 683 (1977) dictates that the exercise of quasi in rem jurisdiction of the type involved in this case3 is no longer constitutionally permissible under the Due Process Clause of the Fourteenth Amendment. We hold that the exercise of quasi in rem jurisdiction in this case comports with the requirements of due process for the reasons noted infra.

The Court in Shaffer held that “all assertions of state court jurisdiction must be evaluated according to the standards set forth in International Shoe [Co. v. Washington, 326 U.S. 310, [66 S.Ct. 154, 90 L.Ed. 95] (1945)] and its progeny.”4 In International Shoe, the Court held that a state may exercise jurisdiction over a non-resident defendant only if the defendant has “certain minimum contacts with [the state] such that the maintenance of the suit does not offend ‘traditional notions of fair play and substantial justice.’ Milliken v. Meyer, 311 U.S. 457, 463 [61 S.Ct. 339, 343, 85 L.Ed. 278].”5

Shaffer involved the exercise of jurisdiction by the Delaware courts based on the sequestration of stock in a Delaware corporation, which stock was deemed, pursuant to Delaware statute, to be present in Delaware. The sequestration procedure was used in Shaffer to require certain officers and directors of the subject Delaware corporation, who were also stockholders, to submit themselves to personal jurisdiction in Delaware for the purpose of defending a stockholder’s derivative suit. The Supreme Court held that this procedure violated the process due defendants where those defendants had no minimum contacts with Delaware other than the ownership of stock in a Delaware corporation. And as was pointed out, ante, in so holding the United States Supreme Court imposed the same due process requirements on the exercise of in rem and quasi in rem jurisdiction that had previously been set forth in International Shoe as requirements for the exercise of in per-sonam jurisdiction.

One may sense force in the argument that the application of the Internationa] [346]*346Shoe standard to all exercises of state court jurisdiction effectively eliminates quasi in rem jurisdiction of the type involved in this case.6 However, we conclude that if the Supreme Court had intended to declare such jurisdiction constitutionally impermissible, it would have done so directly. Additionally, there are indications in Shaffer itself that the Court was of the view that quasi in rem jurisdiction has continued viability in certain situations.7 In our view, this case presents just such a situation. When we analyze the due process requirements laid down in International Shoe and Shaffer, together with the unique aspects of quasi in rem jurisdiction of the type involved here and the facts present here, we conclude that “traditional notions of fair play and substantial justice” are not offended by holding that the Utah courts may properly exercise jurisdiction.

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Rhoades v. Wright
622 P.2d 343 (Utah Supreme Court, 1980)

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Bluebook (online)
622 P.2d 343, 1980 Utah LEXIS 1068, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rhoades-v-wright-utah-1980.