Ruddies v. Auburn Spark Plug Co.

261 F. Supp. 648, 152 U.S.P.Q. (BNA) 694, 10 Fed. R. Serv. 2d 1473, 1966 U.S. Dist. LEXIS 10284
CourtDistrict Court, S.D. New York
DecidedNovember 9, 1966
Docket60 Civ. 4376
StatusPublished
Cited by28 cases

This text of 261 F. Supp. 648 (Ruddies v. Auburn Spark Plug Co.) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ruddies v. Auburn Spark Plug Co., 261 F. Supp. 648, 152 U.S.P.Q. (BNA) 694, 10 Fed. R. Serv. 2d 1473, 1966 U.S. Dist. LEXIS 10284 (S.D.N.Y. 1966).

Opinion

OPINION

TENNEY, District Judge.

On November 9, 1960, plaintiff commenced an action for patent infringement against defendants Auburn Spark Plug Co., Inc. (hereinafter referred to as “Auburn”) and Drake America Corporation (hereinafter referred to as “Drake”) by causing a deputy United States marshal to deliver two copies of the summons and complaint to 640 Fifth Avenue, New York, New York. The marshal’s return of service indicated that said papers were delivered to “R. C. Brucken-thal, Manager”. The complaint specifically named both Auburn and Drake as defendants and alleged upon information and belief that both defendants are New York corporations and “are located at and doing business at 640 Fifth Avenue, city, county and State of New York, in the Southern District of New York.”

Since neither defendant answered the complaint or made any motion in the action, a judge of this court on October 4, 1962 ordered that a default judgment be entered against Auburn and Drake and that an inquest be taken to determine the amount of damages due plaintiff.

Since the entry of the default judgment against Auburn and Drake, various motions have been presented to the Court by attorneys for plaintiff and for both defendants. The motions addressed to this Court for determination are as follows:

A. A motion by Auburn to have the entry of default and the default judgment entered against it vacated (filed January 20, 1965). 1

*651 B. A motion by plaintiff for summary judgment (filed February 18, 1965). This motion was subsequently withdrawn.

C. A motion by Auburn to stay all proceedings by plaintiff pending a determination of Auburn’s motion to vacate the default judgment entered against it (filed March 31, 1965).

D. A motion by plaintiff to compel the defendants to comply with Rules 26-37 of the Federal Rules of Civil Procedure relating to discovery (filed November 3, 1965).

E. A motion by Drake to have the default judgment entered against it vacated (filed March 8, 1966).

F. A motion by Drake objecting to plaintiff’s request for admissions (filed March 24, 1966).

G. A motion by Auburn objecting to plaintiff’s request for admissions (filed March 28, 1966).

The Court now turns to a consideration of the various motions.

At the outset, it is crucial to determine the statutory scheme in which a Federal district court operates in an action for patent infringement. Such an examination is necessary because of the opinion of Judge Campbell in B. Heller & Co. v. First Spice Mfg. Corp., 172 F.Supp. 46 (N.D.Ill.1959). That ca'e involved a suit for patent infringement brought against two foreign corporations in the Northern District of Illinois. When the defendants appeared specially and moved to quash the return of service and dismiss the action for improper venue, the Court, after a consideration of 28 U.S.C. § 1400(b) (1964) 2 and 28 U.S.C. § 1694 (1964), 3 concluded that both statutes were jurisdictional. Hence, Judge Campbell concluded that “a case brought erroneously under See. 1400(b) cannot be transferred but must be dismissed for lack of jurisdiction.” 172 F.Supp. at 51.

Although one court, in the Northern District of Illinois, has followed Judge Campbell’s holding that § 1400(b) is a jurisdictional as well as a venue statute, Kearney & Trecker Corp. v. Cincinnati Milling Mach. Co., 254 F.Supp. 130 (N.D.Ill.1966), there is authority which states that the decision is incorrect. See Annot., 5 L.Ed.2d 1056, 1061 (1961). After careful consideration of the history and purposes behind 28 U.S.C. § 1400(b), I have concluded that said statute relates solely to venue.

I have reached this conclusion for the following reasons:

28 U.S.C. § 1338(a) provides, in pertinent part, that “The district courts shall have original jurisdiction of any civil action arising under any Act of Congress relating to patents * * *.” This statute is a clear pronouncement that every district court has jurisdiction over the subject matter of patent infringement. Motoshaver, Inc. v. Schick Dry Shaver, Inc., 100 F.2d 236 (9th Cir. 1938).

But before a district court can proceed to adjudicate a patent infringement suit, more than jurisdiction over the subject matter is required — jurisdiction over the person of the defendant is also necessary. Gibbs v. Emerson Elec. Mfg. Co., 29 F.Supp. 810 (W.D.Mo.1939). Valid service of process or a voluntary appearance is the means by which a court acquires jurisdiction over the person of a defendant. See Kadet-Kruger & Co. v. *652 Celanese Corp. of America, 216 F.Supp. 249 (N.D.Ill.1963); North Allegheny Joint School Sys. v. Secretary of Health, Educ. and Welfare, 196 F.Supp. 144 (W.D.Pa.1961). If jurisdiction over the person of the defendant is never acquired by the Court, any judgment subsequently rendered by the Court is void and of no effect. French Renovating Co. v. Ray Renovating Co., 170 F.2d 945 (6th Cir. 1948); Jones v. Watts, 142 F.2d 575, 163 A.L.R. 240 (5th Cir.), cert. denied, 323 U.S. 787, 65 S.Ct. 310, 89 L.Ed. 628 (1944).

On the other hand, proper venue is not a prerequisite to the rendition of a valid judgment. Objection to venue is a personal privilege which is lost to a defendant if not timely raised. See 28 U.S.C. § 1406(b) (1964); Hoffman v. Blaski, 363 U.S. 335, 80 S.Ct. 1084, 4 L.Ed.2d 1254 (1960).

With these principles firmly established, the Court now proceeds to an examination of whether 28 U.S.C. § 1400 (b) and 28 U.S.C. § 1694 relate to jurisdiction over the person and/or to venue. Any consideration of these statutes must start with an examination of the predecessor statute, 28 U.S.C. § 109. This section provided:

“In suits brought for the infringement of letters patent the district courts of the United States shall have jurisdiction, in law or in equity, in the district of which the defendant is an inhabitant, or in any district in which the defendant, whether a person, partnership, or corporation, shall have committed acts of infringement and have a regular and established place of business.

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261 F. Supp. 648, 152 U.S.P.Q. (BNA) 694, 10 Fed. R. Serv. 2d 1473, 1966 U.S. Dist. LEXIS 10284, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ruddies-v-auburn-spark-plug-co-nysd-1966.