Search Force, Inc. v. Dataforce International, Inc.

112 F. Supp. 2d 771, 2000 WL 1238946
CourtDistrict Court, S.D. Indiana
DecidedJuly 19, 2000
DocketIP 99-1788-C-T/G
StatusPublished
Cited by14 cases

This text of 112 F. Supp. 2d 771 (Search Force, Inc. v. Dataforce International, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Search Force, Inc. v. Dataforce International, Inc., 112 F. Supp. 2d 771, 2000 WL 1238946 (S.D. Ind. 2000).

Opinion

ENTRY DISCUSSING DEFENDANT’S MOTION TO DISMISS FOR LACK OF PERSONAL JURISDICTION, OR ALTERNATIVELY, MOTION TO TRANSFER VENUE

TINDER, District Judge.

Plaintiff, Search Force, Inc. (“Search Force”) has brought action against the Defendant, Dataforce International, Inc. (“Dataforce”), alleging that Dataforce has engaged in unfair competition and violated federal trademark law. This matter comes before the court on Defendant’s Motion to Dismiss for Lack of Personal Jurisdiction, or Alternatively, Motion to Transfer Venue. Having considered this motion and the submissions of both parties, the court decides as follows.

I. Background 1

Search Force is an Indiana corporation maintaining its principal place of business in Indiana. (Compl. ¶¶ 1, 2; Miller Aff. ¶2.) Dataforce is a Florida corporation maintaining its principal place of business in Florida. (Compl. ¶¶ 3, 4; Baran Aff. ¶ 2.) Both corporations provide personnel recruitment and placement services in the specialized area of information technology (“IT”), that is, employment opportunities in the computer hardware and software fields. 2 (Compl. at ¶¶3, 4; Miller Aff. ¶¶ 3, 5; Baran Aff. ¶ 2.) Search Force has conducted its IT services under the mark of “Data Force” since October 1990 and registered the mark in August 1999. *773 (Compl. ¶¶ 5, 6, Attach. A; Miller Aff. ¶ 4.) Dataforce was incorporated in 1992, and currently conducts business under the name, “Dataforce International.” 3 (Miller Aff. ¶ 18; Baran Aff. ¶ 2; Def.’s Ex. A.) The majority of Dataforce’s placements are for positions located in Florida, but approximately two years ago it advertised for one position located in Indiana. (Bar-ran Aff. ¶¶ 2, 5.) Dataforce employs five persons, all residing in Florida, to draft postings and field responses to those postings. (Baran Aff. ¶ 3.) Dataforce does not have any employees, agents, contractors or offices in Indiana, nor does it utilize hard copy advertisements in Indiana. (Baran Aff. ¶¶ 7-9.)

Both Search Force and Dataforce utilize Internet postings, national advertising, and toll-free numbers to reach prospective recruits and employers. (Miller Aff. ¶ 6; Baran Aff. ¶¶ 3, 4.) Both companies pay a fee to post job openings on two interactive online recruiting web sites, owned and operated by third parties — wumi.mon- ster.com (“Monster”) and www.dice.com (“Dice”). 4 (Miller Aff. ¶¶ 7 9; Baran Aff. ¶ 3.) These sites allow users to search job listings according to specified criteria such as position type, geographic location, and employer. (Miller Aff. ¶ 12.) Users also may receive postings of a specified type automatically via e-mail, and utilize links to learn more about a particular position or communicate with a particular employer or recruiter. (Miller Aff. ¶ 11.) Searches on these sites for job postings under “Data Force” produce listings by both Search Force and Dataforce, 5 (Miller Aff. ¶¶ 13-15; PL’s Ex. A, B), and at least once a week Search Force has had to provide applicants or employers with a statement to the effect that the two corporations are not affiliated, (Miller Aff. ¶¶ 17,18). Data-force also maintains its own web site at www.dforce.com which provides information about Dataforce’s services as well as toll-free telephone and fax numbers and an e-mail link for obtaining additional information about Dataforce. (Miller Aff. ¶ 22; Baran Aff. ¶ 4; Def.’s Ex. A; Pl.’s Ex. D.) All three web sites are accessible to any person in the world who has Internet access. (Miller Aff. ¶ 10; Baran Aff. ¶ 6.)

On November 19, 1999, Search Force filed this lawsuit based in part on allegations of trademark infringement under Section 43(a) of the Lanham Act, pursuant to 15 U.S.C. § 1121(a) and 28 U.S.C. § 1331. Plaintiff alleges, inter alia, that the Defendant has created confusion in the marketplace by its unauthorized use of Search Force’s registered mark, “Data Force.” 6 On January 12, 2000, Dataforce *774 filed a Motion to Dismiss claiming that its Internet activities did not create the requisite minimum contacts with Indiana to support this court’s exercise of personal jurisdiction over it. (Def.’s Mot. Dismiss ¶¶ 2-5.) In the alternative, Dataforce requested a transfer of venue to the district court in the Middle District of Florida, pursuant to 28 U.S.C. § 1404(a). 7 (Def.’s Mot. Dismiss ¶ 6.) On February 10, 2000 Search Force filed its “Opposition to Defendant’s Motion to Dismiss or to Transfer Venue.”

II. Discussion

When personal jurisdiction is challenged, a plaintiff bears the burden of demonstrating that personal jurisdiction exists. See RAR, Inc. v. Turner Diesel, Ltd., 107 F.3d 1272, 1276 (7th Cir.1997). Any affidavits or other specific evidence offered by the plaintiff must be assumed true for the purposes of determining personal jurisdiction, and any disputed facts are construed in the plaintiffs favor. See id. at 1275; Health Mgmt. Prof'ls, Inc. v. Diversified Bus. Enter., Inc., 882 F.Supp. 795, 797 (S.D.Ind.1995). However, vague generalizations or “conclusory allegations unsupported by any factual assertions will not withstand a motion to dismiss.” Cushing, 3 F.3d at 1161 n. 5 (7th Cir.1993) (quotation omitted).

Jurisdiction exercised on the basis of a federal statute that does not authorize nationwide service of process, 8 requires a federal district court to determine if a court of the state in which it sits would have personal jurisdiction. See Johnson Worldwide Assocs., Inc., 12 F.Supp.2d at 906 (citing United States v. Martinez De Ortiz, 910 F.2d 376, 381 (7th Cir.1990)). A two-step analysis is required to determine whether an Indiana state court may exercise personal jurisdiction over a nonresident defendant. See Anthem Ins. Cos., v. Tenet Healthcare Corp., 730 N.E.2d 1227, 1229 (Ind. 2000). 9 The court must first determine whether a defendant’s conduct falls within Indiana’s long-arm statute. 10 *775 Id. If a basis for personal jurisdiction exists under the long-arm statute, the court must then determine if a defendant’s contacts with the forum state satisfy federal due process analysis. Id.

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Bluebook (online)
112 F. Supp. 2d 771, 2000 WL 1238946, Counsel Stack Legal Research, https://law.counselstack.com/opinion/search-force-inc-v-dataforce-international-inc-insd-2000.