Vermeulen v. Renault, U.S.A. Inc.

965 F.2d 1014
CourtCourt of Appeals for the Eleventh Circuit
DecidedJuly 9, 1992
DocketNo. 91-8765
StatusPublished
Cited by15 cases

This text of 965 F.2d 1014 (Vermeulen v. Renault, U.S.A. Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Eleventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Vermeulen v. Renault, U.S.A. Inc., 965 F.2d 1014 (11th Cir. 1992).

Opinion

KRAVITCH, Circuit Judge:

Plaintiff-Appellant Vermeulen appeals the district court’s order dismissing Defendant-Appellee Regie Nationale Des Usines Renault (“RNUR”) from plaintiffs product, liability suit for lack of personal jurisdiction under the Georgia long-arm statute. Because we do not find Georgia’s exercise of personal jurisdiction over RNUR to be inconsistent either with Georgia law or with the Due Process Clause of the Fourteenth Amendment, we reverse and remand the case to the district court.

I. BACKGROUND

In January 1988, the appellant purchased a 1982 Renault LeCar from her brother. At the time of the purchase, both seller and buyer were residents of North Carolina. Appellant subsequently moved to Georgia. On February 16, 1988, she suffered an accident on State Route 316, near Law-renceville, Georgia, sustaining a spinal injury that has left her quadriplegic.

On April 18, 1989, contending that her injuries were the result of the negligent manufacture and design of the LeCar’s passenger restraint system, appellant filed suit in the Superior Court of Fulton County, Georgia, against RNUR, the French manufacturer and designer of the subject vehicle; Renault, U.S.A., RNUR’s wholly owned American subsidiary;1 and Jeep Eagle Sales Corporation, the successor to American Motors Corporation (“AMC”). AMC’s wholly-owned subsidiary, American Motors Sales Corporation (“AMSC”), was the distributor of LeCar in the United States.2 Defendants removed the case on diversity grounds to Federal District Court (N.D.Ga.), and RNUR moved to dismiss the case against it for lack of personal jurisdiction.

In an order dated November 19,1990, the district court granted RNUR’s motion to dismiss without conducting an evidentiary hearing on the issue, Vermeulen v. Renault U.S.A., Inc., et al., No. 1:89-cv-1042-HTW (N.D.Ga. November 19, 1990) (hereinafter “November 19 Order”), holding that Georgia’s exercise of jurisdiction over RNUR was inconsistent both with the Georgia long-arm statute, O.C.G.A. § 9-10-91, and with the Due Process Clause of the Fourteenth Amendment. The district court denied plaintiff’s motion for reconsideration on January 15, 1991, stating that its dismissal of RNUR from plaintiff’s suit was based on the Supreme Court’s decision in Asahi Metal Industry Co., Ltd. v. Superior Court of California, Solano County, 480 U.S. 102, 107 S.Ct. 1026, 94 L.Ed.2d 92 (1987). Plaintiff appeals the district court’s order of dismissal.

II. STANDARD OF REVIEW

We review the district court’s dismissal for lack of in personam jurisdiction de novo. Olivier v. Merritt Dredging Co., Inc., 954 F.2d 1553, 1555 (11th Cir.1992); Mudara v. Hall, 916 F.2d 1510, 1514 (11th Cir.1990). Where, as here, the district court did not hold an evidentiary hearing on the jurisdictional issue, a plaintiff need only make out a prima facie case of jurisdiction over the non-resident defendant. Delong Equipment Co. v. Washington Mills Abrasive Co., 840 F.2d 843, 845 (11th Cir.1988); Morris v. SSE, Inc., 843 F.2d 489, 492 (11th Cir.1988). A prima facie case is established if the plaintiff presents sufficient evidence to defeat a motion for [1017]*1017directed verdict. Morris, 843 F.2d at 492. In the absence of an evidentiary hearing, the district court considering the motion to dismiss must take as true the allegations in the complaint, to the extent they are uncon-tradicted by the defendant’s affidavits or deposition testimony. Id. Further, where the evidence presented by the parties’ affidavits and deposition testimony conflicts, the court must construe all reasonable inferences in favor of the plaintiff. Id.

III. FACTS RELATING TO JURISDICTION

RNUR, the manufacturer and designer of appellant’s 1982 LeCar, is a French corporation, wholly owned by the French government. It is undisputed that RNUR (1) has never been a corporation organized or existing under the laws of the State of Georgia; (2) has never been registered as a foreign corporation doing business in Georgia; (3) has never appointed any agent to act for it or to accept service of process in Georgia; (4) has never owned real estate or personal property located in Georgia; (5) has never maintained a telephone number or mailing address in Georgia; (6) has never maintained a bank account in Georgia; and (7) has never had an office or place of business in Georgia. Rl-23-Ex.l, pp. 2-3.

A. The Agreements Between RNUR and AMC/AMSC

In 1979, RNUR entered into a series of commercial agreements with AMC and its wholly-owned subsidiary, AMSC, pursuant to which AMSC agreed to act as the exclusive marketer and distributor of Renault automobiles in the United States.3 It is undisputed that AMSC distributed the 1982 Renault LeCar at issue in this case under this distribution arrangement. The stated goals of the agreements between Renault and AMC/AMSC were, inter alia, “to promote the widest distribution of Renault products,” and to “develop a dealer network for Renault products in the [United States].” R3-34-Ex.A, p. 1. Accordingly, AMSC agreed to purchase Renault vehicles, including LeCars, in France from RNUR, and to import them for resale in the United States.

Although the distribution agreement indicated that AMSC would take full responsibility for marketing and distributing Renault vehicles in the United States, id. at 4, the parties contemplated that Renault would be fully involved in decisions affecting the sales of its product. AMSC covenanted to “use its best efforts to carry out the Market Representation Plan.” Id. at 6. This plan, not itself part of the record but referenced and defined in the Distributor’s Agreement, was a “mutually agreed upon plan, initialled on behalf of the parties [to the Distributor Agreement], for the franchising of Dealers to sell Renault products within the [United States].” Id. at 3.

The Distributor’s Agreement also provided that “Renault may from time to time advise [AMSC] of suggested retail prices for Renault vehicles.” Id. at 6. Further, the Built-Up Sales Agreement indicated that “[t]he estimated quantities of Renault Products to be purchased and sold hereunder during any Contract Year shall be mutually agreed.” R3-34-Ex.B, p. 2.4

Although the Distributor Agreement provided that AMSC would take responsibility [1018]*1018for maintaining “a sufficient number of trained and competent personnel” and for instructing such personnel concerning the preparation, servicing and repair of Renault products, it also stated that RNUR would “use its best efforts to provide [AMSC] with suitable assistance in connection with [such] training and instruction responsibilities.” R3-34-Ex.A, pp. 7-8.

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Bluebook (online)
965 F.2d 1014, Counsel Stack Legal Research, https://law.counselstack.com/opinion/vermeulen-v-renault-usa-inc-ca11-1992.