Waitt v. Speed Control, Inc.

212 F. Supp. 2d 950, 2002 U.S. Dist. LEXIS 1424, 2002 WL 1715532
CourtDistrict Court, N.D. Iowa
DecidedJanuary 25, 2002
DocketC-00-4060-MWB, C-00-4087-MWB
StatusPublished
Cited by3 cases

This text of 212 F. Supp. 2d 950 (Waitt v. Speed Control, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Waitt v. Speed Control, Inc., 212 F. Supp. 2d 950, 2002 U.S. Dist. LEXIS 1424, 2002 WL 1715532 (N.D. Iowa 2002).

Opinion

MEMORANDUM OPINION AND ORDER REGARDING THIRD-PARTY DEFENDANTS’ MOTIONS TO DISMISS

BENNETT, Chief Judge.

TABLE OF CONTENTS I. INTRODUCTION. A. Procedural Background. B. Facts Related Solely To Question Of Personal Jurisdiction II. LEGAL ANALYSIS. A. Personal Jurisdiction. 1. Long-arm authority. 2. Minimum Contacts. a. Specific v. general jurisdiction. b. The five factor test. B. Analysis. 1. Analysis of the ñve factor test with respect to Seline a. Quantity, Quality, and relatedness of contacts .. b. Secondary factors. 2. Analysis of the ñve factor test with respect to Rix .. III. CONCLUSION. 953 954 954 955 956 956 957 957 957 958 958 959 CD CD CO cn or cn co do lo

I. INTRODUCTION

A. Procedural Background

On June 13, 2000, plaintiff Norman W. Waitt filed a diversity lawsuit against Speed Control, Inc., James H. Berglund, Eugene F. Huse, Jr., Ned D. Mills, Robert N. Tomchuck, and Louis E. Barton, C-00-4060-MWB (“the Speed Control Case”). In the Speed Control Case, plaintiff Waitt alleges that officers and directors of Speed Control, Inc. made false and misleading representations to him in order to induce him to make certain investments in Speed Control, Inc.

Subsequently, plaintiff Norman W. Waitt filed a diversity lawsuit on August 25, 2000, against his former legal counsel, Thomas C. Levitt, C-00-4087-MWB (“the Levitt Case”). In the Levitt Case, plaintiff Waitt alleges in his complaint that defendant Levitt breached his fiduciary duties to him and committed legal mal *953 practice with regard to investment advice he gave to Waitt with respect to Speed Control, Inc. Defendant Levitt filed an answer to the complaint and a counterclaim against Waitt for unpaid legal services, defamation, and abuse of process. On May 24, 2001, Levitt amended his answer and asserted a third-party complaint against Matthew L. Rix and Steven W. Seline alleging claims for defamation, and abuse of process, and intentional interference with a contractual relationship. Rix and Seline have each filed a motion to dismiss the third-party complaint against him. In their respective motions to dismiss, Rix and Seline each assert that he has insufficient minimum contacts within the state of Iowa to establish personal jurisdiction and therefore the third-party complaint against him should be dismissed pursuant to Federal Rule of Civil Procedure 12(b)(2). Both Rix and Seline also move to dismiss for failure to state a claim pursuant to Federal Rule of Civil Procedure 12(b)(6). Defendant Levitt has filed resistances to Rix’s and Seline’s motion to dismiss in which he asserts that the court has personal jurisdiction over Rix and that Levitt’s third-party complaint against Rix states a claim.

B. Facts Related Solely To Question Of Personal Jurisdiction

Rix and Seline have each supplied an affidavit in support of his respective request to dismiss the third-party complaint on the ground of lack of personal jurisdiction, pursuant to Federal Rule of Civil Procedure 12(b)(2). The court has extracted the following facts from the record, which relate to Rix’s or Seline’s contacts with the state of Iowa.

Norman W. Waitt, Jr. is a citizen of the state of South Dakota. Defendant Levitt resides and practices law in the state of California. Matthew L. Rix is a resident of New Mexico. Rix has acted as an agent for Waitt in a business and professional capacity. Rix does not own property in the state of Iowa nor has he conducted any personal business in the state. He has never had any visit to Iowa which was related to Speed Control or Levitt. Rix has never met Levitt in the state of Iowa nor had any meetings with Norm Waitt, Steve Seline, James Berglund, Jerry Huse, Robert Tomchuck, Ned Mills or Louis Barton in Iowa. Rix engaged in no conduct relating to Levitt in Iowa. Any telephone conversations Rix has had with Levitt or any third party regarding Levitt have been when Rix was not located in the state of Iowa.

Seline is a resident of the state of Nebraska and a licensed attorney in that state. He is not licensed to practice law in Iowa nor has he ever lived in the state of Iowa. He does not own property in Iowa nor has he conducted any personal business in the state of Iowa. Seline was formerly associated with the law firm of Ku-tak Rock in Omaha, Nebraska. In his capacity as an attorney with Kutak Rock, Seline represented Waitt on occasion. He made one visit to Iowa related to Waitt’s investment in Speed Control. Seline attended a meeting, in the summer of 1997, at Okoboji, Iowa, in his capacity as an attorney employed by the Kutak Rock law firm. He attended the meeting as Waitt’s attorney and at Waitt’s request. At this meeting, representatives of Speed Control discussed their company and product with Waitt.

Seline has had no contact with Levitt in the state of Iowa. Any telephone conversations Seline has had with Levitt or any third party regarding Levitt have been while Seline has been in Omaha, Nebraska, or a location outside the state of Iowa.

II. LEGAL ANALYSIS

The court will turn first to consideration of the third-party defendants’ respective *954 motions to dismiss for lack of personal jurisdiction pursuant to Federal Rule of Civil Procedure 12(b)(2). If the court concludes that personal jurisdiction exists as to either Rix; or Seline, the court will then consider that third-party defendant’s motion to dismiss for failure to state a claim pursuant to Federal Rule of Civil Procedure 12(b)(6).

A. Personal Jurisdiction

Although the ultimate burden of proof on the issue of jurisdiction falls upon Levitt, a nonmoving party need only make a prima facie showing of jurisdiction to defeat a motion to dismiss. See St. Paul Fire And Marine Ins. Co. v. Courtney Enter., Inc., 270 F.3d 621, 623 (8th Cir. 2001); Stevens v. Redwing, 146 F.3d 538, 543 (8th Cir.1998); Digi-Tel Holdings, Inc. v. Proteq Telecommunications (PTE), Ltd., 89 F.3d 519, 522 (8th Cir.1996); Wessels, Arnold & Henderson v. National Med. Waste, Inc., 65 F.3d 1427, 1431 (8th Cir.1995); Dakota Indus., Inc. v. Ever Best Ltd., 28 F.3d 910, 914 (8th Cir.1994); Barone v. Rich Bros. Interstate Display Fireworks Co., 25 F.3d 610, 612 (8th Cir.), cert. denied sub nom.

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Bluebook (online)
212 F. Supp. 2d 950, 2002 U.S. Dist. LEXIS 1424, 2002 WL 1715532, Counsel Stack Legal Research, https://law.counselstack.com/opinion/waitt-v-speed-control-inc-iand-2002.