Wang v. Korean Airlines Co., Ltd.

CourtDistrict Court, D. Nevada
DecidedJanuary 8, 2021
Docket2:20-cv-00409
StatusUnknown

This text of Wang v. Korean Airlines Co., Ltd. (Wang v. Korean Airlines Co., Ltd.) is published on Counsel Stack Legal Research, covering District Court, D. Nevada primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wang v. Korean Airlines Co., Ltd., (D. Nev. 2021).

Opinion

1 UNITED STATES DISTRICT COURT 2 DISTRICT OF NEVADA 3 Chunyun Wang, Case No.: 2:20-cv-00409-JAD-VCF

4 Plaintiff Order Granting in Part Defendant’s 5 v. Motion to Dismiss and Granting in Part Plaintiff’s Countermotion to Amend 6 Korean Airlines Co., Ltd., et al. [ECF Nos. 12, 21] 7 Defendants

8 International airline company Korean Airlines Co., Ltd., which is headquartered in and 9 operated from Seoul, South Korea, flies to 126 destinations and employs 19,000 individuals to 10 service approximately 460 daily flights.1 One of those global destinations is Las Vegas, Nevada, 11 where it operates as a registered, foreign close corporation and employs seven people to manage 12 five flights per week, each of which is a round-trip flight to and from Incheon, South Korea.2 13 Nevada-resident Chunyun Wang was a passenger on one of these flights when, roughly one hour 14 and thirty minutes into her trip from Las Vegas, a flight attendant spilled hot water in her lap.3 15 Wang alleges that she sustained second- and third-degree burns, causing “excruciating pain” and 16 permanent scarring and disfiguration.4 17 Wang sues Korean Air, as well as unnamed flight attendants and heating-device 18 manufacturers, for violations of the Convention for the Unification of Certain Rules for 19 20

21 1 ECF Nos. 11 at ¶ 2; 13 at ¶¶ 5–11; 13-1. The facts stated in this order are merely summarized from the facts alleged in the complaint and are not findings of fact. 22 2 ECF Nos. 13 at ¶¶ 11, 8; 13-2. 23 3 ECF No. 11 at ¶¶ 14–16. 4 Id. at ¶¶ 16, 18. 1 International Carriage by Air,5 better known as the Montreal Convention; negligence; negligent 2 training, hiring, and supervision; and strict products liability.6 Korean Air moves to dismiss 3 Wang’s suit, arguing that the Montreal Convention precludes Wang’s state-law causes of action 4 and that this court lacks personal jurisdiction over it.7 In her countermotion seeking leave to file 5 a second amended complaint, Wang appears to agree with Korean Air about the Montreal

6 Convention but asks to “preserve” her negligence and products-liability theories of injury against 7 the flight attendants and manufacturers.8 I hold that Korean Air is subject to specific jurisdiction 8 in this court because it has purposefully availed itself of the benefits of conducting business in 9 the state, Wang’s injuries arise from those contacts, and the exercise of jurisdiction is reasonable. 10 I then dismiss Wang’s state-law claims against Korean Air and its employees, grant Wang’s 11 countermotion in part, and give her until January 22, 2021, to file a revised second amended 12 complaint remedying the deficiencies identified in this order. 13 Discussion 14 I. This court has personal jurisdiction over Korean Air.

15 A district court may dismiss an action under Federal Rule 12(b)(2) for lack of personal 16 jurisdiction. When the only basis for subject-matter jurisdiction over a defendant is diversity of 17 citizenship, the court applies the forum state’s laws to determine personal jurisdiction, bearing in 18 mind that the exercise of jurisdiction must comport with the requirements of due process under 19 20

21 5 Convention for the Unification of Certain Rules for International Carriage by Air, May 28, 1999, S. Treaty Doc. No. 106-45. 22 6 ECF No. 11. 23 7 ECF No. 12; see also ECF No. 22 (corrected version). 8 ECF No. 21 at 4. 1 the United States Constitution.9 Where, as here, the defendant is not a resident of the forum 2 state, the court must determine whether that defendant has “certain minimum contacts such that 3 the maintenance of the suit does not offend traditional notions of fair play and substantial 4 justice.”10 “There are two forms of personal jurisdiction that a forum state may exercise over a 5 nonresident defendant—general jurisdiction and specific jurisdiction.”11 While Korean Air is

6 not subject to this court’s general jurisdiction, it is subject to its specific jurisdiction. 7 A. This court lacks general jurisdiction over Korean Air. 8 “For general jurisdiction to exist, a [nonresident] defendant must engage in ‘continuous 9 and systematic general business contacts,’” “approximat[ing] physical presence in the forum 10 state,” that are “so substantial and of such a nature as to justify suit against [the defendant] on 11 causes of action arising from dealings entirely distinct from those activities.”12 “This is an 12 exacting standard . . . because a finding of general jurisdiction permits a defendant to be haled 13 into court in the forum state to answer for any of its activities anywhere in the world.”13 “Only 14 in an ‘exceptional case’ will general jurisdiction be available anywhere” other than a party’s state

15 of incorporation, state of residence, or corporate headquarters.14 So, courts should consider the 16

17 9 Walden v. Fiore, 571 U.S. 277, 283 (2014). Because Nevada’s long-arm statute grants courts jurisdiction over persons “on any basis not inconsistent with” the U.S. Constitution, the 18 jurisdictional analyses under state law and federal due process are identical. See id.; Nev. Rev. Stat. § 14.065. 19 10 Walden, 571 U.S. at 283 (quoting Int’l Shoe Co. v. Washington, 326 U.S. 310, 316 (1945)) 20 (internal quotation marks and ellipsis omitted). 11 Boschetto v. Hansing, 539 F.3d 1011, 1016 (9th Cir. 2008). 21 12 Mavrix Photo, Inc. v. Brand Techs., Inc., 647 F.3d 1218, 1224 (9th Cir. 2011) (internal 22 quotation marks and citations omitted). 13 Schwarzenegger v. Fred Martin Motor Co., 374 F.3d 797, 801 (9th Cir. 2004). 23 14 Ranza v. Nike, Inc., 793 F.3d 1059, 1069 (9th Cir. 2015) (quoting Martinez v. Aero Caribbean, 764 F.3d 1062, 1070 (9th Cir. 2014)). 1 “[l]ongevity, continuity, volume, economic impact, physical presence, and integration into the 2 state’s regulatory or economic markets” to find general jurisdiction appropriate.15 3 Wang has failed to make the exceptional case that this South Korean airline company is 4 subject to this court’s general jurisdiction. As the United States Supreme Court noted in Daimler 5 AG v. Bauman, “the general jurisdiction inquiry does not ‘focu[s] solely on the magnitude of the

6 defendant’s in-state contacts.’ General jurisdiction instead calls for an appraisal of a 7 corporation’s activities in their entirety, nationwide and worldwide.”16 Reiterating this point in 8 BNSF Railway Co. v. Tyrell, the Court reversed Montana’s exercise of general jurisdiction over a 9 nonresident railroad company—despite that company having “over 2,000 miles of railroad track 10 and more than 2,000 employees in Montana”—because its “in-state business” was insufficient to 11 render it “essentially at home” in the state.17 Korean Air, like the BNSF defendant, transports 12 passengers to the forum and, unlike the BNSF defendant, has fewer than 10 forum-based 13 employees. And its Nevada-based business is “minor compared to its worldwide contacts,”18 14 which depend on roughly 19,000 employees to operate 460 daily flights to 126 global

15 destinations.19 Just because Korean Air “operates in many places,” does not mean it can “be 16 deemed at home in all of them.”20 17

18 15 Mavrix Photo, Inc., 647 F.3d at 1224 (internal quotation marks and citations omitted). 19 16 Daimler AG v. Bauman, 571 U.S. 117, 140 n.20 (2014) (alterations in original). 17 BNSF Ry. Co. v. Tyrrell, 137 S. Ct. 1549, 1560 (2017) (quoting Daimler AG, 571 U.S. at 122) 20 (internal quotation marks omitted).

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Wang v. Korean Airlines Co., Ltd., Counsel Stack Legal Research, https://law.counselstack.com/opinion/wang-v-korean-airlines-co-ltd-nvd-2021.