Personal Jurisdiction History

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History of Personal Jurisdiction
Personal jurisdiction for businesses selling in multiple states has been a complicated issue in the courts. “A court does not have power over every person in the world. Before a court may decide a case, the court must determine whether it has "personal jurisdiction" over the parties. A plaintiff may not sue a defendant in a jurisdiction foreign to the defendant, unless that defendant has established some relationship with that forum that would lead him to reasonably anticipate being sued there.” (6)
There are two types of personal jurisdiction a court can enforce: general and specific. General jurisdiction holds that companies may be sued in any jurisdiction where it is incorporated or has its headquarters. Establishing general jurisdiction usually relies on the "nerve-center" test: determining the location that is the center hub of operations. Because this theory specifies physical presence in a forum, it does not often apply well to multi-state, multi-national and internet-based businesses. As business became increasingly complex, a broader perspective was needed. …show more content…

A court can establish specific jurisdiction over a defendant only if he or she has "certain minimum contacts." (5) The minimum contacts precedent was set in 1945 when the Supreme Court ruled in the case of International Shoe Co. v. Washington that personal jurisdiction applied to any business that had “sufficient minimum contacts” in the state where they were being sued. (4) This precedent was furthered in 1958 with the decision of Hanson V Denckla. In this case, the court ruled that the defendant must purposefully gain benefit from conducting activities within a forum state.

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