Reid-Walen v. Hansen

• Decision Date: 13 August 1991
• Docket Number: REID-WALE,No. 89-3000,G,89-3000
• Citation: 933 F.2d 1390
• Parties: Jayneary Walen, Appellants, v. Leroy HANSEN, Irene Hansen, d/b/a Yellow Bird Sea-Tel, Appellees.
• Court: U.S. Court of Appeals — Eighth Circuit

Page 1390

933 F.2d 1390

Jayne REID-WALEN, Gary Walen, Appellants, v. Leroy HANSEN, Irene Hansen, d/b/a Yellow Bird Sea-Tel, Appellees.

No. 89-3000.

United States Court of Appeals,

Eighth Circuit.

Submitted Oct. 9, 1990.

Decided May 15, 1991.

Rehearing and Rehearing En Banc

Denied Aug. 13, 1991.

Robert T. Bergin, Jr., West Palm Beach, Fla., for appellants.

John H. Quinn, III, St. Louis, Mo., for appellees.

Before LAY, Chief Judge, HEANEY and TIMBERS, ^* Senior Circuit Judges.

LAY, Chief Judge.

Jayne Reid-Walen, a citizen of Minnesota, seeks damages from Leroy and Irene Hansen, citizens of Missouri, for injuries she sustained while vacationing at the Yellowbird Sea-Tel ("Yellowbird"), a cluster of cottages in Negril Beach, Jamaica owned and run by the Hansens. According to the amended complaint, Reid-Walen was swimming near the beach area of the Yellowbird when she was struck by a motorboat driven by a Jamaican citizen, not associated with the Hansens, who was soliciting boat rides from guests of the Yellowbird. ¹ Reid-Walen bases her suit on Jamaican law, alleging The suit was originally filed in the United States District Court for the Southern District of Florida. The defendants moved for dismissal, arguing that venue was improper. The district court found venue in Florida was improper but that venue would have been proper in Missouri, the residence of the Hansens. Accordingly, the court transferred the case to the United States District Court for the Eastern District of Missouri pursuant to 28 U.S.C. Sec. 1404(a) (1988). The defendants then filed a motion to dismiss in that court on the ground of forum non conveniens. The district court granted the defendants' motion, and this appeal followed. We reverse the judgment of the district court.

that the Hansens violated their common law duty of care by failing to prevent motorboats from traveling through the area the Hansens had designated for swimming by their guests. She also alleges the Hansens violated two Jamaican statutes, the Occupiers' Liability Act and the Beach Control Act, which allegedly required defendants to provide a lifeguard and to place buoys around an area for swimming.

ANALYSIS

I. Introduction

A. The District Court's Decision

The district court observed that in ruling on a motion to dismiss based on forum non conveniens, it must "balance the preference accorded plaintiff's choice of forum with the burdens of litigating at an inconvenient venue." Reid-Walen v. Hansen, 715 F.Supp. 270, 271 (E.D.Mo.1989). The court then considered the private and public interest factors first enunciated by the Supreme Court in Gulf Oil Corp. v. Gilbert, 330 U.S. 501, 508-09, 67 S.Ct. 839, 843, 91 L.Ed. 1055 (1947). These factors are applied in all forum non conveniens cases. See, e.g. Mizokami Bros. of Arizona v. Mobay Chem. Corp., 660 F.2d 712, 717-18 (8th Cir.1981).

The district court concluded that all relevant events, except Reid-Walen's hospitalization in Florida, occurred in Jamaica, and that all of the occurrence witnesses resided in Jamaica, making their attendance in Missouri prohibitively expensive. 715 F.Supp. at 271. The court also found that the substantive law of Jamaica would govern the dispute. Further, the court concluded it would be a burden to impose jury duty on a Missouri community with no significant relationship to the litigation. Although recognizing that Reid-Walen's United States citizenship and the fact that the defendants resided in Missouri five months of the year militated against dismissing the suit, the court found these factors not "particularly weighty" because other "numerous factors" pointed to Jamaica as the most convenient forum. Id. at 272. Subject to the defendants' consent to submit to the jurisdiction of the Jamaican courts, the district court dismissed the suit. ²

B. Standard of Review

The defendant has the burden of persuasion in proving all elements necessary for the court to dismiss a claim based on forum non conveniens. Lacey v. Cessna Aircraft Co., 862 F.2d 38, 43-44 (3d Cir.1988); In re Air Crash Disaster Near New Orleans, La., 821 F.2d 1147, 1164 (5th Cir.1987) (en banc), partially vacated on other grounds, 490 U.S. 1032, 109 S.Ct. 1928, 104 L.Ed.2d 400 (1989). ³ Trial courts have We believe the district court failed to give proper deference to the plaintiff's choice of forum and failed to give proper weight to the fact that both the plaintiff and the defendants were United States citizens. In addition, the district court did not properly address other key factors and erred in weighing several other private and public interest factors. ⁴

                broad discretion in deciding a motion to dismiss based on forum non conveniens, and when the district court "has considered all relevant public and private interest factors, and where its balancing of these factors is reasonable, its decision deserves substantial deference."    Piper Aircraft Co. v. Reyno, 454 U.S. 235, 257, 102 S.Ct. 252, 266, 70 L.Ed.2d 419 (1981).  A trial court's decision to dismiss on the ground of forum non conveniens will be overturned only for abuse of discretion.  Mobay Chem.  Corp., 660 F.2d at 718.    An abuse of discretion may occur when the district court fails to consider one or more of the important private or public interest factors, does not hold the defendants to their burden of persuasion on all elements of the forum non conveniens analysis, or has clearly erred in weighing the factors the court must consider.  Lacey, 862 F.2d at 43.    Finally, "[e]mphasis on the district court's discretion ... must not overshadow the central principle of the Gilbert doctrine that 'unless the balance is strongly in favor of the defendant, the plaintiff's choice of forum should rarely be disturbed.' "    Lehman v. Humphrey Cayman, Ltd., 713 F.2d 339, 342 (8th Cir.1983), cert. denied, 464 U.S. 1042, 104 S.Ct. 708, 79 L.Ed.2d 172 (1984) (citations omitted)
                

We turn to an analysis of the district court's decision, in light of the Gilbert factors.

II. Private Interest Factors

A. Residence of the Parties and Deference to Plaintiff's Forum Choice

At the outset, it is important to note that in forum non conveniens cases involving a potential reference to a foreign court, the relevant distinction is whether or not the plaintiff who has selected the federal forum is a United States citizen, not whether the plaintiff resides in the particular district where the case was brought. Interpane Coatings v. Australia & New Zealand Banking Group Ltd., 732 F.Supp. 909, 915 (N.D.Ill.1990). In other words, the "home" forum for the plaintiff is any federal district in the United States, not the particular district where the plaintiff lives. ⁵

The Supreme Court has emphasized that trial courts must give deference to a plaintiff's forum choice. In Gilbert, the Court stated that "unless the balance is Judicial concern for allowing citizens of the United States access to American courts has been tempered by the expansion and realities of international commerce. When an American corporation doing extensive foreign business brings an action for injury occurring in a foreign country, many courts have partially discounted the plaintiff's United States citizenship. As the Ninth Circuit recently reiterated:

                strongly in favor of the defendant, the plaintiff's choice of forum should rarely be disturbed."    330 U.S. at 508, 67 S.Ct. at 843.    Although such choice is not to be given dispositive weight, jurisdiction should be declined only in "exceptional circumstances."    Id. at 504, 67 S.Ct. at 841;  see also Piper Aircraft, 454 U.S. at 255, 102 S.Ct. at 265. 6   It also generally is acknowledged that citizens should rarely be denied access to courts of the United States. 7   In Koster v. Lumbermens Mut. Casualty Co., 330 U.S. 518, 67 S.Ct. 828, 91 L.Ed. 1067 (1947), the Court found that an American plaintiff could not be deprived of his or her home forum except when oppressive and vexatious to the defendant "out of all proportion to plaintiff's convenience."    Id. at 524, 67 S.Ct. at 832;  see also Gates Learjet Corp. v. Jensen, 743 F.2d 1325, 1334-35 (9th Cir.1984), cert. denied, 471 U.S. 1066, 105 S.Ct. 2143, 85 L.Ed.2d 500 (1985);  Mizokami Bros. of Arizona, Inc. v. Baychem Corp., 556 F.2d 975, 977 (9th Cir.1977) (per curiam), cert. denied, 434 U.S. 1035, 98 S.Ct. 770, 54 L.Ed.2d 783 (1978)
                

In an era of increasing international commerce, parties who choose to engage in international transactions should know that when their foreign operations lead to litigation they cannot expect always to bring their foreign opponents into a United States forum when every reasonable consideration leads to the conclusion that the site of the litigation should be elsewhere.

Contact Lumber Co. v. P.T. Moges Shipping Co., Ltd., 918 F.2d 1446, 1450 (9th Cir.1990) (quoting Baychem Corp., 556 F.2d at 978); see also Lehman, 713 F.2d at 346 (quoting Founding Church of Scientology v. Verlag, 536 F.2d 429, 435 (D.C.Cir.1976)). ⁸ In this case, the plaintiff, Jayne Reid-Walen, was not engaging in business abroad. Instead, she was enjoying "a personal vacation of a few days' duration in a vacation spot" located near the United States and owned by the Hansens. Lehman, 713 F.2d at 347.

A significant factor in this case is that the defendants are U.S. citizens and the action was transferred to their home district, the Eastern District of Missouri. In this unusual situation, where the forum resident seeks dismissal, this fact should weigh strongly against dismissal. See Manu Int'l, S.A. v. Avon Products, Inc., 641 F.2d 62, 67 (2d Cir.1981) (finding that district judge abused discretion in dismissing case in which defendant's home office was located in forum); Verlag, 536 F.2d at 435 (finding of "great significance" that both plaintiff and defendant are residents of the U.S.); see also Stewart, Forum Non Conveniens: A Doctrine in Search of a Role, 74 Cal.L.Rev. 1259, 1282-86 (1986) (arguing that...