Bible & Gospel Trust v. Wyman, No. CIV.04-700 MJD/JGL.
| Decision Date | 31 January 2005 |
| Docket Number | No. CIV.04-700 MJD/JGL. |
| Citation | 354 F.Supp.2d 1025 |
| Parties | BIBLE & GOSPEL TRUST, and Brethren, an Unincorporated Association, Plaintiffs, v. Richard K. WYMAN and Daniel J. Little, Defendants. |
| Court | U.S. District Court — District of Minnesota |
Before the Court is Defendant Daniel J. Little's ("Little") motion to dismiss for lack of personal jurisdiction.
Plaintiff, The Exclusive Brethren (the "Brethren"), is a religious organization with a worldwide membership of approximately 45,000; about 350 of which live in Minnesota. Plaintiff Bible & Gospel Trust (the "Trust") is a trust that owns the copyright to the Brethren's religious writings. Defendant Richard Wyman, a Minnesota resident, is a former member of the Brethren, who created, owned and operated a website at www.exclusivebrethren.net. Plaintiffs allege the Brethren were defamed at this website, and that the Trust's copyrights were infringed by the unauthorized publishing of copyright materials. Plaintiffs also allege that through the website, Wyman interfered with Plaintiffs' business; a claim that parallels the defamation claim. Defendant Little is a Canadian citizen, residing in Winnipeg, Manitoba. From approximately mid-2003 to January or February, 2004, Little is alleged to have "maintained and operated the aforementioned website in collaboration and with the authorization of Defendant Wyman". Amended Complaint ¶ 7.
Defendant Little has moved for a dismissal of the claims against him on the basis that this Court does not have personal jurisdiction over him.
Federal courts have been instructed to use a two-step inquiry when determining whether it has personal jurisdiction over a non-resident party: (1) whether the facts presented satisfy the forum state's long-arm statute, and (2) whether the non-resident has minimum contacts with the forum state, so that the court's exercise of jurisdiction would be fair and in accordance with due process." Soo Line R. Co. v. Hawker Siddeley Canada, Inc., 950 F.2d 526, 528 (8th Cir.1991). The inquiry collapses into a single question of whether the exercise of personal jurisdiction comports with due process, when a state construes its long-arm statute to confer jurisdiction to the fullest extent permitted by the due process clause. Bell Paper Box, Inc. v. U.S. Kids, Inc., 22 F.3d 816, 818 (8th Cir.1994). Minnesota has construed its long-arm statute to have the maximum extraterritorial effect allowed under the due process clause. Valspar Corp. v. Lukken Color Corp., 495 N.W.2d 408, 410-411 (Minn.1992).
The due process clause requires that there be "minimum contacts" between the defendant and the forum state before the forum state may exercise jurisdiction over the defendant. World-Wide Volkswagen Corp. v. Woodson, 444 U.S. 286, 291, 100 S.Ct. 559, 62 L.Ed.2d 490 (1980). The "minimum contacts" requirement will be satisfied if the defendant's conduct and connection with the forum state is such that the defendant should reasonably anticipate being haled into the forum state's court. World-Wide, at 291, 100 S.Ct. 559.
In determining whether sufficient minimum contacts exist, the Eighth Circuit considers the following factors: 1) the nature and quality of the contacts; 2) the quantity of the contacts; 3) the connection between the cause of the action and the contacts; 4) the interest of the forum; and 5) the convenience of the parties. Digi-Tel Holdings, Inc. v. Proteq Telecommunications Ltd., 89 F.3d 519, 522-23 (8th Cir.1996).
The burden is on the plaintiff to prove the minimum contacts necessary to satisfy due process. Hardrives, Inc. v. City of LaCrosse, Wisconsin, 307 Minn. 290, 240 N.W.2d 814, 816 (1976). See also, Newhard, Cook & Co. v. Inspired Life Centers, Inc., 895 F.2d 1226, 1228 (8th Cir.1990). "At the pre-trial stage, however, the plaintiff need only make a prima facie showing of sufficient Minnesota-related activities through the complaint and supporting evidence, which will be taken as true." Hardrives, 240 N.W.2d at 816.
When the court premises jurisdiction on a defendant upon the relationship between the defendant's activities in the forum state and the plaintiff's claim, the court is exercising specific jurisdiction. Morris v. Barkbuster, Inc., 923 F.2d 1277, 1280 (8th Cir.1991) (citation omitted). A court may exercise general jurisdiction upon an out-of-state defendant when the defendant has "continuous and systematic contacts" with the forum state, regardless of whether the plaintiff's claims arise out of, or are connected with, the defendant's activities in the forum state. Id. at 1280-81. In this case, Plaintiffs have not made a prima facie showing that Little engaged in "continuous and systematic contacts" with the state of Minnesota that would subject him to the exercise of general jurisdiction. Accordingly, the Court will focus on whether Little would properly be subject to specific jurisdiction.
Little argues that he had insufficient contacts with Minnesota to justify the maintenance of personal jurisdiction over him. He states that he has only traveled to Minnesota twice on matters unrelated to this action and that he conducts no business in Minnesota. As to his contacts with Defendant Wyman, Little asserts that such contacts were not sufficient to impose personal jurisdiction. Any contact he had with Wyman was over the phone, via mail, e-mail or the Internet, and that such contact is not sufficient for jurisdictional purposes. The website was created and maintained in Minnesota, and he only agreed to maintain the website from Canada for a limited period of time.
Little further argues that Minnesota has no interest in providing a forum for the claims against him. Because the website was used merely as a forum for the expression of opinions concerning the Brethren, there were no commercial aspects to the site at all, thus no Minnesota consumers to protect. Further, the Complaint does not involve any allegations of harm to a Minnesota resident.
In response, Plaintiffs argue that Little did more than maintain the website for a limited amount of time. Plaintiffs allege that Little and his wife own Metrex Systems Consulting, Inc., which is an Internet server and computer software provider. From mid 2003 until early 2004, Wyman's website was allegedly hosted on the Metrex System. Plaintiffs further allege that the Defendants planned to slowly shift the website from Wyman to Little in order to allegedly avoid legal action by Plaintiffs. Little is also alleged to have created and maintained his own web site, similar to Wyman's, in an attempt to protect Wyman from suit. However, this site was shut down after a short time, but contained a link to another site that discusses the Brethren.
As noted above, Minnesota's long-arm statute has been interpreted to be coextensive with the limits of due process. With regard to claims of defamation, however, the long-arm statute controls. Northwest Airlines, Inc. v. Friday, 617 N.W.2d 590, 593 (Minn.App.2000). Minnesota's long arm statute provides that a Minnesota court may exercise personal jurisdiction over a non-resident defendant when such defendant commits an act outside of the state of Minnesota causing injury in Minnesota, except no jurisdiction shall be found if "the cause of action lies in defamation or privacy." Minn.Stat. § 543.19, subd. 1(a)(3)(1998). In Friday, the Minnesota Court of Appeals held that e-mails containing allegedly defamatory comments, originating outside of Minnesota to Minnesota recipients, was not an act committed in Minnesota for purposes of Section 543.19, subd. 1(a)(3).
The act that Friday performed was sending allegedly defamatory e-mail press releases. When she committed that act, she was in Washington, not Minnesota. Because Friday committed an act outside Minnesota that allegedly caused damage inside the state, the relevant provision of the long-arm statute is subdivision 1(d), with its explicit exception for defamation actions. As a result, the district court was correct to conclude that it lacked personal jurisdiction over Friday for Northwest's defamation claim.
Id. at 594. See also, Jets Prolink Cargo, Inc. v. Brenny Transportation, Inc., 2003 WL 22047910, *4 (D.Minn.2003)( Friday, supra, no personal jurisdiction over defendant who was alleged to have made defamatory telephone call from outside of Minnesota); Bar-Meir v. Walker, 2002 WL 832613, *2 (D.Minn.2002)( Friday, supra, no personal jurisdiction over defendant who sent two e-mails that were allegedly defamatory from outside of Minnesota).
In this case, Plaintiffs argue that Little's involvement with Wyman's website was conduct committed in Minnesota, as the site was originally hosted from Minnesota. This argument, however, does not appear to be consistent with the applicable Minnesota law. Although the allegedly defamatory site at issue in this case originated in Minnesota, Little's "acts" in maintaining the site were committed in Winnipeg, where his computer was located. Accordingly, as to the defamation claim, Plaintiffs have not established that this Court has personal jurisdiction over Little.
With respect to the copyright infringement and business interference claims, Plaintiffs argue that sufficient minimum contacts exist by virtue of Little's participation and maintenance of the Wyman website, as well as his own website. In determining whether the maintenance of an internet website is sufficient to confer personal jurisdiction over a non-resident defendant, many courts, including the Eighth Circuit, have adopted an "Internet-based specific...
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