In re Honda Mfg. & Dev. of Ala.

• Docket Number: CL-2022-1217
• Decision Date: 10 March 2023
• Citation: 383 So.3d 394
• Parties: EX PARTE HONDA MANUFACTURING AND DEVELOPMENT OF ALABAMA, LLC (In re: Dennis G. Allison v. Honda Manufacturing and Development of Alabama, LLC)
• Court: Alabama Court of Civil Appeals

383 So.3d 394

EX PARTE HONDA MANUFACTURING AND DEVELOPMENT OF ALABAMA, LLC

(In re: Dennis G. Allison

v.Honda Manufacturing and Development of Alabama, LLC)

CL-2022-1217

Court of Civil Appeals of Alabama.

March 10, 2023

Lee Sims of Thornton Carpenter O’Brien Lawrence Sims & Kulovitz, Talladega, for petitioner.

Donald R. Rhea of The Rhea Firm, Gadsden, for respondent.

HANSON, Judge.

Honda Manufacturing and Development of Alabama, LLC ("Honda"), petitions this court for a writ of mandamus directing the Etowah Circuit Court ("the circuit court") to change the venue of the underlying action, workers’ compensation case, to Talladega County. In the underlying action, Dennis Allison ("Dennis") allegedly sustained an injury while working at Honda’s automobile-manufacturing facility located in Talladega County. Dennis resided in Etowah County and filed a complaint for worker’s compensation benefits against Honda in the Etowah Circuit Court. Honda then filed its motion to transfer venue, which the circuit court denied. For the reasons discussed herein, we grant the petition and issue the writ.

Background

The materials submitted in support of and in opposition to the petition for a writ of mandamus indicate the following factual background. On April 26, 2022, Dennis sued Honda in Etowah County, where he resided, after he sustained injuries to his lower back while working in Honda’s manufacturing facility located in Talladega County. Dennis alleged that he was working in the line and scope of his employment when he was injured and sought benefits under the Alabama’s Workers’ Compensation Act, § 25-5-1, et seq., Ala. Code 1975. On June 15, 2022, Honda filed its motion to change venue, averring that Etowah County was an improper venue pursuant to § 6-3-7(a)(3), Ala. Code 1975, because, Honda said, the events giving rise to Dennis’s claim occurred in Talladega County; its principal office in Alabama was located in Talladega County; it sells all of its automobiles to a separate legal entity, and it did not conduct "business by agent" in Etowah County. In the alterative, Honda argued that if Etowah County is a proper venue, the most convenient venue is Talladega County under the doctrine of forum non conveniens.

In support of its contention that it did not conduct business by agent in Etowah County, Honda attached the affidavit of Michael Gaines, Division Leader of Honda’s manufacturing planning and control division, which provides, in pertinent part:

"1. I am the Division Leader of the Manufacturing Planning and Control Division for Honda Development and Manufacturing of America, LLC (hereinafter ‘HDMA’) the defendant in the above matter.

"2. HDMA is a corporation that is organized and existing under the laws of the State of Ohio. HDMA’s Alabama headquarters, principal place of business and principal Alabama office is located at 1800 Honda Drive, Lincoln, Talladega County, Alabama.

"3. HDMA’s only manufacturing facility in the State of Alabama is located at 1800 Honda Drive, Lincoln, Talladega County, Alabama. The plaintiff’s employment with the defendant was located at HDMA’s manufacturing facility in Talladega County, and any alleged work injury would have occurred there as well.

"4. The vehicles manufactured for sale at the manufacturing facility in Lincoln, Alabama are sold [by] American Honda Motor Company, Inc. (hereinafter ‘AHMCI’). AHMCI is a separate legal entity with its principal place of business in Torrance, CA.

"5. HDMA is not involved in and does not control the distribution or sale of the Honda vehicles it manufactures to consumers anywhere in Alabama or the world. For all the vehicles sold in Alabama and the United States, AHMCI takes delivery, title, and possession of the vehicles and AHMCI arranges for transportation, delivery and the sale of all vehicles in the United States.

"6. HDMA has no relationship, contractual or otherwise, with any Honda dealership located in Alabama, nor does HDMA have any control over the actions, rights or obligations of any such dealers.

"7. HDMA does have at least one vendor in Etowah County, Alabama that provides some parts or services used in the operation of its business or the manufacture of its vehicles. Any services rendered or parts supplied by these vendors or any other vendors are performed at or delivered to the manufacturing plant at 1800 Honda Drive, Lincoln, Talladega County, AL. HDMA does not take delivery of parts from any vendors at any location other than 1800 Honda Drive, Lincoln, Talladega County, AL. HDMA does not have any ownership interests in any parts supplier in Etowah County, Alabama and upon information and belief these vendors are separate legal entities.

"8. HDMA does not do business by agent in Etowah County, Alabama."

On August 31, 2022, Gaines’s deposition was taken. On October 7, 2022, Dennis filed a response with supporting evidence in opposition to Honda’s motion to change venue. Dennis included parts of Gaines’s deposition which stated that Honda was in an active property-lease arrangement with the City of Gadsden in Etowah County pursuant to which Honda paid a total of $22,469.88 per month for the lease of a warehouse space that stores its shipping racks and containers. According to Gaines, the shipping racks and containers stored in Etowah County had been previously used for shipping parts from automobile-part manufacturers to Honda’s manufacturing facility and are stored all over North America, but, Gaines testified, the shipping racks and containers are no longer being used by Honda. Gaines also testified that all the automobiles that Honda produces are sold exclusively to a separate legal entity and that Honda has no involvement in the distribution or sale of those automobiles.

Dennis also included a tangible personal-property tax return filed by Honda. The tax return provided that Honda pays personal-property tax to Etowah County for the value of the items stored in the warehouse.

[1–5] On October 12, 2022, and October 21, 2022, the circuit court held a hearing on the motion to change venue. After the hearing, the circuit court denied Honda’s motion to transfer venue on October 21, 2022. Thereafter, Honda timely filed its petition for a writ of mandamus.

Standard of Review

"Mandamus is an extraordinary remedy. An appellate court will grant a petition for a writ of mandamus only when ‘(1) the petitioner has a clear legal right to the relief sought; (2) the respondent has an imperative duty to perform and has refused to do so; (3) the petitioner has no other adequate remedy; and (4) this Court’s jurisdiction is properly invoked.’ Ex parte Flint Constr. Co., 775 So. 2d 805, 808 (Ala. 2000) (citing Ex parte Mercury Fin. Corp., 715 So. 2d 196, 198 (Ala. 1997)). Review by mandamus is not appropriate where the petitioner has another adequate remedy, such as an appeal. Ex parte Jackson, 780 So. 2d 681 (Ala. 2000); Ex parte Inverness Constr. Co., 775 So. 2d 153 (Ala. 2000); Ex parte Walters, 646 So. 2d 154 (Ala. Civ. App. 1994)."

Ex parte Amerigas, 855 So. 2d 544, 546-47 (Ala. Civ. App. 2003).

" ‘The burden of proving improper venue is on the party raising the issue and on review of an order transferring or refusing to transfer, a writ of mandamus will not be granted unless there is a clear showing of error on the part of the trial judge.’ Ex parte Finance America Corp., 507 So. 2d 458, 460 (Ala. 1987). In addition, this Court is bound by the record, and it cannot consider a statement or evidence in a party’s brief that was not before the trial court. Ex parte American Res. Ins. Co., 663 So. 2d 932, 936

(Ala. 1995)."

Ex parte Pike Fabrication, Inc., 859 So. 2d 1089, 1091 (Ala. 2002).

Analysis

In its motion to transfer venue, Honda relied upon § 6-3-7, Ala. Code 1975, which generally governs venue in actions against corporations.¹ Honda avers that, because it did not conduct business by agent in Etowah County, Etowah County is an improper venue. Honda also asserts that even if venue is proper in Etowah County, the action should be transferred to Talladega County under the doctrine of forum non conveniens. Based on our resolution of Honda’s first argument, we pretermit discussion of the second argument.

[6] Pursuant to § 25-5-81(a)(1), Ala. Code 1975, a workers’ compensation action may be filed in "the circuit court of the county which would have jurisdiction of a civil action in tort between the parties." Venue for a civil action against domestic corporations is governed by § 6-3-7(a), Ala. Code 1975, which provides:

"(a) All civil actions against corporations may be brought in any of the following counties:

"(1) In the county in which a substantial part of the events or omissions giving rise to the claim occurred, or a substantial part of real property that is the subject of the action is situated; or

"(2) In the county of the corporation’s principal office in this state; or

"(3) In the county in which the plaintiff resided, or if the plaintiff is an entity other than an individual, where the plaintiff had its principal office in this state, at the time of the accrual of the cause of action, if such corporation does business by agent in the county of the plaintiff’s residence; or

"(4) If subdivisions (1), (2), or (3) do not apply, in any county in which the corporation was doing business by agent at the time of the accrual of the cause of action."

The materials submitted to this court indicate that Honda is a manufacturing company that manufactures automobiles at its facility in Talladega County. Honda’s principal place of business in Alabama is its manufacturing facility located in Talladega County. Although Honda does not maintain any corporate offices or manufacturing facilities in Etowah County, Honda purchases parts and services from multiple suppliers located in Etowah County and leases warehouse space in Etowah County. Dennis is a resident of Etowah County. He was employed as an assembly worker at Honda’s manufacturing facility when he...