Kircos v. Goodyear Tire & Rubber Co.
| Decision Date | 10 August 1976 |
| Docket Number | Docket No. 25916 |
| Parties | Louis KIRCOS and Donald James Brodowicz, Plaintiffs-Appellees, v. GOODYEAR TIRE AND RUBBER COMPANY, a Foreign Corp., et al., Defendants, and Carl A. Haas Automobile Imports, Inc., a Foreign Corp., Defendant-Appellant. |
| Court | Court of Appeal of Michigan — District of US |
Stellberger, Aisenstein & Green by Lowell C. Stellberger, Detroit, for defendant-appellant.
Clark Klein, Winter, Parsons & Prewitt by James C. Van Dyke and David M. Hayes, Detroit, for plaintiffs-appellees.
William J. Petersmark, Southfield, for Goodyear.
Joseph J. Bileti, Detroit, for Roger Penske.
Carson C. Grunwald, Detroit, for Lola Cars.
W. P. Cooney, Southfield, for Club.
Before J. H. GILLIS, P.J., and T. M. BURNS and VanVALKENBURG, * JJ.
The plaintiffs, Michigan residents, were injured in Wisconsin when a tire on a car imported by defendant Haas exploded while being inflated. The defendant, an Illinois corporation, is not licensed to do business in Michigan, has no place of business in Michigan, has no resident agent in Michigan, and does not own real or tangible property in Michigan. Defendant moved to dismiss the complaint and quash service of process alleging lack of jurisdiction by Michigan courts. Upon the denial of its motion, the defenant takes the instant appeal on leave granted by this Court.
The sole issue on appeal is whether the defendant is subject to the jurisdiction of the Michigan courts.
M.C.L.A. § 600.711(3); M.S.A. § 27A.711(3) provides:
'The existence of any of the following relationships between a corporation and the state shall constitute a sufficient basis of jurisdiction to enable the courts of record of this state to exercise general personal jurisdiction over the corporation and to enable such courts to render personal judgments against the corporation.
'(3) The carrying on of a continuous and systematic part of its general business within the state.'
Thus, the question for resolution is whether the defendant carried on a 'continuous and systematic' part of its general business in Michigan.
The facts show that the defendant solicited sales in Michigan by direct mail, advertising media, personal contact, and automobile races. It also maintained a dealer in Michigan. Furthermore, it realized an average of 2.78% Of its total revenue during 1970--1974 from Michigan customers and 1.67% Of its total revenue ($32,117) in the year preceding this action. Also, among the defendant's customers were some of Michigan's large industries.
June v. Vibra Screw Feeders, Inc., 6 Mich.App. 484, 491--492, 149 N.W.2d 480, 483 (1967), holds:
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...of general personal jurisdiction or specific (limited) personal jurisdiction. See Jeffrey, supra, and Kircos v. Goodyear Tire & Rubber Co., 70 Mich.App. 612, 613-614, 247 N.W.2d 316 (1976). The exercise of general jurisdiction is possible when a defendant's contacts with the forum state are......
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