Patrick v. Massachusetts Port Authority, CIV 00-554-JD.

• Citation: 141 F.Supp.2d 180
• Decision Date: 24 April 2001
• Docket Number: No. CIV 00-554-JD.,CIV 00-554-JD.
• Parties: Dorothy PATRICK v. MASSACHUSETTS PORT AUTHORITY, et al.
• Court: U.S. District Court — District of New Hampshire

141 F.Supp.2d 180

Dorothy PATRICK v. MASSACHUSETTS PORT AUTHORITY, et al.

No. CIV 00-554-JD.

United States District Court, D. New Hampshire.

April 24, 2001.

COPYRIGHT MATERIAL OMITTED

Thomas A. Rappa, Jr., Woodsville, NH, for plaintiff.

John C. LaLiberte and Frank J. Bailey, Sherin & Lodgen LLP, Boston, MA, for defendant Massachusetts Port Authority.

Rodney E. Gould, Brad A. Compston, Rubin, Hay & Gould, P.C., Framingham, MA, Margaret H. Nelson, Sulloway & Hollis, Concord, NH, for defendant Collette Travel Service, Inc.

Richard P. Campbell, Russell X. Pollock, Campbell Campbell & Edwards, Boston, MA, for defendant Northwest Airlines, Inc.

Garry R. Lane, Ransmeier & Spellman, Concord, NH, for defendant Business Express Airlines.

ORDER

DiCLERICO, District Judge.

The plaintiff, Dorothy Patrick, fell while walking through a "restricted area" of Logan Airport with a tour group when the group was transferring between planes. Patrick alleges negligence claims against the Massachusetts Port Authority ("Massport"), Collette Tours, Inc., Northwest Airlines, Inc., and AMR Corporation. The plaintiff alleges subject matter jurisdiction based on diversity of citizenship pursuant to 28 U.S.C.A. § 1332. Massport, Northwest Airlines, and AMR have moved to dismiss, for lack of both subject matter and personal jurisdiction. Collette moves to dismiss or for summary judgment as to the claims brought against it. The plaintiff objects. The motions are resolved as follows.

A. Motions to Dismiss for Lack of Subject Matter Jurisdiction

AMR Corporation, Northwest Airlines, and Business Express filed motions to dismiss for lack of subject matter jurisdiction. In the original complaint, filed on December 1, 2000, Patrick alleged subject matter jurisdiction based on diversity of citizenship, 28 U.S.C.A. § 1332. In support of jurisdiction, however, Patrick alleged that defendant Business Express had its principal place of business in Dover, New Hampshire, and that she is a New Hampshire resident. Therefore, Patrick's jurisdictional allegations did not allege complete diversity.

Business Express stated in its corporate disclosure statement filed on January 16, 2001:

At the time this lawsuit was brought, Business Express Airlines, Inc. existed as a separate entity. Subsequent to this suit being filed, Business Express Airlines, Inc. was merged into American Eagle Airlines, Inc. effective December 31, 2000, and ceased to separately exist. American Eagle Airlines, Inc. is a subsidiary of AMR Eagle Holding Corporation which, in turn, is a subsidiary of AMR Corp. AMR Corp. is the only related corporation that issues stock to the public.

Doc. no. 19. In response, Patrick filed a motion to amend her complaint, stating that the information about Business Express in the original complaint was not correct and seeking to amend to drop Business Express and to add AMR Corporation in its place. The motion was granted and the amended complaint was filed on February 15, 2001.¹ Business Express is no longer a party in the amended complaint, and in its place, Patrick names AMR Corporation, alleging:

The defendant, AMR Corp. is a successor to Business Express Airlines, Inc., and is a foreign corporation, having a principal place of business at P.O. Box 619616, Mail Drop 5494, D.F.W. Airport, Dallas/Fort Worth, Texas 75261. Prior to being acquired by AMR Corp., Business Express Airlines, Inc. was a Delaware corporation having a principal place of business at 4333 Amon Cutter, Forth Worth, TX 756155[sic].

Am. Compl. ¶ 6.

Northwest and Business Express both challenge the jurisdictional allegations in the original complaint, which has now been superseded by the amended complaint, in which Business Express is no longer a party. See Boelens v. Redman Homes, Inc., 759 F.2d 504, 508 (5th Cir.1985); Int'l Controls Corp. v. Vesco, 556 F.2d 665, 668 (2d Cir.1977). AMR Corporation, which was added as a party in the amended complaint, challenges subject matter jurisdiction on the ground that complete diversity did not exist when the action commenced and that the jurisdictional defect cannot be cured by subsequent events.

The existence of federal subject matter jurisdiction based on complete diversity is ordinarily determined at the time the complaint is filed. See Freeport-McMoRan, Inc. v. K.N. Energy, Inc., 498 U.S. 426, 428, 111 S.Ct. 858, 112 L.Ed.2d 951 (1991); Newman-Green, Inc. v. Alfonzo-Larrain, 490 U.S. 826, 830, 109 S.Ct. 2218, 104 L.Ed.2d 893 (1989). If, as Patrick alleges, her original jurisdictional allegations were erroneous because Business Express then had its principal place of business in Texas, not New Hampshire, complete diversity existed at that time and the jurisdictional statement may be corrected by amendment.² See 28 U.S.C.A. § 1653; Newman-Green, 490 U.S. at 826, 109 S.Ct. 2218. On the other hand, if complete diversity was lacking when the action commenced, jurisdiction did not exist and cannot be corrected by subsequent events or amendment. See id. at 831-32, 109 S.Ct. 2218.

Nevertheless, a jurisdictional defect due to a lack of diversity may be cured by dismissing a nondiverse dispensable party from the action pursuant to Federal Rule of Civil Procedure 21. See id. at 832-34, 109 S.Ct. 2218; see also Casas Office Mach., Inc. v. Mita Copystar Am., Inc., 42 F.3d 668, 675 (1st Cir.1994). Since Business Express no longer exists, and did not exist when the amended complaint was filed, it is a dispensable party. See Fed.R.Civ.P. 19(b). Therefore, the court is satisfied that subject matter jurisdiction based on diversity of citizenship exists as alleged in the amended complaint.

B. Massport — Motion to Dismiss for Lack of Personal Jurisdiction

Massport moves to dismiss the claims against it for lack of personal jurisdiction. "It is well established in diversity cases that the district court's personal jurisdiction over a nonresident defendant is governed by the forum's long-arm statute." Sawtelle v. Farrell, 70 F.3d 1381, 1387 (1st Cir.1995) (internal quotation omitted). Under New Hampshire law, Revised Statutes Annotated ("RSA") 293-A:15.10 is the applicable statutory authority for personal jurisdiction. RSA 293-A:15.10 authorizes jurisdiction to the extent permitted by the due process clause of the Constitution. See Sawtelle, 70 F.3d at 1388. Due process precludes a court from exercising personal jurisdiction unless "the defendant's conduct and connection with the forum State are such that [the defendant] should reasonably anticipate being haled into court there." World-Wide Volkswagen Corp. v. Woodson, 444 U.S. 286, 297, 100 S.Ct. 559, 62 L.Ed.2d 490 (1980).

The plaintiff bears the burden of demonstrating that jurisdiction exists. See Mass. Sch. of Law at Andover, Inc. v. Am. Bar Ass'n, 142 F.3d 26, 34 (1st Cir.1998). When the issue is presented without an evidentiary hearing, the analysis proceeds under a prima facie standard. See Foster-Miller, Inc. v. Babcock & Wilcox Canada, 46 F.3d 138, 147 (1st Cir.1995). Even under a prima facie standard, however, the plaintiff must proffer sufficient facts in opposition to the defendant's motion, supported by evidentiary materials, to demonstrate the existence of jurisdiction. See Barrett v. Lombardi, 239 F.3d 23, 27 (1st Cir.2001). Personal jurisdiction may be based on a theory of specific or general jurisdiction, depending on the nature of the defendant's contacts with the forum. See Pritzker v. Yari, 42 F.3d 53, 59 (1st Cir.1994).

In this case, Patrick asserts general, rather than specific, jurisdiction. The degree of contact with the forum necessary to support general personal jurisdiction is high. See Helicopteros Nacionales de Colombia v. Hall, 466 U.S. 408, 414, 104 S.Ct. 1868, 80 L.Ed.2d 404 (1984); see also Donatelli v. Nat'l Hockey League, 893 F.2d 459, 463 (1st Cir.1990) ("`[T]he standard for general jurisdiction is considerably more stringent' than the standard for specific jurisdiction." quoting Glater v. Eli Lilly & Co., 744 F.2d 213, 216 (1st Cir. 1984)). To support general jurisdiction, the plaintiff must show that the defendant had continuous and systematic contacts with or linkage to the forum state. See Phillips Exeter Acad. v. Howard Phillips Fund, 196 F.3d 284, 288 (1st Cir.1999).

Massport has its principal place of business in East Boston, Massachusetts, and owns and operates facilities in Massachusetts, including Logan Airport. Massport does not maintain any place of business or facilities or own property in New Hampshire. Massport has not registered to do business in New Hampshire, does not transact business in New Hampshire, and does not have employees working in New Hampshire.

Patrick, nevertheless, contends that Massport has continuous and systematic contacts with New Hampshire because it promotes Logan Airport as "the gateway to New England," because a significant number of New Hampshire residents use Logan, and because Massport has encouraged increased use of the Manchester Airport in New Hampshire as part of a regionalized approach to New England's transportation needs.³

In Helicopteros, the Supreme Court held that a visit to the forum state by the chief executive officer of the defendant company to negotiate a business contract, purchase of helicopters by the defendant from a company in the forum, training of the defendant's pilots in the forum, transportation of the helicopters from the forum by the defendant's pilots, visits of the defendant's plant management personnel to the forum for consultation, and payments to the defendant company made from the forum were not sufficient contacts to support general jurisdiction. See 466 U.S. at 416-19, 104 S.Ct. 1868. The First Circuit has not found that business contact with a forum state, primarily based on advertising, is sufficient to justify the exercise of general personal jurisdiction. See Noonan v. Winston Co., 135 F.3d 85, 93 (1st Cir. 1998) (discussing Donatelli, 893 F.2d at 471 and Glater, 744...