Shepard v. Rheem Mfg. Co.

Decision Date28 January 1959
Docket NumberNo. 241,241
Citation106 S.E.2d 704,249 N.C. 454
CourtNorth Carolina Supreme Court
PartiesKathryn P. SHEPARD v. RHEEM MANUFACTURING COMPANY, Piedmont Natural Gas Company, Inc., and Ervin Construction Company, Inc.

Robinson, Jones & Hewson, Charlotte, for defendants appellants.

Blakeney & Alexander, Ernest W. Machen, Jr., Payne & Hedrick, Charlotte, for plaintiff appellee.

WINBORNE, Chief Justice.

Appellant states this as the question involved on this appeal: 'Upon the facts found by the Superior Court Judge, did the court err in holding that the defendant Rheem Manufacturing Company is subject to in personam jurisdiction of the court?'

And it is stated in appellant's brief filed in this Court that 'the primary errors complained of consist in reaching the wrong legal result upon findings of fact to which no exception is taken.'

In this connection it is provided by statute in this State, G.S. § 55-145, in respect to jurisdiction over foreign corporations, not transacting business in this State, that:

'(a) Every foreign corporation shall be subject to suit in this State, by a resident of this State or by a person having a usual place of business in this State, whether or not such foreign corporation is transacting or has transacted business in this State and whether or not it is engaged exclusively in interstate or foreign commerce, on any cause of action arising * * * (3) out of the production, manufacture, or distribution of goods by such corporation with the reasonable expectation that those goods are to be used or consumed in this State and are so used, or consumed regardless of how or where the goods were produced, manufactured, marketed, or sold or whether or not through the medium of independent contractors or dealers * * *.'

Applying the provisions of this statute, G.S. § 55-145(a) (3), to the facts found by the court, it seems clear that the Legislature in enacting the statute had in mind just such situation as that involved here. For as is succinctly stated by appellee in her brief, 'The plaintiff is a resident of this State, and the appellant is a foreign corporation engaged in manufacturing, producing, and assembling gas water heaters and various other appliances for use in the home. Through the efforts of its agents residing and working in the State, the appellant ships large quantities of these appliances to North Carolina with the reasonable expectation that they will be installed and used in the homes of the people of this State, and they are so used. The acts of negligence upon which the plaintiff bases her cause were committed by the appellant in the course of this very activity, that is, her injuries came about through the negligence of the appellant in manufacturing and producing a defective gas water heater and in causing it to be shipped into this State where it was installed and used in the plaintiff's home until, by reason of the defect, the gas explosion occurred,' inflicting upon her serious personal injury.

Manifestly, therefore, upon the...

To continue reading

Request your trial
13 cases
  • Etzler v. Dille and McGuire Manufacturing Company
    • United States
    • U.S. District Court — Western District of Virginia
    • December 23, 1965
    ...Miller, 11 Ill.2d 378, 143 N.E.2d 673 (1957); Adamek v. Michigan Door Co., 260 Minn. 54, 108 N.W.2d 607 (1961); Shepard v. Rheem Mfg. Co., 249 N.C. 454, 106 S.E.2d 704 (1959); Smyth v. Twin State Improvement Corp., 116 Vt. 569, 80 A.2d 664, 25 A.L.R.2d 1193 This court upholds the constituti......
  • St. Clair v. Righter
    • United States
    • U.S. District Court — Western District of Virginia
    • January 19, 1966
    ...Miller, 11 Ill.2d 378, 143 N.E. 2d 673 (1957); Adamek v. Michigan Door Co., 260 Minn. 54, 108 N.W.2d 607 (1961); Shepard v. Rheem Mfg. Co., 249 N.C. 454, 106 S.E.2d 704 (1959); Smyth v. Twin State Improvement Corp., 116 Vt. 569, 80 A.2d 664, 25 A.L.R.2d 1193 (1951). See also the cases cited......
  • Sledge v. Miller
    • United States
    • North Carolina Supreme Court
    • January 28, 1959
  • Belk v. Belk's Dept. Store of Columbia, S. C., Inc.
    • United States
    • North Carolina Supreme Court
    • April 15, 1959
    ...do not immunize Department Store from service of process and in personam judgments by the courts of this State. Shepard v. Rheem Manufacturing Co., 249 N.C. 454, 106 S.E.2d 704; Painter v. Home Finance Co., 245 N.C. 576, 96 S.E.2d 731; Harrington v. Craft Steel Products, Inc., 244 N.C. 675,......
  • Request a trial to view additional results

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT