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Williams v. Lakeview Co.

11/9/2000

controversy; even if the forum State is the most convenient location for litigation, the Due Process Clause, acting as an instrument of interstate federalism, may sometimes act to divest the State of its power to render a valid judgment. World-Wide Volkswagen, 444 U.S. at 283-84, 100 S. Ct. at 557-58.


The relationship among Lakeview, Arizona, and the plaintiffs' claim does not permit Arizona to exercise specific jurisdiction.


IV.


For the foregoing reasons, we vacate the opinion of the court of appeals, and affirm the trial court's judgment.


Ruth V. McGregor, Justice


CONCURRING:


Frederick J. Martone, Justice


John Pelander, Judge* *Vice Chief Justice Charles E. Jones did not participate in the determination of this matter. Pursuant to article VI, section 3 of the Arizona Constitution, the Honorable John Pelander, Judge of the Arizona Court of Appeals, Division Two, was designated to sit in his stead.


ZLAKET, Chief Justice, dissenting.


I believe the court of appeals' opinion is correct and would not disturb it.


I.


The majority's analysis too narrowly relies on causal nexus as the linchpin of specific jurisdiction. Such a strict approach invites absurd and unjust results. Consider this hypothetical: Suppose another Arizona resident was intentionally or negligently overserved with alcohol by the defendant's casino on the day of the accident. After crossing the border to go home, this person was also involved in a collision and sustained serious injuries. Unlike the plaintiffs, however, he claims to have been drawn to the casino by an advertisement in the Cerbat Gem. Under the majority's approach as I understand it, our hypothetical motorist could likely sue Lakeview in Arizona, even though the plaintiffs cannot. This would be so despite the fact that Lakeview's activities were exactly the same in each case. Due process, in my judgment, cannot rest on such a weak distinction.


The focus of any due process analysis must be on the defendant's conduct. The majority turns this principle on its head by concentrating instead on the reasons for the plaintiffs' behavior. But it is fairness to the defendant that lies at the heart of the inquiry. See Helicopteros Nacionales de Colombia v. Hall, 466 U.S. 408, 427, 104 S.Ct. 1868, 1879 (1984) (Brennan, J., dissenting) ("At least since International Shoe . . . . the principal focus . . . has been on fairness and reasonableness to the defendant.") (citation omitted). I submit that there would be no difference in fairness if we were to require the casino to appear and defend in Arizona against either our hypothetical citizen or these very real plaintiffs.


"When a controversy is related to or 'arises out of' a defendant's contacts with the forum, the [Supreme] Court has said that a 'relationship among the defendant, the forum, and the litigation' is the essential foundation of in personam jurisdiction." Helicopteros, 466 U.S. at 414, 104 S.Ct. at 1872 (quoting Shaffer v. Heitner, 433 U.S. 186, 204, 97 S.Ct. 2569, 2579 (1977)). The test to be applied is whether the claim "is related to or 'arises out of'" contacts with this state. Id. (emphasis added). The Supreme Court's use of the disjunctive "or" between "arises out of" and "related to" suggests that these two phrases refer to "substantial differen . . . standards for asserting specific jurisdiction." Id. at 425, 104 S. Ct. at 1878 (Brennan, J., dissenting). The majority in Helicopteros declined to pursue this distinction because the case was framed only in terms of "continuous and systematic" contacts required for a finding of general jurisdi

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