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Larry L. Anderson, D/B/A Larry L. Anderson, Architect v. M. E. (Panama) Shiflett

Larry L. ANDERSON, D/B/A Larry L. Anderson, Architect, Plaintiff-Appellant, v. M. E. (Panama) SHIFLETT, Defendant-Appellee

Anderson v. M. E. (Panama) Shiflett, 435 F.2d 1036 (10th Cir. 1971)
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Court
Court of Appeals for the Tenth Circuit · U.S. Courts of Appeals
Decided
January 4, 1971
Docket
No. 241-70
Judges
Pickett, Breitenstein, Seth
Citations
435 F.2d 103614 Fed. R. Serv. 2d 10341971 U.S. App. LEXIS 12593

Opinion — Breitenstein

BREITENSTEIN, Circuit Judge.

The question presented is whether the federal district court acquired jurisdiction over the person of the defendant under the Oklahoma long arm statutes. The district court quashed the service of summons and dismissed the action.

Plaintiff-appellant Anderson, a citizen of Oklahoma, brought this diversity action on a 1967 contract for the performance of services by him as an architect. Defendant-appellee Shiflett is a citizen of Texas. The contract was made in *1037 Texas and covers projects located in Texas. The plaintiff says that he completed through the “Design Development Phase” of one project and the “Schematic Design Phase” of another, that all of the work with regard thereto was done in his Oklahoma City office, and that the defendant has abandoned the projects and refused payment of money due. The contract provided that it “shall be governed by the law of the principal place of business of the Architect.”

The defendant was served personally by a deputy United States Marshal in Texas. In support of his motion to quash and dismiss, defendant submitted an affidavit in which he affirms his Texas citizenship and residence and says that:

“He has not been in the Western District of Oklahoma since sometime in 1964; that he has never been in Plaintiff’s office in Oklahoma City; and did not meet with him at any place in Oklahoma relative to the matter involved in this Civil Action.”

Defendant urges that, in a contract action between private parties with jurisdiction dependent solely on diversity, extraterritorial service is not permitted by any federal statute or by the Federal Rules of Civil Procedure. Plaintiff relies on Rule 4(d) (7), F.R.Civ.P., which authorizes service “in the manner prescribed by the law of the state in which the district court is held.” Defendant cites Smith v. Alexandrian, N.D.Ill., 30 F.R.D. 553 , and says that Rule 4(d) relates to how service may be made and Rule 4(f) determines where service may be made and forbids extraterritorial service. The Alexandrian case was decided before the 1963 amendments to Rule 4 and was repudiated in Metropolitan Sanitary District of Greater Chicago v. General Electric Company, N.D.Ill., 35 F.R.D. 131 . Whatever confusion may exist because of the wording of Rule 4(d) (7) and Rule 4(e) and (f) relating to extraterritorial service, we believe that the clear intent is to permit such service when provided by state law. See 4 Fed.Praet. & Pro., § 1113, p. 466, and 2 Moore’s Federal Practice ¶ 4.41-1 [2], p. 1291.24 and ¶ 4.41-1 [3], p. 1291.56.

Section 187(a) (1), 12 O.S. (1969 Supp.) authorizes extraterritorial service when the cause of action arises from the “transaction of any business within the “State”; and § 1701.03(a) (1), 12 O.S. (1969 Supp.) empowers a court to exercise personal jurisdiction over a claim for relief against a person when that claim arises from the person’s “transacting any business in this state.”

Plaintiff depends confidently on McGee v. International Life Insurance Co., 355 U.S. 220 , 78 S.Ct. 199 , 2 L.Ed.2d 223 , where the court applied the California long arm statute to uphold a personal judgment against an insurance company. McGee is one of the progeny of International Shoe Co. v. Washington, 326 U.S. 310 , 66 S.Ct. 154 , 90 L.Ed. 95 , which established the standard of “minimum contacts” with assurance of “fair play and substantial justice,” ibid, at 316, 66 S.Ct. at 158 , as determinative of the amenability of a foreign corporation to suit. We reviewed those cases in Curtis Publishing Company v. Cassel, 302 F.2d 132, 135-136 , and said that “leaving every case to its own facts, to constitute doing business a nonresident corporation’s activities must be substantial, continuous, and regular as distinguished from casual, single, or isolated.” See also Steinway v. Majestic Amusement Co., 10 Cir., 179 F.2d 681, 682-684 , cert. denied 339 U.S. 947 -948, 70 S.Ct. 802 , 94 L.Ed. 1362 .

The Oklahoma Supreme Court considered the problem in Crescent Corporation v. Martin, Okl., 443 P.2d 111, 115 , and said that the “question of application of the long-arm statute * * * depends on the totality of the contacts with Oklahoma.” The court held that an employment contract for consulting services with a corporation not licensed or doing business in Oklahoma was not the transaction of business within the contemplation of § 187 of the Oklahoma statutes.

*1038 Plaintiff puts much emphasis on the decision in Electro-Craft Corporation v. Maxwell Electronics Corporation, 8 Cir., 417 F.2d 365 , which applied the International Shoe Company minimum contact standard in upholding Minnesota jurisdiction in a case by a Minnesota corporate buyer against a Texas corporate seller. The court pointed out that although the contract was made in Texas “contractual consequences were reasonably anticipated in Minnesota.” Ibid, at 369.

In the case at bar we are not concerned with corporate responsibility but rather with the performance of a contract made by two private individuals for the performance of architectural services. The reference in McGee to the trend “toward expanding the permissible scope of state jurisdiction over foreign corporations and other nonresidents,” supra, 355 U.S. at 222 , 78 S.Ct. at 201 , may indicate that there is no difference between corporate and noncorporate activity. Be that as it may, the Supreme Court said in Hanson v. Denckla, 357 U.S. 235, 253 , 78 S.Ct. 1228, 1239 , 2 L.Ed.2d 1283 , that:

“The unilateral activity of those who claim some relationship with a nonresident defendant cannot satisfy the requirement of contact with the forum State. The application of that rule will vary with the quality and nature of the defendant’s activity, but it is essential in each case that there be some act by which the defendant purposefully avails itself of the privilege of conducting activities within the forum State, thus invoking the benefits and protections of its laws.”

We have here a single, isolated transaction in the form of a contract for personal service. The totality of the contacts with Oklahoma was the performance of certain phases of the work at the plaintiff’s Oklahoma City office. Nothing in the record discloses the reasonable anticipation of contractual consequences in Oklahoma. To support jurisdiction, the plaintiff relies on his own unilateral activities. Under the decision in Hanson v. Denckla this is not enough. To become subject to Oklahoma jurisdiction, the defendant must purposefully avail himself of the privilege of doing business in that state and thereby invoke the benefits and protections of its laws. The record before us does not satisfy this requirement. Instead, it shows no more than the unilateral performance of contracted personal service in the forum. The idea that such performance alone can subject the employer to the jurisdiction of the forum has frightening consequences.

Affirmed.

How later courts describe this case

Explanatory parentheticals written by citing courts — 1 in all; the most informative distinct ones are shown.

Cited by 19 cases

View all citing references →
1971: 11972: 11973: 11975: 21976: 11977: 21979: 11980: 31982: 11983: 21985: 11993: 12008: 12013: 119712026peak 1980 · 3

Relies on it most ⓘ

  1. Premier Corporation v. Joseph K620 F.2d 219 (10th Cir. 1980)
  2. Hough v. Leonard867 P.2d 438 (Okla. 1993)
  3. Meyer v. Hatto2008 WY 153, 198 P.3d 552
  4. Andrew K. Burt v. The Board of Regents of the University of Nebraska and John F. Connolly757 F.2d 242 (10th Cir. 1985)
  5. CMI Corp. v. Costello Construction Corp.454 F. Supp. 497 (W.D. Okla. 1977)
  6. Lakeside Bridge & Steel Co. v. Mountain State Construction Co., Inc.597 F.2d 596 (7th Cir. 1979)

Most recent

  1. Mastercraft Floor Covering, Inc. v. Charlotte Flooring, Inc.2013 OK 87, 313 P.3d 911
  2. Meyer v. Hatto2008 WY 153, 198 P.3d 552
  3. Hough v. Leonard867 P.2d 438 (Okla. 1993)
  4. Andrew K. Burt v. The Board of Regents of the University of Nebraska and John F. Connolly757 F.2d 242 (10th Cir. 1985)
  5. Simmons v. State670 P.2d 1372 (Mont. 1983)
  6. Pioneer Properties, Inc. v. Martin557 F. Supp. 1354 (D. Kan. 1983)

Citing references are not a citator: they show that a later opinion cites this case, not whether it followed, distinguished, or overruled it. Check negative history before relying on this case.

Authorities cited 9

DepthCaseCited by
McGee v. Int'l Life Ins., 355 U.S. 220 (1957) 3,126
Int'l Shoe Co. v. Washington, 326 U.S. 310 (1945) 17,658
Hanson v. Denckla, 357 U.S. 235 (1958) 6,437
Electro-Craft Corp. v. Maxwell Electronics Corp., 417 F.2d 365 (8th Cir. 1969) 66
Curtis Publ'g Co., a Corp. v. Cassel, 302 F.2d 132 (10th Cir. 1962) 58
Steinway v. Majestic Amusement Co., 179 F.2d 681 (10th Cir. 1950) 56
Crescent Corp. v. Martin, 1968 OK 95, 443 P.2d 111 41
Metro. Sanitary Dist. v. Gen. Elec. Co., 35 F.R.D. 131 (N.D. Ill. 1964) 10
Smith v. Alexandrian, 30 F.R.D. 553 (N.D. Ill. 1961) 4

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