Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

Navigating the Stream of Commerce in the Wake of Nicastro

By Daniel J. Herling and Amy Blackwood
May 29, 2012

J. McIntyre Machinery, Ltd. v. Nicastro, 131 S.Ct. 2780 (2011) (Nicastro) offered the Supreme Court its first opportunity in 25 years to answer the decades-old question left open in Asahi Metal Industry Co. v. Superior Court of Cal., Solano Cty., 480 U.S. 102 (1987): What is required to establish the minimum contacts necessary to exert specific personal jurisdiction over a foreign defendant in a forum state? Instead, its conflicting opinions have created different outcomes for the same manufacturer in different courts, and a potential Circuit Court split as to what the “Stream of Commerce” test means and how it impacts our non-U.S. clients.

J. McIntyre Machinery, Ltd. v. Nicastro

Robert Nicastro was injured while using a machine manufactured by J. McIntyre Machinery, Ltd. (McIntyre), a British manufacturer. Nicastro, a New Jersey resident, sued McIntyre in New Jersey. McIntyre sold its machines only to an independent U.S. distributor; it did not market its goods in New Jersey. McIntyre officials had attended industry-related annual conventions in the U.S., but never in New Jersey, and at least one ' but no more than four ' McIntyre machines had ended up in that state. Nonetheless, the New Jersey Supreme Court held that the exercise of personal jurisdiction over McIntyre was proper because McIntyre knew, or reasonably should have known, that its products were distributed nationwide and might be sold in any of the 50 states. The Supreme Court granted review and thus took the opportunity, for the first time in 25 years, to clarify the splintered decision in Asahi. By the time Asahi reached the Supreme Court, it was an indemnity action between Asahi and a Taiwanese manufacturer. It resulted in three separate opinions: by Justice O'Connor, Justice Brennan, and Justice Stevens. While the Justices were unanimous that jurisdiction over Asahi was not proper in California, they disagreed as to exactly what minimum contacts were required to establish specific personal jurisdiction.

This premium content is locked for Entertainment Law & Finance subscribers only

  • Stay current on the latest information, rulings, regulations, and trends
  • Includes practical, must-have information on copyrights, royalties, AI, and more
  • Tap into expert guidance from top entertainment lawyers and experts

For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473

Read These Next
Yachts, Jets, Horses & Hooch: Specialized Commercial Leasing Models Image

Defining commercial real estate asset class is essentially a property explaining how it identifies — not necessarily what its original intention was or what others think it ought to be. This article discusses, from a general issue-spot and contextual analysis perspective, how lawyers ought to think about specialized leasing formats and the regulatory backdrops that may inform what the documentation needs to contain for compliance purposes.

Hyperlinked Documents: The Latest e-Discovery Challenge Image

As courts and discovery experts debate whether hyperlinked content should be treated the same as traditional attachments, legal practitioners are grappling with the technical and legal complexities of collecting, analyzing and reviewing these documents in real-world cases.

Identifying Your Practice's Differentiator Image

How to Convey Your Merits In a Way That Earns Trust, Clients and Distinctions Just as no two individuals have the exact same face, no two lawyers practice in their respective fields or serve clients in the exact same way. Think of this as a "Unique Value Proposition." Internal consideration about what you uniquely bring to your clients, colleagues, firm and industry can provide untold benefits for your law practice.

Risks and Ad Fraud Protection In Digital Advertising Image

The ever-evolving digital marketing landscape, coupled with the industry-wide adoption of programmatic advertising, poses a significant threat to the effectiveness and integrity of digital advertising campaigns. This article explores various risks to digital advertising from pixel stuffing and ad stacking to domain spoofing and bots. It will also explore what should be done to ensure ad fraud protection and improve effectiveness.

Turning Business Development Plans Into Reality Image

This article offers practical insights and best practices to navigate the path from roadmap to rainmaking, ensuring your business development efforts are not just sporadic bursts of activity, but an integrated part of your daily success.