Opinion · Texas Supreme Court
CSR LTD. v. Link
925 S.W.2d 591
- Type
- Opinion
- Court
- Texas Supreme Court
- Jurisdiction
- Texas
- Date
- 1996-08-16
- Topic
- general
concluding that there was no general jurisdiction and stating there must be an indication that defendant intended to serve Texas market before personal jurisdiction can be found | concluding that there was no general jurisdiction and stating there must be an indication that defendant intended to serve Texas market before personal jurisdiction can be found | concluding that there was no general jurisdiction and stating there must be an indication that defendant intended to serve the Texas market before personal jurisdiction can be found | holding that, although CSR could have known that sale of raw asbestos to Johns-Manville might lead to asbestos-containing product in Texas, that awareness did not convert conduct into act purposefully directed toward forum state | affirming that the scope of Texas courts’ personal jurisdiction over foreign defendants is bounded by federal due process considerations | stating that there must be some indication that defendant intended to serve Texas market | holding jurisdiction improper where, assuming the defendant foresaw its product would end up in the forum state, there was no evidence the defendant took any act purposefully directed toward selling or distributing its product in Texas | stating that there must be some indication that defendant intended to serve Texas market | stating there must be an indication that defendant intended to serve the Texas market before personal jurisdiction may be found | emphasizing defendant should not be subject to the jurisdiction of a foreign court based upon “random,” “for tuitous,” or “attenuated” contacts | emphasizing defendant should not be subject to the jurisdiction of a foreign court based upon "random," "fortuitous," or "attenuated" contacts | stating there must be an indication that defendant intended to serve the Texas market before personal jurisdiction may be found | distinguishing between subject-matter jurisdiction as court's power to hear particular type of suit and personal jurisdiction as court's power to bind particular person or party | distinguishing between subject-matter jurisdiction as court’s power to hear particular type of suit and personal jurisdiction as court’s power to bind particular person or party | distinguishing between subject-matter jurisdiction as court’s power to hear particular type of suit and personal jurisdiction as court’s power to bind particular person or party | emphasizing defendant should not be subject to the jurisdiction of a foreign court based upon "random," "fortuitous," or "attenuated" contacts | requiring that a defendant conduct substantial activities with the forum | shipping hundreds of tons of raw asbestos to Houston was insufficient to establish jurisdiction absent evidence that a nonresident participated in the decision to send it there | stating first requirement of personal jurisdiction is that defendant have “contacts” with state | stating first requirement of personal jurisdiction is that defendant have "contacts" with state | Free on Board “means that title to property passes from the seller to buyer at the designated FOB point.” | "The most efficient use of the state's judicial resources is [a] factor we consider in determining whether an ordinary appeal would provide an adequate remedy." | "The most efficient use of the state’s judicial resources is [a] factor we consider in determining whether an ordinary appeal would provide an adequate remedy.” | "Each district attorney shall represent the State in all criminal cases in the district courts in his district. . . ." | "The most efficient use of the state's judicial resources is [a] factor we consider in determining whether an ordinary appeal would provide an adequate remedy." | “The most efficient use of the state’s judicial resources is [a] factor we consider in determining whether an ordinary appeal would provide an adequate remedy.” | specific jurisdiction may be established if the defendant’s alleged liability arises from or is rel
Citator
- Cited by
- 344 opinions
Hartley Hampton, Young Hampton, Houston, Marvin B. Peterson, Law Office of Marvin B. Peterson, Houston, Gary D. Elliston, DeHay Elliston, Dallas, Jeffrey D. Roberts, Roberts Markel Folger, Houston, James D. Smith, Dunn Kacal Adams Pappas Law, Houston, T. John Ward, Brown McCarroll Oaks Hartline, Longview, Kathryn Hermes, Patterson Lamberty Stanford Walls, Dallas, Sharla J. Frost, James H. Powers, Powers Frost, Houston, J. Michael Myers, Ball Weed, San Antonio, Russell Ramsey, Ramsey Murray, Houston, David W. Starnes, Strong Pipkin Nelson Bissell, Beaumont, Jeffrey B. McClure, Butler Binion, Houston, Mark R. Pharr, III, Galloway Johnson Tompkins Burr, Houston, Richard N. Countiss, Law Office of Richard N. Countiss, Houston, James Mayer Harris, Holmes Harris, Beaumont, David L. Lyle, Jr., Ness Motley Loadholt Richardson Poole, Charleston, SC, Warren A. Gage, Cowles Thompson, Dallas, Kevin J. Maguire, Strasburger Price, Dallas, Robert E. Ballard, Abraham Watkins, Houston, Stephen M. Vaughan, Mandell Wright, Houston, F. Richard Leach, Ross Banks May Cron Cavin, Houston, Gregg Morrison, Cook Butler, Houston, C. Victor Haley, Fairchild Price Thomas Haley, Center, Weldon Funderburk, Funderburk Funderburk, Houston, Michael R. Ross, Law Offices of Michael R. Ross, Houston, John E. Williams, Jr., Williams Bailey Wesner, Houston, Steven J. Kherkher, Williams Bailey Wesner Kherkher, Houston, Ned Johnson, Johnson Associates, Houston, John L. Hill, Liddell Sapp Zivley Hill LaBoon, Houston, Peter A. Moir, Baker Botts, Dallas, William J. Cozort, Jr., Bean Manning, Houston, R. Lyn Stevens, Stevens Baldo, Beaumont, Scott Baldwin, Baldwin Baldwin, Marshall, Byron Sims, Brown Sims Wise White, Houston, Brian S. Clary, Livingston Markle, Houston, Sandra F. Clark, Mehaffy Weber, Beaumont, Robert E. Thackston, Vial Hamilton Koch Knox, Dallas, for respondent.
On August 23, 1957, CSR sold 363 tons of raw Australian blue asbestos to Johns-Manville. CSR sold the asbestos to Johns-Manville F.O.B. Fremantle, Australia, so that title to the fiber passed to Johns-Manville when Johns-Manville loaded the fiber onto the ship in Australia. Johns-Manville shipped the asbestos to Houston; the fiber was eventually used for the manufacture of transite pipe. The plaintiffs in the underlying suit allege that they were injured by exposure to CSR asbestos used to manufacture pipe.
Because of the large number of asbestos cases that have been filed, the Harris County district courts have created a Master Asbestos File under the authority of local rule. HARRIS COUNTY (TEX.) DIST. CT. LOC. R R. 3.2.3(c);In re: AsbestosCases,Cause No. 90-23333. The judge presiding over the Master Asbestos File rules on issues common to the individual asbestos cases in Harris County. Those rulings in the Master Asbestos File control all asbestos cases currently pending or that may be filed in Harris County.SeeStanding Order No. 2,In re: Asbestos Cases,Cause No. 90-23333 (Dist. Ct. of Harris County). CSR filed a special appearance in the Master Asbestos File asserting that the trial court lacked personal jurisdiction over the company. Judge Link, the respondent in this case, overruled the motion. The court of appeals denied CSR leave to file its petition for writ of mandamus. CSR now seeks mandamus relief in this Court to prevent the trial court from asserting personal jurisdiction over it.
A court may assert personal jurisdiction over a nonresident defendant only if the requirements of both the Due Process Clause of the Fourteenth Amendment to the U.S. Constitution and the Texas long-arm statute are satisfied.SeeU.S. CONST. amend. XIV, § 1; TEX. CIV. PRAC. REM.CODE §17.042;Helicopteros Nacionales de Colombia v. Hall,466 U.S. 408, 413-14, 104 S.Ct. 1868, 1871-72, 80 L.Ed.2d 404 (1984). The long-arm statute allows a court to exercise personal jurisdiction over a nonresident defendant that does business in Texas. In addition to a discrete list of activities that constitute doing business in Texas, the statute provides that "other acts" by the nonresident can satisfy the requirement.SeeTEX. CIV. PRAC. REM.CODE §17.042;Guardian Royal Exch. Assurance, Ltd. v. EnglishChina Clays, P.L.C.,815 S.W.2d 223, 226 (Tex. 1991). Our Court has repeatedly interpreted this broad statutory language "to reach as far as the federal constitutional requirements of due process will allow."Guardian Royal,815 S.W.2d at 226;see also U-Anchor Advertising, Inc. v. Burt,553 S.W.2d 760, 762 (Tex. 1977). Consequently, the requirements of the Texas long-arm statute are satisfied if the exercise of personal jurisdiction comports with federal due process limitations.See Guardian Royal,815 S.W.2d at 226.
Under the Due Process Clause of the Fourteenth Amendment, a defendant must have certain minimum contacts with the forum "such that the maintenance of the suit does not offend `traditional notions of fair play and substantial justice.'"International Shoe Co. v. Washington,326 U.S. 310, 316, 66 S.Ct. 154, 158, 90 L.Ed. 95 (1945) (quotingMilliken v. Meyer,311 U.S. 457, 463, 61 S.Ct. 339, 343, 85 L.Ed. 278 (1940)). A nonresident defendant that has purposefully availed itself of the privileges and benefits of conducting business in the foreign jurisdiction has sufficient contacts with the forum to confer personal jurisdiction.See Burger King Corp. v. Rudzewicz,471 U.S. 462, 475-76, 105 S.Ct. 2174, 2183-84, 85 L.Ed.2d 528Page 595(1985). A defendant should not be subject to the jurisdiction of a foreign court based upon "random," "fortuitous," or "attenuated" contacts.Id.Minimum contacts are particularly important when the defendant is from a different country because of the unique and onerous burden placed on a party called upon to defend a suit in a foreign legal system.See Asahi Metal Industry Co., Ltd. v. Superior Court,480 U.S. 102, 114, 107 S.Ct. 1026, 1033, 94 L.Ed.2d 92 (1987).
A defendant's contacts with a forum can give rise to either general or specific jurisdiction. General jurisdiction is present when a defendant's contacts are continuous and systematic, permitting the forum to exercise personal jurisdiction over the defendant even if the cause of action did not arise from or relate to activities conducted within the forum state.See Schlobohm v. Schapiro,784 S.W.2d 355, 357 (Tex. 1990). General jurisdiction requires a showing that the defendant conducted substantial activities within the forum, a more demanding minimum contacts analysis than for specific jurisdiction.See Guardian Royal,815 S.W.2d at 228. In contrast, specific jurisdiction is established if the defendant's alleged liability arises from or is related to an activity conducted within the forum.See id.at 227.
CSR is an Australian company headquartered in Sydney. It has no offices in Texas, no employees in Texas, and no bank accounts in Texas. CSR has not solicited business in Texas and has not sent any correspondence to Texas. CSR has never owned property in Texas and has never paid taxes in Texas. CSR has never entered into a contract in Texas. Under these facts, CSR did not have systematic and continuous contacts with Texas sufficient to support general jurisdiction.1
CSR also argues that the trial court does not have specific jurisdiction in this case because the company conducted no activity in or related to Texas. It is undisputed that CSR sold Johns-Manville a shipment of 363 tons of raw asbestos that was sent directly to Houston in August of 1957. But title to the asbestos passed to Johns-Manville in Australia and there is no evidence that CSR controlled or participated in the decision to ship the fiber to Texas. The plaintiffs contend, however, that CSR knew that one of Johns-Manville's plants was in Denison, Texas. The plaintiffs argue that CSR could have foreseen that its raw asbestos fiber would be used in Texas. Therefore, they argue, CSR should be subject to the personal jurisdiction of Texas courts.
Although foreseeability is a factor to consider in a minimum contacts analysis, foreseeability alone will not support personal jurisdiction.See Guardian Royal,815 S.W.2d at 227. The defendant must take an action "purposefullydirectedtoward the forum state" to be subject to the jurisdiction of its courts.Asahi,480 U.S. at 112, 107 S.Ct. at 1032 (emphasis added). Assuming that CSR could have known that the raw asbestos it sold to Johns-Manville might be distributed in Texas, "a defendant's awareness that the stream of commerce may or will sweep the product into the forum state does not convert the mere act of placing the product into the stream into an act purposefully directed toward the forum State."Id.Additionally, CSR's knowledge that there was a Johns-Manville plant in Texas is not determinative in establishing jurisdiction because there are also Johns-Manville plants located in at least four other states: Louisiana, New Jersey, Illinois and California.See State ex rel. CSR Ltd. v. MacQueen,190 W. Va. 695,441 S.E.2d 658, 660 (1994). There must be some indication that CSR intended to serve the Texas market.
CSR did not advertise its asbestos in Texas. CSR did not provide advice to Texas buyers or have any sales agents in Texas. CSR did not "create, control, or employ" the distribution system that brought the asbestos into Texas.Asahi,480 U.S. at 112, 107 S.Ct. at 1032. There is no direct evidence thatPage 596CSR knew that Johns-Manville would distribute its fiber in Texas. In short, the record contains no evidence that CSR took any act purposefully directed toward selling or distributing the raw asbestos fiber in Texas. Absent such a purposeful act, foreseeability alone cannot create minimum contacts between CSR and Texas. The Harris County courts, therefore, cannot exercise personal jurisdiction over CSR consistent with due process.
In Texas, a nonresident defendant must negate all bases of personal jurisdiction to prevail in a special appearance.See Kawasaki Steel Corp. v. Middleton,699 S.W.2d 199, 203 (Tex. 1985). CSR has demonstrated that it had no systematic and continuous contacts with Texas, that it did not purposefully direct any act toward Texas, and that it took no act within Texas that gave rise to the plaintiffs' cause of action. We therefore conclude that CSR has carried its burden to negate all bases of personal jurisdiction.
This Court has recognized, however, that in some situations a challenge to personal jurisdiction cannot be adequately remedied on appeal. For example, an ordinary appeal may be inadequate in cases involving family law or implicating comity in foreign affairs.See id.at 306-07. In addition, this Court has recognized that there may be other "extraordinary situation[s]" in which the denial of a special appearance cannot be adequately remedied on appeal.Id.at 309-10;see also National Indus. SandAss'n v. Gibson,897 S.W.2d 769, 776 (Tex. 1995).
The extraordinary circumstances present in this case stem from the problems inherent in many, if not all, mass tort cases. Although only five plaintiffs have sued CSR in the present case, thousands of potential claimants exist based on possible exposure to transite pipes containing CSR asbestos since 1957.2See, e.g.,Reina,Recovery forFear of Cancer and Increased Risk of Cancer: Problems withGideon and a Proposed Solution,7 REV. LITIG. 39, 40 (1987) (estimating that more than 21,000,000 American workers have been exposed to asbestos, with Texas being "one of the five states generating the greatest volume of asbestos-related litigation"). Mass. tort litigation such as this places significant strain on a defendant's resources and creates considerable pressure to settle the case, regardless of the underlying merits.See Matter of Rhone-Poulenc RorerInc.,51 F.3d 1293, 1297, 1298-1300 (7th Cir. 1995). The large number of lawsuits to which CSR could potentially be exposed is significant to our determination that appeal is not an adequate remedy in this case.
The most efficient use of the state's judicial resources is another factor we consider in determining whether an ordinary appeal would provide an adequate remedy. Over 1490 asbestos cases are pending in Harris County alone as of April 30, 1996. HARRIS COUNTY DISTRICT COURTS, JUSTICE INFORMATION AND MANAGEMENT SYSTEMS (May 13, 1996) (public document available at HarrisPage 597County District Clerk's Office). As evidenced by the creation of the Master File in Harris County, asbestos litigation in Texas is complicated, potentially involves a multitude of parties, and is usually quite lengthy: "No litigation in American history has involved as many individual claimants, been predicated upon the severity of injury, [or] consumed as many judicial resources . . . as asbestos litigation." Brickman,The Asbestos Litigation Crisis: Is There a Needfor an Administrative Alternative?,13 CARDOZO L. REV. 1819, 1819 (1992). As a result, the state expends a large amount of its limited judicial resources resolving these massive controversies. Under these circumstances, a trial on the merits and appeal would further overtax the state's judicial resources.See Walker,827 S.W.2d at 843. The Arizona Supreme Court has noted that "in cases of this magnitude, the interests of all parties and of the public demand that serious questions of law pertaining to . . . jurisdiction . . . be decided by this court and settled at the earliest possible moment."United States v. SuperiorCourt,144 Ariz. 265,697 P.2d 658, 662 (1985). Because of the size and complexity of the asbestos litigation, the most prudent use of judicial resources in this case is to permit a preliminary resolution of the fundamental issue of personal jurisdiction by writ of mandamus.
Our approach of permitting mandamus relief from the denial of a special appearance only when personal jurisdiction is clearly and completely lacking and when there are exceptional circumstances is in accord with the approach of other jurisdictions.See Canadian Helicopters,876 S.W.2d at 309-10 (citingUnited States v. Superior Court,697 P.2d at 662;Lupo v. Lineberger,313 Ark. 315,855 S.W.2d 293, 294 (1993) (permitting writs of prohibition to lie only when a trial court is "clearly without jurisdiction or [has] acted without authority and the petitioner is unquestionably entitled to such relief");Conn v. ITTAetna Fin. Co.,105 R.I. 397,252 A.2d 184, 188 (1969) (finding that certiorari does not lie from preliminary jurisdiction rulings except if "the circumstances have been unusual or exceptional . . . or where not to act might result in irreparable injury or loss"));see also State ex rel.Fogle v. Steiner,74 Ohio St.3d 158,656 N.E.2d 1288, 1292 (1995) (finding that although mandamus does not normally lie from the denial of a lack of jurisdiction, it will lie "where an inferior court patently and unambiguously lacks jurisdiction over the cause"). We emphasize that we do not relax or retreat from the requirement that a relator must show an inadequate remedy by appeal. While the question of personal jurisdiction is remediable by appeal in most cases, we hold that under the circumstances of this case, the concerns of judicial efficiency in mass tort litigation combined with the magnitude of the potential risk for mass tort actions against the defendant makes ordinary appeal inadequate.
GONZALEZ, J., concurs.
BAKER, J., dissents.
Unfortunately, in this era of complex multi-party litigation, defendants must take a hard look at whether they can afford to defend a case regardless of the merits. One notorious example is a mass products-liability lawsuit pending in Morris County, in which it is claimed that the products of more that 300 defendants, including such items as paper clips, hand soap, marking pens, and metal tables, contributed to a "toxic cloud" that caused injury to more than 3,000 plaintiffs.Seegenerally Able Supply Co. v. Moye,898 S.W.2d 766(Tex. 1995) (orig.proceeding);Union Carbide Corp. v. Moye,798 S.W.2d 792(Tex. 1990) (orig.proceeding); Hollandsworth,The Lawsuit from Hell,TEX. MONTHLY , June 1996, at 105, 141. Although the case had been pending for more than eight years, the plaintiffs had never been required to produce evidence or testimony linking their injuries to any of the defendants' products.Able Supply,898 S.W.2d at 769. Despite this lack of evidence, many defendants have felt compelled to settle for millions of dollars and cut their losses. By September 1994, nearly 200 defendants had settled for more than $66 million, and it is not clear that the case is any closer now to being tried than when it was filed. Hollandsworth,supra,at 145.
The burdens of this sort of litigation are exacerbated when, as in this case, the defendant has no contacts with the forum state. Such defendants face demands of travel and time that go beyond "mere increased cost and delay."CanadianHelicopters,876 S.W.2d at 308-09. More important is the damage done to the defendants' fundamental rights of due process under the state and federal constitutions. SeeState ex rel. Connor v. McGough,46 Ohio St.3d 188,546 N.E.2d 407, 410 (1989) (per curiam) (noting that fundamental notions of fairness and due process prohibited suit against a defendant who had no known contacts with the forum state "other than to attempt, unsuccessfully so far, to extricate himself from being sued here").
We have struggled with this issue, first inCanadianHelicopters,then inNational Industrial Sand.InCanadian Helicopters,the Court denied mandamus relief to correct the special-appearance ruling in that case, but held that mandamus might be appropriate in some cases. The Court stated that mandamus might be available when the "trial court, in denying a special appearance, . . . act[s] with such disregard for guiding principles of law that the harm to the defendant becomes irreparable, exceeding mere increased cost and delay."Canadian Helicopters,876 S.W.2d at 308-09. The Court did not explain what that harm might be. InNational Industrial Sand,we granted mandamus to correct a denial of a special appearance when the court clearly had no personal jurisdiction over the defendant.NationalIndus. Sand,897 S.W.2d at 776. Although the holdings inCanadian HelicoptersandNational IndustrialSandare superficially consistent, it is clear that the application of the law to the facts in the two opinions is not reconcilable. The defendant inCanadian Helicoptershad no more contacts with Texas than the defendant inNational Industrial Sand.Thus, I would overruleWalker v. Packer,827 S.W.2d 833(Tex. 1992) (orig.proceeding) and its progeny, includingCanadianHelicopters,to the extent they hold that a foreign defendantPage 599with no ties to Texas must make a separate showing of harm before mandamus will issue to correct an order denying a special appearance.
An appellate court may not reverse for an abuse of discretion merely because it disagrees with the trial court's decision, if that decision was within the trial court's discretionary authority.See Beaumont Bank, N.A. v. Buller,806 S.W.2d 223, 226 (Tex. 1991). The reviewing court must give deference to the trial court's resolution of a factual issue, and cannot set that decision aside unless it is clear from the record that the trial court could have reached only one decision.See Walker,827 S.W.2d at 839-40.
An appellate court may not deal with disputed factual matters in a mandamus proceeding.Hooks v. Fourth Court ofAppeals,808 S.W.2d 56, 60 (Tex. 1991);Dikeman v.Snell,490 S.W.2d 183, 187 (Tex. 1973). An abuse of discretion does not exist if the trial court bases its decision on conflicting evidence and some evidence reasonably supportsPage 600the trial court's decision.Davis v. Huey,571 S.W.2d 859, 862 (Tex. 1978).2
An abuse of discretion does not exist if some evidence3in the record shows the trial court followed guiding rules and principles.Morrow,714 S.W.2d at 298.
CSR has not shown that the denial of its special appearance will compromise its ability to defend the underlying suit on the merits so that it will suffer irreparable harm.Canadian Helicopters,876 S.W.2d at 308. The only proof directly from CSR in support of its special appearance is the affidavit of Edwin Anthony Smith, CSR's group manager of financial reporting. Despite his affidavit testimony that he is "familiar with the records of CSR Limited and the scope of CSR Limited's operations," Smith's affidavit does not provide any testimony, nor did CSR provide any other proof, that it would suffer irreparable harm by its continued presence in thisPage 601litigation pending an opportunity to pursue ordinary appeal. Absent such a showing, I cannot comprehend how the Court can rightfully conclude that CSR carried its burden of proving irreparable harm.
Although CSR's arguments about the trial court's lack of personal jurisdiction may be compelling, that issue ought to be resolved on appeal. As a majority of this Court recently stated:
The mere fact that a trial court's erroneous denial of a special appearance will result in an eventual reversal on appeal does not mean that the trial will be a 'waste of judicial resources' as that term was used inWalker.To hold otherwise would mean that virtually any trial court order constituting reversible error would be a proper subject for mandamus review. Such a result is inconsistent with the rule that mandamus is an extraordinary remedy to be used only in limited circumstances.Canadian Helicopters,876 S.W.2d at 308 n. 11 (quoting Walker v. Packer,827 S.W.2d at 843). As inCanadian Helicopters,regardless of whether the trial court in this case erred, this is not the type of extraordinary situation where this Court should consider mandamus.SeeCanadian Helicopters,876 S.W.2d at 309. To decide differently leaves this Court and the courts of appeals without clear guidelines for mandamus review in special appearance cases — not to mention the guesswork trial courts face.
Short of a rule change, the legislature could, if it desired, provide a statutory method for interlocutory appeal of the denial of a special appearance.7Again, this is not aPage 602novel idea. The Texas Civil Practices and Remedies Code provides for interlocutory appeal of a number of pre-trial rulings.SeeTEX. CIV. PRAC. REM.CODE §51.014.8In my view, before the Court allows interlocutory appeals as a matter of course, or "[b]ecause of the size and complexity" of a case, we should await word from the legislature. 925 S.W.2d at 597.
InUnited States v. Superior Court,the Arizona Supreme Court gave way to its "general policy of declining jurisdiction" of an original proceeding because the case dealt with adjudication and quantification of water rights, "one of the most important issues conceivable in an arid state such as Arizona."United States v. Superior Court,697 P.2d at 662. CSR does not invoke such an issue in this case.
InLupo,the Arkansas Supreme Court considered whether it should provide extraordinary relief to a physician who the trial court ordered to testify by deposition.Lupo,855 S.W.2d at 293. Not only did the supreme court deny the petitioner extraordinary relief, but the case did not involve a special appearance.Lupo,855 S.W.2d at 295. It involved a discovery dispute not unlike our recent "apex" deposition case where we afforded mandamus relief to corporate executive after the trial court ordered him to appear for deposition.Lupo,855 S.W.2d at 294-96;see also Crown Cent. Petroleum Corp. v. Garcia,904 S.W.2d 125(Tex. 1995).Lupois not instructive here.
InSteiner,the Ohio Supreme Court granted extraordinary relief to a mother involved in a custody battle over her two children against her estranged mother-in-law.Steiner,656 N.E.2d at 1290.Steineroffers no support for today's opinion because this Court has previously recognized that an adequate remedy on appeal may be lacking in special appearance cases involving the parent-child relationship.See Canadian Helicopters,876 S.W.2d at 307.Connis the only case closely analogous to today's facts; however, it is distinguishable also. The Supreme Court of Rhode Island decidedConnin 1969, at a time where, because of a "changing economy" and greater "means of communication and transportation," courts, "to keep pace," began "to relax the jurisdictional strictures ofPennoyerv.Page 603Neff,95 U.S. 714, 24 L.Ed. 565 (1877)."Conn,252 A.2d at 186. TheConncourt allowed for interlocutory review of the denial of a corporate defendant's special appearance to interpret the state's new longarm statute and to "provide some guidance to the bar and to the courts on the scope of the statute. . . ."Conn,252 A.2d at 188. Except for the court's need to interpret the new longarm statute for "future litigation," the court would have denied extraordinary relief.Conn,252 A.2d at 188. Over a quarter of a century has passed since the Supreme Court of Rhode Island decidedConn.Today's opinion is not necessary to explain anything to our state's bench and bar about now fully-evolved principles of personal jurisdiction. Consequently,Conn'slogic does not support the Court's action here.
In some other states, courts have the benefit of a statutory guide or a rules device providing interlocutory relief following the denial of a special appearance or plea to the jurisdiction.See, e.g., Miller v. Miller,506 So.2d 1084(Fla.Dist.Ct.App. 1987)(interlocutory relief allowed by Florida Rules of Appellate Procedure);Healy v.Vaupel,133 Ill.2d 295, 140 Ill. Dec. 368,549 N.E.2d 1240(1990)(statute and rules of procedure allowed for interlocutory relief);Byrd v. Ontario Freight Lines Corp.,39 N.J. Super. 275,120 A.2d 787(1956)(discussing availability of statute allowing for interlocutory review of personal jurisdiction issue);Poret v. State Personnel Comm'n,74 N.C. App. 536,328 S.E.2d 880(1985),overruled sub nom.on other grounds, Batten v. N. Carolina Dep't ofCorrection,326 N.C. 338,389 S.E.2d 35(1990)(immediate appeal of jurisdictional question allowed by statute);United Erectors, Inc. v. Pratt Lambert Corp.,338 Pa. Super. 577,488 A.2d 43(1985)(discussing Pennsylvania Rule of Appellate Procedure allowing interlocutory relief from order sustaining personal or in rem jurisdiction). We do not. Without statute or rule to provide interlocutory appeal, I do not believe mandamus is appropriate after the denial of a special appearance except in cases involving sovereign immunity, comity and child custody issues. These limited exceptions invoke important, and many times, immediate public policy concerns, which is not the case here, nor was it the case inNational Sand.
The Court's recent decisions in this area are troubling, and I believe, confirm my views. CompareNational Sand,897 S.W.2d at 769 (providing mandamus relief for denial of special appearance)with Canadian Helicopters,876 S.W.2d at 304 (denying foreign defendant mandamus relief after denial of special appearance). These decisions, along with today's opinion, do not square. There is little rhyme or reason to these cases except perhaps the amorphous standard of "clear and super clear" abuse of discretion.See CanadianHelicopters,876 S.W.2d at 310 (Hecht, J., dissenting). As the Court has been reminded, hard cases make bad law.See Robinson v. Central Tex. MHMR Ctr.,780 S.W.2d 169, 172 n. 1. (Tex. 1989)(Hecht, J., dissenting). CSR's position in this case offers hard enough facts. Nevertheless, I believe that the Court's decision today sets bad precedent that adds uncertainty to pretrial rulings and, as a result, encourages litigants to unnecessarily file original proceedings.9
Absent any legislative guidance, today's decision veers from the design of Rule 120a and bolts from precedent. Because today's decision can only lead the Court down a road of no return, I respectfully dissent.
- The plaintiffs claim that CSR waived the right to contest personal jurisdiction in Texas because of admissions CSR allegedly made before the West Virginia Supreme Court during unrecorded oral argument.See State ex rel. CSR Ltd. v.MacQueen,190 W. Va. 695,441 S.E.2d 658(1994). CSR disputes that contention. Because there is a dispute about what was said, we do not find a judicial admission that knowingly waives a constitutional right under these circumstances. ↩
- As of June 11, 1996, CSR had been sued by approximately 1610 plaintiffs in at least twelve different lawsuits. DOCKET, 80TH DISTRICT COURT, HARRIS COUNTY, TEXAS (June 11, 1996). ↩
- See Canadian Helicopters,876 S.W.2d at 308-09. Remarkably, Canadian Helicopter's "situation" and its argument to this Court were similar to CSR's "situation" and argument here. Nevertheless, the Court denied Canadian Helicopters mandamus relief. ↩
- There is at least some dispute about whether CSR made admissions about its Texas contacts while arguing a case to the West Virginia Supreme Court. 925 S.W.2d at 595 n. 1. Nevertheless, and despite warnings that, "in cases turning on disputed factual issues, mandamus would not be proper," the Court decides today that the trial court abused its discretion.See Canadian Helicopters,876 S.W.2d at 312 (Hecht, J., dissenting)(citing Brady v. Fourteenth Court ofAppeals,795 S.W.2d 712, 714 (Tex. 1990));see alsoHuey,571 S.W.2d at 862 ("[a]n abuse of discretion does not exist where the trial court bases its decision[ ] on conflicting evidence."). ↩
- Part of my quarrel with the Court's opinion is that the majority reviews CSR's evidence in a light most favorable to CSR, which in effect, makes for a no evidence review. This is contrary to the more limited and proper standard of abuse of discretion. ↩
- See Canadian Helicopters,876 S.W.2d at 311 (Hecht, J., dissenting). ↩
- While this Court's grant of writ may relieve CSR of defending itself in a Texas state court, it hardly relieves CSR from "numerous trials" in other states. ↩
- The rule provides:
If the court sustains the objection to jurisdiction, an appropriate order shall be entered. If the objection to jurisdiction is overruled, the objecting party may thereafter appear generally for any purpose. Any such special appearance or such general appearance shall not be deemed a waiver of the objection to jurisdiction when the objecting party or subject matter is not amenable to process issued by the courts of this State.
TEX.R. CIV. P. 120a(4). ↩ - Commentators have recognized that a non-resident defendant may be highly inconvenienced by having to wait to appeal. However, they have urged that "[r]ather than the courts stretching the extraordinary remedy of mandamus to accommodate this need [for interlocutory review], the legislature could and should amend the Civil Practice and Remedies Code to contemplate interlocutory appeal of the denied special appearance."SeeMuldrow Gray,Treading theMine Field: Suing and Defending Non-Residents in Texas StateCourts,46 BAYLOR L. REV. 581, 609 (1994). ↩
- The statute provides that:
A person may appeal from an interlocutory order of a district court, county court at law, or county court that:
(1) appoints a receiver or trustee;
(2) overrules a motion to vacate an order that appoints a receiver or trustee;
(3) certifies or refuses to certify a class in a suit brought under Rule 42 of the Texas Rules of Civil Procedure;
(4) grants or refuses a temporary injunction or grants or overrules a motion to dissolve a temporary injunction as provided by Chapter 65;
(5) denies a motion for summary judgment that is based on an assertion of immunity by an individual who is an officer or employee of the state or a political subdivision of the state; or
(6) denies a motion for summary judgment that is based in whole or in part upon a claim against or defense by a member of the electronic or print media, acting in such capacity, or a person whose communication appears in or is published by the electronic or print media, arising under the free speech or free press clause of the First Amendment to the United States Constitution, or Article I, Section 8, of the Texas Constitution, or Chapter 73.
TEX. CIV. PRAC. REM.CODE §51.014. ↩ - FollowingNational Sandand today's opinion, one might ask what prudent Texas lawyer would advise a client to abide by Rule 120a(4). After today, there is little incentive to wait to appeal the denial of a special appearance when mandamus may be immediately available. Indeed, former Justice Barrow's mandamus "thicket" prophecy is now "reality."Joachim v. Chambers,815 S.W.2d 234, 245 (Tex. 1991)(Gonzalez, J., dissenting)(quotingJampole v.Touchy,673 S.W.2d 569, 578 (Tex. 1984)(Barrow, J., dissenting)). ↩