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The Cost Of Doing Business? Corporate Registration As Valid Consent To General Personal Jurisdiction, Matthew D. Kaminer
The Cost Of Doing Business? Corporate Registration As Valid Consent To General Personal Jurisdiction, Matthew D. Kaminer
Washington and Lee Law Review Online
Every state has a statute that requires out-of-state corporations to register with a designated official before doing business there, but courts disagree on what impact, if any, those statutes can or should have on personal jurisdiction doctrine. A minority of states interpret compliance with their registration statutes as the company’s consent to general personal jurisdiction, meaning it can be sued on any cause of action there, even those unrelated to the company’s conduct in that state. The United States Supreme Court upheld this “consent by registration” theory over 100 years ago, but since then has manifested a sea change in …
Consent By Registration: The "Back-Door Thief", Nate Arrington
Consent By Registration: The "Back-Door Thief", Nate Arrington
Arkansas Law Review
Consider this personal jurisdiction quandary: A growing Arizona company wants to start expanding into other states. The company is incorporated in Delaware and has its principal place of business in Arizona. It decides to make the leap and begins registering to do business in a few surrounding states, including New Mexico. The registration seems straightforward and does not mention anything about jurisdiction. After the registration, but before conducting any business in New Mexico, a Kentucky resident decides to sue the Arizona-based corporation. The suit is based on an alleged tort occurring in Utah, and the plaintiff files the lawsuit in …