SECOND DI VI SI ON

M I LLER, P. J.

, M ERCI ER and REESE, JJ.

N O T IC E : M otions for r e c ons i de r a tion m us t be

ph y sic a l ly r e ce iv ed i n our c le r k ’s offic e w ithin te n

da y s of the da te of de c is ion to be de e m ed tim e ly file d.

P le a s e r e fe r to the S upr e m e C our t of G e or gia Judic ia l

E m e r ge nc y Or de r o f M a r c h 1 4

, 2 0 2 0 for fur the r

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. ga a ppe a ls .us /r ule s ).

June 1, 2020



# I n th e Co u r t o f

A p p eals o f

G eo r g ia

A2 0 A0 93 3

. M CCALL v

. COOPER TIRE & RUBBER COM PANY. M E-0 3 1

M E R C I E R , J u dg e.

T y r a n c e M cCal l s u ed Co o p er Ti re & Ru bb er Co m p an y (“ Co o p er Ti re”) an d

t wo o t h er d efen d an t s i n t h e St at e Co u rt o f Gwi n n et t Co u n t y fo r i n ju ri es h e al l eg ed l y

s u s t ai n ed i n a m o t o r v eh i cl e co l l i s i o n

. Co op er Ti re m o v e d t o d i s m i s s t he cl ai m s

a g a i n s t i t o n p ers o nal ju ri s d i ct i o n g ro u nd s

. Th e t ri al co u rt g ran t ed t he m o t i o n t o

d i s m i s s an d d en i ed M cCal l ’ s m o t i on fo r reco n s i d e r a t io n

, b u t i s s u ed a cert i fi cat e o f

i m m ed i at e rev i ew. W e g ran ted McCal l ’ s ap p l icat i o n fo r i n t erl o cu t o ry ap p eal

, an d fo r

reas on s t h at fo l l o w, we rev ers e.

On ap p eal

, we re v i e w a t ri al co u rt ’ s o rd er d i s m i s s in g a cl ai m fo r l ack o f

p ers o n al ju ri s d i ct i o n d e n o v o

, co n s t ru i n g al l fact s “ i n fav o r o f t h e p a r t y as s ert i n g

p ers o n al ju ri sd i ct io n .” Ko l b v. Da r u d a

, 35 0 G a. Ap p

. 6 4 2 (8 2 9 SE2 d 8 8 1 ) (2 0 1 9 ). Sov i ewed

, M cCal l’ s co m p lai n t al l eg es t h at o n Ap ri l 2 4

, 20 1 6

, h e was a p as s en g er i n a

v eh icl e t hat was eq ui pp ed wi t h a rear ti re d es i g n ed

, m an u fact u red

, an d s o l d by

Co o p er T i re. As t h e v eh i cl e was t rav el in g o n a Fl o ri d a ro ad way

, t h e t i re t read

“ s u d d en l y fai l ed an d sep arat ed fro m t h e rem ai nd er o f t h e t i re.” Th e d ri v er l o s t co n tro l

o f t h e v eh i cl e, wh i ch l eft t h e ro ad way an d ro ll ed ov er u n t i l i t cam e t o res t i n a n earb y

wo o d ed area. M cCal l s u st ai n ed s ev ere i n ju ri es i n t he cras h

.

Fo l l owi n g t h e c ollision, M c C a ll s u ed Co op er Ti re fo r n eg l i g en ce, s t ri ct p ro d u ct

l i ab i l i t y

, an d p u n i ti v e d am ag es

. He al s o as s ert ed cl ai m s ag ai n st t he d ri v er, a Geo rg i a

res i den t

, an d t he Geo rg i a car deal ers h i p t hat so l d t he v eh icl e t o t he d ri v er. Co o p er

Ti re an swered t h e co m

p lai n t

, rai s i n g n u m ero us d efen s es

, i ncl u d in g lack of p ers o n al

ju ri s d i ct i o n

. It al s o fi led a m o t i o n t o d i s m is s

, arg u i n g t h at as a n o n es id en t co rp o rat e

d efen d an t wi t h o n l y m i n i m al co n t act s i n Geo rg ia, i t i s n ot s u bject t o p ers o n al

ju ri s d i ct i o n i n t h i s s t at e. A n acco m p an y i n g affi d av i t fro m C o o p e r Ti re’ s co rp o rat e

co u ns e l e s t ab l is h ed t h at Co o p er Ti re i s i nco rp o rat ed i n Del aware an d m ai n t ai n s i t s

p ri n ci p al p l ace o f b u s i n es s i n Oh i o

.

M cCal l res p o n d ed th at Co o p er Ti re i s a res i d en t o f G eo rg i a

– an d t hu s s u b ject

t o p ers o nal ju ri s d i ct i o n h ere

– b ecau s e i t i s au t h o ri zed t o t ran s act b u si n es s in t h e s t at e.

In i t s rep l y

, Co o p er Ti re d i d n o t d i s p u t e th at i t has b een au t h o ri zed t o t ran s act

2b u s i n es s i n Geo rg i a at al l t i m es rel ev an t t o t hi s s u i t. It arg u ed

, h o wev er, t h at s u c h

ci rcu m s t an ces d o no t m ak e i t a Geo rg i a res i d en t fo r ju ri s d i ct i o n al p u rp o s es

. Th e t ri al

co u rt ag reed an d g ran t ed Co o per Ti re’ s m ot i o n t o d i s m i s s . Th i s ap peal fo l l o wed

.

Pers on al j u ri s d i ct i o n “ i s t h e p o wer of a co u rt t o ren d er a p ers o n al ju d g m en t

, o r

t o s ub ject t h e p art i es i n a p art icu l ar c a s e t o t he d eci s i o ns an d ru li n g s m ad e b y i t in

s u ch a cas e.” Y

P, LLC v. Ri s t i ch

, 3 4 1 Ga. A p p

. 3 81 (1 ) (8 0 1 SE2 d 8 0 ) (2 0 17 ) (ci t at i o n

an d p u n ct u at i o n o m i t t ed ). Geo rg i a res i d en t s are, wi th o u t q u es t i o n

, s u bje c t to p ers o n al

ju ri s d i ct i o n i n t h i s s t at e. See W a t t s v. Al l st a t e In s. Co

. , 2 1 4 Ga. Ap p . 4 62 , 4 6 3 (4 4 8

SE2 d 55 ) (1 9 9 4 ). In cert ai n ci rcu m s t an ces

, o u r co u rt s m ay al s o ex erci s e p ers o n al

ju ri s d i ct i o n o v er n o n res i d en t s p u rs u an t t o Geo rg i a’ s l o n g arm s t at u t e. See OCGA §

9 -1 0 -9 1 (d efi n in g “ [g ] ro u nd s fo r ex erci s e o f p ers o nal ju ri sd i ct i o n o ver no n res i d en t ”).

W e n eed n o t c o ns i der lo n g arm ju ri s d i ct i o n i n t h i s cas e, h o wev er, b ecau s e b i n d i n g

p r e c e d e n t e st ab l i s h es t hat Co o p er Ti re i s a res id en t co rp o rat i o n s u b ject t o s u i t in

Geo rg i a.

Th e l o n g arm s tat u te d efi n es a “ n o n res i d en t ” as

, i nt er al i a, “ a co rp o rat i o n wh i ch

i s n o t o rg an i zed o r ex i s t i n g u n der t h e l aws o f t h i s s tat e an d is n o t au t h o ri zed t o d o o r

t ran s act b u s i n es s i n t hi s s t at e at t h e t i m e a cl ai m o r cau s e o f act i o n

. . . ari s es .” OCGA

§ 9 -1 0 -9 0

. Co n s tru in g t hi s defi n i t i o n

, o u r Su p rem e Co u rt d et erm i n ed in A ll st a t e In s

.

3Co

. v. Kl e i n

, 2 6 2 G a

. 5 9 9

, 6 0 1 (4 2 2 SE2 d 86 3 ) (1 9 9 2 ), t hat a fo rei g n co rp o rat i o n

“ au t h o ri zed t o d o or tran s act bu s i ne s s i n t h i s s t at e at t h e t i m e a cl ai m ari s es i s a

‘ res i d en t ’ fo r p urp os es o f p ers o n al ju ri s di ct i o n ov er t h at co rp o rat i on i n an act i o n fi l ed

i n t h e co u rt s o f t h i s s tat e.” (ci t at i o n s an d p u nct u at i o n o m i t t ed ). In o th er wo rd s

, a

fo rei gn co rp o rat i on t h at is au t h o ri zed t o t ran s act bu s in es s i n Geo rg i a “ m ay s u e o r b e

s u ed to t h e s am e ex t en t as a d o m es t i c co rp orat i o n

. ” Id

.

Seek i n g t o av o i d Kl ei n

, Co o p er Ti re ar g u e s t h at o u r Su p rem e Co urt ’ s

ju ri s d i ct i o n al an al y s is co n fl i ct s wi t h an d h as b een i m p l i ci tl y o v erru led b y s ev eral

d eci s i o n s fro m t h e Un i t ed St at es Su prem e Co u rt

. It fu rt h er cl ai m s t hat Kl ei n

m i s i n t erp ret ed t h e l on g arm s t at u te a nd G e or g ia ’ s c or por a te r e gis t rat io n req u i rem en t s

.

As we recen t l y n o t ed

, h o wev er, “ [w] hen th e S u p r e m e C o u rt [o f Geo rg i a] h as

ad d res s ed an i s s u e in cl ear t erm s

, t h i s co u rt i s n ot at l i b ert y t o d ecl i n e t o fo l l o w t h e

es t ab l i s h ed ru l e o f l aw.” W a r d v. Ma r r i o t t

In t l

. , 3 5 2 Ga. Ap p . 4 8 8 , 4 9 3 (2 ) (a) (8 3 5

SE2 d 3 2 2) (2 0 1 9) (ci t at i o n s an d p u n ct u at i o n o m i t t ed ).

W e can n ot i g n o re or al t er Kl ei n

, wh i ch ex p l i ci tl y h o l d s t h a t a fo rei g n

co rp o rat i o n au t h o ri zed t o d o b u s i n es s i n t h is st at e i s a Geo rg i a res i d en t fo r

4ju ri s d i ct i o n al p urp o s es

. 1 See K l e i n

, s u pra; see al s o W

a r d

, s u p ra at 4 9 4 (2 ) (a)

(“ [E] x i s t i n g Geo rg i a l aw l ead s u s to co n cl ud e t hat M arri ot t [,] [a fo rei gn co rp o rat i o n

re g i s t ered an d au t ho ri zed t o d o b u s in es s i n Geo rg i a,] i s a res i d en t d efen d an t

co rp o rat i o n fo r

. . . p ers o n al ju ri s d i ct i o n p u rp o s es

. ”). Acco rd i n g ly , b ecau s e Co o p er

Ti re i s a res i den t co rp o rat i on s u b ject t o p ers o nal ju ri s di ct i o n i n t h i s s t at e, t h e t ri al

co u rt erred i n g ran t i n g t h e m ot i o n t o d i s m is s . See Kl ei n , s up ra; W a r d , s u p ra.

Ju d g men t r ever sed . Mi l l er

, P. J., a nd

Rees e, J., co n cu r

.

1 On ap p eal

, Co o p er Ti re u rg es u s t o fi n d t h at Kl ei n ’ s an al y s i s v i o l at es t h e Du e

Pro ces s Cl au s e an d t he Co m m erce Cl au se o f th e Un i t ed St at es Co ns t i t u ti o n

. W h en

we o ri g i n al l y rev i ewed t h i s cas e at th e i nt erl o cu t o ry ap p l i cat i o n s tag e, we tran s ferred

t h e m at t er t o t h e Geo rg i a Su p rem e Co u rt b ecau s e it ap p eared t o fal l wi t h i n t h at

Co u rt ’ s ex cl u s i v e ap p el l at e ju ri s d i ct i o n “ ov er al l cas es i n v o l v in g co ns t ru ct i o n o f t h e

Co n s t i t u t i o n o f t h e St at e o f Geo rg i a an d o f t h e Un i t ed St at es an d al l cas es i n wh i ch

t h e co n s t it u t io n al it y of a l aw, o rd i n an ce, or co n s ti t ut i on al p ro v is io n h as b een cal l ed

i n t o q u es t i on .” At l a n t a In d ep en d en t S ch o o l S ys tem v. La n e

, 2 6 6 Ga. 6 5 7 ( 1 ) ( 4 6 9

SE2 d 2 2) (1 9 9 6 ). Th e Su p rem e Co urt reject ed t he tran s fer, ret urn i n g th e cas e t o t h i s

Co u rt aft er co ncl u d in g t hat Co o p er Ti re h ad n o t rai sed a d i s t i n ct co n s t i t u t i o n al

ch al l e n g e i n t h e t ri al co u rt

. It fu rt h er s tat ed : “ [W ] here [t h e Su p rem e Co u rt o f

Geo rg i a’ s ] p ri or p reced en ts an s wer t h e s u b s t an t i v e co n s ti t u t i on al q u es t i o n p res en t ed

b y an ap p eal

, j u ri s d i ct i o n i s i n t h e Co u rt o f Ap p eal s .” W e t ak e t h i s ad m o n i t i o n t o

m ean th at

, i n t h e Su p rem e Co u rt ’ s v iew, Kl ei n ad d res s ed an d res o lv ed t h e i s s u es

rai s ed b y Co o p er T i re in t h i s ap p eal

. To th e ex t en t Co o per T i re ch al l en g es th at v i ew,

i t p res en ts a q u es t io n fo r t he Su p rem e Co urt

. See W a r d

, s u p ra at 4 9 3 (2 ) (a) (“ [A] s an

i n t erm ed i at e ap p el l at e co urt

, we are b o u n d b y G eo rg i a s t at u t es an d Su p rem e Co u rt

o f Geo rg ia d eci s i on s .”).

5