Court Opinion

ID: 9690284
Source: CourtListenerOpinion
Date Created: 2023-08-24 19:02:55.528375+00
Date Added: 2024-06-11T18:18:54.897033
License: Public Domain

ANDERSON, PAUL H., Justice
(concurring).
I concur with the judgment of the court. Appellants Yamazaki Mazak Optonics Corporation (YMO) and Mazak Nissho Iwai Corporation (MANI) reached a full settlement with plaintiff James Juelich a week after we .granted YMO and MANI’s petition for review. As a result, this case now involves only a cross-claim for contribution by YMO, a Japanese corporation, and MANI, an Illinois corporation, against Meikikou, a Japanese corporation. Within this factual context, due to YMO and MANI’s own actions, I disagree with YMO and MANI’s argument that Minnesota has a sufficient interest in this case to warrant a holding that we have jurisdiction. Therefore, I concur with the majority’s discussion of factors (4) and (5) of our five-part test and conclude that this is “one of those rare cases in which ‘minimum requirements inherent in the concept of “fair play and substantial justice” * * * defeat the reasonableness of jurisdiction.’ ” Asahi Metal Industry Co. v. Superior Court of California, 480 U.S. 102, 116, 107 S.Ct. 1026, 94 L.Ed.2d 92 (1987) (Brennan, J., concurring in part and in judgment) (quot*577ing Burger King Corp. v. Rudzewicz, 471 U.S. 462, 477-78, 105 S.Ct. 2174, 85 L.Ed.2d 528 (1985)).
My disagreement with the majority centers on its analysis of factors (l)-(3), by which it concludes that YMO and MÁNI “failed to establish that Meikikou had sufficient contacts with Minnesota.” Like Justice John Paul Stevens in Asahi, I conclude that the court would be best served by stopping at the point of conducting an analysis of the reasonableness of jurisdiction because the lack of reasonableness is clear in this case. See Asahi, 480 U.S. at 121, 107 S.Ct. 1026 (Stevens, J., concurring in part and in judgment). A discussion of minimum contacts is both unnecessary and imprudent, given the unsettled state of stream of commerce due process analysis. Because our court has decided otherwise, I write separately to explain my disagreement by analyzing these factors as well.
(1) The quantity of contacts with the forum state
In Rostad v. On-Deck, Inc., 372 N.W.2d 717, 722 (Minn.1985), we held that even though a foreign corporation did not have any direct contacts with Minnesota, it could be subject to jurisdiction in Minnesota courts. Further, we held in Rostad that jurisdiction in Minnesota was appropriate when the defendant made “calculated attempts to create a national market for [its] product, a market which specifically includes Minnesota.” Id. at 721; accord A. Uberti and C v. Leonardo, 181 Ariz. 565, 892 P.2d 1354, 1362 (Ariz.1995) (noting that an “intent to sell across America is enough” to establish contacts for jurisdiction in a state).
The record reflects that as of May 2001, there were 122 Meikikou lift tables in use throughout the United States, including 17 in Minnesota. Evidence from a meeting between YMO representatives and Meiki-kou representatives indicates that Meiki-kou was aware that its lift tables were destined for use by customers in the United States. Furthermore, evidence indicates Meikikou’s desire to sell its products internationally. Meikikou is a member of two international business groups and maintains an English language website that discusses its “world-specification-standardized hardware” in “the scissor lifts area.” It advertises its lift tables in English language brochures. It markets itself as being certified by an international standardization organization, which establishes and certifies a company’s quality and environmental standards. Moreover, Meikikou has an insurance policy that covers U.S. products liability claims, which can evidence an awareness of the possibility of being haled into U.S. courts. Based on these facts, I would conclude that Meik-ikou has sufficient contacts to be subject to personal jurisdiction in Minnesota.
(2) The nature and quality of Meikikou’s contacts
By placing its products into the stream of commerce, knowing they were bound for United States markets, Meikikou purposefully availed itself of the benefits of the Minnesota marketplace. In Rostad, we noted that “[i]n a commercial operation, sales are the most tangible contact with a jurisdiction.” 372 N.W.2d at 722. We concluded in Rostad that, although the sales were made through intermediaries, sales in Minnesota created sufficient contacts for jurisdiction because they benefited the defendant. Id. Likewise, the record before us establishes that Meikikou was aware and undoubtedly intended that its lift tables penetrate the United States market. Meikikou undoubtedly intended to profit from the sale of its lift tables in Minnesota; thus, the nature and quality of its contacts weigh in favor of jurisdiction.
*578(3) The source and connection of the cause of action with these contacts
Like the defendant in Rostad, the record indicates that Meikikou sought to have its lift tables sold in the United States, contracting with others who made it happen.
Unlike the New York dealership in WorldWide Volkswagen Corp. v. Woodson, 444 U.S. 286, 297-98, 100 S.Ct. 559 (1980), which operated on an intra-state basis even though it must have foreseen that some of the vehicles it sold would be driven to other states, the evidence indicates that Meikikou was aware and intended that its lift tables would be sold and utilized in the United States. Though it is true that Meikikou had contractual relationships only with Japanese corporations, I would conclude that Meikikou should “not now be allowed to hide,” Rostad, 372 N.W.2d at 722, when it undoubtedly intended to profit from sales in the United States, including Minnesota. As the Arizona Supreme Court said in Leonardo,
Due process does not give foreign companies a safe harbor to manufacture goods designed for and shipped to America and at the same time immunize them from the penalties of noncompliance with American safety standards. Such a rule would drive American manufacturers out of business while allowing foreign businesses to produce, with absolute immunity, unreasonably dangerous and defective products for the American market.
892 P.2d at 1363.
While I agree with the majority that we should recognize the “unique burdens placed upon a foreign defendant who must defend itself in the American legal system” and consider this as a factor weighing on the reasonableness of jurisdiction, we should also recognize that the trend toward globalized business must factor into our analysis as well. Increased international travel and shipping, increased global communications, worldwide internet business, and the overall ability of a business to gain the benefits of participation in the global economy are a part of Minnesota’s business and consumer environment today. Therefore, I respectfully disagree with the majority’s analysis of the stream of commerce minimum contacts factors in our personal jurisdiction analysis.