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Missouri District Court Lacked Personal Jurisdiction Over Ford in Defective Steering Column Case

December 2019/January 2020

Oliver v. Ford Motor Co., 2019 WL 4194372 (E.D. Mo. Sept. 4, 2019).

A federal district court held that it did not have personal jurisdiction over Ford Motor Co. in a lawsuit alleging products liability and negligence claims arising out of a crash involving a dislodged steering column.

Bryant Johnson was operating a 2010 Ford Fusion when the vehicle’s steering wheel dislodged from the steering column suddenly, causing Johnson to crash into a pole and suffer fatal injuries. Johnson’s minor daughter, through a representative, sued Ford Motor Co., alleging strict liability defective design, manufacture, and assembly of the steering wheel; negligent failure to warn; and negligent design, manufacture, sale, and distribution of the Ford Fusion.

The defendant removed the case to federal court and filed a motion to dismiss for lack of jurisdiction.

Granting the motion, the district court noted that personal jurisdiction may be either general or specific. To establish general jurisdiction over a corporation, the court said, the forum must be the corporation’s principal place of business or its place of incorporation, except in exceptional cases where a corporate defendant’s operations in another forum are so substantial as to render the corporation at home in that state. The court found that Ford’s place of incorporation is Delaware, and its principal place of business is Michigan. The court rejected the plaintiff’s argument that Ford’s Missouri agent, plus its contracts with dealerships, advertising, and employment of workers there, warrants a finding of personal jurisdiction. These actions are insufficient to establish personal jurisdiction, the court said, noting that the plaintiff has failed to allege facts showing that Ford is essentially “at home” in Missouri relative to its entire operation.

The court also found that it could not exercise specific jurisdiction over Ford. Citing case law, the court considered whether Ford’s conduct connected it to Missouri in a meaningful way and whether its suit-related conduct created a substantial connection with the state. That Ford marketed and sold other Ford Fusions in Missouri does not establish specific jurisdiction, the court said, noting that Johnson’s vehicle was last distributed by Ford when it was sold to a dealership in Tennessee and that Ford had committed no particular acts connecting Bryant’s vehicle to the state of Missouri.

Consequently, the court dismissed the plaintiff’s claims for lack of personal jurisdiction.