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Operators of Internet Gripe Site Subject to Jurisdiction in Remote Location

by Mark VB Partridge on Mon 06 Mar 2006 09:00 AM CST | Permanent Link

Your Illinois company is the victim of unfounded gripes on Internet site operated by persons in Arizona. Can you sue in your home court or are you forced to pursue more expensive and inconvenient litigation where the website is located? A recent decision by the Northern District of Illinois allows suit in home court, much to the benefit of the Illinois plaintiff. George S. May International Co. v. Xcentric Ventures (N.D. Ill. Jan. 18, 2005).

The key to establishing personal jurisdiction is the existence of minimum contacts with the forum, sufficient to satisfy the constitutional requirements of due process.

In this case, the following contacts with Illinois were deemed sufficient:

1. Solicitation of contributions through the site, with 47 donations received from Illinois residents.

2. Sale of book, "Do-It-Yourself Guide: How to Get Rip Off Revenge," with at least 13 copies sold to Illinois residents.

3. Posting of comments by numerous Illinois residents.

4. Referral of potential litigants to Illinois class-action law firm.

5. Negotiations with Illinois class-action firm for payment for referral services.

Accordingly, "The court finds that these contacts with Illinois are sufficient to establish personal jurisdiction over defendants."

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