Question

In: Operations Management

Victoria Wilson, a resident of Illinois, wishes to bring an invasion of privacy lawsuit against XYZ...

  1. Victoria Wilson, a resident of Illinois, wishes to bring an invasion of privacy lawsuit against XYZ Co. because XYZ used a photograph of her, without her consent, in an advertisement for one of the company’s products. Wilson will seek money damages of $150,000 from XYZ, whose principal offices are located in New Jersey. A New Jersey newspaper was the only print media outlet in which the advertisement was published. However, XYZ also placed the advertisement on the firm’s website. This website may be viewed by anyone with Internet access, regardless of the viewer’s geographic location. Where, in a geographic sense, may Wilson properly file and pursue her lawsuit against XYZ? Must Wilson pursue her case in a state court, or does she have the option of litigating in federal court? Assuming that Wilson files her case in state court, what strategic option may XYZ exercise if it acts promptly?

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Where, in a geographic sense, may Wilson properly file and pursue her lawsuit against XYZ?

Wilson clearly may pursue her case in New Jersey, where the defendant corporation’s principal offices are located. Depending upon how the applicable long-arm statute is worded and upon whether constitutional principles of due process would be satisfied, Wilson may be able to pursue the case in her own state, Illinois. See the chapter’s discussion of in personam jurisdiction and the use and operation of long-arm statutes.

Must Wilson pursue her case in a state court, or does she have the option of litigating in federal court?

Wilson would not be restricted to suing in state court. She would have the option of suing in federal court, either in an appropriate court in the district of New Jersey or in an appropriate court in the district of Illinois (assuming in personam jurisdiction could be established on the part of a federal court in the Illinois district) Again, see the chapter’s discussion of in personam jurisdiction and the use and operation of long-arm statutes. The reason that federal court would be an option for Wilson is that the requirements of diversity of citizenship jurisdiction (one of the forms of subject matter jurisdiction in federal court) would be satisfied. Wilson and XYZ are parties from different states, and there is more than $75,000 in controversy. See the chapter’s discussion of diversity jurisdiction.

Assuming that Wilson files her case in state court, what strategic option may XYZ exercise if it acts promptly?

Assuming Wilson sues in state court, XYZ will have the option of removing the case to federal court if XYZ acts promptly. XYZ has the power of removal because this would be a case of concurrent jurisdiction--one that was properly brought in state court but could have been brought in federal court (in this instance, because of the diversity jurisdiction principle discussed above). See the chapter’s discussion of concurrent jurisdiction and the power of removal.

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