Question

In: Economics

Hans is a body-builder who owns and operates a health club in Freedonia, where he teaches...

Hans is a body-builder who owns and operates a health club in Freedonia, where he teaches body-building, weight-lifting, and strength exercises. In 1995, Hans wrote and obtained a copyright for a body-building manual entitled Pump You Up. In 2019, Hans learned that Franz, who lives and works in Sylvania (a state located 1,500 miles from Freedonia), was selling photocopies of Pump You Up over a website for profit without permission. Franz sold several copies of Pump You Up to Freedonia residents, gross Freedonia sales only $500.00 from 2004 to 2019.

Hans sues Franz in Freedonia court for copyright infringement, claiming that Franz is subject to personal jurisdiction in Freedonia bassed on Freedonia’s long-arm statute, which reads:

“A court may exercise personal jurisdiction over any non-domiciliary, or his executor or administrator, who in person or through an agent, transacts any business within the state or contracts anywhere to supply goods or services in the state.”

Franz has no office, employees, property, or bank accounts in Freedonia.

Does the Freedonia court have personal jurisdiction over Franz, making him subject to the lawsuit?

Solutions

Expert Solution

Yes, Franz can be sued in the court. Freedonia court have personal jurisdiction over Franz, making him subject to the lawsuit. Hans can sue Franz in Freedonia court for copyright infringement, claiming that Franz is subject to personal jurisdiction in Freedonia bassed on Freedonia’s long-arm statute.

AS per the law "A court may exercise personal jurisdiction over any non-domiciliary, or his executor or administrator, who in person or through an agent if they

1. transacts any business within the state or contracts anywhere to supply goods or services in the state; or

2. commits a tortious act within the state, except as to a cause of action for defamation of character arising from the act; or

3. commits a tortious act without the state causing injury to person or property within the state, except as to a cause of action for defamation of character arising from the act, if he

    (i) regularly does or solicits business, or engages in any other persistent course of conduct, or derives substantial revenue from goods used or consumed or services rendered, in the state, or

    (ii) expects or should reasonably expect the act to have consequences in the state and derives substantial revenue from interstate or international commerce; or owns, uses or possesses any real property situated within the state.

So this is valid under the law.


Related Solutions

Paul Adams owns a health club in downtown Los Angeles. He charges his customers an annual...
Paul Adams owns a health club in downtown Los Angeles. He charges his customers an annual fee of $860 and has an existing customer base of 950. Paul plans to raise the annual fee by 7 percent every year and expects the club membership to grow at a constant rate of 6 percent for the next five years. The overall expenses of running the health club are $440,000 a year and are expected to grow at the inflation rate of...
Paul Adams owns a health club in downtown Los Angeles. He charges his customers an annual...
Paul Adams owns a health club in downtown Los Angeles. He charges his customers an annual fee of $400 and has an existing customer base of 700. Paul plans to raise the annual fee by 6 percent every year and expects the club membership to grow at a constant rate of 3 percent for the next five years. The overall expenses of running the health club are $125,000 a year and are expected to grow at the inflation rate of...
Paul Adams owns a health club in downtown Los Angeles. He charges his customers an annual...
Paul Adams owns a health club in downtown Los Angeles. He charges his customers an annual fee of $950 and has an existing customer base of 690. Paul plans to raise the annual fee by 6 percent every year and expects the club membership to grow at a constant rate of 2 percent for the next five years. The overall expenses of running the health club are $134,000 a year and are expected to grow at the inflation rate of...
Paul Adams owns a health club in downtown Los Angeles. He charges his customers an annual...
Paul Adams owns a health club in downtown Los Angeles. He charges his customers an annual fee of $940 and has an existing customer base of 490. Paul plans to raise the annual fee by 7 percent every year and expects the club membership to grow at a constant rate of 3 percent for the next five years. The overall expenses of running the health club are $114,000 a year and are expected to grow at the inflation rate of...
Paul Adams owns a health club in downtown Los Angeles. He charges his customers an annual...
Paul Adams owns a health club in downtown Los Angeles. He charges his customers an annual fee of $940 and has an existing customer base of 490. Paul plans to raise the annual fee by 7 percent every year and expects the club membership to grow at a constant rate of 3 percent for the next five years. The overall expenses of running the health club are $114,000 a year and are expected to grow at the inflation rate of...
Ted Mosby is a professor at Columbia University where he teaches architecture. Although Ted enjoys his...
Ted Mosby is a professor at Columbia University where he teaches architecture. Although Ted enjoys his job, the administration at Columbia University and him do not get along. The administration is sick and tired of Ted’s business venture, Puzzles Bar and Grill, taking up all of his time outside of class. Since the administration wants Ted gone, they offer him a $300,000 payment to Ted and, in return, Ted would relinquish his tenure and resign. Ted decides to take them...
Flex Fitness is a health and fitness club that operates gym facilities through out the United...
Flex Fitness is a health and fitness club that operates gym facilities through out the United States.Flex Fitness members pay their membership dues annually.Selected fiscal- year information from the company's balance sheets follows(thousands). Selected Balance Sheet Data 2016 Defered membership Income( liability) 500,568 2017 453,881 During fiscal 2016, Flex Fitness collected$1,119,833 cash for membership fees.Calculate the membership fee revenue that flex fitness recognizied during the year.
Scenario 1 Kerry owns and operates a small community pharmacy. John is the pharmacist and he...
Scenario 1 Kerry owns and operates a small community pharmacy. John is the pharmacist and he employees a clerk to assist with collecting, reconciling and depositing the proceeds collected each week. Kerry leaves all the cash handling procedures to the clerk and simply confirms that cash was deposited at the end of the week. Scenario 2 Alex is also an entrepreneur who owns a business. Alex ensures that the employee who accepts payments and issues receipts is not the same...
John Schumer operates three entities that he owns 1000% in the Providence, RI area. There are...
John Schumer operates three entities that he owns 1000% in the Providence, RI area. There are two limited liability companies (LLCs) and one S corporation. Each of the LLCs holds rental real estate. LLC 1 holds a six-story, multi-unit building. The minimum tenant stay there is 31 days. And there are mandatory housekeeping serviced provided on a bi-weekly basis. LLC 2 holds a single-family home rented on an annual basis. Both LLC's pay the S corporation a managment fee. John...
John Schumer operates three entities that he owns 100% in the Providence, RI area. There are...
John Schumer operates three entities that he owns 100% in the Providence, RI area. There are two limited liability companies (LLCs) and one S corporation. Each of the LLCs holds rental real estate. LLC 1 holds a six-story, multi-unit building. The minimum tenant stay there are 31 days. And there are mandatory housekeeping serviced provided on a bi-weekly basis. LLC 2 holds a single-family home rented on an annual basis. Both LLC's pay the S corporation a management fee. John...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT