Thursday, September 21, 2017

Corporate Parent's Presence in Judicial District Not Imputed to Subsidiary for Purposes of Determining Venue

The court overruled plaintiff's objections to the magistrate judge's recommendation and granted defendant's motion to dismiss for improper venue because there was insufficient evidence that defendant had a regular and established place of business in the forum. "[T]he Court is not persuaded that [plaintiff] has put forth sufficient evidence that [defendant's parent] and [defendant] acted as a single enterprise such that [the parent's] presence in this District should be imputed to [defendant] for the purpose of determining venue. [Plaintiff's] argument that venue is proper because [defendant] maintains inventory, advertises and markets, and receives substantial benefits in this District is similarly lacking in merit. [Plaintiff] relies only on evidence specific to [the parent] to support its assertions, and none of the evidence presented by [plaintiff] points to activities performed by [defendant]."

Blue Spike, LLC v. Caterpillar Inc. et al, 6-16-cv-01361 (TXED September 19, 2017, Order) (Schroeder, USDJ)

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