KV Pharmaceutical Co. v. J. Uriach & CIA, No. 10-3403 (8th Cir. 2011)
Annotate this CaseAppellant, a Delaware corporation with its principal place of business in St. Louis, Missouri, sued appellee, a Spanish corporation with its principal place of business in Barcelona, Spain, for breach of contract and misappropriation of trade secrets in the United States District Court for the Eastern District of Missouri. At issue was whether the district court properly granted appellee's motion to dismiss for lack of personal jurisdiction, declined to reach the forum-non-conveniens argument, and denied the motion for failure to state a claim. The court held that the proper application of the five-factor test set forth in Johnson v. Arden supported hearing the present case in Missouri. Therefore, the court reversed the district court's decision to dismiss the complaint for lack of personal jurisdiction and remanded for further proceedings. As a preliminary matter, the court held that it would address the forum-non-conveniens argument because no additional facts were needed to resolve the issue. The court held, however, that because the plaintiff's choice of forum was entitled to significant deference and because the public-interest factors favor deciding the case in Missouri, the court did not find that the present case presented the exceptional circumstances necessary to invoke the doctrine of forum-non-conveniens. Therefore, the court denied appellee's motion to dismiss based on this ground. The court further held that in denying appellee's motion to dismiss under Federal Rule of Civil Procedure 12(b)(6), the district court did so without analysis and without prejudice. Therefore, the issue should be left for the district court to consider on remand.
Court Description: Civil case - civil procedure. District court erred in dismissing action for lack of personal jurisdiction as defendant, a Spanish corporation, agreed to engage in substantial activity in Missouri and could reasonably expect to be haled into court in Missouri in the event of a breach of contract; because the plaintiff's choice of forum is entitled to significant deference and because the public-interest factors favor deciding the case in Missouri, the case does not present the exceptional circumstances necessary to invoke the doctrine of forum non conveniens.
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