Moncrief v. ClarkAnnotate this Case
Smith, a California partnership, hired attorney Moncrief to perform due diligence for its purchase of equipment from Texas Hill in Arizona. Texas Hill was represented by Clark, an Arizona attorney. Moncrief performed a UCC search, called Clark, and left a voicemail. Clark called Moncrief in response and represented that Texas Hill was the sole owner of the equipment. Afterwards Clark sent Moncrief an e-mail, stating: “I have been the attorney for Texas Hill . . . and can state unequivocally that the cooling equipment you are buying is free and clear and is owned by Texas Hill.” Based on Clark’s representations, Moncrief advised Smith to go forward with the purchase. Smith later learned that Texas Hill did not own the equipment when they completed the transaction; New York Community Bank had acquired an interest in the equipment. Smith sued Moncrief for legal malpractice. Moncrief cross-complained against Clark. Clark moved to quash service, arguing that California lacked personal jurisdiction over him. The court granted the motion. Clark’s conduct and his intentional misrepresentations were required to close the sale. Clark personally availed himself of the benefits of California when he reached into California to induce Moncrief’s client to complete the purchase. Moncrief’s claims arise out of Clark’s contacts with California. lark has not demonstrated that exercise of jurisdiction would be unreasonable.