B. D. v. Samsung SDI Co., Ltd., No. 23-1024 (7th Cir. 2024)
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The case arises from severe burns suffered by a minor, B.D., when a Samsung SDI battery exploded in his pocket in Indiana. B.D. sued Samsung SDI, a corporation organized under the laws of the Republic of Korea with no physical presence in Indiana, in Indiana state court for product liability. Samsung SDI moved the case to federal court and sought to dismiss the case for lack of personal jurisdiction. The district court denied Samsung SDI's motion to dismiss, finding that specific personal jurisdiction existed over Samsung SDI in Indiana. Samsung SDI subsequently appealed the decision to the United States Court of Appeals for the Seventh Circuit.
The Seventh Circuit Court of Appeals found that the district court's record did not contain sufficient facts to assess whether the requirements of the stream-of-commerce theory, which may establish a defendant's minimum contacts with a forum state, were met in this case. The court also found that the district court's reliance on the Supreme Court case of Ford Motor Co. v. Montana Eight Judicial District Court was distinguishable as Samsung SDI did not advertise, sell, or service the specific batteries in question in Indiana. The court noted that the extent of Samsung SDI's knowledge and expectations about the 18650 batteries entering Indiana was unclear.
The court also found that the record did not clearly show whether Samsung SDI's contacts with Indiana were related to the alleged injury. Lastly, the court determined that more facts were needed to assess whether the exercise of personal jurisdiction would be fair.
Given these uncertainties, the Seventh Circuit Court of Appeals remanded the case for further jurisdictional discovery to gather more information about Samsung SDI's contacts with Indiana concerning B.D.'s claimed injuries. The court clarified that this remand was limited to the question of personal jurisdiction and did not obligate the district court to consider or reconsider any non-jurisdictional issues.
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