Suing an out-of-state broker in your state under the Long Arm

Discussion in 'Trucking Industry Regulations' started by gseweb, Dec 25, 2019.

  1. gseweb

    gseweb Bobtail Member

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    I see. The reason I brought up the state’s Long Arm is that in a non-trucking world you can’t just drag a guy say from CA to your local court say in OH without qualifying him under your state’s Long Arm terms. Which usually means you must show the CA guy has ‘sufficient minimum contacts’ with OH for the Ohio court to invoke jurisdiction over him. And I’m talking about state courts, not federal. To try in a federal one, you need to have the amount in dispute to be over $75k, if I remember correctly.

    But about freight brokers… Hmm., let me get this one straight. Their authority is interstate. Does this mean that you, say a local carrier in OH, could just head to your municipal small claims and file your complaint there against that broker from CA? Then you just serve his ‘designated agent’ in Ohio? And the broker will be forced to come from CA to your local small claims court in OH to defend against your suit? Did I get this right?
     
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  3. 6wheeler

    6wheeler Road Train Member

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    The brokers advertised a shipment for transport by your trucking company that was sent to your address via email which should give proper subject matter jurisdiction.

    The offience happened in your city/county
     
  4. Antinomian

    Antinomian Road Train Member

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    It's not just a matter of a minimum amount. Federal courts don't have general jurisdiction over tort cases. They can claim jurisdiction over tort cases that have a "diversity of jurisdiction" and/or cases that involve a federal law.
     
  5. Ridgeline

    Ridgeline Road Train Member

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    They do when it comes to the federal jurisdiction under the interstate commerce clause, you are going after a regulated entity under federal law, their bond is issued as part of the qualifications to hold that authority to operate interstate.
     
  6. gseweb

    gseweb Bobtail Member

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    What’s the advantage for a little guy to go against the broker in a federal court? Too formal, too expensive, too intimidating. Too much marble on the walls. LOL. I’d rather use our Common Pleas..
     
  7. Antinomian

    Antinomian Road Train Member

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    In other words, if there is diversity of jurisdiction - i.e. you are suing or being sued by an entity in another state.

    Your case would need to involve one of those federal regulations. You can't sue in federal court just because the entity your are suing is federally regulated. Then again, there are federal regulations for just about every aspect of the trucking industry.
     
  8. xsetra

    xsetra Road Train Member

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    The legal address your business is located is the jurisdiction you would use for legal action. However the entity you sue can ask the judge for a change of venue.
    The judge would decide which jurisdiction would better serve both parties. That is if the jurisdiction hasn't been agreed to in a contract.
    The contract would supercede the court action.

    If you sue a broker in your local court and the broker doesn't file a motion to change venue, it will stay in your local court.
     
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