Webster Szanyi Obtains Dismissal of Product Liability Lawsuit in Federal Court.

Kevin Szanyi, Charlie Roberts and Steven Hamlin recently obtained dismissal of a product liability action brought against Isowa Corporation and Isowa America, Inc.  In Albino v. Global Equipment USA, LTD., et al. (14-cv-06519), Honorable Michael A. Telesca, United States District Judge, Western District of New York, granted motions to dismiss a third-party complaint against Isowa Corporation and Isowa America based on a lack of personal jurisdiction.  The Court concluded that the underlying failure to warn and strict product liability claims do not “arise from” Isowa America’s limited pre-accident sales of unrelated parts in New York, and found that post-accident sales and post-accident service visits were irrelevant to the analysis.  The Court also found the revenue Isowa America earned from its limited New York parts sales and service visits was insufficient to establish that it “does or solicits business” or “derives substantial revenue from goods used … or services rendered in the state.”  Stated differently, the Court found that Isowa America’s contacts with New York were insufficient to support personal jurisdiction over Isowa America under New York law.  Because jurisdiction over Isowa Corporation depended on jurisdiction over Isowa America — its alleged agent — the Court found that Isowa Corporation is also not subject to jurisdiction in New York.