On behalf of Jeffrey Samel & Partners posted in on Tuesday, September 9, 2014.
Recently, the U.S. Supreme Court declared unconstitutional the long accepted standard used in New York to determine whether a corporate defendant is subject to general jurisdiction within the state under the test of “corporate presence” or “doing business.” In the January 2014 decision in Daimler AG v. Bauman, the Supreme Court ruled that there are three instances in which a state can exercise general jurisdiction over a corporation: (1) when the corporation is incorporated in that state; (2) when the corporation has its principal place of business in that state; or (3) “in an exceptional case” in which the corporation’s activities within the state are “so substantial and of such a nature as to render the corporation at home in that state.”