In a recent decision, Rassmussen v. General Motors Corp., 2011 WI 52 (July 11, 2011), the Wisconsin Supreme Court held that personal jurisdiction of a defendant under Wisconsin’s "long-arm statute" cannot be based merely on its agency relationship with an entity having sufficient contacts with the state.
The Court was addressing a class action suit brought against various automobile manufacturers for price fixing. Among those manufactures was Nissan Japan. The plaintiff maintained that its subsidiary, Nissan North America, which unquestionably engages in substantial activity within the state, functions as Nissan Japan’s alter-ego and that therefore Wisconsin courts have personal jurisdiction of Nissan Japan.
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