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BENN v. LINDEN CRANE CO.

April 30, 1971

Clifford BENN
v.
LINDEN CRANE CO. et al.


VanArtsdalen, District Judge.


The opinion of the court was delivered by: VANARTSDALEN

VANARTSDALEN, District Judge.

 Defendant, Linden-Alimak, is a non-registered, foreign country corporation with its principal place of business in Sweden. Plaintiff, Clifford Benn, a Pennsylvania resident, instituted this suit because of an accident that happened in Pennsylvania wherein he alleges his injury resulted from a malfunction of a crane manufactured by Linden-Alimak.

 Linden-Alimak has moved to dismiss this action and quash service of the summons and complaint on the ground that it is neither present nor doing business in Pennsylvania and, thus, this Court lacks jurisdiction.

 Since this is a diversity action, the defendants' amenability to suit here is determined in accordance with the law of Pennsylvania. Meench v. Raymond Corp., 283 F. Supp. 68 (E.D. Pa. 1968). The law relevant to the disposition of this case is Section 1011 of the "Business Corporation Law" of Pennsylvania, Act of May 5, 1933, P.L. 364, Article 10, Section 1011, Sub-Section C as amended. 15 P.S. § 2011 (pocket parts 1971).

 
"C. For the purposes of determining jurisdictions of courts within this Commonwealth, the doing by any corporation in this Commonwealth of a series of similar acts for the purpose of thereby realizing pecuniary benefit or otherwise accomplishing an object, or doing a single act in this Commonwealth for such purpose, with the intention of thereby initiating a series of such acts, shall constitute 'doing business.' For the purposes of this subsection the shipping of merchandise directly or indirectly into or through this Commonwealth shall be considered the doing of such an act in this Commonwealth. As amended 1968, July 20, P.L. --, No. 216, § 54, effective in 30 days."

 In accordance with Rule 4(d)(3) and 4(d)(7), Federal Rules of Civil Procedure, service was affected by having the United States Marshal for the Eastern District of Pennsylvania transmit a copy of said complaint, by registered mail, to said defendant at his office in Vasteras, Sweden. The issue to be decided now is the narrow one of whether the defendant's activities in Pennsylvania were such as to satisfy Pennsylvania statutory standard of "doing business".

 At the hearing on defendant's motion, counsel argued their contentions with respect to an affidavit by defendant's president and defendant's answers to plaintiff's interrogatories. The following relevant facts were adduced from this evidence:

 1. Defendant, Linden-Alimak, is a corporation organized and existing under the laws of Sweden.

 2. Defendant had appointed no agent for service of process in the Commonwealth of Pennsylvania.

 3. Defendant has not obtained a certificate of authority from the Department of State to do business in the Commonwealth of Pennsylvania.

 4. Defendant has had no office in the Commonwealth of Pennsylvania.

 5. Defendant has had no real or personal property in the Commonwealth ...


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