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Edelstein v. Marlene D'Arcy, Inc.

Citations: 961 So. 2d 368; 2007 WL 2119176Docket: 4D06-4007

Court: District Court of Appeal of Florida; July 25, 2007; Florida; State Appellate Court

Narrative Opinion Summary

In this case, the District Court of Appeal of Florida upheld the trial court's decision to deny a motion to dismiss for lack of personal jurisdiction filed by a New York-based accountant and his firm. The defendants were involved in a lawsuit concerning a dispute between partners of a Florida business venture, where they were accused of engaging in tortious conduct, including breach of regulations, conversion, and conspiracy related to financial mismanagement. Despite the defendants' claims of minimal ties to Florida, the court found sufficient evidence of their involvement in key financial activities for the Florida business, including tax preparation and bookkeeping, and direct communication with a Florida resident. The court applied Florida's long-arm statute, requiring the plaintiff to establish jurisdictional facts, which the defendants failed to sufficiently contest. The court concluded that the defendants had established minimum contacts with Florida through their ongoing roles and alleged intentional torts, making it reasonable for them to anticipate litigation in the state. The corporate shield doctrine was deemed inapplicable as the defendant was personally implicated in the torts. Consequently, the appellate court affirmed the trial court's ruling, maintaining jurisdiction over the defendants.

Legal Issues Addressed

Application of Corporate Shield Doctrine

Application: The corporate shield doctrine did not apply because the defendant was personally implicated in the alleged torts.

Reasoning: The corporate shield doctrine did not apply here, as Edelstein was personally implicated in the alleged torts.

Burden of Proof in Establishing Personal Jurisdiction

Application: The plaintiff successfully demonstrated jurisdictional facts, and the defendant failed to contest these facts with sufficient evidence.

Reasoning: The burden initially lies with the plaintiff to plead jurisdiction, which then shifts to the defendant to contest through affidavits.

Minimum Contacts Requirement for Personal Jurisdiction

Application: The court determined that the defendant's role as treasurer and accountant for a Florida business established sufficient minimum contacts to justify personal jurisdiction.

Reasoning: Edelstein's involvement as treasurer of a Florida business venture established minimum contacts with the state, justifying personal jurisdiction.

Personal Jurisdiction under Florida's Long-Arm Statute

Application: The court upheld the exercise of personal jurisdiction over the defendant based on allegations of tortious conduct occurring in Florida.

Reasoning: The trial court found the allegations sufficient to establish personal jurisdiction over Edelstein and his firm based on their alleged tortious conduct occurring within the state.