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LG Chem America, Inc. and LG Chem, Ltd. v. Javier Zapata

Citation: Not availableDocket: 14-21-00695-CV

Court: Court of Appeals of Texas; November 1, 2022; Texas; State Appellate Court

Original Court Document: View Document

Narrative Opinion Summary

In this case, the Fourteenth Court of Appeals reversed a trial court's decision that denied the special appearances filed by LG Chem America, Inc. and LG Chem, Ltd. Javier Zapata had alleged that an explosion of an LG 18650 lithium-ion battery, purchased from a Texas retailer, caused him serious injuries, attributing liability to LG America and LG Chem for designing and marketing the defective product. LG America, based in Georgia, and LG Chem, located in South Korea, challenged the trial court's jurisdiction, asserting that their contacts with Texas did not pertain to Zapata's claims. The court reviewed the trial court's decision de novo, ultimately finding no substantial connection between the appellants' contacts with Texas and the facts of the case, thus negating specific jurisdiction. The court also addressed evidentiary issues, ruling that certain exhibits presented by Zapata were inadmissible hearsay, while others, like the Nehmens affidavit, were permissible but insufficient to establish jurisdictional ties. Consequently, the appellate court held that the trial court erred in denying the special appearances, leading to the dismissal of Zapata's claims due to a lack of personal jurisdiction over the defendants.

Legal Issues Addressed

Admissibility of Evidence in Special Appearance Hearings

Application: The court ruled that certain evidence presented by Zapata was inadmissible hearsay and failed to demonstrate the necessary connection between the appellants' activities and Zapata's claims.

Reasoning: The court found that the challenged exhibits were indeed hearsay, as they were out-of-court statements used to prove the truth of their assertions, and Zapata failed to demonstrate their admissibility under an exception to the hearsay rule.

Personal Jurisdiction under Texas Long-Arm Statute

Application: The court found that the trial court lacked personal jurisdiction over LG Chem America, Inc. and LG Chem, Ltd. because there was no substantial connection between the appellants' contacts with Texas and the facts of Zapata's claims.

Reasoning: The Fourteenth Court of Appeals reversed the trial court's denial of special appearances filed by LG Chem America, Inc. and LG Chem, Ltd., dismissing claims made by Javier Zapata related to an explosion of an LG 18650 lithium-ion battery. The court found no substantial connection between the facts of Zapata's claims and the appellants' contacts with Texas, leading to the conclusion that the trial court lacked personal jurisdiction over them.

Specific Jurisdiction and Minimum Contacts

Application: Specific jurisdiction was not established as Zapata's claims did not arise from or relate to the appellants' purposeful contacts with Texas.

Reasoning: Specific jurisdiction exists when the plaintiff's claims arise from or are connected to the defendant's contacts with Texas. The trial court erred in denying the appellants’ special appearances, as there is no substantial connection between their purposeful contacts and the facts underlying Zapata's claims.

Standard of Review for Special Appearance

Application: The standard of review for the denial of a special appearance is de novo, requiring the court to reassess the trial court's legal conclusions without deference.

Reasoning: The standard of review for the denial of a special appearance is de novo. Legal conclusions by the trial court are also reviewed de novo.

Use of Affidavits in Special Appearance Rulings

Application: The trial court was permitted to consider the Nehmens affidavit under Rule 120a, although it did not establish relevant contacts for jurisdiction.

Reasoning: Conversely, the court did not err in considering the Nehmens affidavit, as Rule 120a of the Texas Rules of Civil Procedure allows trial courts to consider affidavits in special appearance rulings, despite the general inadmissibility of hearsay.