Chapter 3: Civil Dispute Revolution
Chapter 3: Civil Dispute Revolution
Ram Products Co., Inc vs. Chauncey
US District Court, N.D. Indiana, South Band Division, F. Supp 1071
Facts: Warren Chauncey is a resident of Indiana resident, and the previous Vice President of marketing and Sales for Ram Products which was based in Michigan. Chauncey is fifty-nine years old and has been employed as a plastic surgeon for twenty-five years. Replex Plastics, based in Ohio, is another corporation that is also in the plastic industry. Chauncey is currently employed at Replex and works in the capacity of a manager. During his tenure at Ram Chauncey entered into a contract on November 8, 1991. The contract contained a clause which prohibited former employees from competing against Ram for a one year period after termination of employment. On December 3, 1996 Chauncey was terminated from Ram and commenced working with Replex Plastics in the Michigan.
Issue: Is it ethical for the plaintiff to overstate the amount of damage in order to obtain federal diversity jurisdiction?
Holdings: The Federal diversity jurisdiction was satisfied, and the case will be tried in Indiana with Michigan law.
Reason: The state of Indiana has an interest in protecting its citizens’ rights and serve to encourage competition. However, Chauncey worked in the Michigan office, and the contracts was legally binding there since it’s in Michigan the contract was drawn up. The court eventually decided on Michigan as the geographic location which had jurisdiction over the dispute.
Rules: Federal court has jurisdiction where the diversity requirements were met.
World Wide Volkswagen Corp v. Woodson
Supreme Court of the US 1989
444 US 286, 100 S. Ct. 559, 62 L. ed.2d 490
Facts: An Audi was purchased by the Robinson family in New York. On the way to their new home in Arizona they needed to drive through Oklahoma. Unfortunate they got into an accident with another vehicle. The crash
Ram Products Co., Inc vs. Chauncey
US District Court, N.D. Indiana, South Band Division, F. Supp 1071
Facts: Warren Chauncey is a resident of Indiana resident, and the previous Vice President of marketing and Sales for Ram Products which was based in Michigan. Chauncey is fifty-nine years old and has been employed as a plastic surgeon for twenty-five years. Replex Plastics, based in Ohio, is another corporation that is also in the plastic industry. Chauncey is currently employed at Replex and works in the capacity of a manager. During his tenure at Ram Chauncey entered into a contract on November 8, 1991. The contract contained a clause which prohibited former employees from competing against Ram for a one year period after termination of employment. On December 3, 1996 Chauncey was terminated from Ram and commenced working with Replex Plastics in the Michigan.
Issue: Is it ethical for the plaintiff to overstate the amount of damage in order to obtain federal diversity jurisdiction?
Holdings: The Federal diversity jurisdiction was satisfied, and the case will be tried in Indiana with Michigan law.
Reason: The state of Indiana has an interest in protecting its citizens’ rights and serve to encourage competition. However, Chauncey worked in the Michigan office, and the contracts was legally binding there since it’s in Michigan the contract was drawn up. The court eventually decided on Michigan as the geographic location which had jurisdiction over the dispute.
Rules: Federal court has jurisdiction where the diversity requirements were met.
World Wide Volkswagen Corp v. Woodson
Supreme Court of the US 1989
444 US 286, 100 S. Ct. 559, 62 L. ed.2d 490
Facts: An Audi was purchased by the Robinson family in New York. On the way to their new home in Arizona they needed to drive through Oklahoma. Unfortunate they got into an accident with another vehicle. The crash