Law (legal environment of business)

5- Missouri was International Shoe Corporation’s principal place of business, but the company employed between 11 and 13 salespersons in the state of Washington who exhibited samples and solicited orders for shoes from prospective buyers in Washington. The state of Washington assessed the company for contributions to a state unemployment fund. The state served the assessment on one of International Shoe Corporation’s sales representatives in Washington and sent a copy by registered mail to the company’s Missouri headquarters. International Shoe’s representative challenged the assessment on numerous grounds, arguing that the state had not properly served the corporation. Is the corporation’s defense valid? Why or why not? [International Shoe Co. v. Washington, 326 U. S. 310 (1945).]

6- The Robinsons, residents of New York, bought a new Audi car from Seaway Volkswagen Corp., a retailer incorporated in New York and with its principal place of business there. World- Wide Volkswagen, a company incorporated in New York and doing business in New York, New Jersey, and Connecticut, distributed the car to Seaway. Neither Seaway nor World- Wide did business in Oklahoma, and neither company shipped cars there. The Robinsons were driving through Oklahoma when another vehicle struck their Audi in the rear. The gas tank of the Audi exploded, injuring several members of the family. The Robinsons brought a product liability suit against the manufacturer, distributor, and retailer of the car in an Oklahoma state court. Seaway and World- Wide argued that the Oklahoma state court did not have in personam jurisdiction over them. After the state’s trial court and Supreme Court held that the state did have in personam jurisdiction over Seaway and World- Wide, the companies appealed to the U. S. Supreme Court. How do you think the Court decided in this case? Why? [World- Wide Volkswagen Corp. v. Woodson, 444 U. S. 286 (1980).]