Schultz v. Safra Nat'l Bank of N.Y.

09-1671-cv Schultz v. Safra Nat’l Bank of N.Y. UNITED STATES COURT OF APPEALS FOR THE SECOND CIRCUIT SUMMARY ORDER RULINGS BY SUMMARY ORDER DO NOT HAVE PRECEDENTIAL EFFECT . CITATION TO A SUMMARY ORDER FILED ON OR AFTER JANUARY 1, 2007, IS PERMITTED AND IS GOVERNED BY FEDERAL RULE OF APPELLATE PROCEDURE 32.1 AND THIS COURT ’S LOCAL RULE 32.1.1. WHEN CITING A SUMMARY ORDER IN A DOCUMENT FILED WITH THIS COURT , A PARTY MUST CITE EITHER THE FEDERAL APPENDIX OR AN ELECTRONIC DATABASE (WITH THE NOTATION “SUMMARY ORDER ”). A PARTY CITING A SUMMARY ORDER MUST SERVE A COPY OF IT ON ANY PARTY NOT REPRESENTED BY COUNSEL . 1 At a stated term of the United States Court of Appeals 2 for the Second Circuit, held at the Daniel Patrick Moynihan 3 United States Courthouse, 500 Pearl Street, in the City of 4 New York, on the 17 th day of May, two thousand ten. 5 6 PRESENT: DENNIS JACOBS, 7 Chief Judge, 8 RALPH K. WINTER, 9 JOSEPH M. McLAUGHLIN, 10 Circuit Judges. 11 12 - - - - - - - - - - - - - - - - - - - -X 13 Stanton Sterling Schultz, 14 Plaintiff-Appellant, 15 16 -v.- 09-1671-cv 17 18 Safra National Bank of New York, Banco 19 Safra, S.A., 20 Defendants-Appellees. 21 - - - - - - - - - - - - - - - - - - - -X 22 23 FOR APPELLANT: Stanton Sterling Schultz, pro se, 24 Denver, CO. 25 26 FOR APPELLEE: Barry R. Fischer, Fischer & Mandell, 27 LLP, New York, NY. 28 1 1 Appeal from a judgment of the United States District Court 2 for the Southern District of New York (Berman, J.; Mass, Mag.). 3 UPON DUE CONSIDERATION, IT IS HEREBY ORDERED, ADJUDGED, AND 4 DECREED that the judgment of the district court be AFFIRMED. 5 Appellant Stanton Sterling Schultz, pro se, appeals the 6 district court’s grant of the Defendants’ Fed. R. Civ. P. 7 12(b)(2) motion, dismissing his complaint for lack of personal 8 jurisdiction. We assume the parties’ familiarity with the 9 underlying facts, the procedural history of the case, and the 10 issues on appeal. 11 Schultz raises no challenge on appeal to the district 12 court’s denial of his cross-motion to join Joseph Safra as a 13 defendant; the denial of his application for discovery; and the 14 dismissal of his claims against Safra National Bank of New York. 15 We decline to review those issues. See LoSacco v. City of 16 Middletown, 71 F.3d 88, 92-93 (2d Cir. 1995) (when a litigant, 17 pro se or not, raises an issue before the district court but does 18 not raise it on appeal, it is abandoned). The only issue raised 19 by Schultz on appeal is whether the district court had personal 20 jurisdiction over Banco Safra, S.A. (“Banco Safra”), a Brazilian 21 bank. 22 We review de novo a district court’s dismissal of a 23 complaint under Fed. R. Civ. P. 12(b)(2) for lack of personal 24 jurisdiction. See Metro. Life Ins. Co. v. Roberson-Ceco Corp., 25 84 F.3d 560, 567 (2d Cir. 1996). To survive a Rule 12(b)(2) 26 motion, a plaintiff has the burden of demonstrating that 27 jurisdiction exists, see Robinson v. Overseas Military Sales 28 Corp., 21 F.3d 502, 507 (2d Cir. 1994), and where, as here, the 29 district court did not conduct “a full-blown evidentiary hearing 30 on the motion, the plaintiff need only make a prima facie showing 31 of jurisdiction,” Marine Midland Bank, N.A. v. Miller, 664 F.2d 32 899, 904 (2d Cir. 1981). In order to resolve a motion to dismiss 33 for lack of personal jurisdiction, a district court must 34 “determine whether there is jurisdiction over the defendant under 35 the relevant forum state’s laws.” Bank Brussels Lambert v. 36 Fiddler Gonzalez & Rodriguez, 171 F.3d 779, 784 (2d Cir. 1999). 37 Therefore, under New York law, Schultz had to demonstrate either 38 that Banco Safra was “present” and “doing business” within the 39 meaning of New York Civil Procedure Law and Rules (“CPLR”) § 301, 40 or that it committed acts within the scope of New York’s long-arm 41 statute, CPLR § 302. 42 Under CPLR § 301, “[a] corporation is ‘doing business’ and 43 is therefore ‘present’ in New York and subject to personal 44 jurisdiction with respect to any cause of action, related or 45 unrelated to the New York contacts, if it does business in New 2 1 York not occasionally or casually, but with a fair measure of 2 permanence and continuity.” Wiwa v. Royal Dutch Petroleum Co., 3 226 F.3d 88, 95 (2d Cir. 2000) (internal quotation marks omitted) 4 (defining the circumstances pursuant to which a defendant can be 5 subject to general personal jurisdiction under CPLR § 301). New 6 York courts have focused on several factors to support a finding 7 that a defendant was “doing business,” including “the existence 8 of an office in New York; the solicitation of business in New 9 York; the presence of bank accounts or other property in New 10 York; and the presence of employees or agents in New York.” 11 Landoil Res. Corp. v. Alexander & Alexander Serv. Inc., 918 F.2d 12 1039, 1043 (2d Cir. 1990). Solicitation alone will not 13 ordinarily show that a defendant is “doing business” in New York, 14 but where combined with evidence that the defendant “engages in 15 other activities of substance in the state, then personal 16 jurisdiction may properly be found to exist.” Id. at 1043-44. 17 As the district court determined, Schultz had at best 18 alleged only that certain banking institutions owned by a non- 19 bank holding company--which, through a subsidiary, may also have 20 owned Banco Safra--solicited business in the United States. 21 Schultz readily admitted that Banco Safra had no office, 22 employees, accounts, or property in the State of New York, and, 23 given this absence of other substantial activities in New York, 24 Schultz’s speculative assertion that Banco Safra engaged in 25 solicitation in that state through various other companies was 26 insufficient to vest the district court with personal 27 jurisdiction under CPLR § 301. 28 Additionally, under CPLR § 302(a)(1), a court may exercise 29 personal jurisdiction over a defendant if it (1) “transacts any 30 business” in New York and (2) the plaintiff’s cause of action 31 arises from the business transaction. See Best Van Lines, Inc. 32 v. Walker, 490 F.3d 239, 246 (2d Cir. 2007). Under CPLR 33 § 302(a)(3), a district court may also exercise personal 34 jurisdiction over a defendant if it commits a tortious act 35 outside the state that causes injury to a person within the 36 state, provided that the defendant “regularly does or solicits 37 business, or engages in any other persistent course of conduct, 38 or derives substantial revenue from goods used or consumed or 39 services rendered, in the state.” 40 As the district court determined, neither of these sections 41 afforded personal jurisdiction over Banco Safra. Because Schultz 42 conceded that his claims arose from alleged transaction by Banco 43 Safra in Brazil, jurisdiction was not available under 44 § 302(a)(1). Moreover, given our discussion above, Schultz could 45 not show that Banco Safra regularly and consistently engaged in 46 any business in the State of New York so as to create 47 jurisdiction pursuant to § 302(a)(3). Accordingly, Schultz’s 3 1 complaint was properly dismissed for lack of personal 2 jurisdiction. 3 We have considered all of Schultz’s remaining claims of 4 error and determined them to be without merit. For the foregoing 5 reasons, the judgment of the district court is hereby AFFIRMED. 6 7 8 FOR THE COURT: 9 CATHERINE O’HAGAN WOLFE, CLERK 10 4