Question

Susan, a Los Angeles resident, appears on a new NBC reality show, My Big Fat Obnoxious Accountant. Susan is the first to be "kicked off the island" and leaves the show in shame. On her way out, she throws a temper tantrum and destroys some of the furniture on the set. NBC and the production company that made the show are incorporated and headquartered in New York, where the show is filmed. NBC and the producers have offices and conduct business in Los Angeles and San Francisco. Humiliated by the loss, Susan plans to sue NBC and the producers of the show for breach of contract, fraud and intentional infliction of emotional distress, seeking $200,000 in damages. Susan is considering filing her lawsuit in California state court, New York state court or the federal courts. As to each of the state courts, indicate whether personal jurisdiction exists and why.

Answer 1

Personal Jurisdiction is a court's legally attributed power to oversee a lawsuit between 2 parties.

Due to the fact that NBC is legally incorporated and runs operations in both the state of New York and California, Susan is legally permitted to file a lawsuit against the company in both states.

Federal courts are not initially responsible for determining an outcome between both parties. However, the case may escalate up to the federal court after a series of appeals that can be made by both parties.