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Keywords

lawsuitdefendantjurisdictionappealcompliance
jurisdictionstatuteappeal

Related Cases

Yahoo! Inc. v. La Ligue Contre Le Racisme Et L’Antisemitisme, 433 F.3d 1199, 06 Cal. Daily Op. Serv. 360, 2006 Daily Journal D.A.R. 500

Facts

Yahoo! filed a lawsuit against LICRA and UEJF after they obtained French court orders requiring Yahoo! to block access to Nazi material on its U.S. site. The French court issued interim orders mandating Yahoo! to take specific actions to prevent access to such content from France, threatening penalties for non-compliance. Yahoo! argued that it could not technically comply with the orders and contended that the enforcement of these orders would violate the First Amendment rights in the U.S. The district court found personal jurisdiction over the French organizations and ruled that the case was ripe for adjudication.

Yahoo! did not pursue appeals of either interim order.

Issue

The main legal issues were whether the U.S. District Court had personal jurisdiction over the French defendants and whether the French court orders were enforceable in the United States.

LICRA and UEJF appeal only the personal jurisdiction, ripeness, and abstention holdings.

Rule

The court applied the principles of personal jurisdiction, specifically the 'minimum contacts' standard, and assessed whether the actions of LICRA and UEJF constituted sufficient contacts with California to justify jurisdiction.

Where, as here, there is no applicable federal statute governing personal jurisdiction, the district court applies the law of the state in which the district court sits.

Analysis

The court determined that LICRA and UEJF had sufficient contacts with California through their actions related to the French lawsuit against Yahoo!. The cease and desist letter, service of process, and the French court orders were all considered in evaluating personal jurisdiction. The court concluded that the French court's orders were aimed at Yahoo! in California, thus satisfying the 'purposeful availment' requirement for jurisdiction.

We agree with LICRA and UEJF that the Calder effects test is appropriately applied to the interim orders of the French court.

Conclusion

The Court of Appeals reversed the district court's ruling, concluding that the action should be dismissed for lack of ripeness and that the district court had personal jurisdiction over the defendants.

A majority of the en banc court having voted therefor, the judgment of the district court is REVERSED and the case REMANDED with directions to dismiss the action without prejudice.

Who won?

Yahoo! prevailed in the case as the court ultimately ruled that the French orders were unenforceable in the U.S. due to First Amendment protections.

Yahoo! prevailed in the case as the court ultimately ruled that the French orders were unenforceable in the U.S. due to First Amendment protections.

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