Civil Procedure Case Brief # 7

Title and Citation: Chalek v. Klein, 550 N.E.2d 645 (Ill. App. Ct. 1990)

Identities of Parties: P (Chalek) filed two separate against Ds (Klein & Lee) for not
paying for software that was sent to them.

Procedural History: Circuit Court of Du Page County dismissed the lawsuit against
(Klein) and (Lee) for lack of personal jurisdiction. P appealed decision to the Illinois
Appellant Court.

Facts: P operates and owns a business in Oak Brook, IL and sells computer software
system for use by commodities traders. D (Lee) CA resident and D (Chalek) ordered
the software program. After D (lee) sent in a payment of $3,500 and he received the
software due to not being unsatisfied stopped payment of checks. D (Chalek) sent in
payment of 3,000 and after receiving the software and stopped payment of check
since he was not satisfied. P filed a separate lawsuit against both parties, and D filed
motion to dismiss based on lack of jurisdiction. Motion to dismiss was supported by
affidavits by the Ds. P argued that jurisdiction applies to them due to IL long arm
statute.

Issue(s): Whether out-of-state residents who order a product from an IL business
may be sued by that business in an IL court?

Holding and Rule: No, the act of placing an order by mail or telephone and
accepting the sellers price as stated in advertising or other forms of solicitation is
not a sufficient minimum contact to allow personal jurisdiction over a passive
purchaser in the state of the seller.

Courts Reasoning: Due Process requires that the courts make a difference
between passive buyer and active buyer. Even if a states long arm statute permits
the exercise of jurisdiction over a nonresident defendant, such an exercise must also
be consistent with the Due Process Clause which limits the power of state courts to
enter judgments against nonresident defendants. The D in the case were passive
buyers, therefore jurisdiction over them would be violating the 14
th
Amendment.

Judgment and Order: Affirmed