Dudnikov v. Chalk & Vermilion Fine Arts, Inc.
United States Court of Appeals for the Tenth Circuit
514 F.3d 1063 (2008)
Karen Dudnikov and Michael Meadors (plaintiffs) ran an eBay fabric business from their Colorado home, with their location disclosed on their eBay page and website. When they auctioned fabric incorporating a Betty Boop-themed design echoing artist Erté's work, Chalk & Vermilion (C&V) and its principal SevenArts (defendants) - a Connecticut/Delaware company and a British company, respectively - filed a takedown notice (NOCI) with eBay, causing the auction to be suspended, and then threatened to sue in federal court when the plaintiffs offered to withdraw the fabric if the notice were rescinded. The plaintiffs sued first, in Colorado federal court, seeking a declaration of non-infringement; the defendants moved to dismiss for lack of personal jurisdiction, and the district court granted the motion.
Whether, under the minimum-contacts standard, personal jurisdiction is established when a defendant intentionally commits a wrongful act knowingly and expressly aimed at the plaintiff in the forum state, the plaintiff's suit arises from that conduct, and exercising jurisdiction is reasonable.