Opinion
No. 90-0229.
Decided December 20, 1990.
Brown, Baker, Schlageter Craig and Mark E. Lupe; Mandross Mandross and Dean P. Mandross, for plaintiff.
Robison, Curphey O'Connell, David W. Stuckey and Jean M. O'Brien, for defendant.
Plaintiff, Douglas Greenwood, has sued Addison Community Hospital Authority (the "hospital") for $61,187 which allegedly represents payments owed to him under an oral employment agreement. The matter is now before the court on the hospital's motion to dismiss for lack of personal jurisdiction. This motion must be granted.
The hospital contends that it does not have minimum contacts with the state of Ohio which would subject it to this court's jurisdiction. The hospital is licensed and organized under the laws of the state of Michigan. Plaintiff Greenwood performed physical therapy services for a fee at the hospital in Lenawee County, Michigan.
In his memorandum in opposition to the motion to dismiss, Greenwood relies on R.C. 2307.382, which provides in pertinent part:
"(A) A court may exercise personal jurisdiction over a person who acts directly by an agent, as to a cause of action arising from the person's:
"Transacting any business in this state[.]"
He also relies on the case of Kentucky Oaks Mall Co. v. Mitchell's Formal Wear, Inc. (1990), 53 Ohio St.3d 73, 559 N.E.2d 477, which interprets Civ.R. 4.3(A)(1) and R.C. 2307.382(A)(1) with respect to a lease agreement. In that case, a Georgia corporation negotiated a lease by telephone with an Ohio limited partnership for a storeroom located in Kentucky. The court found that the nonresident commercial lessee "transacted business" for purposes of personal jurisdiction by negotiating and becoming obligated to make payments to its lessor in Ohio.
In his affidavit, Greenwood asserts he contractually negotiated with the hospital through John F. Beaudrie, an individual allegedly employed by TDS Health Services Corporation ("TDS"), which had its principal place of business in Toledo. Greenwood contends that TDS managed the hospital in Lenawee County. He also points out that correspondence and checks were sent to Beaudrie at his Toledo office.
The hospital, for its part, submits the affidavit of John F. Beaudrie, chief executive officer of the hospital, to explain that all negotiations conducted to have Greenwood provide physical therapy services for the hospital took place in Michigan at the hospital. In his affidavit Beaudrie states:
"Addison Community Hospital has never contracted with T.D.S. Health Services Corporation for administrative services and, in fact, refused to renew its relationship with St. Vincent Hospital."
Most importantly, in his affidavit, Beaudrie states that all physical therapy services rendered by Greenwood were performed at the hospital.
Although Greenwood has attempted to show how the hospital had "minimum contacts" with Ohio, he forgets that a nonresident defendant may be subject to Ohio's jurisdiction when it transacts business in Ohio if the cause of action arises from transaction of the business. R.C. 2307.382. It is undisputed that this is not a lease agreement, as in Kentucky Oaks, but a contract for personal services. Greenwood rendered these services in Michigan at the hospital's location in Michigan. The hospital did not conduct activities in Ohio. This being so, it would be unfair to submit defendant to defend a case in Ohio and the long-arm statute does not require that it do so.
This court finds it has no personal jurisdiction over the Addison Community Hospital Authority and therefore grants its motion to dismiss.
Order
Defendant Addison Community Hospital Authority's motion to dismiss is granted for lack of personal jurisdiction over this defendant.
Cause dismissed.