this post was submitted on 21 Nov 2023
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[–] frazw@lemmy.world 142 points 7 months ago* (last edited 7 months ago) (23 children)

Why is it OK for an American company to headquarter in one state then cherry pick another in which to file a lawsuit? Surely a company should be governed by the laws of the state in which they are based. It seems weird to choose the set of laws you want to be judged by when the defendant cannot do the same.

[–] ZickZack@fedia.io 27 points 7 months ago (13 children)

Surely a company should be governed by the laws of the state in which they are based

This is not true and wouldn't make why sense: let's say you are a delivery company and one of your drivers runs over a dog in Texas. The lawsuit can be filed in Texas, regardless of whether your company is in Texas, California, or even outside the united states. The place you are incorporated in doesn't change the damages or laws you violated when running over the dog. Of course you can also move the venue to the state the company is based in.

You cannot (generally) move it to another state, since that state doesn't even have jurisdiction over any part of the incident.

The internet is just special in the sense that really something that happened on the internet happened everywhere on earth at the same time, meaning any venue is a place where potential damages were accrued.

[–] frazw@lemmy.world 21 points 7 months ago (1 children)

Agree that if an incident happens in a particular jurisdiction, the local court should handle it. That makes sense, no argument here. But here they get to choose the set of laws because there was no physical location? That just feels wrong somehow. Anyway there is a physical location and if anything, the incident was 'perpetrated' by a person who was physically located somewhere at the time. It should be handled by the court local to them at the time. In the case of organisations, I guess this would mean where the defendant company operates from. Or if we accept it is virtual and everywhere then, it should be governed by federal laws not state laws.

[–] ZickZack@fedia.io 1 points 7 months ago

I answered a little more in detail in a different comment (https://fedia.io/m/technology@lemmy.world/t/411563/-/comment/2556033) but to address the last point: They did file in federal court (specifically the federal district court in north texas).

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