Chapter 1.6, Problem II.13E

Olga, a resident of Maine, was recently injured by a defective product produced by Home Appliance Corporation, which is incorporated in Delaware but has its company headquarters in Virgina. Olga purchased the defective product in Maine. Olga is suing Home Appliance for $60,000. Which courts would have personal jurisdiction in this case? Would a federal court have jurisdiction? Why or why not?

A statute requiring railroads to fence their tracks is construed as intended solely to prevent animals that stray onto the right-of-way from being hit by trains. B&A Railroad Company fails to fence its tracks. Two of Calvin’s cows wander onto the track. Nellie is hit by a train. Elsie is poisoned by weeds growing beside the track. For which cow(s), if any, is B&A Railroad Company liable to Calvin? Why?

Sony Corporation manufactured and sold home video recorders, specifically Betamax videotape recorders (VTRs). Universal City Studios, Inc. (Universal), owned the copyrights on some programs aired on commercially sponsored television. Individual Betamax owners frequently used the device to record some of Universal’s copyrighted television programs for their own noncommercial use. Universal brought suit, claiming that the sale of the Betamax VTRs to the general public violated its rights under the Copyright Act. It sought no relief against any Betamax consumer. Instead, Universal sued Sony for contributory infringement of its copyrights, seeking money damages, an equitable accounting of profits, and an injunction against the manufacture and sale of Betamax VTRs. Explain whether Universal will prevail in its action.