On June 20, 2012, a United States District Court in Illinios denied defendant, a German based company, Pirelli Deutschland GMBH’s („Pirelli DG“), motion to dismiss for lack of personal jurisdiction in a products liability case stemming from a motorcycle accident in Illinios, USA.
Plaintiffs Robert Garrard and Wiliam Jasper allege that their injures were sustained due to the sudden failure of Plaintiff Jasper’s rear tire on his motorcycle causing Plaintiff Jasper to lose control of his motorcycle and violently crash into Plaintiff Garrard. Both Plaintiffs were hospitalized for an extended period and incurred extensive medical bills as a result of the accident.
The rear tire in issue was manufactured by Defendant Pirelli DG in Germany, installed in Japan by Yamaha, and then shipped to the US and sold to plaintiff. Pirelli DG participates in a sophisticated global distribution system that allows its tires to be sold all over the globe, including the American market.
In a products liability action, if a manufacturer markets and delivers its product into the stream of commerce with the expectation that the products will be purchased by consumers in the forum, it is not a violation of due process of law to require the manufacturer to defend in the forum state.
The court said, „Pirelli DG placed the Metzeler tire into the stream of commerce through a sophisticated global distribution system. It is clear Pirelli DG expects its Metzeler tires to be purchased in the American market. Accordingly, Pirelli DG must expect its Metzeler tires will purchased in Illinois, one of the five largest states in the Nation.“