C.S.B. Commodities, Inc. v. Urban Trend (HK) Ltd.

MEMORANDUM OPINION AND ORDER

Plaintiff C.S.B. Commodities, Inc. (“CSB”) filed a three count first amended complaint against Urban Trend (HK) Ltd. (“Urban Trend”) and Robert Kushner (“Kushner”) (collectively “Defendants”) alleging: I — Federal Unfair Competition under 15 U.S.C. § 1125(a); II — Unfair Competition under Illinois common law; and III — Unfair Competition under 815 ILCS § 510. This matter is now before the Court on Defendants’ renewed motion to dismiss Plaintiffs complaint for lack of personal jurisdiction [30] pursuant to Federal Rules of Civil Procedure 12(b)(2) and Defendant Kushner’s renewed motion to dismiss for failure to state a claim [27] pursuant to Federal Rule of Civil Procedure 12(b)(6). For the reasons stated below, the Court grants the motion to dismiss for lack of personal jurisdiction as to Defendant Urban Trend, denies the motion to dismiss for lack of personal jurisdiction as to Defendant Kushner [30] and denies Defendant Kushner’s motion to dismiss for failure to state a claim [27].

I. Background

CSB is a New York Corporation having a principal place of business in New York. PI. Amend. Compl. at ¶ 1. Urban Trend is a Hong Kong corporation, having a principal place of business in Hong Kong. Id. at ¶ 2. Kushner is a resident of Hong Kong. Id. at ¶ 3.

CSB is in the business of selling housewares and household goods. PI. Amend. Compl. at ¶ 8. In August of 2005, CSB began selling a new product, specifically a knife holder that incorporates the configuration of a stylized figure which Plaintiff terms a “Human Figure Design.” Id. at ¶ 9. This knife holder featuring the Human Figure Design is sold under the trademark “The Ex” in the United States and under the trademark “Voodoo” elsewhere throughout the world. Id. Although the “Ex/Voodoo” is manufactured in a range of colors, it is most popular and well-known in red. Id. From its initial introduction, the “Ex/Voodoo” was popular in the marketplace and garnered a great deal of press coverage and attention through word-of-mouth. Id. at ¶ 12. CSB has promoted the “Ex/Voodoo” knife holder and the Human Figure Design in advertisements and through other marketing channels. Id. As a result, CSB asserts that the Human Figure Design has acquired secondary meaning. Id. CSB owns the trademark rights associated with the Human Figure Design. Id. at ¶ 11.

Urban Trend is in the business of selling novelty items. PL Amend. Compl. at ¶ 14. Kushner has responsibility for selecting the products that Urban Trend manufactures and/or markets. Id. at ¶ 15. Kushner also stands to benefit personally from the decisions to manufacture and/or market any particular product. Id. After *842 CSB began advertising and selling the “Ex/Voodoo,” Urban Trend, without authorization from CSB, began marketing, selling, and using in interstate commerce a knife holder called the “Throwzini”. Id. at ¶ 16. The “Throwzini” has been shown in advertisements in the same red color that is utilized by CSB in its most popular version of the “Ex/Voodoo” knife holder. Id. CSB alleges that the “Throwzini”: (i) utilizes a design that is confusingly similar to the Human Figure Design; and (ii) misappropriates the distinctive trade dress and product configuration of the “Ex/Voodoo” knife holder. Id.

CSB alleges that Defendants knew of the “Ex/Voodoo” knife holder, the Human Figure Design, and the popularity of the “Ex/Voodoo” at the time that they began to develop the “Throwzini” knife holder. PI. Amend. Compl. at ¶ 17. CSB further alleges that the selection and shape of the “Throwzini” knife holder was made with the knowledge that the chosen shape was confusingly similar to the “Ex/Voodoo” knife holder and the Human Figure Design. Id. at ¶ 18. The choice also was made to select the shape of the “Throwzini” in the most popular color of the “Ex/Voodoo” with the intention of trading on the good will and product recognition that CSB has developed in the “Ex/Voodoo” knife holder and the Human Figure Design. Id. at ¶ 19.

CSB alleges that Kushner made the decision to manufacture and/or market the “Throwzini”. Id. at ¶ 20. In so doing, he sought to trade on the goodwill established by CSB in the “Ex/Voodoo” knife holder. Id. at ¶21. Kushner also is alleged to have personally directed others at Urban Trend to manufacture or have manufactured the “Throwzini” knife holder and to market the “Throwzini” in this District and elsewhere. Id. at ¶ 22. Kushner has been personally present in this District to offer the “Throwzini” knife holder for sale. Id. at ¶23. Defendants have begun marketing and promoting the “Throwzini” in the United States and have promised customers to deliver the “Throwzini” knife holders shortly. Id. at ¶25. Finally, CSB alleges that Kushner stands to gain personally from sales of the “Throwzini.” Id. at ¶ 24.

In CSB’s response to Defendants’ motion to dismiss for lack of personal jurisdiction, CSB stated that not only had Kushner been personally present in this District to offer the “Throwzini” for sale, but he had in fact been served with the summons and complaint for this case. In early March of 2008, CSB learned that Urban Trend was scheduled to appear at a trade show in Chicago and would offer for sale the “Throwzini” knife holder. PL Resp. at 2; Declaration of Robert Schmeizer at ¶ 9. 1 CSB went to the trade show and learned that Kushner and Urban Trend were present and were offering the “Throwzini” for sale. Pl. Resp. at 3; Schmeizer Decl. at ¶ 11. CSB filed the initial complaint in this matter and served Kushner on the trade show floor with the summons and complaint. Pl. Resp. at 3; Schmeizer Decl. at ¶ 12.

II. Motion to Dismiss for Lack of Personal Jurisdiction

Kushner’s motion to dismiss for lack of personal jurisdiction must be considered first. See Steel Co. v. Citizens for a Better Env’t, 523 U.S. 83, 93-102, 118 S.Ct. 1003, 140 L.Ed.2d 210 (1998). If the court finds *843 it lacks personal jurisdiction over Kushner, it will become unnecessary to consider his motion to dismiss for failure to state a claim upon which relief can be granted.

A. Legal Standard on Motion to Dismiss for Lack of Personal Jurisdiction

An action against a party over whom the Court lacks personal jurisdiction must be dismissed. Fed.R.Civ.P. 12(b)(2). A complaint need not include facts alleging personal jurisdiction. Steel Warehouse of Wisconsin, Inc. v. Leach, 154 F.3d 712, 715 (7th Cir.1998). If defendants move to dismiss for lack of personal jurisdiction, plaintiff has the burden of establishing a prima facie case where, as here, there are no facts in dispute and thus no need to convene an evidentiary hearing. See id.-, Purdue Research Found, v. Sanofi-Synthelabo, S.A., 338 F.3d 773, 782 (7th Cir. 2003). The Seventh Circuit has cautioned that “once the defendant has submitted affidavits or other evidence in opposition to the exercise of jurisdiction, the plaintiff must go beyond the pleadings and submit affirmative evidence supporting the exercise of jurisdiction.” Purdue Research Found., 338 F.3d at 783. The Court resolves factual disputes in the pleadings and affidavits in favor of the party asserting jurisdiction, but takes as true those facts contained in defendant’s affidavits that remain unrefuted by the plaintiff. Jamik, Inc. v. Days Inn of Mount Laurel, 74 F.Supp.2d 818, 821 (N.D.Ill.1999).

The allegations pertinent to personal jurisdiction are, as follows: (i) Defendants, prior to the filing of the Complaint, offered, in person, to sell the products described below in this district; (ii) Defendants own and operate a website accessible in this district; (iii) Defendants have offered for sale goods under the mark at issue in this district through the website and in person; (iv) Defendants have thereby committed the acts of infringement and unfair competition complained of in this district; (v) Kushner, president of and present on behalf of Urban Trend, was served with a copy of the complaint and summons while present within this district; (vi) Kushner was the individual at Urban Trend who made the decision to go forward with the manufacture and/or marketing of the Throwzini; and (vii) Kushner stands to gain personally from the sale of the Throwzini knife holder.

B. Discussion

In federal question cases, personal jurisdiction analysis has both a constitutional and statutory element. The court must determine that: (1) haling the defendant into court accords with the Due Process Clause of the Fifth Amendment; and (2) that defendant is amenable to service of process from the court. Lifeway Foods, Inc. v. Fresh Made, Inc., 940 F.Supp. 1316, 1318 (N.D.Ill.1996) (citing United States v. De Ortiz, 910 F.2d 376, 381-82 (7th Cir.1990); Omni Capital Int’l v. Rudolf Wolff & Co., Ltd., 484 U.S. 97, 104, 108 S.Ct. 404, 98 L.Ed.2d 415 (1987)). Due process in federal question cases requires that each party have sufficient contacts with the United States as a whole rather than any particular state. See ISI Int’l, Inc. v. Borden Ladner Gervais LLP, 256 F.3d 548, 551 (7th Cir.2001). “The due process clause protects persons from being haled into a court unless they have ‘minimum contacts’ with the sovereign that established that court. The jurisdiction whose power federal courts exercise is the United States of America, not the State of Illinois.” Id. Defendants usually have sufficient contacts with the nation as a whole, and therefore “most federal question cases * * * proceed to the amenability of service inquiry.” Am. Farm Bureau Fed’n v. Alabama Farm Bureau Fed’n, 2005 WL 1667802, *2 (N.D.Ill. July 12, 2005) (citing Boston Chicken v. Market Bar-B-Que, Inc., 922 F.Supp. 96, 97 (N.D.Ill.1996)). *844 However, that is not the case here, because neither Defendant is a citizen of, nor incorporated in, the United States and the allegations are limited to contacts with one state, Illinois.

Assuming the defendant is exposed to the jurisdiction of the United States, the question becomes whether the federal court has been authorized to exert the full power of the nation. ISI Int’l, Inc., 256 F.3d at 552. To answer this question the court looks to the applicable federal statute; in this case, the Lanham Act. See Omni Capital Int’l, 484 U.S. at 104, 108 S.Ct. 404. The Lanham Act does not permit nationwide service of process and thus Rule 4(k)(l)(D) is unavailable. See, e.g., ISI Int’l, Inc., 256 F.3d at 551. When the federal statute does not provide for nationwide (or worldwide) service, the statutory basis for jurisdiction is generally provided by Rule 4(k)(1)(A) which ties jurisdiction to the forum state’s long-arm statute. See Janmark v. Reidy, 132 F.3d 1200, 1201 (7th Cir.1997); see also Digisound-WIE, Inc. v. Bestar Techs., Inc., 2008 WL 2095605 (N.D.Ill. May 16, 2008).

In limited circumstances, there is a third option which may provide the statutory basis of jurisdiction. Rule 4(k)(2) “functions as a sort of federal long-arm statute.” United States v. Swiss Am. Bank, Ltd., 191 F.3d 30, 36 (1st Cir.1999). The rule provides:

If the exercise of jurisdiction is consistent with the Constitution and laws of the United States, serving a summons or filing a waiver of service is also effective, with respect to claims arising under federal law, to establish personal jurisdiction over the person of any defendant who is not subject to the jurisdiction of the courts of general jurisdiction of any state.

Fed.R.Civ.P. 4(k)(2). Although Rule 4(k)(2) is not mentioned by either party, this Court may consider whether the rule applies in the circumstances of this case. See ISI Int’l, Inc., 256 F.3d at 551-552 (“although the parties did not alert the district judge to Rule 4(k)(2), and [plaintiff] did not rely on that rule in its appellate brief, it is best to excuse the forfeiture. Federal courts are entitled to apply the right body of law, whether the parties name it or not.”).

On the facts presently before the Court, Rule 4(k)(2) does not appear to provide a statutory basis for jurisdiction in this case. It was enacted to cover situations where a defendant has “ample contacts with the nation as a whole, but whose contacts are so scattered among states that none of them would have jurisdiction.” ISI Int’l, Inc., 256 F.3d at 551 (citing Omni Capital Int’l, 484 U.S. at 111, 108 S.Ct. 404). In this case, Defendants’ only alleged contacts are with Illinois. Therefore, if those contacts are insufficient to meet the due process standard under the Fourteenth Amendment, Rule 4(k)(1)(A), and the Illinois long-arm statute, Defendants would not have the contacts necessary to make jurisdiction “consistent with the Constitution and laws of the United States.”

The question to be asked of Kushner and Urban Trend thus simplifies to whether they are amenable to service by an Illinois court, and if so, whether jurisdiction would be consistent with the federal Constitution. See Cent. States, SE and Areas Pension Fund v. Reimer Express World Corp., 230 F.3d 934 (7th Cir.2000). 2

*845 1. Service on Kushner While He Was Present in the Forum

Plaintiff argues that pursuant to Burnham v. Superior Court of California, County of Marin, 495 U.S. 604, 110 S.Ct. 2105, 109 L.Ed.2d 631 (1990), personal service of process on Kushner while he was present in the district is sufficient to assert personal jurisdiction over him. 3 While present in Illinois, Kushner clearly was amenable to service of process. “A court may exercise jurisdiction in any action arising within or without this State against any person who is a natural person present within this State when served.” 735 ILCS 5/2-209(b) (1). Kushner is a natural person served with process within Illinois and thus jurisdiction is proper under the Illinois long-arm statute. The only issue as to Kushner is whether in-forum service is sufficient to allay due process concerns. 4

In addressing the due process issue, the Court first turns to Burnham. In that case, the defendant, a resident of New Jersey, was served with a summons in a divorce action while he was physically present in California for business purposes and to visit his children who lived with his ex-wife. The defendant challenged the jurisdiction of the California state courts on the ground that he lacked minimum contacts with that state. The Supreme Court unanimously agreed, under the facts of that case, that jurisdiction based on personal service of process on an individual while physically present in the state is constitutional.

On its face, Burnham would appear to foreclose any argument that Kushner might have that defending this lawsuit in this court would violate his due process. However, Defendants note that the Court’s decision in Burnham lacked a majority opinion and argue that minimum contacts analysis is still required to test due process. The dispute within the Court in Burnham arose over the justification for upholding the constitutionality of transitory jurisdiction. Justice Scalia (joined by Justice Kennedy, Chief Justice Rehnquist and largely Justice White) based his opinion on the historical pedigree:

Among the most firmly established principles of personal jurisdiction in American tradition is that the courts of a State have jurisdiction over nonresidents who are physically present in the State. The view developed early that each State had the power to hale before its courts any individual who could be found within its *846 borders, and that once having acquired jurisdiction over such a person by properly serving him with process, the State could retain jurisdiction to enter judgment against him, no matter how fleeting his visit.

Burnham, 495 U.S. at 610-611, 110 S.Ct. 2105 (Scalia, J.).

According to Justice Scalia, this was the understanding shared by American courts at the crucial time period, adoption of the Fourteenth Amendment. Therefore, he saw no reason to independently analyze other contacts the defendant had with the state. The decline of Pennoyer v. Neff, 95 U.S. 714, 24 L.Ed. 565 (1878), and its power theory of jurisdiction, and the concordant rise in International Shoe and its progeny, merely permitted “minimum contacts” to replace physical presence as the sole basis for jurisdiction. International Shoe made physical presence unnecessary but it did not render presence insufficient. “[JJurisdiction based on physical presence alone constituted due process because it is one of the continuing traditions of our legal system that define the due process standard of ‘traditional notions of fair play and substantial justice.’ That standard was developed by analogy to ‘physical presence,’ and it would be perverse to say it could now be turned against that touchstone of jurisdiction.” Burnham, 495 U.S. at 619, 110 S.Ct. 2105.

Justice Brennan (joined by Justice Marshall, Justice Blackmun and Justice O’Con-nor), while agreeing with the result, would not agree that tradition was “the only factor such that all traditional rules of jurisdiction are, ipso facto, forever constitutional.” Burnham, 495 U.S. at 629, 110 S.Ct. 2105. He stated that “all rules of jurisdiction, even ancient ones, must satisfy contemporary notions of due process.” Id. Despite Justice Brennan’s less bright-line approach, his opinion hints that rare (if ever) would be the situation when transient jurisdiction would not satisfy due process. 5 “The transient rule is consistent with reasonable expectations and is entitled to a strong presumption that it comports with due process.” Burnham, 495 U.S. at 637, 110 S.Ct. 2105 (Brennan, J.). Justice Brennan noted that an individual travelling to a jurisdiction assumes the risk that the jurisdiction will exercise its power over the individual while there. Id. (citing Shaffer v. Heitner, 433 U.S. 186, 218, 97 S.Ct. 2569, 53 L.Ed.2d 683 (1977)) (Stevens, J., concurring in judgment).

That the defendant has already journeyed at least once before to the forum — as evidenced by the fact that he was served with process there — is an indication that suit in the forum likely would not be prohibitively inconvenient. Finally, any burdens that do arise can be ameliorated by a variety of procedural devices. “For these reasons, as a rule the exercise of personal jurisdiction over a defendant based on his voluntary presence in the forum will satisfy the requirements of due process.”

Id. at 638-639, 110 S.Ct. 2105 (emphasis added).

Defendants have made no argument that their presence in the forum was either involuntary or unknowing. Therefore, even under Justice Brennan’s test, service of process would satisfy due process. Since Burnham was decided, there does not appear to be a single published opinion in which a court has found jurisdiction lacking where an individual was served in the forum. 6 This court sees no reason to *847 break from that apparently unbroken line of precedent. Finally, and unlike in Bum-ham, Kushner was served while in the forum solely for the activities leading to the complaint. In these circumstances, service alone satisfied due process as to Defendant Kushner.

2. Fiduciary Shield Doctrine

While the preceding discussion generally would conclude the personal jurisdiction analysis, Kushner has raised what amounts to a defense to jurisdiction. Amenability to service requires reference to state statutory grounds when the federal statute at issue does not provide for nationwide service. In this case, service must be established under the Illinois long-arm statute. Under the Illinois fiduciary shield doctrine, Illinois courts lack personal jurisdiction over an individual whose presence and activity in the state in which the suit is brought were solely on behalf of his employer or other principal. Rice v. Nova Biomedical Corp., 38 F.3d 909, 912 (7th Cir.1995) (citing Rollins v. Ellwood, 141 Ill.2d 244, 152 Ill.Dec. 384, 565 N.E.2d 1302 (1990)). Courts in this district consistently have applied the fiduciary shield doctrine in federal question cases, although it appears to be the only instance in which Illinois and federal due process may not be co-extensive. 7 See, e.g., Robinson v. Sabis Educ. Sys., Inc., 1999 WL 412642 (N.D.Ill. May 28, 1999) (Coar, J.) (§§ 1981, 1985); Modem Aids v. LiV Drug Store Prods., Inc., 1993 WL 239054 (N.D.Ill. June 25, 1993) (Kocoras, J.) (patent); Jones v. Sabis Educ. Sys., Inc., 52 F.Supp.2d 868 (N.D.Ill.1999) (Gettleman, J.) (§§ 1981, 1983, and 1985); Consumer Benefit Servs., Inc. v. Encore Mktg. Int’l, Inc., 2002 WL 31427021 (N.D.Ill. Oct. 30, 2002) (St. Eve, J.) (Lanham Act); Brujis v. Shaw, 876 F.Supp. 975 (N.D.Ill.1995) (Moran, C.J.) (FDCPA).

Application of the doctrine is discretionary or equitable, not absolute. See Consumer Benefit Servs., Inc., 2002 WL 31427021, at *3. In evaluating whether it is equitable to apply the doctrine in the circumstances of a particular case, courts consider whether (i) the individual’s personal interests motivated his actions and presence and (ii) the individual’s actions are discretionary. 8 Id. (collecting cases).

Some courts have held that discretionary action by the defendant alone is enough to negate the protection of the fiduciary shield. See Jones, 52 F.Supp.2d at 884 (quoting Brujis, 876 F.Supp. at 978) (“The shield generally should not apply where the ‘employee has the power to decide what is to be done and chooses to commit the acts that subject him to [jurisdiction].’ ”); Other courts have found that while an individual’s position within the company is relevant to the “discretionary” assessment, it is not dispositive. See Int’l Fin. Servs. Corp. v. Didde Corp., 2002 WL 398513, *5 (N.D.Ill. Mar. 14, 2002). The extent to which the individual seeking protection under the doctrine is a shareholder or has a direct financial stake in the corporation’s health also may bear on the court’s inquiry. See Cont’l Casualty Co. v. *848 Marsh, 2002 WL 31870531, *7 (N.D.Ill. Dec. 23, 2002) (citing Plastic Film Corp. of America, Inc. v. Unipac, Inc., 128 F.Supp.2d 1143, 1147 (N.D.Ill.2001)) (“[t]he determinative factor is the individual’s status as a shareholder, not merely as an officer or director.”); Interlease Aviation Investors II (Aloha) LLC v. Vanguard Airlines, Inc., 254 F.Supp.2d 1028, 1037 (N.D.Ill.2003) (applying fiduciary shield doctrine despite position as officers and directors because plaintiff failed to provide factual support for claim they possessed substantial ownership interests in company); Margulis v. Med. Parts Int’l, Inc., 1999 WL 183648, at *5 (N.D.Ill. Mar. 25, 1999) (citing Plymouth Tube Co. v. O’Donnell, 1995 WL 387595 (N.D.Ill. June 28, 1995)) (“the fiduciary shield defense is unavailable to high-ranking company officers and shareholders [because they] have a direct financial stake in the company’s health and therefore can be subjected to personal jurisdiction for actions that result in both personal and corporate benefit”).

One court attempted to resolve these differences by focusing on the holding of Rollins that “jurisdiction is to be asserted only when it is fair, just, and reasonable to require a non-resident defendant to defend an action in Illinois, considering the quality and nature of the defendant’s acts which occur in Illinois or which affect interests located in Illinois.” Brujis, 876 F.Supp. at 979 (quoting Rollins, 141 Ill.2d at 275, 152 Ill.Dec. 384, 565 N.E.2d 1302). The different approaches may reflect a reading of Rollins that “suggests a broader approach to the fiduciary shield doctrine than merely asking whether the defendant exercised discretion or whether he was acting in an individual or representative capacity.” Id. “Decisions that turn on the representative nature of the defendant’s actions emphasize the unfairness of subjecting someone to jurisdiction whose conduct in Illinois was not of his own choosing. Similarly, those that turn on the defendant’s use of discretion emphasize that it would not be unfair to exercise jurisdiction over someone acting in a representative capacity when he was in a position to decide whether or not to perform acts in Illinois.” Id.

The Court must resolve the applicability of the fiduciary shield doctrine on a limited record. On that record, the “court must construe all reasonable inferences in favor of the plaintiff.” Purdue Research Found, v. Sanofi-Synthelabo, S.A., 338 F.3d 773, 783 n. 14 (7th Cir.2003). In addition, “in evaluating whether the prima facie standard has been satisfied, the district court is not acting as a factfinder; rather it accepts properly supported proffers of evidence by a plaintiff as true and makes its ruling as a matter of law.” Id. Here, the critical allegations of the complaint are that Kushner has “responsibility for selecting the products that Urban Trend manufactures and/or markets” and that he “stands to benefit personally from the decisions to manufacture and/or market any particular product” offered for sale by Urban Trend. First Amend. Compl. ¶ 15; see also id. ¶ 24 (“Kushner also stands to gain personally from the sales of the Throwzini knife holder”). The Court also must accept the statement of Plaintiffs declarant, Mr. Schmeizer, that Kushner holds the position as “President of Urban Trend.” Schmeizer Decl. ¶ 12. Defendant has not presented any contrary affidavits or evidence.

Marketing and selling the product at an international trade show certainly would redound to the benefit of Urban Trend. And it is more than a fair assumption that Kushner, as President of the corporation, would share in that benefit independently of the corporation. See Margulis v. Med. Parts Int’l, Inc., 1999 WL 183648, at *5 (N.D.Ill. Mar. 25, 1999) (citing Plymouth Tube Co. v. O’Donnell, 1995 WL 387595 *849 (N.D.Ill. June 28, 1995)) (“the fiduciary shield defense is unavailable to high-ranking company officers and shareholders [because they] have a direct financial stake in the company’s health and therefore can be subjected to personal jurisdiction for actions that result in both personal and corporate benefit”).

It also stands to reason that, as the President of the company, Kushner had sufficient control over the company’s marketing strategies to control whether to market the Throwzini anywhere in the United States, including in Chicago. One of the concerns of due process is allowing “potential defendants to structure their primary conduct with some minimum assurance as to where that conduct will and will not render them liable to suit.” World Wide Volkswagen Corp. v. Woodson, 444 U.S. 286, 297, 100 S.Ct. 559, 62 L.Ed.2d 490 (1980). When an employee is forced to enter a forum or risk losing his or her job, they are not free to structure their conduct. In that instance, protection from suit is understandable. Courts have applied the fiduciary shield doctrine where the employee’s actions were taken “on behalf of’ the corporate defendant. See, e.g., Jones v. Sabis Educ. Sys., Inc., 52 F.Supp.2d 868; Robinson, 1999 WL 412642, at *3 n. 3 (plaintiffs own allegations indicated that individual defendants were ordered to take the actions); Int’l Fin. Servs. Corp., 2002 WL 398513 at *4 (applying doctrine in part because individual was instructed to take action subjecting him to liability); Glass v. Kemper Corp., 930 F.Supp. 332, 342 (N.D.Ill.1996) (applying fiduciary shield where defendant was acting at employer’s direction when he committed fraud). But Kushner’s position with Urban Trend belies any suggestion that he was compelled to enter the forum.

For all of the reasons explained above, the Court respectfully rejects the application of the Illinois fiduciary shield doctrine on the facts of this case.

2. Urban Trend

A. Service of Process on Kushner

Kushner not only was served individually, but also as a representative of Urban Trend. Plaintiffs make an initial argument, premised on Burnham, that service was sufficient to confer general personal jurisdiction over Urban Trend as well. Although in-state service was sufficient as to Kushner individually, Burnham left unresolved whether the same service on corporations satisfies due process. If Burnham does not apply, Plaintiff argues in the alternative that Urban Trend is nonetheless amenable to specific personal jurisdiction based on its contacts with the forum. If service was sufficient to confer jurisdiction, there is no need to delve into minimum contacts analysis and therefore its applicability will be analyzed first.

The only mention of corporations in Burnham was in a footnote in Justice Scalia’s opinion. He pointed out that corporations “have never fitted comfortably in a jurisdictional regime based primarily upon ‘de facto power over the defendant’s person.’ ”