Question

Cattle House Steaks, a Colorado company, enters into a contract over the phone with Beef Packing Inc., an out-of-state corporation. If a dispute arises, a Colorado court can exercise jurisdiction over Beef Packing a. only if Beef Packing files the suit. b. on the basis of a federal question. c. in no circumstances. d. under the minimum-contacts test.

Answer 1

Answer: d. under the minimum-contacts test.

Explanation:

Cattle House Steaks, a Colorado company, enters into a contract over the phone with Beef Packing Inc., an out-of-state corporation. If a dispute arises, a Colorado court can exercise jurisdiction over Beef Packing under the minimum-contacts test.

Minimum contacts applies to situations whereby a court in one state can assert its personal jurisdiction over another defendant which isn't in that same state but is in another state.