M-I Drilling Fluids UK Ltd. v. Dynamic Air Inc. et al

Filing 44

ORDER granting 38 Plaintiff's Motion to Alter/Amend/Correct Judgment. The Court's February 6, 2014 Order 32 is WITHDRAWN as to the issue of personal jurisdiction over Dynamic Air Ltda. Judgment in this matter 33 is VACATED only with respect to Dynamic Air Ltda. The Clerk shall RE-OPEN this action and the Complaint 1 shall be reinstated only as to Dynamic Air Ltda. Plaintiff's request for leave to file a motion to reconsider 34 is DENIED (Written Opinion). Signed by Judge Ann D. Montgomery on 03-11-2014. (TLU)

UNITED STATES DISTRICT COURT
DISTRICT OF MINNESOTA
M-I Drilling Fluids UK Ltd.,
Plaintiff,
v.

ORDER
Civil No. 13-2385 ADM/JJG

Dynamic Air Inc. and Dynamic Air Ltda.,
Defendants.
______________________________________________________________________________
Scott J. Pivnick, Esq., Adam D. Swain, Esq., Benn Wilson, Esq., Patrick Flinn, Esq., and David
Kuklewicz, Esq., Alston & Bird LLP, Washington, DC, and Atlanta, GA; and Eric H. Chadwick,
Esq., Patterson Thuente Pederson, PA, Minneapolis, MN, on behalf of Plaintiff.
Kevin P. Hickey, Esq., Carrie L. Hund, Esq., and Steven P. Aggergaard, Esq., Bassford Remele,
PA, Minneapolis, MN, on behalf of Defendants.
______________________________________________________________________________
This matter is before the undersigned United States District Judge for a ruling on Plaintiff
M-I Drilling Fluids UK Ltd.’s (“M-I Drilling”) request for leave to file a motion for
reconsideration [Docket No. 34] and for a ruling on M-I Drilling’s motion to amend judgment
[Docket No. 38]. Both the request and motion address the Court’s February 6, 2014 Order
[Docket No. 32] dismissing this action without prejudice.
On February 18, 2013, M-I Drilling requested leave to file a motion to reconsider under
Local Rule 7.1(j). M-I Drilling argues the Court erred by dismissing the claims against
Defendant Dynamic Air Ltda., a Brazilian company, for lack of personal jurisdiction. Defendant
Dynamic Air, Inc. filed a letter in opposition to M-I Drilling’s request [Docket No. 37], arguing
that reinstatement of the Complaint [Docket No. 1] would be futile, and noting that M-I Drilling
had itself discussed the issue of personal jurisdiction at oral argument. Dynamic Air, Inc. also
argues that even if the dismissal for lack of personal jurisdiction is characterized as sua sponte, it

still does not amount to a compelling circumstance warranting reconsideration. See D. Minn.
LR 7.1(j).
On March 6, 2014, M-I Drilling moved to amend the judgment granting dismissal in this
case on precisely the same grounds as its initial request. While filing redundant requests is
normally disfavored, there is some ambiguity as to whether a motion to reconsider or a motion to
amend judgment is proper when a final judgment has been entered in an action. See DuBose v.
Kelly, 187 F.3d 999, 1002 n.1 (8th Cir. 1999). DuBose held, in a footnote, that motions for
reconsideration under Local Rule 7.1(j) likely apply only to pre-judgment actions by the trial
court, such as an order denying summary judgment. On the other hand, Rule 59(e) of the
Federal Rules of Civil Procedure, which allows for motions to amend or alter judgment, properly
applies to post-judgment motions. Id. The issue may be a distinction without a difference, as
courts have treated the two procedural mechanisms as “functional equivalents.” See id. at 1002.
In the interests of efficiency, the Court will address M-I Drilling’s motion to amend as the
primary request, and deny M-I Drilling’s request for leave to file a motion for reconsideration.
M-I Drilling argues the Court erred by finding, sua sponte, that it lacked personal
jurisdiction over Dynamic Air Ltda. M-I Drilling argues the Court further erred by finding M-I
Drilling had failed to serve Dynamic Air Ltda., when in fact M-I Drilling is currently in the
lengthy process of serving a Brazilian company. As a result, M-I Drilling seeks the
reinstatement of the Complaint [Docket No. 1].
M-I Drilling’s motion to amend the judgment is granted. The Court is not entirely
persuaded that when raised or made apparent by the parties, a trial court is without the ability to
dismiss a party for lack of personal jurisdiction. Especially, as M-I Drilling concedes, when the

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issue of jurisdiction was discussed at oral argument to at least some extent. In addition, as noted
in the Order, the alter ego doctrine, discussed by both parties in their arguments, relates directly
to issues of both liability and personal jurisdiction. Finally, regarding service on Dynamic Air
Ltda., the Court holds that it did not err in stating M-I Drilling had failed to serve Dynamic Air
Ltda., because, in fact, the Brazilian company has not yet been served. Nevertheless, the Court
finds it appropriate, out of an abundance of caution and in the interest of fairness, to allow M-I
Drilling the opportunity to continue its current efforts to serve Dynamic Air Ltda. Although this
action was dismissed without prejudice, M-I Drilling states that filing a new complaint and
restarting the process of serving Dynamic Air Ltda. would prove unduly inefficient. Once
served, Dynamic Air Ltda. may then directly address the issue of personal jurisdiction if it so
chooses.
Based upon all the files, records, and proceedings herein, IT IS HEREBY ORDERED
that:
1.

Plaintiff M-I Drilling Fluids UK Ltd.’s Motion to Amend is GRANTED.

2.

The Court’s February 6, 2014 Order [Docket No. 32] is WITHDRAWN as to the
issue of personal jurisdiction over Dynamic Air Ltda.

3.

Judgment in this matter [Docket No. 33] is VACATED only with respect to
Dynamic Air Ltda.

4.

The Clerk of Courts shall RE-OPEN this action and the Complaint [Docket No.
1] shall be reinstated only as to Dynamic Air Ltda.

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5.

Plaintiff’s request for leave to file a motion to reconsider [Docket No. 34] is
DENIED.
BY THE COURT:

s/Ann D. Montgomery
ANN D. MONTGOMERY
U.S. DISTRICT JUDGE
Dated: March 11, 2014.

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