When a lawsuit involves an out-of-state defendant, an initial focus by New York courts frequently is whether the New York long-arm statute provides for personal jurisdiction over the foreign defendant. C.P.L.R. Section 302(a)(1) provides for such jurisdiction where the defendant “transacts any business within the state …” and the claim arises out of such transaction. As more companies look to digital media as a platform to conduct business, this analysis can prove to be complex. Many foreign entities now have a significant digital presence in New York despite never physically entering the state.
This column addresses recent Commercial Division decisions applying §302(a)(1) to transactions of business involving digital communications.
