Peter F. Gary, et al. v. JTC Holdings, LLC

This case requires the Court to further articulate the extent to which states may exercise personal jurisdiction over nonresidents. Defendants Pinnacle Holdings Group, LLC, Pinnacle Advertising and Marketing Group, LLC, Pinnacle Advisory Management, LLC, and Pinnacle Digital, LLC (collectively “Pinnacle Companies”) are Florida companies. Defendant Peter Gary (“Gary”) is a Florida resident. Defendants have minimal-to-nonexistent connections with Colorado. Nevertheless, Colorado courts are forcing them to litigate in Colorado. In 2014, Plaintiff JTC Holdings, LLC—a Colorado company, Gary’s company—FNB Media, LLC (“FNB”), and other companies became members of or otherwise acquired interests in the Pinnacle Companies. The Pinnacle Companies’ members agreed to be governed by Florida law and that venue for any lawsuit among them is proper in Florida. Notwithstanding, Plaintiff—alleging that Gary mismanaged the Pinnacle Companies, used their assets for personal expenses, and converted its interests in the Pinnacle Companies—filed this lawsuit in Jefferson County Colorado District Court. Although the Pinnacle Companies are Florida businesses; Gary is a Florida resident, and—except for conduct Plaintiff does not allege harmed it individually—the alleged conduct giving rise to Plaintiff’s claims occurred entirely in Florida, the Colorado Court of Appeals determined (and the Colorado Supreme Court declined to review) that Colorado has personal jurisdiction over Defendants for three reasons. First, Gary solicited capital from