A Kansas-based marketing agency is at the center of a legal battle over alleged unauthorized access to computer data and invasion of privacy. On July 12, 2023, Jose J. Licea filed a complaint in the Los Angeles County Superior Court against JNT Company, LLC, accusing the company of violating Penal Code section 502 by accessing his computer data without authorization.
Licea's lawsuit claims that JNT used spyware to extract information from his device after he visited their website in mid-2028. He alleges that this information was shared with third parties to turn him into an "actionable sales lead." The complaint lists five causes of action: unauthorized access to computer data, invasion of privacy under sections 630 through 638, common law invasion of privacy, intrusion upon seclusion, and publication of private information.
JNT Company responded by filing a motion to quash service of summons on October 2, 2023, arguing lack of personal jurisdiction. Jeff Hake, JNT's founder and CEO, stated in a declaration that the company has no physical presence or clients in California and derives no revenue from California contacts. Despite these assertions, Licea contended that the interactive nature of JNT’s website demonstrated purposeful direction towards California residents. He also cited Penal Code section 502(j), which deems any person who accesses a computer across jurisdictions as having accessed it in each jurisdiction involved.
The trial court denied JNT's motion to quash on November 9, 2023. The court found that the allegations indicated JNT had reached into California to commit a tort and thus could be subject to personal jurisdiction there. Following this decision, JNT filed a petition for writ of mandate seeking an order directing the trial court to grant its motion to quash service for lack of personal jurisdiction.
In its review, the appellate court concluded that Licea failed to present sufficient evidence showing that JNT purposefully availed itself of doing business in California. The court noted that while JNT’s website allowed users to fill out a contact form, it did not engage in commercial transactions or target California residents specifically. Consequently, the website was deemed passive rather than interactive enough to establish specific jurisdiction.
Furthermore, Licea's request for jurisdictional discovery was denied due to insufficient evidence suggesting it would yield facts establishing jurisdiction. The appellate court highlighted that allowing such discovery would amount to an improper fishing expedition.
Ultimately, the appellate court granted JNT’s petition for writ of mandate and directed the superior court to vacate its order denying JNT’s motion to quash service of summons and enter a new order granting it. This decision underscores the stringent requirements for establishing personal jurisdiction over out-of-state defendants based on internet activities.
Attorneys representing JNT were Christina M. Morgan and Efrat M. Cogan from Buchalter; Scott J. Ferrell from Pacific Trial Attorneys represented Jose Licea. The case was presided over by Judge Barbara A. Meiers under Case ID B333736.