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Harold Lang Jewelers, Inc. v. Johnson

North Carolina Court of Appeals
576 S.E.2d 360 (2003)


Facts

Harold Lang Jewelers, Inc. (plaintiff), a Florida Corporation, brought suit against Johnson (defendant), contending that Johnson owed Lang over $160,000 for jewelry that Lang either sold or consigned to Johnson. Johnson moved for dismissal, arguing that Lang was not permitted to sue in North Carolina because Lang was transacting business without holding a North Carolina certificate of authority. At a hearing on the issue, evidence was presented showing that Lang’s employee sold and consigned jewelry to stores in three North Carolina cities, and that he traveled to the state at least every six weeks during the year, and even more frequently in the summers. Lang’s employee brought jewelry to deliver in person, and often directed sales and consignments without further approval. The employee also took orders, shipped items to North Carolina, and took returns from North Carolina customers. In light of these facts, the trial court concluded that Lang was, in fact, transacting regular, continuous, and substantial business in the state without the authority to do so, and dismissed the suit. Lang appealed, contending that the evidence did not sufficiently support the conclusion that Lang was conducting business in the state.

Rule of Law

Issue

Holding and Reasoning (Hudson, J.)

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