Rush v. Savchu

444 U.S. 320 (1980)

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Nature of the Case

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Facts

Two Indiana residents were involved in a single car crash in Elkhart, Indiana. Savchuk (P) who was a passenger in the car driven by Rush (D) was injured. The car was owned by D's father who was insured by State Farm under a liability policy issued in Indiana. Indiana's guest statute would have barred a claim by P. P then moved with his parents to Minnesota and then sued D in Minnesota courts. D had not contacts with Minnesota and D attempted to obtain quasi in rem jurisdiction by garnishing State Farm's obligation under the insurance policy to defend and indemnify D in connection with such a suit. State Farm did business in Minnesota. D was personally served in Indiana. D and State Farm moved to dismiss for lack of jurisdiction over D. That was denied. That denial was affirmed on appeal. The Supreme Court granted certiorari. The case was remanded for further consideration in light of Shaffer v. Heitner. On remand, the Minnesota court held that quasi in rem jurisdiction through garnishment of an insurer's obligation to an insured complied with due process. The Supreme Court reviewed that decision.