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STATE OF MAINE CUMBERLAND, ss.

SUPERIOR COURT CIVIL ACTION DOCKET NO: CV-06-158

COAST TO COAST ENGINEERING SIERVICES, Plaintiff
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ORDER O N MOTION TO DISMISS

STEIN ENGINEERS, INC., and MICHAEL STEIN,, Defendant

This case comes before the Court on Defendant Stein Engineers' motion to dismiss for lack of personal jurisdiction.
BACKGROUND

Plaintiff's co~nplaint the accompanying affidavits assert the following: and On or about October 21, 1996, Stein Engineers, a corporation formed under the laws of Louisiana,. entered into a franchise agreement with franchisor Criterium, a Maine corporation, to operate an engineering and building inspection business in the Baton Rouge area of Louisiana. Stein became aware of Criterium through an advertisement in a magazine and made the initial contact between the parties. Before signing the franchise agreement, Mr. Stein, the owner of Stein Engineers, attended an informational session for prospective franchisees in Maine. Although Stein never conducted engineering or building inspection services in Maine, Mr. Stein came to Maine in September 1996 for a week long training on how to operate the franchise. He also attended Criterium's annual conference in

Maine in Septembler 2003.' In 1996, the parties entered into a franchise Agreement for a term of fifteen years. The Agreement contains a forum selection clause whereby the parties agreed that "any action commenced for the purpose of enforcing the terms and provisions of this Agreement . . . shall be brought in the state and federal courts located in Cumberland County, Maine." The Agreement also contains a

covenant not to compete stating that upon termination of the Agreement, Stein is precluded from operating an engineering and building inspector business for two years within the Baton Rouge area. The complaint alleges that Stein

terminated the Agreement on or about December 31, 2005, yet continues to provide the services it provided as a franchisee in violation of the covenant not to compete. On March 13, 2006, Plaintiff filed a four-count complaint alleging breach of contract (count I), recovery of monies owed (count 11), tortious interference with a prospective advantageous business relationship (count 111), and declaratory judgment (count IV). Criterium is seelung a preliminary and permanent

injunction to enforce the covenant not to compete in the Agreement thereby enjoining Stein from providing engneering and building inspection services in the Baton Rouge area. On April 6, 2006, Stein filed a motion to dismiss asserting that the courts of Maine lack personal jurisdiction.
DISCUSSION

Maine's jurisdiction over nonresident defendants is controlled by the long arm statute, 14 M.R.S.A.

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Maine Law