Perspective
Mar. 9, 2010
'Nerve Center' Test Key to Federal Courts
Stephen Smerek and Ashlea Pflug of Winston & Strawn say Hertz v. Friend provides incentive for companies to station headquarters outside of California.
By Stephen Smerek and Ashlea Pflug
"Where is a company's principal place of business?" Last week, the U.S. Supreme Court introduced clarity to this seemingly simple yet significant preliminary jurisdictional question. In Hertz Corp. v. Friend, et al., No. 08-1107, 2010 U.S. LEXIS 1897 (Feb. 23, 2010), the Supreme Court unanimously adopted the "nerve center" test, holding that a company's principal place of business is where its executive officers direct, control, a...For only $95 a month (the price of 2 article purchases)
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