National Equipment Rental, Ltd. v. United Lumber Co.

This is an appeal from a summary judgment entered against appellant Lumber Co., based on a foreign judgment entered against appellant by the Supreme Court of New York. The court below granted summary judgment to respondent on the ground that there were no issues of fact to be tried, finding that the New York judgment was to be given full faith and credit in California. Appellant alleged that the New York judgment was not entitled to full faith and credit on the ground that the New York court never acquired jurisdiction over appellant.

On May 19, 1969, appellant lessee, United Lumber Co., a California corporation doing business wholly within the State of California, entered into a contract for the lease of computer equipment from respondent lessor, National Equipment Rental, Ltd., a New York corporation not qualified to do business in California.

Paragraph 16 of the agreement provided that all actions be litigated in New York and that service of process was to be made by mail to the address stated in the agreement. That paragraph reads as follows:

The address of the lessee is typed in the contract next to items 6 and 7. Item 6, which is entitled “Equipment Location,”…