Dragor Shipping Corporation, a Corporation, Formerly Ward Industries Corporation v. Union Tank Car Company, a Corporation

Union Tank Car Company (Union) brought this action against Dragor Shipping Corporation, formerly Ward Industries Corporation, in the United States District Court for the District of Arizona. Plaintiff sought a judgment in the sum of $1,000,000, with interest from January 1,1964. Such relief was claimed on the basis of an allegation that Dragor had failed to fulfill its obligations, under a settlement agreement dated October 3, 1963, to pay that amount, and under a promissory note in that amount given to Union by Dragor under the terms of the agreement.

District court jurisdiction was asserted on the basis of diversity of citizenship. Union is a New Jersey corporation having its principal place of business in Illinois. Dragor is a Delaware corporation having its principal place of business in New York.

Service was made upon Dragor by delivering copies of the summons and com plaint to the Director of Incorporation of the Corporation Commission of the State of Arizona, and to the assistant secretary of Dragor’s purported statutory agent, C. T. Corporation. Dragor appeared specially and moved for an order quashing, vacating and annulling the service of process as invalid, and…