Doing business - sustany/dvg GitHub Wiki

Doing business is a term used�when an out-of-state entity operates in a state extensively enough to where they can be subject to that state�s jurisdiction. It is often found in states� long-arm statutes.��

For example, in Texas, Texas Civil Practice and Remedies Code Section 17.042, the Texas long-arm statute, allows Texas courts to exercise jurisdiction over anyone doing business in Texas. It states that an entity is �doing business� when �in addition to other acts that may constitute doing business. . . a nonresident (1) contracts by mail or otherwise with a Texas resident and either party is to perform the contract in whole or in part in this state; (2) commits a tort in whole or in part in this state; or (3) recruits Texas residents, directly or through an intermediary located in this state, for employment inside or outside this state.� The Texas Supreme Court in Schlobohm v. Schapiro further illustrated what it means to be doing business under this statute when it found that a Pennsylvanian man who invested in a Texas company, became its president, and loaned the company money was engaged in �other acts that may constitute doing business,� even though his actions did not squarely fit into one of the three enumerated categories.��