Defendant could not immediately appeal an order denying defendant's motion to dismiss
for lack of personal jurisdiction, insufficient process, and insufficient service of process where
the appeal presents procedural issues with respect to plaintiffs' compliance with the Rules of
Civil Procedure for issuance and service of process and does not involve insufficient minimum
contacts with North Carolina to establish personal jurisdiction as a matter of due process.
Appeal by defendant from order entered 18 February 1998 by
Judge Forrest A. Ferrell in Mecklenberg County Superior Court.
Heard in the Court of Appeals 4 January 1999.
Pamela A. Hunter for plaintiff-appellees.
Templeton & Raynor, P.A., by Michael J. Rousseaux, for
defendant-appellant.
MARTIN, Judge.
Plaintiffs filed this action against F.N. Thompson
Construction Company seeking damages for personal injury due to
alleged negligence. The summons and a copy of the complaint were
served upon the Secretary of State of North Carolina, were mailed
by the Secretary of State by certified mail addressed to F.N.
Thompson Construction Company, 201 Clanton Road, Charlotte, N.C.,
28217, and were receipted for by one Mary Gibbs, an employee of
F.N. Thompson Construction Company at that address.
Defendant moved to dismiss the action for lack of personal
jurisdiction, G.S. § 1A-1, Rule 12(b)(2); for insufficiency of
process, G.S. § 1A-1, Rule 12(b)(4); for insufficiency of service
of process, G.S. § 1A-1, Rule 12(b)(5); and for failure to state
a claim upon which relief can be granted, G.S. § 1A-1, Rule
12(b)(6). In support of its motion, F.N. Thompson Company
asserted that although it is engaged in the constructionbusiness, it does not hold itself out as F.N. Thompson
Construction Company; rather it is a North Carolina general
partnership doing business under a Certificate of Assumed Name
indicating that its general partners are two Delaware
corporations whose offices are located in Alabama. It further
asserted that neither general partner had been served with
process in the manner prescribed by law. The trial court denied
the motion to dismiss and defendant appeals.
For the reasons stated in Berger v. Berger, 67 N.C. App.
591, 313 S.E.2d 825, disc. review denied, 311 N.C. 303, 317
S.E.2d 678 (1984), we dismiss defendant's appeal as
interlocutory. Appeal flows from either a final judgment or an
interlocutory order which affects a substantial right which will
be lost if the appeal is not considered prior to a final
judgment. N.C. Gen. Stat. § 1-277(a); N.C. Gen. Stat. § 7A-27.
Ordinarily an order denying a motion to dismiss pursuant to G.S.
§ 1A-1, Rule 12(b) is considered interlocutory and not affecting
a substantial right, and consequently there is no right of
immediate appeal therefrom. Teachy v. Coble Dairies, Inc., 306
N.C. 324, 293 S.E.2d 182 (1982). However, an immediate right to
appeal from an order denying a motion to dismiss exists pursuant
to G.S. § 1-277(b) which provides that [a]ny interested party
shall have the right of immediate appeal from an adverse rulingas to the jurisdiction of the court over the person or property
of the defendant or such party may preserve his exception for
determination upon any subsequent appeal in the cause. N.C.
Gen. Stat. § 1-277(b). This Court has interpreted G.S. § 1-
277(b) as allowing an immediate right of appeal only when the
jurisdictional challenge is substantive rather than merely
procedural. In Berger v. Berger, supra, we held that:
While G.S. 1-277(b) appears to authorize such
right, it is our duty on appeal to examine
the underlying nature of defendant's motion:
If defendant's motion raises a due process question of whether his contacts within the
forum state were sufficient to justify the
court's jurisdictional power over him, then
the order denying such motion is immediately
appealable under G.S. 1-277(b). If, on the
other hand, defendant's motion, though
couched in terms of lack of jurisdiction
under Rule 12(b)(2), actually raises a
question of sufficiency of service or
process, then the order denying such motion
is interlocutory and does not fall within the
ambit of G.S. 1-277(b).
Berger, 67 N.C. App. at 595, 313 S.E.2d at 828-29; see also J.
Brad Donovan, The Substantial Right Doctrine and Interlocutory
Appeals, 17 Campbell L. Rev. 71, 99 (1995). The basis of
defendant's appeal in the present case does not allege
insufficient minimum contacts with North Carolina to establish
personal jurisdiction as a matter of due process; rather the
appeal presents procedural issues with respect to plaintiffs'
compliance with the Rules of Civil Procedure for issuance and
service of process under Rules 12(b)(4) & (5). Therefore,
defendant's appeal is premature and must be dismissed.
Appeal dismissed.
Chief Judge EAGLES and Judge McGEE concur.
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