Ninth Court of Appeals Affirms Specific Jurisdiction Over Nonresident in Papua New Guinea Oil Interest Dispute
The Beaumont Court of Appeals affirmed personal jurisdiction over a nonresident defendant in litigation involving allegations that he conspired with an oil company president to defraud a deceased attorney out of a 0.5% interest in Papua New Guinea exploration valued at $19 million. The court held that the defendant purposefully availed himself of the privilege of conducting activities in Texas and that the claims arose from those contacts, satisfying the two-prong test for specific jurisdiction under Texas's long-arm statute.
Background and Parties
This complex litigation arose from intertwined disputes involving a gas company and the president of an oil company (who brought the initial action), Dossey & Jones, PLLC, attorney James P. Dossey (individually and as executor of his father Dale Dossey's estate), and the president's cousin, Gerard R. Jacquin. The underlying business relationships involved ownership interests in a drilling fund, an energy company, and a 0.5% interest in a phase of oil exploration in Papua New Guinea.
The gas company and oil company president initially sued the law firm and James Dossey alleging improper disclosure of confidential information to the president's financial advisor, with whom the president was involved in separate litigation. The plaintiff sought disgorgement of all previous payments made to Dale Dossey and his estate for the purchase of the drilling company and an interest in the energy company. The defendants filed a third-party petition against the president's cousin, Gerard R. Jacquin, alleging that the president and Jacquin conspired to defraud Dale Dossey out of his 0.5% interest in the Papua New Guinea exploration project, which they valued at $19 million. Jacquin had allegedly acquired Dale Dossey's 50% interest in the energy company.
The Jurisdictional Challenge
Jacquin, a nonresident of Texas, filed a special appearance challenging the trial court's personal jurisdiction over him. The 457th District Court in Montgomery County, presided over by Judge Vince Santini, denied the special appearance, and Jacquin filed an interlocutory appeal. The central issue on appeal was whether the trial court could exercise specific personal jurisdiction over the nonresident defendant consistent with Texas's long-arm statute and federal due process requirements under the Fourteenth Amendment.
The Court of Appeals applied the well-established two-part test for specific jurisdiction, examining whether: (1) the defendant purposefully availed himself of the privilege of conducting activities in Texas, and (2) the claims arose out of or related to those Texas contacts. The court noted that nonresidents are subject to personal jurisdiction in Texas courts only if such jurisdiction is authorized by the long-arm statute and only when the exercise of jurisdiction over the nonresident is consistent with due process guarantees of the United States Constitution.
The Court's Analysis and Holding
The Beaumont Court of Appeals, in an opinion delivered by Justice Chambers on April 24, 2025, affirmed the trial court's denial of the special appearance. The court held that Jacquin had purposefully availed himself of the privilege of conducting activities in Texas, satisfying the first prong of the specific jurisdiction test. The court emphasized that it must focus on the quality and nature of the nonresident's contacts with Texas, applying principles that only the defendant's contacts with the forum are relevant (not unilateral activity of others), that the contacts must be purposeful rather than random or attenuated, and that the defendant must seek some benefit or advantage by availing itself of the forum.
The court further held that the evidence was legally and factually sufficient to support the trial court's implied finding of a substantial connection between Jacquin's contacts in Texas and the operative facts of the litigation, satisfying the second prong of the specific jurisdiction test. The court noted that even a single purposeful contact may satisfy minimum contacts requirements when the cause of action arises from that contact.
The Court of Appeals affirmed the trial court's order denying the special appearance. The Texas Supreme Court subsequently denied review on October 17, 2025.