Citron Cleaning Supplies has begun marketing their new computer screen cleaner under the name "Compuclean." Citron is a US-based company and holds a US federally registered trademark for "Compuclean." Recently, it has discovered that a Canadian company is in the business of vending a similar product through the website compuclean.ca.The Canadian web site encourages foreign-based orders and maintains an international toll-free phone number for customer inquiries.Instead of bringing a complaint under the domain name arbitration system, Compuclean wishes to bring an action against the Canadian company in a US court.In order to increase the chances that the US court will assert jurisdiction, Citron should argue in favour of the application of a passive versus active test.

Question

Quizplus · Accepted Answer

Citron should argue in favor of the application of a passive versus active test to increase the chances that the US court will assert jurisdiction. This means that if the Canadian company's website is passive (i.e., merely informative, without interactive features), then the US court may have jurisdiction over it, even though it is based in Canada. In contrast, if the website is active (i.e., allows users to engage in commercial transactions or other interactions), then the US court may not have jurisdiction unless there is a sufficient connection between the website's activities and the US.

Citron Cleaning Supplies Has Begun Marketing Their New Computer Screen