United States Court of Appeals for the First Circuit
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09-2231 United States Court of Appeals for the First Circuit SHELDON G. ADELSON, Plaintiff-Appellee, v. MOSHE HANANEL, Defendant-Appellant. ON APPEAL FROM THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF MASSACHUSETTS BRIEF OF APPELLEE MAYER BROWN LLP Andrew H. Schapiro Christopher J. Houpt 1675 Broadway New York, New York 10019-5820 (212) 506-2500 Attorneys for Plaintiff-Appellee Sheldon G. Adelson CORPORATE DISCLOSURE STATEMENT Appellant Sheldon G. Adelson is a natural person. Accordingly, a corporate disclosure statement is not required by Federal Rule of Appellate Procedure 26.1. TABLE OF CONTENTS Page CORPORATE DISCLOSURE STATEMENT ......................................................... I COUNTER-STATEMENT OF THE ISSUES ..........................................................1 PRELIMINARY STATEMENT ...............................................................................3 COUNTER-STATEMENT OF THE CASE .............................................................4 COUNTER-STATEMENT OF THE FACTS ...........................................................6 Sheldon Adelson.....................................................................................................6 Moshe Hananel ......................................................................................................7 The Macau Development .......................................................................................8 Hananel’s Claim ....................................................................................................9 Danny Raviv.........................................................................................................12 SUMMARY OF THE ARGUMENT ......................................................................13 ARGUMENT ...........................................................................................................15 Standard of Review ..............................................................................................15 Discussion of the Issues .......................................................................................16 I. The District Court Properly Assigned Hananel the Burden of Proof...............................................................................................................16 A. As the Natural Plaintiff in the Underlying Contract Claim, Hananel Bears the Burden of Proof........................................................................17 B. Any Error Was Harmless..........................................................................19 C. Adelson Did Not Waive the Burden of Proof Issue.................................21 II. The District Court Properly Exercised Jurisdiction Over Hananel ..........................................................................................................22 A. The District Court’s Finding of Purposeful Availment Was Correct ......22 ii TABLE OF CONTENTS (continued) Page 1. The district court’s findings of jurisdictional facts are correct and unchallenged.................................................................................23 2. The Massachusetts contacts were not incidental.................................24 3. Massachusetts litigation was foreseeable............................................26 B. Hananel Has Not Proven That Commencement of This Case Is So Unreasonable as to Destroy Jurisdiction ..................................................28 III. Judge Saris’s Denial of an Adverse Inference Was Not an Abuse of Discretion .......................................................................................30 A. Raviv Was Not Practically Unavailable...................................................30 B. Raviv Was Not Legally Unavailable........................................................32 C. Any Error Was Harmless..........................................................................34 IV. The District Court’s Conclusion That No Meeting of the Minds Occurred Is Supported by Substantial Evidence ...........................................37 A. Hananel Did Not Prove the Terms of His Contract .................................37 1. Settlement communications do not prove Hananel’s contract, because they show that the parties disagreed about the alleged option...................................................................................................38 2. Contracts of other employees are either irrelevant or unhelpful to Hananel............................................................................................39 3. Hananel’s incomprehensible argument about his termination does not mandate reversal ...................................................................41 B. Hananel’s Claim Fails for the Independent Reason That He Did No Work on the Macau Project......................................................................42 1. A reasonable option term would have required more work than Hananel claims that he performed.......................................................43 iii TABLE OF CONTENTS (continued) Page 2. Hananel did not even satisfy his own standard, that he “initiated” the venture .........................................................................45 C. The Trial Court Did Not Commit Clear Error Concerning Hananel’s Foreign Witnesses ...................................................................47 CONCLUSION........................................................................................................48 CERTIFICATE OF COMPLIANCE.......................................................................49 CERTIFICATE OF SERVICE ................................................................................50 iv TABLE OF AUTHORITIES Page(s) CASES Adams v. Adams, No. 09-1443, 2010 WL 1224233 (1st Cir. Mar. 31, 2010).................................22 Adelson v. Hananel, 510 F.3d 43 (1st Cir. 2007)...........................................................5, 22, 27, 28, 29 Adelson v. Hananel, 641 F. Supp. 2d 65 (D. Mass. 2009).....................................................................6 Amadeo v. Zant, 486 U.S. 214 (1988)............................................................................................15 Anderson v. City of Bessemer, 470 U.S. 564 (1985)......................................................................................16, 37 Applewood Landscape & Nursery Co., Inc. v. Hollingsworth, 884 F.2d 1502 (1st Cir. 1989).............................................................................19 Bogosian v. Woloohojian Realty Corp., 323 F.3d 55 (1st Cir. 2003).................................................................................34 Burger King v. Rudzewicz, 471 U.S. 462 (1985)............................................................................................25 Camp Dresser & McKee, Inc. v. Home Ins. Co., 568 N.E.2d 631 (Mass. Ct. App. 1991) ..............................................................19 Canney v. New England Tel. & Tel. Co., 228 N.E.2d 723 (Mass. 1967).............................................................................18 Chicago College of Osteopathic Med. v. George A. Fuller Co., 719 F.2d 1335 (7th Cir. 1983) ............................................................................36 Estate of Abraham v. Comm’r, 408 F.3d 26 (1st Cir. 2005).................................................................................15 Foley v. McGonigle, 326 N.E.2d 723 (Mass. Ct. App. 1975) ..............................................................19 v TABLE OF AUTHORITIES (continued) Page(s) Fortune v. National Cash Register Co., 364 N.E.2d 1251 (Mass. 1957)...........................................................................42 Foster-Miller, Inc. v. Babcock & Wilcox Canada, 46 F.3d 138 (1st Cir. 1995).................................................................................15 Ganis Corp. of Calif. v. Jackson, 822 F.2d 194 (1st Cir. 1987)...............................................................................26 Good Hope Industries, Inc. v. Ryder Scott Co., 289 N.E.2d 76 (Mass. 1979)...............................................................................26 Hahn v. Vermont Law School, 698 F.2d 48 (1st Cir. 1983).................................................................................26 Haskell v. Versyss Liquidating Trust, 912 N.E.2d 481 (Mass. App. Ct. 2009) ..............................................................17 Latin Am. Music Co. v. Am. Soc. of Composers, Authors & Publishers, 593 F.3d 95 (1st Cir. 2010).................................................................................16 Liberty Mut. Ins. Co. v. Sweeney, 216 F.2d 209 (3d Cir. 1954) .........................................................................20, 21 Lyle Richards Int’l v. Ashworth, Inc., 132 F.3d 111 (1st Cir. 1997).........................................................................24, 25 Michelson v. Digital Fin. Servs., 167 F.3d 715 (1st Cir. 1999)...............................................................................18 N.Y. Life Ins. Co. v. Stoner, 109 F.2d 874 (8th Cir. 1940) ..............................................................................21 Niziolek v. Ashe, 694 F.2d 282 (1st Cir. 1982)...............................................................................34 Northern Ins. Co. v. Point Judith Marina, LLC, 579 F.3d 61 (1st Cir. 2009)...........................................................................15, 37 vi TABLE OF AUTHORITIES (continued) Page(s) Oxman v. WLS-TV, 12 F.3d 652 (7th Cir.