Volkswagenwerk AG v. Schlunk
Citation: 486 U.S. 694 (1988)
Facts
Herwig Schlunk’s parents were killed in a car accident involving a VW automobile. Schlunk sued both VW of America (a domestic subsidiary) and Volkswagenwerk AG (the German parent) in Illinois. To serve the German parent, he served VW of America, which Illinois law designated as the involuntary agent of the parent for service purposes. VW of Germany argued that the Hague Service Convention applied and required transmission of documents to Germany.
Issue
Does the Hague Service Convention apply when a plaintiff serves a foreign corporation by serving its domestic subsidiary under forum state law, without transmitting documents abroad?
Holding
No. The Supreme Court held that the Hague Convention only applies when service requires transmission of documents abroad. Because Illinois law permitted service on VW of Germany through its domestic subsidiary — without sending documents to Germany — the Convention was not triggered.
Rule
The Hague Service Convention is the exclusive means of service abroad when service requires transmitting documents to a foreign country. However, if forum law permits effective service domestically (e.g., through a domestic agent or subsidiary) without transmitting documents abroad, the Convention does not apply.
Significance
Schlunk establishes the threshold question for Hague Convention applicability in service-of-process disputes. Plaintiffs can often avoid the Convention’s sometimes cumbersome central authority procedures by identifying a domestic agent who can be served locally. The case is central to international civil procedure courses.