Harris v. Balk, 198 U.S. 215 (1905) p81.
Facts:
Procedure:
Balk sued Harris in North Carolina for the $180. Balk objected that the Maryland court had not had jurisdiction to extinguish the debt owed him by Harris. His theory was the situs was in North Carolina.
Issue:
Did the Maryland court have jurisdiction?
Rule:
A court can extinguish another's claim on a out of state person if there is a third party that has contact with both states. EX: This holding enabled the Maryland courts to extinguish Balk's claim even though Balk had no contact with Maryland.
Holding:
The Maryland court did have jurisdiction.
Rationale:
Because Maryland did have jurisdiction, North Carolina must give the Maryland judgement full faith and credit extinguishing Balk's claim. The obligation of a debtor topay his debts goes with him wherever he goes. Therefore the situs is unimportant.
Policy/Notes: