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Vanderbilt Law Review

First Page

1105

Abstract

This Note will attempt to analyze the present status of the term "doing business" or the substitute terminology used to define that level of activity sufficient to subject a foreign corporation to state control in a particular context.' After defining the degree of activity necessary to permit the state to exercise control in each context, this Note will analyze the accuracy and utility of using terminology such as "doing business" in describing whether corporate activity within a state is sufficient to permit state exercise of legislative or judicial jurisdiction. This Note concludes by pro-posing that use of such ambiguous language be discontinued in favor of a single due process "nexus" test to be applied as a thresh-old requirement for the exercise of any state authority, and that legislative jurisdiction be further subject to the commerce clause requirement that legislative demands made with respect to foreign corporations engaged in interstate commerce must not be excessive in relation to the benefits and protection conferred by the state.

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