Nissan Motor Corp. in U.S.A. v. Harding

CLARK, Chief Judge:

Nissan appeals from a district court judgment abstaining from the exercise of jurisdiction based on Texas Railroad Commission v. Pullman, 312 U.S. 496, 61 S.Ct. 643, 85 L.Ed. 971 (1941). Because we find an unsettled issue of state law presented in this case, we affirm the district court’s decision to abstain.

I

In 1979, Nissan Motor Corporation (“Nissan”) and Twin City Datsun, Inc. (“Twin City”) entered into an agreement that established Twin City as a dealer of Datsun automobiles and products in Texas City, Texas. The contract provided that Twin City could not relocate its…