Dudnikov addresses the issues that arise regarding personal jurisdiction and the internet, applying standards set by the Supreme Court of the United States in a line of cases that progressively defined the doctrine and its scope in light of the Fourteenth Amendment.

The issue presented to the Tenth Circuit was whether the court held specific jurisdiction over the defendants due to their interactions with the plaintiffs via the internet services of eBay.

The plaintiffs, Karen Dudnikov and Michael Meadors, were "power sellers" on eBay, dealing in a variety of fabrics and handmade crafts.

One of the fabrics they listed for auction made a play upon famous works by the artist Erté titled Symphony in Black and Ebony on White [sic].

Defendant Chalk & Vermilion Fine Arts, Inc. is the American Agent for British corporation SevenArts, who owns the copyright for the Erté works of interest.

Upon discovering the sale of the Betty Boop fabric, Chalk & Vermilion filed a request with eBay through their Verified Rights Owner Program ("VeRO") for a notice of claimed infringement.

Distilling the holdings of several Supreme Court cases, the Tenth Circuit formulated and applied a five-part test to determine whether specific jurisdiction is proper.

Furthermore, the Court aligned itself with a ruling by the Ninth Circuit holding that the intentional act does not need to be wrongful since such a requirement would be tantamount to an assessment of the merits of a case.