answer the questions at the end of the following fact pattern. Be sure to indicate you know what the RULE is that governs the issue:

Peter is a model rocket hobbyist who lives in State X on the border with State Y. The closest shopping district next to him is in State Y. Donner Industries makes a model rocket called the A-5. Donner is incorporated in the state of Delaware and has its only place of operations in State Z. Donner does no national advertising itself and does not sell directly to stores or hobbyists. Donner sells only to a nationwide distributor in New York City. Donner provides the distributor with various promotional materials including tapes of radio advertisements that hobby stores can use to buy time on local radio stations. No hobby store in State X carries the A-5.

Peter hears the Donner-produced advertisement on a radio state broadcasting from State Y about the new A-5 model rocket being sold at a local Henry's Hobby Store in State Y. Peter travels from State X into State Y and buys an A-5 rocket. At his home in State X, Peter assembles the rocket correctly. Following all safety precautions, Peter attempts to launch the A-5 rocket but, due to a faulty design, the A-5 explodes causing substantial personal injury to Peter and igniting a fire that damages Peter's house. In Federal District Court, Peter sues Donner Industries claiming $40,000 in damages to the house, $30,000 in medical bills due to personal injuries and $10,000 in lost wages due the injuries.

State X's long-arm statute provides for jurisdiction against tortfeasors whose actions cause injury in the state X.

You are a law clerk for the Federal District Court, and the presiding judge has asked you the following questions. Be sure to address any special personal jurisdiction/subject matter jurisdiction rules related to corporations. You must also mention the case International Shoe Co. v. Washington in one of your answers:

1. Does Federal District Court have subject matterjurisdiction over the case? Explain.

2. Do courts in State X have personal jurisdiction over Donner Industries? Explain.

3. If Peter sues Donner Industries in State X, can the case still be heard in Federal District Court. Explain.

4. Who must Peter serve with the summons and complaint if he sues Donner Industries?

5. What can Peter do if Donner Industries does not respond to the summons and complaint within the time indicated on the summons?