To render a binding judgment, a court must have both subject matter jurisdiction over the controversy (the subject of the dispute) and personal jurisdiction over the parties (plaintiff and defendant). While subject matter jurisdiction refers to the court’s power to hear a particular type of suit, personal jurisdiction—also known as in personam jurisdiction—concerns the court’s power to bind a particular person or party.

A special appearance is a procedure in civil litigation, and the purpose of a special appearance is to object to the court’s exercise of jurisdiction over the defendant or the defendant’s property on the ground that such person or property is not subject to the court’s jurisdiction. A defendant (person or entity) who has been sued in a state other than the defendant’s primary residence will often challenge the court’s exercise of jurisdiction over the nonresident defendant.

In Michigan, as in other states, a court must have both subject matter jurisdiction and personal jurisdiction to render a binding judgment. Subject matter jurisdiction is the court's authority to hear a specific type of case, which is typically defined by the state's statutes or constitution. Personal jurisdiction, on the other hand, refers to the court's power to make a decision affecting the rights of the specific parties involved. Michigan courts can establish personal jurisdiction over a party if that party has sufficient contacts with the state, such as committing a tortious act within the state or doing business there. A special appearance is a legal strategy used by a defendant to challenge the court's personal jurisdiction without submitting to it. In Michigan, this is governed by Michigan Court Rules, and a defendant must raise the issue of personal jurisdiction before any other defense or risk waiving the objection. If a defendant from outside Michigan is sued in a Michigan court, they may contest the court's jurisdiction by arguing that they do not have the requisite contacts with Michigan to justify the court's exercise of jurisdiction over them.