Parsing Invalidating Statutes (Part II)
In a prior post, I argued that the precise language used in state statutes purporting to invalidate choice-of-law clauses and forum selection clauses can have outsized effects in litigation. In this post, I continue this discussion by highlighting several statutes that purport to invalidate choice-of-law clauses in insurance contracts. Although these statutes all have the…
Continue ReadingParsing Invalidating Statutes (Part I)
In previous posts, I have written about how the precise language used in a choice-of-law or forum selection clause can prove consequential in litigation. In this post, I argue that the precise language used in state statutes purporting to invalidate these clauses can likewise have an outsized effect. There are hundreds of state statutes that…
Continue ReadingFinancial Hardship and Forum Selection Clauses
The U.S. Supreme Court has long held that a forum selection clause should not be enforced when “trial in the contractual forum will be so gravely difficult and inconvenient” that the plaintiff “will for all practical purposes be deprived of his day in court.” The financial status of the plaintiff is obviously a factor that…
Continue ReadingSuing Atlantis
The Atlantis Resort in the Bahamas (“Atlantis”) is, by most accounts, a nice place to visit. There are water slides and pools, beaches and private cabanas. There is a casino and a spa and a nightclub and a comedy club. Over the past two decades, tens of thousands of American tourists have traveled to Atlantis….
Continue ReadingInconvenience, Forum Selection Clauses, and Afghanistan
The U.S. Supreme Court has long held that a forum selection clause should not be enforced when “trial in the contractual forum will be so gravely difficult and inconvenient” that the plaintiff “will for all practical purposes be deprived of his day in court.” In announcing this rule, the Court recognized that a legal right…
Continue ReadingMicrosoft’s Dispute Resolution Provisions Are a Mess
The Microsoft Corporation (“Microsoft”) and its foreign subsidiaries buy goods and services from companies all around the world. To streamline the contracting process, Microsoft has drafted a purchase order that contains standard terms and conditions. This purchase order – viewable here – is used by Microsoft and its subsidiaries in 109 different countries. This agreement…
Continue ReadingAre State Courts Biased Against Foreign Forum Selection Clauses? A Look at the Data.
In a prior post, I discussed some data on the practice of state and federal courts in the United States relating to the enforcement of forum selection clauses. This dataset also provides a useful opportunity to determine whether state courts are more likely to enforce a clause selecting another U.S. court than they are to…
Continue ReadingData on the Enforcement of Forum Selection Clauses
The United States legal system is immensely complex. There are state courts and federal courts, state statutes and federal statutes, state common law and federal common law. When I imagine a foreign lawyer trying to explain this system to a foreign client, my heart fills with pity. This feeling of pity is compounded when I…
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