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In contract law, a forum selection clause (sometimes called a dispute resolution clause, choice of court clause, governing law clause, jurisdiction clause or an arbitration clause, depending upon its form) in a contract with a conflict of laws element allows the parties to agree that any disputes relating to that contract will be resolved in a specific forum.
When a case has connection to more than just a single state, the forum state's choice of law principles generally guide the selection of what place's law will apply. Parties to a contract may seek to prevent forum shopping by inserting a forum selection clause or a choice of law clause in their contract. Such clauses are now generally enforced ...
Forum non conveniens (Latin for "an inconvenient forum" [1] [2] [3]) (FNC) is a mostly common law legal doctrine through which a court acknowledges that another forum or court where the case might have been brought is a more appropriate venue for a legal case, and dismisses the case.
Many contracts and other forms of legally binding agreement include a jurisdiction or arbitration clause specifying the parties' choice of venue for any litigation (called a forum selection clause). In the EU, this is governed by the Rome I Regulation.
The combined clause would include the choice of law that is to govern any dispute arising under the agreement and the choice of forum where disputes will be heard. [4] Once implemented, a choice of law clause will generally be upheld by courts, as long as it is bona fide , legal, and not contrary to public policy.
Choice of law is a procedural stage in the litigation of a case involving the conflict of laws when it is necessary to reconcile the differences between the laws of different legal jurisdictions, such as sovereign states, federated states (as in the US), or provinces.
In a unanimous opinion authored by Associate Justice Samuel Alito, the Supreme Court clarified that the proper procedure to enforce a forum selection clause is through a motion to transfer under 28 U.S.C. 1404(a). [6] When such a motion is made, the district court should grant it unless extraordinary circumstances counsel against doing so. [7]
The forum-selection clause, which was a vital part of the towing contract, is binding on the parties unless respondent can meet the heavy burden of showing that its enforcement would be unreasonable, unfair, or unjust. Court membership; Chief Justice Warren E. Burger Associate Justices William O. Douglas · William J. Brennan Jr.
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