Articles

What is a choice of forum provision in a contract and why is it important?

What is a choice of forum provision in a contract and why is it important?

Choice of forum clauses are provisions in contracts that control where a legal suit is brought should there be a dispute between the parties to the contract.

What is the purpose of the choice of forum clause?

A forum selection clause seeks to provide a court with “personal jurisdiction” and to establish “venue.” Personal jurisdiction is the court’s power to exercise authority over a party. Venue is the physical location where a court exercises its power.

What is the difference between choice of law and choice of forum?

A “choice of law” provision insures that the law of a designated jurisdiction will govern the dispute regardless of where the dispute is adjudicated. A “forum or venue selection” clause is a different sort of provision that sets the particular state or court where adjudication will be addressed.

What are the clauses in choice of Forum?

Choice of Forum. The parties agree that any and all disputes arising from or relating to this Agreement, including its formation and validity, shall be settled in the State of Connecticut. Choice of Forum.

Where can I bring a choice of Forum Action?

Choice of Forum. Any action instituted by or on behalf of Indemnitor under this Agreement or to enforce or interpret any provision of this Agreement shall be brought only in the state courts of the State of Delaware and in no other court.

Is the forum selection clause prima facie valid?

“ Forum selection clauses are prima facie valid, and are enforceable absent a strong showing by the party opposing the clause “that enforcement would be unreasonable or unjust, or that the clause [is] invalid for such reasons as fraud or overreaching.”. ” The bar for establishing the unreasonableness of a forum selection clause is…

Can a governing law and choice of Forum be the same?

The jurisdiction of the governing law and the choice of forum need not be the same, and parties may take advantage of the benefits of Alberta’s substantive laws while submitting to the procedural laws of another jurisdiction. However, in most cases the parties select a governing law and forum from a single jurisdiction.