News & Analysis as of

Choice-of-Law

Marshall Dennehey

New York Court Reaffirms Internal Affairs Doctrine, Denies Standing in Derivative Suit Against English Corporation

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Ezrasons, Inc. v. Rudd, No. 2, --- N.E.3d ---, 2025 WL 1436000 (May 20, 2025) - “Few principles are more firmly entrenched in corporate law than the internal affairs doctrine, a choice-of-law rule providing that, with rare...more

Troutman Pepper Locke

Understanding California Senate Bill 940

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California Senate Bill 940 (SB 940), enacted in late 2024, introduces several key changes to arbitrations involving “consumer contracts,” which is defined as a contract prepared by a seller and signed by a consumer for the...more

Jenner & Block

Client Alert: Navigating the Hazards of US Litigation: Lessons from Recent Decisions Involving Korean Companies

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Notwithstanding recent political turmoil, Korean companies have been expanding into the United States at a fast clip, continuing a trend of investment beneficial to businesses in both countries. As Korean brands increasingly...more

Mayer Brown

Germany’s Highest Court Upholds Validity of Arbitration Agreement which Excludes German T&C Law

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In an important decision this year (I ZB 48/24), the German Federal Court of Justice confirmed that parties can agree to exclude the application of German law on general terms and conditions in their arbitration agreements...more

Saul Ewing LLP

Sausage Race Heats Up: Hormel Foods Sues Sausage Competitor Johnsonville Claiming Trade Secrets Misappropriation

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Just in time for grilling season in the Midwest, Hormel Foods Corporation (“Hormel”) filed a federal lawsuit in the District of Minnesota against its competitor, Johnsonville, LLC (“Johnsonville”), and two former Hormel...more

Mayer Brown

French Court Rejects Attempt to Use Civil Code to Usurp Brussels Recast Principles on Jurisdiction

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In a decision issued on 2 April 2025, the French Cour de Cassation considered the validity of a jurisdiction clause under Article 25(1) of the Brussels Recast1. The French court rejected an attempt to invoke French national...more

Robins Kaplan LLP

Your Place or Mine? How to Navigate Cross-Jurisdictional Fiduciary Litigation

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Reality television fans are familiar with the trappings of the celebrity lifestyle: jet-setting from home to home, enjoying luxury retail, and traveling in private planes and yachts, all while posting it on social media. Even...more

Foley & Lardner LLP

Franchise Agreement Requiring Out of State Mediation Is Unenforceable in California Background

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Dispute resolution provisions in franchise agreements often address how, when, and where parties will mediate. However, the enforceability of these provisions can change depending on the law of the state governing the...more

Sheppard Mullin Richter & Hampton LLP

New York Court of Appeals Reaffirms the Internal Affairs Doctrine for Foreign Corporations

In Ezrasons, Inc. v. Rudd, 2025 NY Slip Op. 03008, 2025 N.Y. LEXIS 717 (N.Y. May 20, 2025), the New York Court of Appeals reaffirmed the fundamental and controlling nature of the internal affairs doctrine as it relates to the...more

Cadwalader, Wickersham & Taft LLP

The FoHF Financing Playbook, May 2025 - EU Jurisdictional-Clause Gymnastics – The Enforceability of Asymmetric Jurisdiction...

A recent decision of the Court of Justice of the European Union (the EU’s highest court) has clarified some of its views on ‘asymmetric jurisdiction clauses’. An asymmetric jurisdiction clause is one that allows one party...more

A&O Shearman

New York Court Of Appeals Affirms Dismissal Of Derivative Action Brought By Shareholder Of Foreign Corporation, Holding That New...

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On May 20, 2025, the New York Court of Appeals affirmed the dismissal of a derivative action asserting claims for breach of fiduciary duty against officers and directors of a corporation incorporated under the laws of England...more

Jones Day

CJEU Ruling on Asymmetric Jurisdiction Clause Validity—Towards (un)Certainty?

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The Court of Justice of the European Union ("CJEU") recently issued an important ruling in the case of Società Italiana Lastre SpA (SIL) v. Agora SARL (C-537/23). The decision addresses the validity criteria of asymmetric...more

Lewitt Hackman

Franchisor 101: Mowing and Blowing Past Mediation

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A California federal court denied a franchisor’s motion to dismiss a franchisee’s complaint claiming the franchisee failed to first mediate the dispute before filing an action as required under the franchise agreement....more

Frantz Ward LLP

Cannabis Litigation: Using Contractual Provisions to Avoid an Illegality Defense

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Concerns remain over the enforceability of cannabis contracts as recent cases highlight the conflict between state-sanctioned operations and federal illegality. In both state and federal courts, judges have anchored to the...more

Foley & Lardner LLP

Permissive Forum Selection Clause Is Not Enforceable in Franchisor’s Suit Against Franchisee

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A key term of any franchise agreement is the venue selection clause as this page has previously explained. This issue was at the forefront of Convenience Stores Leasing & Management, LLC’s (“CSLM”) August 2024 suit...more

Vinson & Elkins LLP

Guide to Arbitral Institutions and the Seat of Arbitration in France

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When parties plan to resolve disputes by arbitration, there are several key considerations regarding procedure. In the fourth of a multi-part series, we look at two key features to consider when drafting (and applying) your...more

Troutman Pepper Locke

The Key Reforms to Arbitration Act 2025 Set to Reinforce the UK’s Position as World Leader in Arbitration

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For commercial parties globally, England has long been heralded as a leader for dispute resolution, particularly in arbitration. To maintain its competitive position, in 2022, the Law Commission of England and Wales conducted...more

Maynard Nexsen

Can ERISA Plans Avoid California Insurance Code Section 10110.6 with Choice-of-Law Provisions?

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The Ninth Circuit is considering the enforceability of a choice of law provision in an ERISA plan in William White v. Guardian Life Insurance Company, et al., Case No. 24-2681, appeal pending from the United States District...more

Troutman Pepper Locke

Fourth Circuit Finds Unilateral Change-in-Terms Provision Rendered the Arbitration Agreement Illusory Under Maryland Law

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On March 11, the U.S. Court of Appeals for the Fourth Circuit affirmed the district court’s denial of a motion to compel arbitration in two class-action lawsuits. The decision potentially has far-reaching implications for the...more

Robinson+Cole Construction Law Zone

Under New York Law a Recourse Provision Bars Most Claims Except for Fraud

In Iberdrola Energy Projects v. Oaktree Capital Management L.P., 231 A.D.3d 33, 216 N.Y.S.3d 124, the Appellate Division for the First Department ruled that a nonrecourse provision in a contract barred a plaintiff’s causes of...more

Seyfarth Shaw LLP

Key Breakthroughs in the Choice of Governing Law in Guangdong–Hong Kong–Macao Greater Bay Area

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On February 13th 2025, Supreme People’s Court of The People’s Republic of China (“PRC”) issued the Reply on Validity of Agreements by Hong Kong and Macao-Invested Enterprises Registered in Mainland Cities of the...more

Troutman Pepper Locke

SCOTUS Declines to Decide Missouri Corporation's Question of International Comity and State Law

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International comity has long sat at the center of U.S. foreign relations law, governing how U.S. courts approach conflicting foreign laws, foreign judgments, and abstention. However, evaluation of international comity...more

Lathrop GPM

Wisconsin Federal Court Transfers Venue to Indiana Notwithstanding Forum Selection Clause

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A federal court in Wisconsin recently transferred a franchisor’s breach of contract lawsuit to Indiana, the location of the franchisee, even though the parties’ supply agreement contained a Wisconsin forum selection clause....more

Lathrop GPM

California Federal Court Grants Remediation Franchisor’s Motion to Stay Proceedings

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A federal court in California recently granted Ringside Development Company’s motion to stay a franchisee-initiated lawsuit pending resolution through alternative dispute resolution. Jameson v. Ringside Development Company,...more

Sheppard Mullin Richter & Hampton LLP

Choice-of-Law Provisions Cannot Circumvent Ending Forced Arbitration Act, Court of Appeal Rules

On February 3, 2025, the California First District Court of Appeal held that a party to an arbitration agreement cannot rely on a choice-of-law provision to wire around the federal Ending Forced Arbitration of Sexual Assault...more

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