News & Analysis as of

Choice-of-Law Breach of Contract

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

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

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

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

Ogletree, Deakins, Nash, Smoak & Stewart,...

Seventh Circuit Rules Forfeiture-for-Competition Clauses Under Delaware Law Enforceable and Not Subject to Reasonableness Review

In 2021, LKQ Corporation (LKQ) filed suit against Robert Rutledge, its former plant manager, in the U.S. District Court for the Northern District of Illinois. LKQ alleged that Rutledge’s working for a competitor within nine...more

Lathrop GPM

California Federal Court Grants Franchisor’s Motion to Compel Arbitration but Finds Forum Selection and Choice of Law Clauses...

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A federal court in California recently granted franchisor Spiffy Franchising, LLC’s motion to compel arbitration of a franchisee’s claims, but found the North Carolina forum selection and choice of law provisions in the...more

Lowenstein Sandler LLP

In Bad Faith: Understanding Bad Faith Claims and Policyholder Protection

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In this episode of “Don’t Take No for An Answer,” Eric Jesse, partner in Lowenstein Sandler’s Insurance Recovery Group, is joined by Alexander B. Corson to discuss bad faith in insurance claims. Highlighting a recent example...more

WilmerHale

Beating the Odds: First Circuit Doubles Down on Massachusetts Decision Enforcing Noncompete Against Sports Betting Executive Newly...

WilmerHale on

Against a growing trend of legislation and broader efforts seeking to limit or eliminate post-employment noncompetition restrictions, recent Massachusetts and First Circuit decisions in a dispute between DraftKings and one of...more

Troutman Pepper Locke

Summary Judgment Ruling in Complex Contract Dispute Addresses Issues from A (Admiralty) to W (Warranty) and Many in Between

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In a case involving a fact pattern that could be on a law school exam, EDVA Judge Mark Davis provides a detailed analysis of a series of issues in a complex dispute between a yacht owner and a marine engine manufacturer. What...more

Lathrop GPM

Maryland Federal Court Recertifies Class Action Against Hotel Franchisor for Claims Related to Data Breach

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A federal court in Maryland recently granted a motion for class certification by consumers who brought negligence, breach of contract, and consumer protection claims against hotel franchisor Marriott International and data...more

Foley & Lardner LLP

Federal District Court Offers Broad Ruling on a Franchisor and Individual Officer’s Motion to Dismiss

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A franchisee, Functional HIIT Fitness, has filed suit in U.S. District Court in the Eastern District of Michigan against a franchisor, F45 Training Incorporated, and five of its officers: Adam Gilchrist, Robert Deutsch, Marc...more

Conn Kavanaugh

Recent Federal and State Decisions Clarify Business Litigation under Chapter 93A

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Here is a breakdown on how new Federal and State decisions clarify Massachusetts Chapter 93A Unfair and Deceptive Trade Practices Law in Business-to-Business Disputes - A flurry of judicial decisions in spring 2023 has...more

Foley & Lardner LLP

Federal Court Deals with Personal Jurisdiction and Choice of Law Issues

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In Luxury Concepts, Inc. v. Bateel International, LLC, a franchisee, Luxury Concepts, Inc. (LCI), sued a retail outlet and e-commerce franchisor, Bateel International LLC (Bateel), as well as multiple Bateel directors in...more

Morris James LLP

Delaware Supreme Court Affirms Delaware Choice-of-Law Ruling In Dismissal of D&O Liability Insurance Coverage Dispute

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Stillwater Mining Company v. National Union Fire Insurance Company of Pittsburgh, PA et al., No. 24, 2022 (Del. Jan. 12, 2023) - This decision from Delaware Supreme Court addresses choice-of-law questions for D&O insurance...more

Patterson Belknap Webb & Tyler LLP

Commercial Division Allows Promissory Estoppel to Proceed After Dismissing Contract Claim; Limits Scope of Out-of-State...

Does an “agreement to agree” establish an enforceable contract?  Not if it fails to provide objective criteria for a court to enforce material terms, according to the Albany County Commercial Division’s decision in Media...more

Farrell Fritz, P.C.

Conflicts of Laws and the Internal Affairs Doctrine

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The legal concept of “conflicts of laws” is difficult, to say the least, confounding even seasoned litigators and judges, with bulky treatises and entire law school classes devoted to the subject....more

BCLP

Colorado Law May Govern Noncompete Despite Choice-Of-Law Provision

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Colorado law is not particularly friendly to noncompete agreements. A Colorado statute prohibits all such agreements unless they fall within one of four specific exemptions....more

Hinshaw & Culbertson - Insights for Insurers

Double Tic-Tac-Toe: Insurers Have Now Prevailed in The First Six U.S. Court of Appeals Decisions Regarding COVID-19 Coverage

Racking up three more victories at the U.S. Court of Appeals for the Ninth Circuit, insurers have now prevailed in the first six decisions of United States Court of Appeal. Each of these decisions have affirmed the dismissal...more

Lathrop GPM

The Franchise Memorandum - Issue # 268 (Distribution Issue)

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Welcome to The Franchise Memorandum by Lathrop GPM. Periodically, The Franchise Memorandum focuses on topics primarily of interest to companies that use distributors and dealers rather than manage a business format franchise...more

Carlton Fields

No Second Bite at the Apple: Eighth Circuit Examines Identity-of-Parties and Identity-of-Causes-of-Action Requirements for Claim...

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On June 18, 2021, the Eighth Circuit Court of Appeals determined that claims brought by Daredevil Inc. in the Eastern District of Missouri were precluded under Florida res judicata principles by an earlier arbitration in...more

Faegre Drinker Biddle & Reath LLP

New York Federal Court Concludes That Choice-of-Law Clause Does Not Control Application of the Statute of Limitations

A New York federal court ruled that a pooling and servicing agreement (PSA) and mortgage loan purchase agreement (MLPA) that select New York as their governing law may not require application of New York’s statute of...more

Sheppard Mullin Richter & Hampton LLP

Delaware Court of Chancery Holds that a Contractual Delaware Choice of Law Provision Did Not Waive Plaintiff’s Claim Under the...

In Swipe Acquisition Corp. v. Krauss, CA No. 2019-0509-PAF, 2021 WL 282642 (Del. Ch. Jan. 28, 2021), the Delaware Court of Chancery held that California public policy prohibited a purported waiver of a contractual party’s...more

Morris James LLP

Delaware Choice of Law Provision in Stock Purchase Agreement Does Not Eliminate Claim for Fraud under California Securities Act

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Swipe Acquisition Corp. v. Krauss, C.A. No. 2019-0509-PAF (Del. Ch. Jan. 28, 2021) - This decision concerned a motion to dismiss a claim for fraud under the California Securities Act, which the defendants argued was...more

Foley & Lardner LLP

Considerations For Health Club Owners Defending COVID-19 Related Consumer Class Actions

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Plaintiff’s lawyers trying to capitalize on the chaos created by the COVID-19 pandemic have filed class action lawsuits against companies who own and/or operate fitness and health clubs. The lawsuits seek refunds of assessed...more

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