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Who had jurisdiction

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P

Palsgraf

Guest
In contract law, Can A Contract state that if litagation arises out of the contract, it will be Govern by the laws of a certain state. Even if the Contract was neither formed (made) nor executed in that certain state? State VA
 


I AM ALWAYS LIABLE

Senior Member
My response:

Sure, it's done all the time; e.g., credit card agreements - - however, the choice of law chosen by the parties to a consumer lease is not enforceable if it is that of a jurisdiction other than a jurisdiction: (1) in which the lessee resides at the time the lease agreement becomes enforceable or within 30 days thereafter; (2) in which the goods are to be used; or (3) in which the lease is executed by the lessee. [UCC §10106(a)].

There is a real danger that a lessor may induce a consumer lessee to agree that the applicable law will be a jurisdiction that has little effective consumer protection, or to agree that the applicable forum will be a forum that is inconvenient for the lessee in the event of litigation. As a result, UCC §10106 invalidates these choice of law or forum clauses in certain circumstances, but has no effect on choice of forum clauses in leases that are not consumer leases. [See UCC §10106, Cal. Assembly Judiciary Committee Comment]

Now, what was it that you wanted to quote from the Honorable Justice Holmes ?

IAAL

[Edited by I AM ALWAYS LIABLE on 06-14-2001 at 06:18 PM]
 

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