Choice-of-Law

News & Analysis as of

Hague Securities Convention to Enter Into Effect in the United States - Choice of Law in Respect of Securities Held by...

On April 1, 2017, the Hague Securities Convention — or by its actual name, the Convention on the Law Applicable to Certain Rights in Respect of Securities Held with an Intermediary — will enter into effect in the United...more

Disclosure Only Settlements - the Effect of Choice of Law

The Delaware Courts took a significant step in 2016 to reduce the filing in Delaware of lawsuits aimed at procuring disclosure only settlements (meaning settlements that involve only the provision of additional information...more

Remand Decision in Madden v. Midland Funding Raises Questions Regarding Choice of Law Clauses in Consumer Loan Agreements

A careful parsing of state laws should be done if a lender is relying on a choice of law to avoid states that have criminal usury statutes. On February 27, the U.S. District Court for the Southern District of New York...more

An Easier Path: McCarrell v. Hoffman-La Roche Paves the Way to Bring Tort Claims in New Jersey Barred by Other States’ Statutes of...

In McCarrell v. Hoffman-La Roche, Inc., 2017 WL 344449 (Jan. 24, 2017), the New Jersey Supreme Court replaced the State’s “governmental-interest” standard to resolve choice-of-law questions regarding statutes of limitations...more

Choice of Law: Hairu Chen v. L.A. Truck Centers, LLC Clears The Air On The Doctrine of Dépeçage

Hairu Chen v. L.A. Truck Centers, LLC (Cal. Ct. App. Jan. 18, 2017) 2017 WL 192724 involved an action by several foreigners for wrongful death, negligence, strict products liability, and loss of consortium. Plaintiffs were 10...more

Borrower Wins Key Victory in Madden v. Midland

A federal judge has ruled that New York law—not Delaware law as the parties agreed in the initial loan agreement—applies to the defaulted borrower's claims and has certified a class action against the debt collector....more

Why An Understanding Of Officers As Agents May Be Important

In several recent posts, I have noted that officers, unlike directors, are agents of the corporation. Recognizing the agency status of officers can affect the legal analysis in a number of significant ways, including...more

Madden v. Midland Update: District Court Denies Summary Judgment and Certifies Class

After the U.S. Supreme Court refused to grant review of the Second Circuit's May 2015 decision in Madden v. Midland concerning federal preemption of state usury rates for loans issued by a national bank, the case was remanded...more

Officers And The Business Judgment Rule

Last weekend I attended a symposium at the UCLA School of Law entitled “Can Delaware Be Dethroned? Evaluating Delaware’s Dominance of Corporate Law”. The event, organized by ever erudite Professor Stephen Bainbridge,...more

West Coast Real Estate Update: February 2017 #2

Jury Trial Waiver Undone by a Fundamental California Policy - It is common for commercial contracts to contain a choice of law provision. Some commercial contracts may even contain a clause that waives the right to seek...more

Commercial Contract Risk in 2017

Coming off a record year in car sales, it’s expected that warranty and recall costs will continue to be on the rise. With that in mind, it’s vital that OEMs and suppliers have both their foreign and domestic contracts in...more

Business Litigation Alert: "Starting a New Business? Include These Five Provisions in Every Formation Agreement"

The ultimate success of a business often rests on the ability of its owners to make sound decisions up front - an ounce of prevention, if you will - and avoid bigger problems that might arise later. This principle...more

Court Of Appeal Voids Jury Trial Waiver Notwithstanding New York Choice of Law

A New York state of mind, but California dreaming - A sophisticated lender and borrower negotiate a loan agreement in New York, the lender disburses the loan proceeds in New York, and both parties agree that New York law...more

New Jersey Supreme Court Adopts the Substantial-Interest Test for Statute of Limitations Choice of Law

On January 24, the New Jersey Supreme Court adopted the substantial-interest test to determine choice-of-law questions in the application of statutes of limitations. New Jersey’s statute of limitations applies if (1) New...more

New Jersey Supreme Court Turns Back The Clock on Statute of Limitations

We thought we understood statutes of limitations and choice-of-law rules in New Jersey. Until yesterday. That was when we read the New Jersey Supreme Court’s opinion in McCarrell v. Hoffmann-La Roche, Inc., No. 076524, 2017...more

Texas Legislative Outlook

It’s that time again – the 85th Texas Legislature is underway in Austin, and a number of bills could affect civil litigation in state courts. Below are a few bills that trial lawyers may want to follow....more

Fenwick Employment Brief

California Legislative Update - In the latter half of 2016, California Governor Jerry Brown signed numerous bills into law. Below is a summary of those laws that will affect California employers in 2017 and...more

The California Edition of the Employment & Labor Newsletter

The following is a brief recap of the bills Governor Brown signed in 2016 that have added new laws to the books and modified existing laws affecting California employers. Employers should consult with counsel to ensure...more

Federal district court certifies interlocutory appeal in CFPB lawsuit against CashCall

The California federal district court judge who is presiding over the CFPB’s lawsuit against CashCall and several related companies that funded, purchased, serviced, and collected online installment loans has granted the...more

9th Circuit Certifies Questions Regarding California’s Notice-Prejudice Rule

In its recent decision in Pizter College v. Indian Harbor Ins. Co., 2017 U.S. App. LEXIS 668 (9th Cir. Jan. 13, 2017), the United States Court of Appeals for the Ninth Circuit had occasion to consider the applicability of a...more

California Choice of Law Provision Defeats Claim Under NJ Consumer Protection Law

On Monday, a California federal judge enforced the California choice-of-law clause in Facebook’s online terms of use, and on that basis refused to consider the claims of a New Jersey resident that aspects of those terms of...more

Two Decisions Issued the Same Day Highlight Choice of Laws Issues: Part II

Last week's Privilege Point described a Maine case applying the narrow pre-Upjohn "control group" standard for corporate communications. Harris Mgmt., Inc. v. Coulombe, 2016 ME 166, ---A.3d---. Illinois is by far the largest...more

Announcing Must-Have Treatise on Business Divorce Litigation

There’s little doubt in my mind that “business divorce” has achieved name recognition as a distinct subgenre of commercial litigation whose regular practitioners, by dint of experience dealing in and out of court with the...more

Labor Code Section 925: Answers to 10 Key Questions About California’s New Limits on Out-of-State Choice of Law and Forum...

On January 1, 2017, California Labor Code Section 925 went into effect. This new provision limits an employer’s ability to require employees to enter agreements that include out-of-state choice of law and/or forum selection...more

Hague Securities Convention’s Impact on Secured Transactions Choice-of-Law Rules

Choice-of-law rules for security interests in security entitlements in securities credited to security accounts will change on April 1, 2017 when the Hague Securities Convention comes into effect....more

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