Choice-of-Law

News & Analysis as of

Enforcing Arbitration Agreements: The Choice of Procedural Law

The Federal Arbitration Act (FAA) applies generally to most arbitration agreements, but parties can choose to have the procedural law of the place of arbitration apply instead. On many issues, there is no material difference...more

New York Rejects Florida Non-Competition Law As Against Public Policy

In a blow to New York employers who wish to enforce restrictive covenants under other state law, the New York Court of Appeals recently held that the Florida choice of law provision in an employment agreement was...more

California Court of Appeal Refuses to Enforce Forum Selection Clause Because Employer Would Not Stipulate to Apply California Law...

In Verdugo v. Alliantgroup, L.P., the California Court of Appeal held that a forum selection clause in an employment agreement was unenforceable because the employer could not prove that the employee’s rights under the...more

Sixth Circuit Holds That Cases Directly Filed in MDLs Are Governed By Law of Where Case Would Have Been Filed

On May 22, 2015, the United States Court of Appeals for the Sixth Circuit Court of Appeals addressed an important choice-of-law issue for parties involved in multidistrict litigation. When multidistrict litigation is...more

Be Like Mike? Enforcing Restrictive Covenants Against Unique Employees

Restrictive covenants, in which an employee agrees for a certain period of time to refrain from working for a competitor or from soliciting away the company’s clients or employees, have become commonplace. Companies in...more

Court, Applying Pennsylvania And California Law, Declines To Enjoin Alleged Violation Of Worldwide Non-Compete

A non-competition covenant prohibited employees of Adhesives Research (AR), a company based in Pennsylvania, from performing services for a competitor of AR anywhere in the world for two years after termination. Newsom, AR’s...more

Will Alabama Honor Your Choice of Law Provisions?

Amendment 884 calls into question the validity and enforceability of the choice of law provisions in contracts brought before Alabama courts. In November of 2014, Alabama voters ratified Amendment 884 to the Alabama...more

Some Plaintiffs Just Have No Class

We’ve been thinking a lot about class actions lately. One reason is that the Rule 23 Subcommittee of the (federal) Advisory Committee on Civil Rules just came out with a “sketch” of possible amendments – and from the defense...more

Court Declines to Certify Class Alleging Off-Label Marketing of Cancer Drug

Third party payors (“TPPs”) responsible for paying the costs of prescriptions for their beneficiaries sued Cephalon, Inc., alleging that it engaged in unlawful off-label marketing of Actiq, a drug approved to manage...more

Is Chametz A Good?

The Jewish holiday of Passover begins at sundown this evening.  In preparation for Passover, observant Jews must dispose of absolutely all chametz, which is basically any food that is made with grain and water that has been...more

High Court rules on inconsistency in charterparty arbitration clauses and applicable curial law - Updated March 2015

The High Court has held that where a clause provides for an “arbitration to be held” in a given jurisdiction, there is an implied choice that the laws of that place will be the curial law – that is, the law governing the...more

Choice-of-Law Agreements and Public Policy Enforceability Exception

By statute, Delaware has affirmed the ability of parties to agree to have their rights, remedies, liabilities, powers and duties governed by the law of Delaware. Originally published in the Delaware Business Court...more

More on California Non-Competes – But This Time from Delaware

When it comes to California non-competes, you can never get enough clarity.  And when that clarity comes from a Delaware Chancery Court, it adds a utility element that our corporate brethren appreciate....more

Chancery Court Refuses to Enforce Non-Competition Agreement Against a California-Based Employee Despite Delaware Choice-of-Law...

In non-competition agreement disputes involving California employees, it is common to encounter an agreement stating that the law of another state governs the non-compete. Since non-competes in California are generally...more

Court Of Chancery Rejects Delaware Choice Of Law

The public policies of California and Delaware both espouse freedom. Ironically, the freedoms that they espouse are antithetical to each other. California embraces the freedom of people to pursue any lawful and employment...more

Court Of Chancery Rejects Application Of Delaware Law

This is an important decision on choice of law. The Court held that the parties’ choice of Delaware law to govern the terms of a noncompete agreement was unenforceable in the face of contrary public policy of California that...more

ERISA: 8th Circuit: Choice-Of-Law Provision Trumps Insurance Regulation Banning Discretionary Review

You already know that when a claimant brings suit alleging wrongful denial of ERISA-governed disability benefits, the first issue the court looks at is: what standard of review applies. If the plan or policy includes...more

New York Law Governs STOLI Dispute In Texas

A Texas appellate court’s choice of law determination proved pivotal where a life insurer contested its duty to pay proceeds on the grounds that the policy was fraudulently acquired as part of a stranger-oriented life...more

California District Court Denies Certification Where Putative Class Members Lack Standing and Plaintiff Fails to Conduct Extensive...

The United States District Court for the Eastern District of California recently denied class certification in a case alleging wrongdoing by a loan servicer in connection with the Home Affordable Modification Program...more

FRANCHISOR 101: Venue and Choice of Law Provisions Not Enforceable in California

In 2013, Pepe's Franchising, a U.K. company, entered into a Master Franchise Agreement with Frango Grill, based in California, granting the right to operate and franchise Pepe's restaurants in California. The Agreement's...more

Insurance Recovery Law -- October 2014 #2

Court’s Decision Prompts Policyholders to Seek Defense Quickly or Risk Awaiting Conclusion of Coverage Action to See Reimbursement - Why it matters: A policyholder who does not act promptly to seek advancement...more

Texas Court Refuses to Apply Texas Choice of Law in Non-Compete Fight Involving Texas Bank

A recurrent theme in non-compete litigation is the overriding importance of choice-of-law. The latest example comes to us from the United States District Court for the Southern District of Texas and pits a Texas choice-of-law...more

English Contract Law: Choice of Law and Forum Trumped?

In Fern Computer Consultancy Ltd v Intergraph Cadworx & Analysis Solutions Inc [2014] EWHC 2908 (Ch) (29 August 2014), the English High Court analyzed the arguments for and against non-English forum selection and choice of...more

Choice of Law Has Huge Consequences, Especially in NC Non-Compete Case

An interesting case out of the Eastern District of North Carolina reminds us of the importance of choice of law when dealing with non-compete litigation. Let’s take a look...more

Judge Rules Choice Of Law Waives CSL Claim

I was quite surprised to read Judge Gregory M. Sleet’s ruling in OpenGate Capital Group LLC v. Thermo Fisher Scientific Inc., 2014 U.S. Dist. LEXIS 92256 (D. Del. July 8, 2014). The lawsuit was brought by the purchaser of a...more

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