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“Strong Cause”, not “Forum Non Conveniens”, is the appropriate test for enforcing forum selection clauses

August 9, 2012

The recent Ontario decision in 2249659 Ontario Ltd. et al. v. Sparkasse Siegen et al., 2012 ONSC 3128 (CanLII)  provides a good summary of the “strong cause” test for enforcing the parties’ choice of forum. The motion judge cites the recent judgment of the Supreme Court of Canada in Momentous.Ca Corporation v Canadian American Association of Professional Baseball Limited2012 SCC 9 (CanLII), 2012 SCC 9, where the Court at para. 9 states: (more…)

Forum Selection Clauses Do Not Bind Non-Signatories, Ontario Court Rules

May 9, 2012
MasterCard logo used on cards 1997 to present.

MasterCard logo used on cards 1997 to present. (Photo credit: Wikipedia)

The recent decision of the Ontario Superior Court of Justice in Aldo Group Inc. v. Moneris Solutions Corporation, 2012 ONSC 2581 (CanLII) poses the question:

  Can a forum selection clause bind a person who was not a signatory to the contract containing the clause? 

In a lengthy judgment, D.M. Brown J. of the Toronto Commercial List Court considered a motion brought by the co-defendant, MasterCard International, Inc. [“Mastercard”] asserting that the claim brought by the plaintiff, Aldo Group Inc. a footwear retailer [“Aldo”] was subject to a forum selection clause specifying the New York courts by reason of the nature of the plaintiff’s claims pleaded against MasterCard, notwithstanding that Aldo was not a privy to either of the two contracts containing the New York forum selection clause. (more…)

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