New opinion — choice-of-law clause governs interpretation of forum-selection clause

Collins v. Mary Kay — civil / employment — affirmance — Restrepo

Law nerds, rejoice! ” This case … poses a layered choice-of-law question: what law governs the interpretation of a forum selection clause in a written agreement when that agreement also contains a choice-of-law clause?” The district court thought the answer was federal common law, and the plaintiffs thought the answer was the state law where they filed the suit, here, New Jersey. Neither was right.

The Third Circuit’s final answer to that question here was that Texas state law applied and that, applying Texas law, the suit belonged in Texas. This resulted in the court affirming dismissal on forum non conveniens grounds.

The reasoning that led to that final answer? Well, it’s damn complicated, or anyway its complicated enough to defy all my efforts at pithy summary here. So I’ll just throw up my hands and say: if you’ve got this issue (a) my condolences, and (b) read the fine opinion.

Joining Restrepo were Chagares and Roth. Arguing counsel were Ravi Sattiraju of the Sattiraju Law Firm for the appellant and Christine Amalfe of Gibbons for the appellee.

UPDATE: Bruce Greenberg has come to the rescue with a characteristically lucid summary in this post on his New Jersey Appellate Law blog.