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Wednesday, October 01, 2003

Forum clause requiring suit "within the state" where owner located includes federal court

In Ferri Contracting Co., Inc. v. Town of Masontown, the Fourth Circuit in a per curiam opinion for the panel of Judges Wilkinson, King, and Shedd, reversed the district court's conclusion that a forum selection clause required suit in state court. The language of the clause at issue was this: "The contract provided that any litigation with respect to the contract 'will be decided [ ] in a court of competent jurisdiction within the state in which the OWNER is located.'"

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