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FORUM SELECTION CLAUSES NOT LONGER PER SE AGAINST LOUISIANA’S PUBLIC POLICY

Published on: July 18, 2014

In Shelter Mut. Ins. Co. v. Rimkus Consulting Grp., Inc. of Louisiana, 2013-1977 (La. 7/1/14), the Supreme Court sought to resolve a circuit split regarding whether forum selection clauses violate public policy in Louisiana. A forum selection clause is a contractual provision which mandates that all disputes be litigated in a particular state, county, parish, or court. The United States Supreme Court held in Bremen v. Zapata Off-Shore Co., 407 U.S. 1, 92 S. Ct. 1907, 32 L. Ed. 2d 513 (1972), that contractual forum selection clauses are prima facie valid. Louisiana has followed suit. Therefore, forum selection clauses are not per se against Louisiana's public policy.

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