WRAP-UP OF LAST CLASS
•We discussed two more aspects of personal
jurisdiction:
•1. General jurisdiction (Helicopteros case)
•2. Jurisdiction through consent especially via
forum selection clauses (Carnival Cruise Lines
v. Shute)
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Helicopteros Case - Civil Procedure - Lecture Slides, Slides of Civil procedure
These are the lecture slides of Civil Procedure. Key important points are: Helicopteros Case, General Jurisdiction, Selection Clauses, Carnival Cruise Lines, Mullane Case, Opportunity, Specific Jurisdiction, Shutes Have, Conceded, Respondents
Typology: Slides
2012/2013
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WRAP-UP OF LAST CLASS
- We discussed two more aspects of personal
jurisdiction:
- General jurisdiction ( Helicopteros case)
- Jurisdiction through consent especially via
forum selection clauses ( Carnival Cruise Lines
v. Shute )
WHAT WILL WE DO TODAY
- Continue with personal jurisdiction unit.
- We will consider the due process guarantee of
notice and the opportunity to be heard by
studying the Mullane case.
Did the Shutes Have Notice of the
Forum Selection Clause?
Did the Shutes Have Notice of the
Forum Selection Clause?
- Supreme Court doesn’t address this issue
because it is conceded in the respondents’
brief.
- What if they had not had notice?
Arguments the Forum Selection Clause
Unenforceable
- Based on The Bremen, clause not the product of business negotiation. In the Bremen, the Supreme Court held that a freely negotiated forum selection clause between international parties should be enforced as long as it is not the product of fraud, undue influence, and overweening bargaining power. Also, it is an inconvenient forum and
- Clause violates The Limitation of Vessel Owner’s Liabilitty Act, 46 U.S.C. App. 183c.
Justice Blackmun’s Reasoning
- Blackmun: some nonnegotiated forum-selection clauses can be enforceable
- Cruise ships have special interest in limiting for a where they can be sued
- Such a clause spares expense of pretrial motions to determine correct forum and conserving judicial resources
- Passengers benefit in light of reduced fares that reflect savings cruise line enjoys by limiting forum where it can be sued.
- Do you buy any of these?
Dissent
- Who wrote the dissent?
- Who joined in it?
- Describe the reasoning in the dissent. Do you
agree with it? Why or why not?
Dissent
- Inadequate notice
- Unenforceable under under traditional principles of
federal admiralty law, and is "null and void" under the terms of Limited Liability Act, 49 Stat. 1480, as amended, 46 U.S.C. App. 183c, which was enacted in 1936 to invalidate expressly stipulations limiting shipowners' liability for negligence.
Forum Selection Clauses After
Carnival
- Prior to Carnival, some courts refused to enforce forum selection clauses that barred jurisdiction in other courts. Now, forum-selection clauses generally have a strong presumption of enforceability, especially where there is equal bargaining power between the parties and they are represented by counsel.
- The burden is on the person challenging the enforcement of the clause to show it was unreasonable or unfair in the circumstances. This is a difficult burden, even where the clause is in a standard-form contract.
Notice and the Opportunity to Be
Heard
- Federal and state courts judgments can only bind if they satisfy the Due Process clause of the V and XIV Amendments of the Constitution respectively
- The Due Process clause limits courts’ personal jurisdiction over defendants.
- It also requires that D be given prior notice and an opportunity to be heard.
- Mullane is the leading Supreme Court case that sets the modern standard for notice that satisfies due process.
Beneficiaries
- Many
- Not all residents of New York
- Some could not be identified/located with
reasonable effort
- Some could be identified/located but had
conjectural or future interests so it would cost
a lot to identify/locate them
- Some were known present beneficiaries
Judicial Settlement of Trust
Account
- Why would the common fund trustee want to
have an accounting approved?
Parties
- Who is Mullane? Mullane is the special guardian/attorney appointed by the court for all beneficiaries known or unknown not otherwise appearing with a present or future interest in the income of the common trust fund.
- Why was Mullane appointed?
- Because the Surrogates Court knew that the beneficiaries would not have been notified.
- Why not?
Constructive Notice
- Because the law allowed constructive notice
by publication
- The only notice of the proceeding for judicial
settlement of accounts was in the legal
columns of NY newspapers.
- Mullane appears specially. What does he