Delaware Forum Selection Clause Binds California Shareholders

Delaware Forum Selection Clause Binds California Shareholders

Publication

Partners Michael Bongiorno, Timothy Perla and Jessica Lewis and Counsel Sonia Sujanani recently published an article in Bloomberg Law analyzing a pivotal California Supreme Court decision in EpicentRX v. Superior Court of San Diego County. The authors examine the potential impacts of the ruling on corporate governance, litigation strategy and contractual certainty, and highlight public policy questions that remain unresolved in the wake of the decision.

Excerpt: "In EpicentRX v. Superior Court of San Diego County, the court held that mandatory Delaware forum selection provisions in corporate charter documents are enforceable, reversing a lower court and rejecting the argument that such provisions violate the right to a jury trial under California law. Overall, the decision marks a significant clarification in California law, affirming that forum selection clauses pointing to Delaware’s Court of Chancery don’t violate California’s jury trial protections."

Read the full article.

Authors

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