Court Opinion

ID: 9596542
Source: CourtListenerOpinion
Date Created: 2023-08-22 00:51:06.588525+00
Date Added: 2024-06-11T18:01:35.362876
License: Public Domain

SAM NUCHIA, Justice,
dissenting.
It is axiomatic that a contractual forum selection clause in and of itself is insufficient to establish that “minimum contacts” exist between the party against whom the clause is enforced and the forum so selected. See Burger King Corp. v. Rudzewicz, 471 U.S. 462, 472 n. 14, 105 S.Ct. 2174, 2182 n. 14, 85 L.Ed.2d 528 (1985); Minuteman Press Int’l, Inc. v. Sparks, 782 S.W.2d 339, 342 (Tex.App.—Fort Worth 1989, no writ).
*284The Supreme Court noted in Burger King that personal jurisdiction was waiva-ble, and that forum selection clauses obtained through “freely negotiated” agreements that were not “unreasonable and unjust” did not offend due process. See id., 471 U.S. at 472 n. 14, 105 S.Ct. at 2182 n. 14. The Fort Worth Court of Appeals noted in Minuteman that a contract alone did not establish minimum contacts; instead, the court considered the contract, the negotiations preceding the contract, contemplated future consequences, and the actual course of dealing. 782 S.W.2d at 342 (citing Burger King, 471 U.S. at 476, 105 S.Ct. at 2184). In a fact situation strikingly similar to that before us, a New Jersey court refused to grant a summary judgment motion enforcing a New York default judgment because there was some evidence of fraud in the signing of the contract containing the forum selection clause on which the New York judgment was based. See Fairfield Lease Corp. v. Liberty Temple Universal Church of Christ, Inc., 221 N.J.Super. 647, 535 A.2d 563, 566-67 (Law Div.1987).
The only basis for the New Jersey court to exercise jurisdiction over appellant, Cash Register Sales and Services of Houston, Inc. (CRS), was the forum selection clause contained in the lease agreement between Minolta Business Systems (Minolta) and CRS. Setting aside the issue of whether Domicolo had authority on behalf of CRS to execute the lease agreement, the affidavits of Smith and Domicolo constitute clear and convincing evidence that there were no minimum contacts between CRS and New Jersey other than this one lease agreement and that the forum selection clause was neither freely negotiated nor reasonable and just. Copelco Capital, Inc. (Copelco) never controverted through affidavit the lack of minimum contacts (other than the forum selection clause), nor did it controvert the assertions of CRS concerning the representations made to it by Minolta at the time the lease agreement was executed.
The trial court incorrectly denied CRS’s motion to vacate. I would reverse the trial court’s order denying CRS’s motion to vacate judgment and grant the motion, denying enforcement of the New Jersey judgment.