August 22, 2019

Colorado Supreme Court: Forum Selection Clause Presents Question of Whether Jurisdiction is Reasonable Under Circumstances of Case

The Colorado Supreme Court issued its opinion in In re Nickerson v. Network Solutions, LLC on Monday, December 8, 2014.

CAR 21 Original Proceeding in Civil Case—Motion to Set Aside Default Judgment—Forum Selection Clause.

In this CAR 21 original proceeding, the Supreme Court held that the trial court erred in setting aside a default judgment as void for lack of jurisdiction due to a contractual forum selection clause purporting to divest Colorado courts of jurisdiction over the matter. A forum selection clause in a contract does not divest a court of personal or subject matter jurisdiction but instead presents the question of whether it is reasonable for the court to exercise its jurisdiction in the particular circumstances of the case. The Court also held that the trial court erred by failing to conduct an evidentiary hearing on damages before entering default judgment. The Court made this rule absolute and remanded the case to the trial court for further proceedings.

Summary and full case available here, courtesy of The Colorado Lawyer.

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