A U.S. seller and an English purchaser of services enter into a contract for servicing of heavy
Question:
A U.S. seller and an English purchaser of services enter into a contract for servicing of heavy machinery at the purchaser’s factory. The service contract included an exculpatory clause that relieved the seller of all liability relating to his work. U.S. law generally enforces such clauses, while English law often voids such clauses. The choice of law clause in the contract provided that U.S. law would apply to the contract. Soon after the U.S. seller serviced themachinery, it malfunctioned, injuring two workers and causing substantial property damage to the English company’s factory.
The English party brought suit in an English court. The U.S. company sought a dismissal, citing the exculpatory clause. What factors will the English court look at in determining the validity of the choice of law clause as it relates to the issues of this case?
Step by Step Answer:
International Business Law And The Legal Environment
ISBN: 9781138850989
3rd Edition
Authors: Larry A DiMatteo