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ARTICLE · 23 OCTOBER 2017

Jurisdiction - Team Y&R V Ghossoub

When construing exclusive jurisdiction clauses, there is a presumption under English law in favour of "one-stop shopping" for dispute resolution.

United KingdomLitigation, Mediation & Arbitration

Whether non-party bound by jurisdiction clause

When construing exclusive jurisdiction clauses, there is a presumption under English law in favour of "one-stop shopping" for dispute resolution. The principle underlying that presumption is that reasonable businessmen who have agreed a regime for dispute resolution in connection with their contract are unlikely to have intended that some disputes, depending on their nature, might fall to be treated by different tribunals. However, in this case, the chosen forum (England) could not exercise jurisdiction over the claim as a whole, and so the judge held that the presumption did not assist.

The judge went on to consider whether the English jurisdiction clause could be enforced in relation to proceedings against persons who are not a party to the agreement. There is conflicting caselaw commentary on this point and the judge concluded that "Whether an exclusive jurisdiction clause should be understood to oblige

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