As the title says, the recent decision of BCSC in Rakunas v. SAL, 2008 BCSC 444, briefly addresses both of the above issues. The case concerned an alleged trust, in which the defendant British Virgin Islands corporation, extra-provincially registered in BC, was alleged to be a bare trustee holding a property in Whistler in trust for its shareholders, the plaintiff, and the personal defendant Murphy, neither of whom were resident in BC Rakunas and Murphy were the sole and equal shareholders in SAL, as well as its officers and directors. Rakunas launched the action in 2005, seeking to wind up the alleged trust and sell of the property. Murphy argued that the court lacked jurisdiction simpliciter and that BC was forum non conveniens because the dispute was ultimately a shareholder dispute within a BVI corporation and had nothing to do with BC. SAL entered a response, but did not file any pleadings.
Posts Tagged ‘exclusive jurisdiction’
Posted by Seva on April 18, 2008
Posted in forum non conveniens, forum selection, jurisdiction simpliciter | Tagged: exclusive jurisdiction, forum non conveniens, forum selection clause, interjurisdictional trusts, jurisdiction simpliciter | Leave a Comment »
Posted by Seva on March 17, 2008
The question of the day is when does a forum selection clause in a contract really provide for exclusive jurisdiction of a court? Especially if it does not say “exclusive” (although even if it does that may not be the end of it)? A recent decision of Mr. Justice McEwan in B. A. Blacktop Ltd. v. Gencor Industries Inc., 2008 BCSC 231 reinforces the argument that exclusive jurisdiction can arise without an exclusive label.
On the one hand…
In a 1999 case Old North State Brewing Co. v. Newlands Services Inc., the BCCA found that the following clause did not cause the parties to attorn to the exclusive jurisdiction of B.C. court:
This Agreement will be governed by and interpreted in accordance with the laws of the Province of British Columbia, Canada and the parties will attorn to the jurisdiction of the Courts of the Province of British Columbia, Canada.