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Statutes

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Forum selection clauses are generally enforceable in Tennessee, based on court established precedents. Tenn. Code Ann. ยง 20-15-104 pertains to contracts that include a choice of venue outside the United States, and provides that foreign venue clauses may not be enforced if they would violate state or federal constitutional rights of a party."

Cases

A recent Tennessee Court of Appeals Court case, Lamb v. Megaflight, Inc., 26 S.W.3d 627, 631 (Tenn. Ct. App. 2000), has addressed this issue.

Comments

A forum selection clause will be upheld in Tennessee if it is "fair and reasonable in light of all the surrounding circumstances attending its origin and application." Lamb, at 631. On the other hand, a Tennessee court will strike down a forum selection clause if the court finds that the clause is the result of misrepresentation, duress, abuse of economic power or other unconscionable means. Id. In making these determinations, a court will examine whether the parties were represented by counsel as well as their experience in such types of transactions. Id.

Contributors

Tony R. Sears; William R. Leinen
Ward Greenberg Heller & Reidy LLP

The statutory information was edited and reviewed with the support of MultiState

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