Congratulations, you’re ready to start your own business! You have your idea, your location, your funding, and possibly a business plan to get it all together. But, first things first–you’re going to have to plan how you want your business to be organized for tax purposes, accounting purposes, and most importantly, for liability purposes. So which business formation structure best …
Federal Courts Should Use State Law to Interpret a Contract’s Venue or Forum Selection Clause
Most circuits have not decided this issue. Those that have addressed it typically recognize that no reason exists to treat a venue selection clause differently from the remainder of a contract that will be interpreted using state law. See, e.g., Northwest Nat. Ins. Co. v. Donovan, 916 F.2d 372, 374 (7th Cir. 1994) (“Validity and interpretation are separate issues, and …
Burden of Proof on a Motion to Dismiss for Improper Venue
Defendants should have the burden of proof on a motion to dismiss for improper venue. A split of authority exists on this issue. 14D Charles Alan Wright, et al., Federal Practice and Procedure § 3826, at pp. 555-62 (3d ed. 2007). In our jurisdiction, the federal courts, unfortunately, have not ruled on the issue. See Burns v. Events & Transportation …
Twombly/Iqbal Stay of Litigation
Under Twombly/Iqbal pleading standards, defendants who are named in a poorly drafted lawsuit should not have to bear the expense of defending frivolous claims before the court can evaluate the plaintiff’s claims. As the Supreme Court noted in Ashcroft v. Iqbal, 129 S. Ct. 1937 (2009), a plaintiff who fails to adequately allege a viable complaint is not entitled to “unlock …
Twombly/Iqbal Dismissal of Litigation
The Twombly/Iqbal pleading standard can be effective in resisting frivolous claims by plaintiffs. This pleading standard demands “more than an unadorned, the-defendant-unlawfully-harmed-me accusation.” Ashcroft v. Iqbal, 129 S. Ct. 1937, 1949 (2009) (citing Bell Atlantic Corp. v. Twombly, 550 U.S. 544, 555 (2007)). In applying these standards, a court considering a Rule 12(b)(6) motion to dismiss need not accept the …
