§ 336.2A-106 — Limitation on Power of Parties to Consumer Lease to Choose Applicable Law and Judicial Forum
Plain-Language Summary
In a consumer lease, a choice-of-law clause is not enforceable if it picks a jurisdiction other than where the lessee signed the lease, where the lessee resides when the lease becomes enforceable or within 30 days after that, or where the goods are to be used. A chosen judicial forum is also not enforceable if that forum would not otherwise have jurisdiction over the lessee. These limits prevent a lease from steering a consumer into a less favorable state's law or an inconvenient court.
336.2A-106 LIMITATION ON POWER OF PARTIES TO CONSUMER LEASE TO CHOOSE APPLICABLE LAW AND JUDICIAL FORUM.
(1) If the law chosen by the parties to a consumer lease is that of a jurisdiction other than a jurisdiction in which the lessee signed the lease or in which the lessee resides at the time the lease agreement becomes enforceable or within 30 days after that or in which the goods are to be used, the choice is not enforceable.
(2) If the judicial forum chosen by the parties to a consumer lease is a forum that would not otherwise have jurisdiction over the lessee, the choice is not enforceable.
History:
1989 c 232 art 1 s 2A-106
History: History: 1989 c 232 art 1 s 2A-106