Document Type
Article
Publication Date
2024
Publication
University of Illinois Law Review
Abbreviation
U. Ill. L. Rev.
First Page
777
Abstract
This article argues that federal courts should apply state law to determine the enforceability of outbound forum selection clauses in diversity cases. Using a hand-collected dataset comparing hundreds of state and federal decisions, the authors show that federal courts enforce such clauses at significantly higher rates, creating incentives for forum shopping and uneven contract rights. They contend that enforceability is a substantive contract issue under Erie and that federal courts lack authority to create federal common law in this area outside §1404(a). The article concludes that applying state law uniformly would prevent inequitable administration and restore coherence to forum selection clause doctrine.