THE BREMEN ET AL. v. ZAPATA OFF-SHORE CO., 407 U.S. 1

Summary

The German corporation contracted with the United States corporation to transport an oil rig from Louisiana to the Adriatic Sea. During transportation, the rig was damaged and was towed to Tampa, Florida, where the United States corporation filed suit. The German corporation, however, asked the district court to enforce the forum-selection clause contained in the contract placing jurisdiction in England. The district court refused to enforce the clause and the lower appellate court affirmed. Reversing the lower appellate court's judgment, the court held that the forum-selection clause should be enforced unless the party resisting the clause could show that enforcement would be unreasonable. Furthermore, the court held that the argument that such clauses ousted a court of jurisdiction was not valid, and the German corporation did not waive operation of the clause by appearing in the federal court. As a result, the court held that the forum-selection clause was valid and the case was ...