Brush Controls, Inc. v. Executive Automation Systems, Inc.

Filing 12

ORDER granting 8 Motion to Dismiss. Signed by District Judge John Corbett O'Meara. (WBar)

Download PDF
UNITED STATES DISTRICT COURT EASTERN DISTRICT OF MICHIGAN SOUTHERN DIVISION BRUSH CONTROLS, INC., Case No. 15-11909 Plaintiff, Honorable John Corbett O’Meara v. EXECUTIVE AUTOMATION SYSTEMS, INC., Defendant. / ORDER GRANTING DEFENDANT’S MOTION TO DISMISS This matter came before the court on defendant Executive Automation Systems’ July 25, 2015 motion to dismiss. Plaintiff Brush Controls filed a response August 20, 2015; and Defendant filed a reply September 8, 2015. Oral argument was heard October 15, 2015. BACKGROUND FACTS Plaintiff Brush Controls and defendant Executive Automation Systems (“EAS”) entered into an agreement in which EAS appointed Brush Controls as its exclusive sales representative in Michigan, sixteen counties in Indiana, and twelve counties in Ontario, Canada. Paragraph 14 of the agreement sets forth the parties’ selected forum for resolution of any disputes as follows: This Agreement shall in all respects be interpreted and construed in accordance with and governed by the laws of the State of Indiana. Jurisdiction of any claim in connection with this agreement shall be with the Marion County Superior Court in Marion County, Indiana. Plaintiff Brush Controls filed its complaint against EAS in this court May 28, 2015, alleging claims for breach of contract in Count I and violation of the Michigan Sales Representatives Commission Act in Count II. LAW AND ANALYSIS “[T]he appropriate way to enforce a forum-selection clause pointing to a state or foreign forum is through the doctrine of forum non conveniens.” Atlantic Marine Constr. Co. v. United States Dist. Court for the W. Dist. Of Texas, 134 S.Ct. 568, 580 (2013). The United States Court of Appeals has since indicated that a Rule 12(b)(6) motion to dismiss is an appropriate vehicle for relief. Smith v. Aegon Cos. Pension Plan, 769 F.3d 922, 933 (6th Cir. 2014). “When the parties have agreed to a valid forum-selection clause, a district court should ordinarily transfer the case to the forum specified in that clause” and “not necessarily disrupt the parties’ settled expectations.” Atlantic Marine, 134 S. Ct. at 581, 583. The plaintiff’s choice of forum “merits no weight,” and “the plaintiff bears the burden of establishing that transfer to the forum for which the parties bargained is unwarranted.” Id. at 581. Ultimately, “forum-selection clauses should control except in unusual cases.” Id. at 582. In this case the forum-selection clause is unambiguous and mandatory: “Jurisdiction . . . shall be with the Marion County Superior Court in Marion County, Indiana.” Both of the claims alleged in the complaint arise “in connection” with the agreement, including a claim for commission payments under the terms of the agreement. Therefore, the entire complaint is subject to dismissal under the forum selection clause. See Interamerican Trade Corp. v. Companhia Fabricadora De Pecas, 973 F.2d 487, 490 (6th Cir. 1992). Plaintiff Brush Controls has failed to show there is anything unusual about this case that would warrant this court’s refusal to apply the unambiguous terms of the forum selection clause. 2 ORDER It is hereby ORDERED that Defendant’s motion to dismiss is GRANTED. s/John Corbett O'Meara United States District Judge Date: October 19, 2015 I hereby certify that a copy of the foregoing document was served upon counsel of record on this date, October 19, 2015, using the ECF system. s/William Barkholz Case Manager 3

Disclaimer: Justia Dockets & Filings provides public litigation records from the federal appellate and district courts. These filings and docket sheets should not be considered findings of fact or liability, nor do they necessarily reflect the view of Justia.


Why Is My Information Online?