Nulogy Corporation v. Menasha Packaging Co. LLC

Plaintiff originally filed in Canada breach of contract action against defendant Menasha and trade secret violations under U.S. statutes against defendants Menasha and Deloitte. Contract contained forum selection clause that designed that any dispute arising out of contract be filed in Toronto Canada court. Deloitte, though, contested Canadian court jurisdiction over it, and plaintiff thereafter voluntarily dismissed trade secret actions against both defendants, and re-filed said actions in Illinois Dist. Ct. Menasha then filed motion to dismiss on forum non conveniens grounds trade secret actions against it based on forum selection clause in contract. Dist. Ct. could properly grant said motion as to defendant Menasha, where trade secret actions arose out of said contract, and where plaintiff agreed to litigate said claims in Canada. Dist. Ct. erred, though, in also dismissing on same grounds defendant Deloitte, where Deloitte had not signed agreement containing said clause, and where Deloitte continued to insist that Canadian courts had no jurisdiction over it.