Federal 7th Circuit Court
Civil Court
Contract Law
Plaintiff filed a lawsuit under federal diversity jurisdiction against defendant and alleged breach of contract and breach of warranty. Defendant filed a motion to dismiss, arguing that a provision in the standard terms listed on its website required the parties to arbitrate their disputes in Canada. The district court denied the motion by finding that the standard terms were not incorporated into the parties’ contract and defendant appealed. The Seventh Circuit reversed, finding that the standard terms were incorporated into the contract through reference and that the parties were obligated to resolve their dispute in accordance with the arbitration provision. (SCUDDER and LEE, concurring)