QSL Canada Inc. v. Cliffs Mining Company

QSL Canada Inc. v. Cliffs Mining Company

Motion dismissed because US Steel failed to satisfy the burden of proving its Governing Law/forum selection clause was validly incorporated into the stevedoring contract; consequently the Court would not exercise its discretion under s.50 to stay proceedings and a forum non conveniens stay was premature given the disputed governing clause and triable issues; declaratory relief by QSL was not shown to be inappropriate at this stage.

Citation
2023 FC 1429
Parties
Plaintiff/defendant by Counterclaim/applicant: QSL CANADA INC.; Defendant/plaintiff by Counterclaim/respondent: CLIFFS MINING COMPANY; Defendant/respondent: UNITED STATES STEEL CORPORATION
Court
Federal Court
Jurisdiction
Canada
Judgment Date
26 October 2023
Procedural Posture
Maritime Cargo / Stevedoring Contract Dispute / Pre Trial Motion to Stay/dismiss to Enforce Forum Selection Clause (motion to Strike/stay)
Outcome
Motion to strike/stay dismissed
Legal Topics
Forum Selection Clause, Forum Non Conveniens, Declaratory Relief, Incorporation of Contract Terms, Limitation of Liability
Source Language
English
Maritime Law Private International Law Civil Procedure Contract Law Forum Selection Clause Forum Non Conveniens Declaratory Relief Incorporation of Contract Terms +1 more

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Parties

QSL CANADA INC.

Plaintiff/defendant by Counterclaim/applicant

CLIFFS MINING COMPANY

Defendant/plaintiff by Counterclaim/respondent

UNITED STATES STEEL CORPORATION

Defendant/respondent

Procedural Posture

Maritime Cargo / Stevedoring Contract Dispute / Pre Trial Motion to Stay/dismiss to Enforce Forum Selection Clause (motion to Strike/stay)

Legal Issues

  1. 1 Whether US Steel's Governing Law/forum selection clause was incorporated into the stevedoring contract and binds the parties
  2. 2 Whether this Court should stay or dismiss proceedings under s.50 Federal Courts Act to enforce a foreign forum selection clause
  3. 3 Whether forum non conveniens requires a stay in favour of Pennsylvania

Ratio Decidendi

Motion dismissed because US Steel failed to satisfy the burden of proving its Governing Law/forum selection clause was validly incorporated into the stevedoring contract; consequently the Court would not exercise its discretion under s.50 to stay proceedings and a forum non conveniens stay was premature given the disputed governing clause and triable issues; declaratory relief by QSL was not shown to be inappropriate at this stage.

Court Disposition

Motion to strike/stay dismissed

Orders

  • The motion to strike is dismissed.
  • United States Steel Corporation shall have 30 days from the date of this Order to file its statement of defence.