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292 P.3d 165
Wyo.
2013
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Background

  • Venard sustained severe injuries during a paragliding training session at Palisades Reservoir, Wyoming, where he was towed by a boat and fell 35 feet.
  • Venard was a USHPA member and sought a Flight Proficiency Rating; both required signing a Release, Waiver and Assumption of Risk Agreement.
  • The USHPA agreement includes a forum selection clause designating California law and California courts for disputes.
  • Appellees filed a motion to dismiss in Wyoming based on the forum clause, arguing they were third-party beneficiaries and California is proper.
  • The district court granted dismissal, concluding the forum clause was enforceable against Venard; Venard appealed.
  • The Wyoming Supreme Court reverses, concluding the forum clause is not enforceable against non-parties in this dispute.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether the district court abused its discretion enforcing the forum clause. Venard: third-party beneficiaries cannot be bound; no advance consent. Appellees: are bound as third-party beneficiaries or via consent. Yes; the district court abused discretion; clause not enforceable against non-parties.
Whether Venard and Appellees consented in advance to California forum. Venard: no advance consent by Appellees. Appellees: consent through their USHPA agreements suffices. No; no advance consent by Appellees to California jurisdiction.
Whether prior California-consent by non-signatories binds them to the clause. Not applicable; not signatories to contract. Non-signatories bound as third-party beneficiaries. Not applicable; not bound.

Key Cases Cited

  • Carnival Cruise Lines, Inc. v. Shute, 499 U.S. 585 (U.S. 1991) (forum clauses aid predictability and efficiency, but must be fair)
  • M/S Bremen v. Zapata Off-Shore Co., 407 U.S. 1 (U.S. 1972) (forum clauses are prima facie valid in international contracts)
  • Durdahl v. Nat'l Safety Assocs., Inc., 988 P.2d 525 (Wyo. 1999) (enforceability depends on freedom of contract and predictability)
  • TAAG Linhas Aereas de Angola v. Transamerica Airlines, Inc., 915 F.2d 1351 (9th Cir. 1990) (nonparty beneficiary related to contract may be bound)
  • Ly v. Dryclean U.S.A. of California, 11 Cal.App.4th 1490 (Cal. App. 1992) (non-signatories bound when closely related to contract)
  • Frietsch v. Refco, Inc., 56 F.3d 825 (7th Cir. 1995) (mutuality principle; non-signatories may be bound)
  • Manetti-Farrow, Inc. v. Gucci America, Inc., 858 F.2d 509 (9th Cir. 1988) (closely related parties may invoke forum clause)
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Case Details

Case Name: Edward Venard v. Jackson Hole Paragliding, LLC, a Wyoming LLC, Tom Bartlett, Scott Harris, Matt Combs, Jon Hunt, Andrew Frye, and Jeff Coulter
Court Name: Wyoming Supreme Court
Date Published: Jan 17, 2013
Citations: 292 P.3d 165; 2013 WY 8; 2013 WL 174391; 2013 Wyo. LEXIS 8; S-11-0232
Docket Number: S-11-0232
Court Abbreviation: Wyo.
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    Edward Venard v. Jackson Hole Paragliding, LLC, a Wyoming LLC, Tom Bartlett, Scott Harris, Matt Combs, Jon Hunt, Andrew Frye, and Jeff Coulter, 292 P.3d 165