Ex parte CTB, INC.
(Re Joe Murphy v. CTB, INC., et al.)
Supreme Court of Alabama.
*190 F. Chadwick Morriss, Mitch Henry, and William H. Webster of Rushton, Stakely, Johnson & Garrett, P.A., Montgomery, for petitioner.
Jere L. Beasley and Tiernan W. Luck III of Beasley, Allen, Crow, Methvin, Portis & Miles, P.C., Montgomery, for respondent.
PER CURIAM.
CTB, Inc., a defendant in an action pending in the Pike Circuit Court, petitions for a writ of mandamus directing the circuit court to enforce a clause in its contract with the plaintiff Jоe Murphya clause it refers to as an "outbound" forum selection clauseby dismissing the plaintiff's action without prejudice. We deny the writ.
In 1998, Joe Murphy, a poultry grower in Pike County, contracted to become a poultry grower with Charoen Pokphand (USA), Inc., an international poultry integrator frоm Thailand. Under Murphy's agreement with Pokphand, he was required to have CTB construct the broiler houses in which to grow the chickens. Murphy ultimately enterеd a $496,000 contract with CTB for it to construct four broiler houses. The contract contained this clause:
"21. Governing Law. This Contract will be construed and enforced under the laws of the State of Indiana (but not giving effect to any conflict of laws provisions), and Grower [Murphy] consents to jurisdiction and venue in the Federal and State Courts located in Indiana."
In June 1999, Murphy sued CTB over the quality of CTB's performance, asserting breach of contract, fraud, negligеnce, wantonness, intentional interference with business and contractual relations, and conspiracy.[1] CTB moved "to dismiss, or, in the alternative for a more definite statement, or, in the alternative, ... to transfer," raising, among other things, the contract's Paragraph 21. The trial court denied the mоtion.
Although this Court has previously held that "outbound" forum-selection clauses providing for a trial outside Alabama are "agreements concеrning jurisdiction," Professional Ins. Corp. v. Sutherland,
In Sutherland, this Court adopted the majority rule, by which an "outbound" forum-selection clause is uрheld unless the party challenging the clause clearly establishes that it would be unfair or unreasonable under the circumstances *191 to hold the parties to their bargain.
We have carefully considered the arguments of the parties concerning the reasonableness оf enforcing the forum-selection clause. However, we find it unnecessary to address those arguments, because the trial court's order is due to be upheld for a more fundamental reason.
It is well established that even in a direct appeal, where our standard of review is much less stringent than the standard by which we review a petition for the writ of mandamus, this Court must affirm the judgment of the trial court if that judgment is supported by any valid legal ground, evеn if that ground was not argued before the trial court or this Court. Smith v. Equifax Servs., Inc.,
As we noted, the clause at issue in the contract between CTB and Murphy reads:
"21. Governing Law. This Contraсt will be construed and enforced under the laws of the State of Indiana (but not giving effect to any conflict of laws provisions), and Grower [Murphy] cоnsents to jurisdiction and venue in the Federal and State Courts located in Indiana."
Clearly, under this clause, Indiana law must be applied wherever an action is filed; however, we see nothing in the clause that compels Murphy to file his claim in the federal or state courts located in Indiana. By this clause, Murphy waives the right to claim lack of personal jurisdiction in the event an action is filed against him in Indiana to "construe" or "enfоrce" the contract; however, nothing in the clause requires that any action involving these parties be filed in Indiana.[2] This clause is different from the clause construed in Professional Insurance Corp. v. Sutherland, supra; that clause read, in part:
"In consideration of thе execution of the Contract and other valuable considerations, You agree that any litigation resulting from the violation of the terms and сonditions of this Contract by You or the Company shall be brought in Duval County, Florida."
Because CTB draftеd the clause, together with the entire contract containing the clause, we must construe the contract most strictly against CTB. See Premiere *192 Chevrolet, Inc. v. Headrick,
The petition for the writ of mandamus is denied.
WRIT DENIED.
HOOPER, C.J., and MADDOX, HOUSTON, COOK, LYONS, BROWN, JOHNSTONE, and ENGLAND, JJ., concur.
SEE, J., concurs specially.
SEE, Justice (concurring specially).
I concur. I write specially to address the fact that Murphy does not dispute CTB's argument that Paragraph 21 of the partiеs' contract, which CTB calls a forum-selection clause, mandates that all actions related to the parties' contract be filed in Indiana.
One might infer from the fact that Murphy does not dispute CTB's argument, that Murphy agrees to that interpretation of the provision. Although "[t]he intention of thе parties controls in construing a written contract, ... the intention of the parties is to be derived from the contract itself, where the language is plain and unambiguous." Loerch v. National Bank of Commerce of Birmingham,
NOTES
Notes
[1] Murphy also sued Farm Systems, Inc., James Justice, Jr., and several fictitiously named defendants. These parties, however, are not before this Court.
[2] See John Boutari & Son, Wines & Spirits, S.A. v. Attiki Importers & Distribs. Inc.,
