M&M CREATIVE LAMINATES, INC., Plaintiff, v. CAMBRIA COMPANY, LLC, Defendant.
Civil Action No. 17-871
IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF PENNSYLVANIA
Judge Nora Barry Fischer
July 31, 2017
MEMORANDUM ORDER
This matter is before the Court on competing motions, with Plaintiff M&M Creative Laminates, Inc. seeking a preliminary injunction enjoining a lawsuit filed against it by Defendant Cambria Company, LLC, (Docket No. 3), which is now pending in the U.S. District Court for the District of Minnesota at Civ. A. No. 17-2463 and Defendant Cambria Company, LLC‘s motion seeking a transfer of this matter to the District Court in Le Sueur County, Minnesota, (Docket No. 9).1 After careful consideration of the parties’ motions and the related briefing thereon, (Docket Nos. 4, 10, 12, 13), and consistent with this Court‘s recent decisions in Caballero v. Healthcare Resources, Inc., Civ. A. No. 17-228, 2017 WL 2909693 (W.D. Pa. Jul. 7, 2017), and Cypress Ins. Co. v. Mickens Transportation Specialists, et al., Civ. A. No. 17-246, 2017 WL 1541892 (W.D. Pa. Apr. 28, 2017), and the authority cited therein, this Court will exercise its broad discretion pursuant to
In so holding, the Court notes that Plaintiff invokes the “first-filed” rule in an effort to maintain precedence of its lawsuit filed in this Court which it admits involves “similar, if not identical, questions of fact and law,” to the Minnesota lawsuit. (Docket No. 4 at 6). But, “[t]he presence of a valid forum selection clause may serve as an ‘extraordinary circumstance’ that would justify a departure from the first-filed rule.” Samuel T. Freeman & Co. v. Hiam, Civ. A. No. 12-1387, 2012 WL 2120474, at *7 (E.D. Pa. June 11, 2012). Here, the Court finds that the parties’ forum selection clause wherein they agreed that any “claims or disputes relating to the agreements and transactions between the parties shall be in the District Court of Le Sueur County, State of Minnesota,” is valid and overrules Plaintiff‘s position that the agreement is an adhesion contract or that the enforcement of same would violate public policy. See e.g., Todd Heller, Inc. v. United Parcel Service, Inc., 754 A. 2d 689 (Pa. Super. Ct. 2000) (“merely because a contract is a contract of adhesion does not automatically render it unconscionable and unenforceable. … Under [an adhesion] contract, the parties are usually not of equal bargaining power and the weaker party must adhere to the terms of a form contract which are not negotiable. In other words, its terms are not bargained for but rather dictated.“) (internal quotation omitted). To the contrary, the credit agreement was one of several documents executed in May of 2009 between two businesses with a supplier-distributor relationship pursuant to which M&M accepted materials from Cambria for the next eight years, on
With respect to the requested transfer to Minnesota, a district court considering a motion to transfer under
As a final point, this Court lacks the authority to transfer a case to the state court in Minnesota as Defendant suggests and generally would dismiss, rather than transfer, a case if the parties expressly agreed upon a state forum. See Caballero, 2017 WL 2909693, at *2 (citing Salovaara v. Jackson Nat‘l Life Ins. Co., 246 F.3d 289, 298 (3d Cir. 2001)). However, based on the status of the federal court litigation in Minnesota, it appears that the parties dispute the scope of the language of the forum selection clause and whether the litigation should proceed in the federal forum, where it was removed by M&M, or if the case should be remanded to state court in
For these reasons,
IT IS HEREBY ORDERED that Defendant‘s Motion to Transfer [9] is GRANTED, IN PART, and, pursuant to
IT IS FURTHER ORDERED that Plaintiff‘s Motion for Preliminary Injunction [3] is DENIED; and,
s/Nora Barry Fischer
Nora Barry Fischer
United States District Judge
Date: July 31, 2017
cc/ecf: All counsel of record
Clerk of Court, U.S. District Court for the District of Minnesota
