Tokyo Marine and Fire Insurance Company v. Royal Interocean Lines
Japan Supreme Court
197529 Minshū (No. 10) 1554 (1975)
- Written by David Bloom, JD
Facts
Kabushiki Kaisha Nanyō Bussan (Nanyō Bussan), a Japanese importer, purchased crude sugar from a Brazilian exporter. Royal Interocean Lines (Royal) (defendant), an Amsterdam-based shipping company with offices in Japan, was engaged to transport the crude sugar from Brazil to Japan, pursuant to a bill of lading. The bill of lading contained a forum-selection clause that unequivocally designated the courts of Amsterdam as the place for litigating any actions arising from the bill of lading. After the cargo was damaged during the shipment, Tokyo Marine and Fire Insurance Company (Tokyo Marine) (plaintiff), Nanyō Bussan’s insurer, paid insurance money to Nanyō Bussan to cover the losses. Tokyo Marine commenced a subrogation action against Royal in Japan. Royal, relying on the Amsterdam forum-selection clause, motioned to dismiss on the ground that the Japan trial court lacked jurisdiction. The Japan trial court granted the motion. Tokyo Marine appealed.
Rule of Law
Issue
Holding and Reasoning (Takatsuji, J.)
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