Reported Cases

CIT Communications Finance Corp. v. Midway Airlines Corp.

CITATION: 406 F.3D 229 (CASE NO. 04-1502, U.S. COA 4TH CIR., MAY, 2005)

This seminal case in the U.S. Court of Appeals for the Fourth Circuit established a personal property lessor’s rights to an administrative claim for defaulted post-petition lease payments arising 61 days after the petition was filed.

Federated Financial Corporation of America v. Matt Jenkins, individually and d/b/a Shephard Service Company

CITATION: 719 S.E.2D 48 (CASE NO. COA10-1349, NC COURT OF APPEALS, SEPTEMBER, 2011)

In this case, a Forum Selection Clause in the credit card agreement designated the State of Utah as the proper venue and jurisdiction for any lawsuit arising from the agreement. The Defendant argued that this clause deprived North Carolina Courts of jurisdiction. Although the Clause created a presumption in favor of Utah jurisdiction, it would only be upheld if there existed a rational nexus between Utah and the parties to the contract or the transactions related to the contract. Applying Utah law, no rational nexus was found, so North Carolina was the appropriate forum.