A Quebec business sued a Quebec supplier in damages for failure to deliver equipment.
The supplier brought an incidental action in warranty against the German manufacturer of the equipment.
The German manufacturer moved to dismiss the action in warranty based on a choice of forum clause in its contract with the supplier, which granted exclusive jurisdiction to a German court.
The Supreme Court of Canada held that the fundamental rule of party autonomy prevails over the procedural rule of a single forum, meaning the choice of forum clause must be enforced and the Quebec court must decline jurisdiction over the action in warranty.
