The defendant, Ferrovial Services Canada Limited, brought a motion to dismiss or permanently stay the action commenced by the plaintiffs, JLPM and Dwight Anthony Jr., in Ontario.
The motion was based on a forum selection clause (FSC) in their subcontract, which stipulated Travis County, Texas, as the exclusive venue for judicial proceedings.
The court first determined that the FSC survived the termination of the contract and was valid, clear, and enforceable.
However, the court then applied the "strong cause" test, considering factors such as the location of evidence, applicable law, parties' connections to jurisdictions, and potential prejudice.
The court concluded that the plaintiffs demonstrated "strong cause" not to enforce the FSC, primarily due to the parties' closer connection to Ontario and the application of Ontario law.
Consequently, the defendant's motion was dismissed, and Ontario was deemed the convenient forum.