Learn About the Law
Get help with your legal needs
FindLaw’s Learn About the Law features thousands of informational articles to help you understand your options. And if you’re ready to hire an attorney, find one in your area who can help.
COMJET AVIATION MANAGEMENT LLC, Plaintiff-Appellant, v. AVIATION INVESTORS HOLDINGS LTD., et al., Defendants-Respondents.
Order, Supreme Court, New York County (Marilyn Shafer, J.), entered on or about August 28, 2002, which, inter alia, granted defendants' motion to dismiss the complaint for lack of jurisdiction, unanimously affirmed, with costs.
Plaintiff concedes that there is no jurisdictional basis for this action unless it can enforce the forum selection clauses of certain loan or pledge agreements. Although plaintiff is not a party to those agreements, it claims it may enforce them as a third-party beneficiary. Plaintiff, however, is, at most, an incidental beneficiary of those agreements (see Fourth Ocean Putnam Corp. v. Interstate Wrecking Co., 66 N.Y.2d 38, 43-46, 495 N.Y.S.2d 1, 485 N.E.2d 208), and thus may not enforce their forum selection clauses. Nor are the management agreements, to which plaintiff is a party, part of a single “global transaction” including the agreements containing the forum selection clauses upon which plaintiff seeks to rely. The various agreements said to constitute the “global transaction” were entered into by different parties for different purposes, and contain only passing reference to each other (cf. Indosuez Intl. Fin. B.V. v. Natl. Reserve Bank, 98 N.Y.2d 238, 246-248, 746 N.Y.S.2d 631, 774 N.E.2d 696). Finally, because plaintiff has only an arm's-length relationship with defendants, and no relationship with the bank, it cannot enforce the forum selection clauses in the loan or pledge agreements on the ground that it is “closely related” to a signatory (cf. Direct Mail Prod. Servs. Ltd. v. MBNA Corp., 2000 WL 1277597, *3-*5, 2000 U.S. Dist LEXIS 12945, *7-*14 (S.D.N.Y., Sept. 7, 2000) ).
Thank you for your feedback!
As the largest network of trusted legal brands, we help firms build authority across the platforms consumers and AI systems rely on most. Our network helps attorneys strengthen visibility, credibility, and preference where legal decisions begin.
Decided: March 20, 2003
Court: Supreme Court, Appellate Division, First Department, New York.
Search our directory by legal issue
Enter information in one or both fields (Required)
Harness the power of our directory with your own profile. Select the button below to sign up.
Learn more about FindLaw’s newsletters, including our terms of use and privacy policy.
Get help with your legal needs
FindLaw’s Learn About the Law features thousands of informational articles to help you understand your options. And if you’re ready to hire an attorney, find one in your area who can help.
Search our directory by legal issue
Enter information in one or both fields (Required)