Wednesday, October 10, 2007

State Waived Sovereign Immunity in Forum Selection Clause

Baum Research and Development C0., Inc., v. University of Massachusetts at Lowell, [2006-1330](October 10, 2007)[NEWMAN, Friedman, Moore] The Federal Circuit affirmed the district court's determination that the University of Massachusetts at Lowell waived its Eleventh Amendment immunity by expressly agreeing to federal jurisdiction in a patent license agreement.
BRIEF: The Eleventh Amendment limits the judicial authority of the federal courts and bars unconsented suit against a state in federal court. The license agreement provided: "This Agreement will be construed, interpreted and applied according to the laws of the State of Michigan and all parties agree to proper venue and hereby submit to jurisdiction in the appropriate State or Federal Courts of Record sitting in the State of Michigan." The Federal Circuit agreed that this was specific enough to constitute a waiver, and rejected the University's claim that it did not have authority to waive sovereign immunity.