MD STATECourt of Appeals of Maryland
2007

Jackson v. Pasadena Receivables, Inc.

921 A.2d 799Court of Appeals of Maryland • Decided 2007Enforced
Lien RightsCited 50 times

HOLDING

A Maryland court enforced a credit card agreement even though the debtor never signed it, because the agreement included a choice of law clause selecting South Dakota law. The court ruled that the parties' choice of law is enforceable when the chosen state has a substantial connection to the transaction, and Maryland's signature requirement is not a fundamental public policy that overrides that choice. This matters to construction subcontractors because it shows courts will enforce contract terms you agree to, even if they conflict with your home state's rules.

KEY FINDINGS

Lien Rights

Choice of law clauses in contracts are enforceable even when they conflict with your state's requirements, as long as the chosen state has a real connection to the deal

FULL COURT OPINION