HOUSE BILL No. 4769

 

June 16, 2011, Introduced by Reps. Agema, Hooker, Tyler, McMillin, Lund, Bumstead, Glardon, Heise, Rogers, MacGregor, Nesbitt, MacMaster, Franz, Moss, Potvin, Genetski, Haveman, Lori, Pettalia, Haines, Shirkey, O'Brien, Knollenberg, Lyons, McBroom, Opsommer, Johnson, Denby, Muxlow, Outman, Damrow, Jacobsen, Rendon, Hughes, Kurtz, Price, Yonker, Daley, Kowall, Huuki, Scott and Cotter and referred to the Committee on Judiciary.

 

     A bill to limit the application and enforcement by a court,

 

arbitrator, or administrative body of foreign laws that would

 

impair constitutional rights; to provide for modification or

 

voiding of certain contractual provisions or agreements that would

 

result in a violation of constitutional rights; and to require a

 

court, arbitrator, or administrative body to take certain actions

 

to prevent violation of constitutional rights.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. (1) This act shall be known and may be cited as the

 

"restriction of application of foreign laws act".

 

     (2) As used in this act "foreign law" means any law, legal

 

code, or system of a jurisdiction outside of any state or territory

 

of the United States, including, but not limited to, international

 

organizations and tribunals, and applied by that jurisdiction's

 


courts, administrative bodies, or other formal or informal

 

tribunals.

 

     Sec. 2. A court, arbitrator, administrative agency, or other

 

adjudicative, mediation, or enforcement authority shall not enforce

 

a foreign law if doing so would violate a right guaranteed by the

 

constitution of this state or of the United States.

 

     Sec. 3. (1) If any contractual provision or agreement provides

 

for the choice of a foreign law to govern its interpretation or the

 

resolution of any dispute between the parties and if the

 

enforcement or interpretation of the contractual provision or

 

agreement would result in a violation of a right guaranteed by the

 

constitution of this state or of the United States, the contractual

 

provision or agreement shall be applied as modified or amended to

 

the extent necessary to preserve the constitutional rights of the

 

parties.

 

     (2) If any contractual provision or agreement provides for the

 

choice of venue or forum outside of the states or territories of

 

the United States, and if the enforcement or interpretation of the

 

contractual provision or agreement applying that choice of venue or

 

forum provision would result in a violation of any right guaranteed

 

by the constitution of this state or of the United States, that

 

contractual provision or agreement shall be interpreted or

 

construed to preserve the constitutional rights of the person

 

against whom enforcement is sought. Similarly, if a natural person

 

subject to personal jurisdiction in this state seeks to maintain

 

litigation, arbitration, agency, or similarly binding proceedings

 

in this state, and if a court of this state finds that granting a

 


claim of forum non conveniens or a related claim violates or would

 

likely lead to a violation of the constitutional rights of the

 

nonclaimant in the foreign forum with respect to the matter in

 

dispute, the claim shall be denied.

 

     (3) Any contractual provision or agreement incapable of being

 

modified or amended to preserve the constitutional rights of the

 

parties pursuant to the provisions of this section is null and

 

void.

 

     (4) If a corporation, partnership, limited liability company,

 

business association, or other legal entity contracts to subject

 

itself to foreign law in a jurisdiction outside of any state or

 

territory of the United States, this act does not apply to that

 

contract.

 

     Sec. 4. This act applies only to actual or foreseeable

 

violations of the constitutional rights of a person caused by the

 

application of the foreign law.