Cyclesmith v. Salesforce.com
Cyclesmith Incorporated
Law Firm / Organization
McInnes Cooper
Lawyer(s)

Gavin Giles

Salesforce.com Canada Corporation
Law Firm / Organization
Nijhawan McMillan & Conlon Barristers
Lawyer(s)

Nasha Nijhawan

Salesforce Canada Corporation
Law Firm / Organization
Nijhawan McMillan & Conlon Barristers
Lawyer(s)

Nasha Nijhawan

Issue:

  • Salesforce sought to stay proceedings, citing a forum selection clause in its Master Subscription Agreement (MSA) requiring disputes to be resolved in Ontario courts under Ontario law.

Key Points:

  • Forum Selection Clause: Salesforce argued that the MSA, referenced in contracts signed by Cyclesmith, mandated Ontario as the exclusive forum.
  • Cyclesmith's Argument: The plaintiff argued against the enforcement of the clause, claiming lack of awareness and unfairness due to unequal bargaining power.
  • Court's Decision:
    • The court found the forum selection clause valid and enforceable, emphasizing that commercial parties are typically bound by their agreements unless exceptional circumstances exist.
    • Cyclesmith's claim of not reading or being unaware of the MSA was insufficient to invalidate the clause.
    • The inconvenience of litigating in Ontario, including higher legal costs, did not constitute "strong cause" to avoid the forum selection clause.

Outcome:

  • The court granted Salesforce's motion to stay the proceedings in Nova Scotia, affirming that Ontario courts have exclusive jurisdiction.
Supreme Court of Nova Scotia
529511
Civil litigation
Defendant