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Ninth Circuit Affirms Summary Judgment in Favor of Boeing and District Court’s Application of Swedish and U.K. Law

The parties entered into a joint venture to launch commercial satellites into space from an ocean platform, which venture ultimately failed. As a result of certain guarantees, Boeing paid $449 million to cover loans made to the venture, which the defendants refused to reimburse as required by the parties’ contracts. Boeing successful moved for summary judgment, to which the district court applied both Swedish and U.K. law.

The circuit court affirmed the district court’s order granting summary judgment, and also affirmed the lower court’s decision denying the defendants’ motion for a stay in favor of Swedish arbitration. Only some of the claims at issue were referable to Swedish arbitration (and not those involving the guaranty). Moreover, the defendants had previously taken the position that the Swedish arbitrator lacked jurisdiction over Boeing’s claims, which was inconsistent with its right to arbitration and constituted a waiver of that right.

Boeing Co. v. KB Yuzhnoye, No. 18-55283 (9th Cir. Nov. 12, 2019).

©2011-2020 Carlton Fields, P.A.


About this Author

Nora A. Valenza-Frost, Carlton Fields, Insurance lawyer

Nora Valenza-Frost represents U.S. and international insurers and reinsurers in arbitration and litigation involving complex claims, coverage and regulatory issues across all lines of business.

Nora provides coverage opinions for claims involving several lines of business, including commercial general liability (CGL), professional liability, directors and officers liability (D&O), contractor’s protective professional indemnity (CPPI), errors and omissions (E&O), excess and surplus lines, property, workers’ compensation, business interruption, life and health, pollution,...