Dispute Resolution Clause is Easy to be Ignored
A Nanjing company and a Harbin company entered into a sales contract, in which the dispute resolution clause was stipulated as “any disputes arising from this contract shall be settled by the Arbitration Institution of Jiangsu Province”. Later then, the Harbin company failed to pay on time, the Nanjing company applied for arbitration to the Nanjing Arbitration Institution, but it was informed that the agreement on the dispute resolution was invalid. Finally, the Nanjing company had to bring a lawsuit against the Harbin company to the court in which the Harbin company was located. Such cases are not rare. Many…