Contract Choice of Law & Chapter 93A

A Chapter 93A count was dismissed based on the contract's choice of law clause. On appeal, this was reversed even though the contract said New York law would apply to the contract.

WHY THIS IS IMPORTANT…The court ruled that since the choice of law clause said only that the contract was to be construed under and governed by the laws of New York, it did not preclude or govern Chapter 93A claims. Such a clause only requires that contract claims be subject to New York law while still allowing non-contract claims to have Massachusetts law applied to them. This opens the door to triple damages.