lack Letter
BADelaware Supreme Court, 1999stubesbozounverifiedsin verificarSkim briefBrief rápido

Elf Atochem North America, Inc. v. Jaffari

727 A.2d 286 (Del. 1999)

An LLC member sues in Delaware despite an agreement to arbitrate in California

In one lineEn una línea
The LLC agreement governs the members' rights, and its forum and arbitration clauses bind the members and the LLC even in a derivative suit.El operating agreement rige los derechos de los miembros y sus cláusulas de foro y arbitraje obligan a los miembros y a la LLC incluso en una acción derivada.
RuleRegla
Delaware's LLC Act gives maximum effect to freedom of contract; an LLC agreement's dispute-resolution provisions are enforceable against members and the entity, displacing the default statutory forum.
Why this case is herePor qué está aquí este caso
The LLC chapter's lesson that the operating agreement is king: members, and the LLC itself, are bound by what they contract.
Procedural posturePostura procesal
Elf sued Jaffari and the LLC derivatively in the Court of Chancery; the court dismissed for lack of subject matter jurisdiction under the agreement's arbitration and forum clause; the Delaware Supreme Court affirmed.
limited liability company (LLC)

AssignedAsignado: 2026-09-17

Read the public opinionLeer la opinión (texto público). SourceFuente: Skim brief from memory of the public opinion; verify facts and holding against the opinion before citing..