Most of us try to keep our fingers on the pulse of relevant case law and niche rules that may affect our business or our clients’ businesses. But sometimes, in the legal industry, little-known statutes with potentially serious consequences slip by unnoticed. This is the case with “home court” statutes (sometimes referred to as home rule statutes), which have the ability to obliterate the forum selection, choice of law and/or arbitration clauses in construction agreements. Below is a primer on these statutes so they don’t sneak past you in the future.

What Is a ‘Home Court’ Statute?

Home court statutes apply to construction projects involving real property in the home state. These statutes empower contractors and subcontractors to potentially void their prior agreements to litigate or arbitrate disputes outside the state where the real property is located.