A non-signatory to an agreement may be bound by a forum selection clause in contracts entered into by a predecessor in interest, the 2nd U.S. Circuit Court of Appeals ruled Friday.

Reviving a federal lawsuit in New York over defaulted loans in connection with a water and sewer concession in Argentina, the circuit said “the fact that a party is a non-signatory to an agreement is insufficient, standing alone, to preclude enforcement of a forum selection clause.”

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