Funding Systems Leasing Corporation v. Diaz

This is an action for unpaid rent on a lease of electronic equipment. The defendants have appeared specially and pleaded in abatement that the parties to the lease stipulated in paragraph twenty-two therein that any action or proceeding arising under the lease would be litigated only in courts located in New York state. The plaintiff has demurred to the plea on the grounds that the stipulation seeks to oust this court of jurisdiction and is against public policy and unenforceable.

Paragraph twenty-two of the lease annexed to the complaint reads as follows:

"STIPULATION THAT AGREEMENT IS A LEASE…