Isabella Has Commenced an Action Against a Caribbean- Based Company

question 59

True/False

Isabella has commenced an action against a Caribbean- based company who offered a "guaranteed seventeen percent return on all 30- day foreign investments of twenty thousand dollars or more." Both the initial investment and interest were to be repaid in the investor's national currency, regardless of the mode of investment. Instead, the company provided Isabella with a certificate of ownership in a sugarcane farm, presumably obtained for less than its stated value. Because Isabella is a Canadian citizen she would like the action tried in a Canadian court and, accordingly, must satisfy the real and substantial connection test. Under this approach, Isabella must demonstrate that the effects of the Caribbean company (ie the harms suffered) were experienced in Canada.

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Definitions:

Informal Process

A procedure or method that is not formalized or structured by official rules, often used in resolving disputes or making decisions.

Third Party

An entity that is not directly involved in a transaction or agreement but may be affected by it or play a role in its execution.

Mutually Acceptable Agreement

An agreement reached by all parties involved that satisfies the interests and needs of each party.

AT&T Mobility LLC v. Concepcion

A Supreme Court case ruling that the Federal Arbitration Act preempts state laws prohibiting contracts from disallowing class action lawsuits.