Governing law

How it is used

Almost every international contract has a governing law clause, often next to the jurisdiction or arbitration clause. English, New York and Swiss law are popular choices. It is also called 'applicable law' or 'choice of law'.

Example sentences

1. The governing law of this agreement is Swiss law.

2. We agreed on English law as the governing law, with arbitration seated in Istanbul.

Common collocations

• governing law clause
• choice of governing law
• governed by English law
• governing law and jurisdiction

Related terms

• jurisdictionThe power of a court to hear and decide a case; also a country or territory with its own courts and laws.
• arbitrationA private way of resolving disputes in which the parties agree to let one or more independent arbitrators decide the case instead of a national court.
• clauseA numbered section of a contract that deals with one specific subject, such as payment, confidentiality or termination.
• disputeA disagreement between parties about their rights or obligations, for example over payment, quality or the meaning of a clause.

More terms: Contract Terms & Clauses

• obligation
• force majeure
• indemnity
• warranty
• term
• condition
• representation
• limitation of liability
• confidentiality clause
• amendment
• waiver
• assignment