Facts: Mr M died in an air crash in SA. Mrs M (separated from Mr M) & family retained Ds (lawyers based in NY) to sue aircraft manufacturer in Pennsylvania. Ds obtained a settlement, but then refused to pay settlement proceeds until Ps obtained a court order in Australia regarding the rights of Mr M’s de facto wife. Ps brought action in NSWSC claiming Ds acted in breach of contract of retainer. NY statute of limitations would bar Ps’ claims in NY. It would bar their claims in NSWSC if NY law was applicable to the NSW claims. Ds sought a stay for FNC.
Held: The proceedings were not stayed. NY law most likely governed the contract of retainer (but only a preliminary view).
Considerations included:
NY witnesses can give evidence by video links
NSWSC can now refer questions of law to NY courts