MBF Leasing/Northern Leasing beginning to lose cases due to forcing the venue to be in Manhattan

One of the reasons merchants who want to cancel their lease with Northern Leasing (also MBF Leasing) are unable to do so is that the lease contract specifies the court venue must be in Manhattan, New York City. This makes it quite difficult for the little guy to fight the case, since he or she must deal with the expensive travel.

Recently, the New York City courts (which it has been reported have one or two courtrooms completely filled with cases generated by Northern Leasing/MBF Leasing suing its customers for failing to pay the leases) have begun dismissing lawsuits against small merchants because of the venue clause.

The latest case was dismissed January 20, on the grounds that the contract was signed in California, the merchant (defendant) is in California, and the equipment is in California.

Here is the decision: http://law.justia.com/cases/new-york/other-courts/2016/2016-ny-slip-op-50070-u.html

It cites an earlier case against Northern Leasing that was also dismissed because the small merchant showed it was an undue burden to travel to New York to get his day in court.

Northern Leasing/MBF Leasing is free to bring new lawsuits against these defendants on their own turf. But now at least the business owners are able to make it to court to fight.