Lathrop

INTRODUCTION

Kenneth and Janet Lathrop bought a motorhome manufactured by Thor Motor Coach, Inc. from a dealer in California. The Lathrops sued the dealer and Thor under the Song-Beverly Consumers Warranty Act (Civ. Code, § 1790 et seq.) 1 and the Consumer Legal Remedies Act (CLRA) (§ 1750 et seq.). Thor filed a motion under Code of Civil Procedure section 410.30 to stay the action based on a forum selection clause in Thor’s warranty designating Indiana as the exclusive forum. The warranty also stated that the Lathrops waived their right to a jury trial and that Indiana law would govern all disputes. Thor acknowledged that the jury trial waiver was unenforceable under California law and that the choice-of-law clause was unenforceable because any waiver of the provisions of the Song-Beverly Act or the CLRA was contrary to public policy. To address these problems, Thor offered to stipulate the substantive provisions of the Song-Beverly Act and the CLRA, and “all other unwaivable California substantive rights,” would apply in an Indiana court. The trial court granted the motion to stay, and the Lathrops appealed. We conclude that the trial court erred in placing the burden on the…