In BancorpSouth Bank v. Hazelwood Logistics Center, where the bank sued Hazelwood and its owners for payment, the defendants claimed the federal district court did not have jurisdiction because of a lack of diversity of citizenship. The appeals court held that:

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The appeals court held that the district court was correct in not dismissing the suit because state law allows parties to agree to a "permissive" forum selection clause, which was present in the contract between the parties. Therefore, the federal district court had jurisdiction to hear the case.

In BancorpSouth Bank V