Application in Specific Areas

Question 1

Parties to a contract are generally free to choose a particular jurisdiction’s law to be
applied for

Answer 1

matters of contract INTERPRETATION through choice-of-law provisions.

Question 2

Are parties in a K free to choose a particular Jx’s law to apply to K validity?

Answer 2

NO.

For matters of contract validity, the parties may choose which law applies only if:

The jurisdiction selected has some connection with the contract;

AND

The choice of law is NOT contrary to a substantial policy interest of another jurisdiction with a greater interest in the matter.

Question 3

If a contract does not contain a valid choice-of-law provision, courts will usually use the

Answer 3

vested rights approach

OR

the most significant relationship approach to determine which jurisdiction’s law to apply

Question 4

Vested Rights Approach to CONTRACTS CHOICE OF LAW

Answer 4

Under the traditional vested rights approach, the court will apply the law of the jurisdiction where the contract was formed.

If the court is examining issues involving performance of the contract, the court will apply the law of the jurisdiction in which the performance was due.

Question 5

Most Significant Relationship Approach TO CONTRACTS CHOICE OF LAW

Answer 5

Under the Second Restatement, the court
will apply the law of the jurisdiction that has the most significant relationship to the contract under the circumstances.

Question 6

In making the Most Significant Relationship Approach CONTRACTS CHOICE OF LAW determination, the court will consider the following factors:

Answer 6

The place where the contract was formed;

The place where the contract was negotiated;

The place of performance;

The location of the subject matter of the contract;

AND

The connection of the parties to the forum (e.g., domicile, residence, place of incorporation, etc.).

Question 7

In TORTS cases, courts will use one of the following approaches in determining which
jurisdiction’s law to apply:

Answer 7

Vested Rights.

Governmental Interest.

Most Significant Relationship.

Question 8

Vested Rights Approach in TORTS

Answer 8

Under the traditional vested rights approach, the court will apply the law of the jurisdiction where the injury occurred.

Question 9

Governmental Interest Approach in TORTS

Answer 9

Under the modern governmental interest approach, the court applies the law of the jurisdiction that has a greater interest in having its law applied.

Question 10

In making the Governmental Interest Approach determination in TORTS, the court will examine:

Answer 10

The policies behind the respective laws in the forum and the other jurisdiction;

AND

Whether it is reasonable for the respective jurisdictions to assert an interest in the application of those policies under the circumstances.

Question 11

Most Significant Relationship Approach in TORTS

Answer 11

Under the Second Restatement, the court
will apply the law of the jurisdiction that has the most significant relationship to the tort claim under the circumstances.

Question 12

In making the Most Significant Relationship Approach in TORTS determination, the court will consider the following factors:

Answer 12

The place of the injury;

The place where the conduct that caused the injury occurred;

The connection of the parties to the forum (e.g., domicile, residence, place of incorporation, etc.);

AND

The place where the relationship between the parties is centered.

Question 13

Generally, all issues affecting title to land (including land sale contracts) are governed by

Answer 13

the law of the jurisdiction where the real property is located. However, some courts may depart from this rule if another jurisdiction has a more significant relationship to the case than the jurisdiction where the real property is located.

Question 14

The disposition of the decedent’s personal property is governed by

Answer 14

the law of the jurisdiction of the decedent’s place of domicile.

Question 15

The disposition of the decedent’s real property is governed by

Answer 15

the law of the jurisdiction where the real property is located.

Question 16

Generally, what law do courts use for procedural issues?

Answer 16

courts use their own law for procedural issues and the law of other jurisdictions (if necessary) for substantive issues.

Question 17

Generally, what law do courts use for substantive issues

Answer 17

courts use their own law for procedural issues and the law of other jurisdictions (if necessary) for substantive issues.

Question 18

Statute of Limitations. Most jurisdictions treat statute of limitations issues as

Answer 18

procedural for choice of law purposes (i.e., they apply the law of the forum to statute of limitations issues).