Choice Flashcards
Diversity Rules
- Federal court uses choice of law approach of the state in which it sits
- If diversity case is transferred from a proper venue, the new court uses the choice of law approach of the state in which the original court sat
- If a diversity case is transferred from an improper venue, the new court uses the choice of law approach of the state in which it sits
Governing Rule
The forum court will select the governing law using its state’s choice of law approach.
First Restatement Approach
Court applies the law mandated by the applicable vesting rule. That rule is selected based on the relevant substantive area of law.
Interests Approach
Court will consider which states have a legitimate interest in the outcome of the litigation. If the forum court state has an interest, it will use its law. If there is no conflict, it will apply the law of the interested state.
Second Restatement Approach
Court applies the law of the state that is most significantly related to the outcome of the litigation. To determine this, the court will consider connecting facts and policy principles, such as the policies of each jurisdiction, expectation of parties, need for predictability, etc.
Torts
First Restatement: governing law is the law of the state where the injury occurred
Second: consider place of injury, place of conduct, homes of each party; consider policies of all connecting states
Generally will be the law where the injury occurred, unless loss distribution rule + common domicile.
Contracts
First: if about formation, apply the law of the place of contracting; if about performance, apply the law of the place of performance
Second: consider place of contracting, place of performance, domiciles; consider policies and expectations
Choice of law provisions are enforced if valid and express
Property
Real property: apply law where it is located
Moveable + inter vivos: apply law where it is located at time of transaction
Moveable + inheritance: apply law of decedent’s domicile at death
Family
Marriage: valid everywhere if valid where formed (unless tried to evade a prohibited marriage)
Divorce: apply law of the forum state
Legitimacy of child: apply law of mother’s domicile at time of birth
Paternity: apply law of father’s domicile
Choice of Law Defense
Don’t apply another state’s law if it’s a procedural rule, including statutes of limitations unless there’s a borrowing statute or you’re applying a foreign statute that includes a statute of limitations.
Borrowing Statute
Look at both statute of limitations periods and apply the shorter.
Domiciles
Minors: parents
Incapacitated: parents or former domicile
Present + intent to remain: domicile by choice