Choice of Law

Question 1

What constitutional limitations arise under the Due Process Clause for choice of law?

Answer 1

A forum state may apply its own law to a particular case only if it has a significant contact or a significant aggregation of contacts with the state such that a choice of law is neither arbitrary nor fundamentally unfair.

Question 2

What constitutional limitations arise under the Full Faith & Credit Clause for choice of law?

Answer 2

Requires a forum state to apply the law of another state when the forum state has no contacts with or interest in the controversy. But:

• It doesn’t prevent the forum state from applying its own law when the forum has such contacts or interest in the controversy.
• It doesn’t require a state to apply another state’s law in violation of its own legitimate public policy.

Question 3

Vested Rights Approach
(Traditional / First Am)

Answer 3

Looks for the location where the last liable event took place, then determine if the issue is:

Procedural: Forum court will appply its OWN rules
Substantive: Look at the forum state’s choice of law rules and follow that.

Validity of K: where executed
Performance of K: wehre performance happened or was supposed to

Question 4

Most Significant R/ship Approach
2nd restatement

Answer 4

Applis the law of the state with the most significant r/ship to the issue at question. Court will look at contacts that link to each JD, as well as the following policy principles:
* Promoting the relevant policies of the forum and other intererested states
* Protecting systematic interests (CUPS)
Certainty, Uniformity, Predictability, Simplicity
* Protecting justified expectations of the parties
(applies to planned transactions - contracts)

Question 5

Governmental Interest Approach

Answer 5

It is presumed that the forum will apply its own law, but parties may request that another state’s law be apply because that state has a greater interest in the outcome.
* False conflict: forum has no interest; court applies law of the state that does
* True conflict: the forum & another state each have an interest in the litigation; forum state reviews its own policies to determine which law should apply. If the conflict can’t be resolved, the law of the forum state is applied.

Question 6

Depecage

Answer 6

An approach that allows the law of one state to govern one or more issues while other issues are controlled by the law of one or more other states.

Question 7

Renvoi

Answer 7

Requires a forum court applying another state’s law to apply that foreign state’s COL rules

Question 8

How does the Federal Tort Claims Act affect choice of law?

Answer 8

Requires application of the WHOLE law - including COL rules - of the place where the act or omission took place.

Question 9

What choice of law applies regarding penal laws?

Answer 9

A forum state will NOT enforce another state’s penal laws.

Question 10

Does foreign law need to be proven?

Answer 10

Generally most states allow their courts to take judicial notice of other states’ laws and federal laws and treat them as LAW rather than FACT

Federal courts MUST take judicial notice of the laws of all states.