CONFLICT OF LAWS Flashcards
Can parties seek to enforce a judgment in a sister state?
FFC
If parties seek to enforce a judgment in a sister state, it must give full faith and credit and without valid defenses.
A judgment is entitled to full faith and credit when the rendering court has jurisdiction, the case was decided on the merits AND the judgment was final.
There must be valid basis for jurisdiction.
Rendering court has jurisdiction if it has subject matter and personal jurisdiction. Judgment is entitled to full faith and credit if it is fully and fairly litigated.
Judgment by the rending court must be on the merits. Default judgment is on the merits. Failure to state a claim with prejudice is on the merits. It is NOT on the merits if it’s a misjoinder, improper venue, jurisdictional dismissal, failure to state a claim WITHOUT prejudice, and statute of limitations.
Judgment must be final.
In marital cases, judgment on past due payments are final but not future payments due.
There are valid defenses to judgments of FFC.
Penal judgments will not be enforced by another state.
Judgments on the basis of extrinsic fraud (bribery of judge) will not be enforced by another state.
There are invalid defenses.
Contrary to the public policy of a state is not a valid defense.
Misapplication of the law is not a defense.
Under the doctrine of comity, court may but are not required to give full faith and credit to judgments from foreign countries. They may consider if the foreign court has jurisdiction and if procedures were fair.
CHOICE OF LAW RULES
what state law will govern?
The issue presented is which state’s law will govern the outcome of this litigation. The governing law will be selected by the forum court using the _____________ approach.
There are 3 primary approaches.
First is the vested rights /first restatement approach. Under this approach, the court will apply the law of that state mandated by the applicable vesting rule. That rule is selected according to the relevant substantive area of law.
Second is the interest analysis approach. Under this approach, the court will consider which states have a legitimate interest in the outcome of the litigation. The forum court will apply its own law as long as it has a legitimate interest. If the forum state has no legitimate interest, it will apply the law of another interested state.
Third is the most significant relationship/second restatement approach. Under this approach the court will apply the law of the state which is most significantly related to the outcome of the litigation. To determine this, the court will consider connecting facts and policy principles.
CHOICE OF LAW RULES - TORTS
The issue presented is which state’s law will govern the outcome of this litigation. The governing law will be selected by the forum court using the vested rights/interest analysis/most significant relationship approach.
There are 3 primary approaches.
First is the vested rights /first restatement approach. Under this approach, the court will apply the law of that state mandated by the applicable vesting rule. That rule is selected according to the relevant substantive area of law.
This is a tort case.
The Applicable vesting rule is the place of injury
Here, the injury occurred in ___ thus ___ law applies.
Under ___law, P can/cannot recover and claim is barred / not barred.
Second is the interest analysis approach. Under this approach, the court will consider which states have a legitimate interest in the outcome of the litigation. The forum court will apply its own law as long as it has a legitimate interest. If the forum state has no legitimate interest, it will apply the law of another interested state.
In this case ____ has a legitimate interest.
It is interested in _____. _____ is not interested because _______.
Therefore, it is a true/false conflict and ___law should apply.
Under ____ law, the P may recover.
Third is the most significant relationship/second restatement approach. Under this approach the court will apply the law of the state which is most significantly related to the outcome of the litigation. To determine this, the court will consider connecting facts and policy principles.
In this case, the factual connections _______.
The accident occurred in ____ and the injury occurred in _____.
P is from _____ and D is from ______
As a matter of policy, ____ has greater interest because ______
the law at issue is a loss distribution rule and both parties share common domicile.
As a result, _____appears to have the most significant relationship to the dispute
_______ law should apply. Under ____ law, the P may/may not recover.
What happened where; what are the interested states?
Factual connections: place of injury, conduct causing injury, domicile of the parties, where relationship centered
Policy principles: relevant policies of the forum state or other connected states
Exception - loss distribution rule (spousal immunity; vicarious liability; loss limitation) + parties have common domicile → then apply the law of common domicile.
CHOICE OF LAW - PROPERTY
PROPERTY
In cases involving title to real property (immovable), the law of the citus where real property is located governs.
In cases involving transfer of property inter vivos, law of the situs at the time of the transaction governs. (where was the car when it was transferred)
In cases involving transfer of property by will / inheritance, law of the decedent’s domicile on the date of death governs.
ERIE DOCTRINE
Erie doctrine applies when federal case is brought under diversity of citizenship jurisdiction.
Under Erie, federal court MUST apply the substantive law of the state in which it sits but the court will apply its own federal procedural laws.
Procedural = civil procedure rules, burden of proof, rebuttable presumption
Substantive = choice of law rules, statute of frauds, irrebuttable presumptions, damages, statute of limitations of a substantive right / borrowing statute - shorter of 2 time period, preclusion law
E.g. Choice of law rules are considered substantive law. Thus, the federal court must apply state choice of laws rules in which it sits and use the conflict of laws approach
CHOICE OF LAW RULES - CONTRACT
Generally parties may agree to a choice of law provision in a contract and this provision will govern the contract. The clause is invalid if it has no mutual assent or no connection with the state.
The issue presented is which state’s law will govern the outcome of this litigation. The governing law will be selected by the forum court using the vested rights/interest analysis/most significant relationship approach.
There are 3 primary approaches.
First is the vested rights approach. Under this approach, the court will apply the law of that state mandated by the applicable vesting rule. That rule is selected according to the relevant substantive area of law.
This is a contracts case involving validity or formation / performance.
The applicable vesting rule is that law of the place of execution governs. Here, the contract was executed in _________
The applicable vesting rule is that law of the place of performance governs. Here, the contract was performed in ________.
Under _____ law, contracts are enforceable and there is no defense available for:
-Incapacity of minors
-Contract formalities
-Sufficiency of consideration
Under ___ law, contracts are enforceable and there is no defense for
-Nonperformance
-Time place and manner
Second is the interest analysis approach. Under this approach, the court will consider which states have a legitimate interest in the outcome of the litigation. The forum court will apply its own law as long as it has a legitimate interest. If the forum state has no legitimate interest, it will apply the law of another interested state.
In this case ____ has a legitimate interest.
It is interested in _____. _____ is not interested because _______.
Therefore, it is a true/false conflict and ___law should apply.
Under ____ law, the P may recover.
Third is the most significant relationship approach. Under this approach the court will apply the law of the state which is most significantly related to the outcome of the litigation. To determine this, the court will consider connecting facts and policy principles.
Factual connection favor: Place of contract, negotiation, performance, home of the parties
Policy considerations: policy of forum state and other connected states; reasonable expectations of the parties (choose law that render K enforceable)
_____ has most significant relationship and its laws will govern.
Under ____ law, contracts are enforceable and P may recover.
