Conflict of Laws Flashcards
Dram Shop Acts
Imply liability on a tavern keeper for injuries by an intoxicated person.
If one state has a Dram Shop Act but one does not, the forum will usually apply the law of the state in which the tavern is located.
Exceptions—If the tavern advertises to residents of other states, the tavern can anticipate out of state residents returning to their home state after visiting. If so, the court may apply the law of the home state instead of the tavern state.
“Vested Rights” Choice of Law Approach
Traditional/1st Restatement Approach
The forum must apply the law of the state where the rights of the parties “vested”. I.e., where the act or relationship giving rise to the cause of action occurred or was created.
Will apply the law of the place of the wrong/injury, the place of contracting, or the place of where the property in dispute is located.
“Most Significant Relationship” Choice of Law Approach
Modern/2nd Restatement Approach.
The forum may apply the law of the state which has the “most significant relationship” to the issue being decided. Can apply the substantive law of different states.
Applies the following factors in deciding:
- The needs of interstate/international systems;
- Relevant policies/interests of the forum state and other states;
- The justified expectations of parties;
- The notion of judicial economy.
“Interest Analysis” Approach
Contemporary Approach.
The default is that the forum should apply the substantive law of the state most legitimately interested in the outcome.
The forum will only apply another state’s law if the forum state has NO legitimate interest.
Focuses on governmental interest.
Choice of Law — Torts
Applies the law of the state where the injury occurred, combining both the 1st and 2nd Restatements’ approaches.
Procedural v. Substantive Rules
The procedural rules to be applied are always the procedural rules of the forum state.
Procedural rules — govern your rights inside the courtroom. (Burdens of proof, FRE, etc,)
Substantive rules — govern your rights outside of the courtroom. (SoF, PER, etc.)
Full Faith and Credit
Usually used in a Family Law question.
A state must recognize final judgments of other states so long as the judgment is on the merits and the other state had jurisdiction.
Recognition of Marriage
A marriage which is valid under the law of the state where it was contracted will be valid elsewhere unless it violates a strong public policy of the state that has the most significant relationship to the spouses and the marriage.
Will violate public policy — incest; bigamy.
Won’t violate public policy — blood test requirements; marriage license requirements; common law marriage.
Common Law Marriage
If the common law marriage is recognized by the state where the couple entered into the marriage, it will be recognized by all other states because it does not violate public policy.
Jurisdiction Over Divorce
Personal jurisdiction over both spouses is NOT necessary to render a divorce decree. The state rendering the divorce decree only needs personal jurisdiction over the plaintiff spouse.
Jurisdiction Over Spousal Support
Personal jurisdiction over BOTH spouses is necessary to issue a binding property division order or spousal support order. This embodies the concept of a “divisible” divorce decree.
Recognition of Divorce
A divorce decree must be granted full faith and credit by other states if the court rendering the divorce decree had jurisdiction to enter it.
Which State’s Law Governs Premarital Agreements
Some states will apply the law of the state where the contract was executed.
Other states (majority) will apply the law of the state with the most significant relationship to the parties and transaction.
Klaxon Doctrine
A federal district court sitting in diversity must apply the choice of law approach prevailing in the state in which it sits.
Reasoning — provides no incentive for the parties to forum shop.
Change of Venue
A court may transfer a case to any district court in which it could have been brought if convenience and the “interests of justice” favor transfer.
When a case is transferred to a more appropriate forum, then the new court must apply the laws that the original transferor court would have applied, including their choice of law rules.
NOTE: If the case was originally filed in an improper forum and was then moved to the proper forum, the new court would then apply its own law, rather than the law of the original court, since the original court did not have the power to hear the case in the first place.