Conflicts of Law

Question 1

Recognition of Judgements

Answer 1

If there rendering court is a court in a sister state, there are two steps:
1. Are the requirements of the full faith and credit clause satisfied; and
2. Are there any valid defenses

Full Faith and Credit Requirement’s:
1. Jurisdiction: The rendering statement must have personal jurisdiction over the parties and subject matter jurisdiction over the case
2. On The Merits: The judgement entered by the rendering state must have been on the merits
3. Finality: The judgment entered by the rending court must be a final judgement.
The most common application here is a judgement on appeal in the rending jurisdiction, which is not final
Past due payments are final and future payments are not final

Defenses: There are two valid defenses to Full Faith and Credit:
1. Penal Judgements: A penal judgement is not entitled to full faith and credit
A penal judgement is one that punishes an offense against the public(suit that lead to the judgement was the state)
2. Extrinsic Fraud: A judgement obtained by extrinsic fraud is not entitled to full faith and credit.
Extrinsic fraud is fraud that could not be corrected during the regular course of proceedings leading to the judgment

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. Some examples of what may violate public policy include incest or polygamy

Question 1

Choice of Law

Answer 1

Question: Which states laws govern?
Answer: The governing law is the law selected by the forum court according to its choice of law approach

Exceptions: There are two exceptions:

1. Diversity cases filed in federal court: A federal court sitting in diversity applies the choice of law principles of the state in which it sits
2. Transferring Diversity Cases: When a case is filed in a proper venue, and the case is transferred within the federal system, the federal court applies the choice of law approach of the original(transferor court).
   When the case is filed in an improper venue, or filed in a venue in defiance of a forum selection clause, the law of the transferee court will apply

There are three main analytical approaches:
1. The Vested Rights Approach of the First Restatement

2. The Most Significant Relationship Approach of the Second Restatement
   Under this approach the court will apply the law of the state which is most significantly related to the outcome of the litigation
3. The Interest Analysis Approach(Governmental Interest)
   Interest Analysis Approach: You start from the assumption that the forum will apply its own law.
   False Conflict: A false conflict arises when only one state has a legitimate interest. For false conflict you apply the law of the interested state
   True Conflict: A true conflict arises when two or more states have a legitimate interest. If a true conflict has arisen and the forum state is interested, you apply forum law

Question 2

Torts

Answer 2

First Restatement Vesting Rights Approach: Under the Vesting Rights Approach, the court will apply the law of that state mandated by the the applicable vesting rules.

The governing law is the law where the injury occurred

Second Restatement Considerations: Under this approach the court will apply the law of the state which is most significantly related to the outcome of the litigation
There are factual and policy considerations:

Factual Considerations:
1. The place of injury
2. Place of conduct causing injury
3. Place where the parties are at home
4. Place where the relationship, if any, is centered

Policy Considerations:
1. The relevant polices of the forum
2. The relevant policies of other connected states

Usual outcome of all three approaches: Apply the law of the place of injury

Exception(only for most significant relationship and interest analysis approaches) : Law of place of injury will not be applied if:
1. The rule at issues is a loss distribution rule(loss limitations, vicarious liability rules); and
2. The parties share a common domicile(Apply law of common domicile)

Question 3

Contract

Answer 3

Choice of Law Provision: A choice of law provision will be enforced if it is valid and express
Two reasons two find choice of law invalid:
1. The law selected has no reasonable relationship to the contract
2. The provision was included without true mutual consent

First Restatement Vesting Rules: Two rules:
1. Formation: If the case is about formation you apply the place of contracting(capacity, contractual formalities, consideration)
2. Performance: If the case is about performance you apply the law of the place of performance(time, place and manner, excuses for nonperformance)

Second Restatement Considerations: There Are factual and policy considerations:
Factual considerations:
1. The place of contracting
2. The place of negotiation
3. The place of performance
4. The place where the parties are at home

Policy Principles:
1. The relevant policies of the forum state
2. The relevant policies of other connected states
3. The reasonable expectations of the parties

Question 4

Property

Answer 4

Property is one area where all the approaches essentially continue to apply the same rule

Immovable Property: Apply the law of the situs

Movable Property: Two rules:
1. Inter vivos transactions: Apply the law of the situs at the time of the transaction
2. Inheritance Matters: Apply the law of the decedents domicile at the date of death

Question 5

Family Law

Answer 5

Marriage Rule: If a marriage is valid where performed it will be recognized as valid everywhere

Exception: When domiciliaries of one state temporarily relocate to another state to enter into a marriage that violates a prohibitory rule in their home state, the state of domicile will not recognize that marriage

Divorce Rule: The forum will apply its own divorce law.
The rationale is that to acquire jurisdiction, at least one of the parties must be domiciled in the state. Therefore, a state has an interest in apply its own law

Childs Status(Legitimacy Rules): There are two rules:
1. Legitimacy of a child is governed by the law of the mother’s domicile at the time of the child birth
2. The validity of subsequent acts of legitimation concerning paternity are governed by the laws of the fathers domicile