Conflicts of Law Flashcards
How do you determine an individual’s domicile?
where the person is present with the intent to remain for an unlimited time and when he abandons any prior domicile (physical presence and intent)
How do you determine a corporation’s domicile?
the state where it is incorporated
State choice-of-law rules generally have three sources:
(i) specific choice-of-law statutes, (ii) contractual choice-of-law agreements, and (iii) general choice-of-law rules governed by forum state common law.
Courts general approach choice-of-law questions using one of three different approaches:
(1) vested-rights approach of First Restatement, (2) most-significant-relationship of Second Restatement, and (3) governmental-interest approach.
Vested-rights approach =
This approach looks to the jurisdiction where the parties’ rights are vested, meaning where the act or relationship that gives rise to the cause of action occurred or was created. Generally, this approach looks for the location where the last liable event took place.
Most-significant-relationship approach =
applies the law of the state with the most significant relationship to the issue in question.
Governmental-Interest approach =
If there is a true conflict (i.e., the forum state and another state both have an interest in the litigation), then the forum state will review its own policies to determine which law should apply. If the conflict cannot be resolved, then the law of the forum state is applied.
Conflicts in Federal Diversity Cases:
Generally, in federal diversity cases, the federal district court is generally required to apply the conflict-of-laws rules of the state in which it sits.
Express choice of law contract will govern unless:
(1) It is contrary to public policy; (2) There is no reasonable basis for the parties’ choice; or (3) There was fraud or mistake and true consent was not given.
What law controls land contracts?
Land contracts are controlled by the law of the state of the situs (location) of the land.
What law controls personal property contracts?
Personal property contracts are controlled by the law of the state where the place of delivery is located.
What law governs regarding inheritance?
Personal property from someone who dies intestate or who has a will are governed by the law of the deceased’s domicile at the time of death.
Questions regarding the validity of a decedent’s will regarding real property and the transfer of real property from someone who dies intestate or who has a will are governed by the law of the situs.
