Erie Doctrine

Question 1

What is the Erie Doctrine?

Answer 1

a federal court in a diversity case will apply its own procedural law, but must apply the substantive law of the state in which it is sitting

Question 2

What if there is a federal law on point?

Answer 2

apply it if it is valid

Question 3

What if there is no federal statute or Rule on Point?

Answer 3

If there is no federal rule, the judge may refuse to follow the state law rule if the matter is procedural rather than substantive.

Question 4

What is substantive for purposes of the Erie Doctrine?

Answer 4

1) statute of limitations
2) rules for tolling statute of limitations
3) choice of law rules
4) elements of a claim or defense

Question 5

What if the issue is not the four areas?

Answer 5

the court will apply either:

1) the outcome determinative test - is substantive if it substantially affects the outcome
2) a balance of interest test - if the state has a greater interest
3) forum shopping deterrence - if failing to apply state law would increase litigation in federal court.

Question 6

What if the statute involves both federal and state provisions?

Answer 6

The court will apply state substantive provisions and any federal procedural provisions