Law Applied by Federal Courts

Question 1

HYPO:

In a federal civil case, if there is a DIRECT conflict between state law and a provision of the US Constitution, which law will the federal court apply?

Answer 1

The Supremacy Clause ensures that any federal rule of law grounded in the US constitution will prevail, regardless of importance, source, or substantive nature of any conflicting state rule

TIP: if there is no “true conflict” between the federal and state rules, meaning they MAY be harmonized in some way, no choice between the two is required

Question 2

HYPO:

In a federal civil case, if there is a DIRECT conflict between a state law and a federal statute that contains a procedural rule, which law will the federal court apply?

Answer 2

The federal statute containing the procedural rule will prevail IF:

1. if falls w/in congressional powers to regulate any procedural or “arguable procedural” matters in federal court; AND
2. if does not violate any other federal constitutional right

Question 3

A federal court sitting in diversity will apply which laws to resolve substantive v. procedural matters?

Answer 3

The general rules is the the federal court will apply STATE SUBSTANTIVE law and FEDERAL PROCEDURAL law

TIP: this is the general guideline, but when here is a true conflict between state and federal laws, courts will look at the source of the federal rule to determine the specific analysis necessary

Question 4

What is the purpose of the Full Faith and Credit Clause?

Answer 4

-each state must recognize the legislative acts, records, and judicial proceedings of the other states, giving them “full faith and credit”

-one state’s final, conclusive judgment in a case is thus conclusive in every other state

Question 5

Which 3 types of actions are federal courts generally prohibited from enjoining?

Answer 5

May NOT enjoin:

1. pending state proceedings, unless authorized by statute
2. state tax procedures; OR
3. threatened state criminal proceedings

Question 6

HYPO

In a fed civil case, if there is a DIRECT conflict between state law and a FRCP, FRE, or FRAP, which law will fed court apply?

Answer 6

The Supremacy Clause ensures that the Federal Rules will prevail IF:

1. is “arguably procedural” in that it relates to procedures, practices, or evidence; AND
2. does not “abridge, enlarge or modify any substantive right

TIP: a “direct” conflict means that the federal law directly collides with the applicable state law, and if they MAY be harmonized in some way, no choice between the two is required

Question 7

HYPO:

In a federal civil case, if there is a DIRECT conflict between a state law and federal rule of law that is purely decisional and judge-made, which law will the federal court apply?

Answer 7

The federal rule of law will prevail UNLESS applying it would:

1. encourage forum-shopping OR
2. enforce inequitable administration of laws

Question 8

What is the “Erie doctrine”?

Answer 8

Applies when a federal case is brought under DIVERSITY

A conflict between federal and state law may present Erie problem

Question 9

What is the purpose of the Erie Doctrine?

Answer 9

goal is to prevent forum shopping

Question 10

HYPO:

In a fed civil case, if there is a DIRECT conflict between a federal and state law, but it is unclear whether the law is substantive or procedural, which law will the court apply?

Answer 10

federal law

Question 11

What is the difference between procedural and substantive laws?

Answer 11

Procedural: deal with how the case goes forward in court
-these include civ pro rules, burden of proof, and rebuttable presumptions

Substantive: deal with the actual merits of each party’s arguments in the case
-these include choice of law rules, statute of limitations, statute of frauds, irrebuttable presumptions, and damages

Question 12

HYPO:

In a federal civil case, if a state and federal law overlap but do NOT directly conflict, which law will the court apply?

Answer 12

If a state law can be followed w/out violating the federal rules then the STATE law will be followed

Question 13

HYPO:

If a federal court sitting in diversity is determining which law to apply, and there is NO federal law on point, what must the court determine first about applicable law?

Answer 13

The court should 1st determine whether the law is substantive or procedural.

It may be a “clearly established” scenario where the type of law is substantive or procedural

TIP: for example, statute of limitations and tolling statutes are substantive under Erie

Question 14

HYPO:

If a fed court sitting in diversity is trying to determine whether a law is substantive or procedural and ti is not a clearly established situation, which tests will the court consider?

Answer 14

The US Supreme Court looks at the following tests:

1. Outcome-Determinative: an issue is deemed substantive when it substantially affects the case outcome
2. Forum Shopping: the court should use state law if failing to apply state law would cause parties to forum shop by going to fed court
   -i.e., if using federal law would induce a plaintiff to forum shop, then state law will apply
3. Balance of interests: the judicial system w/ the biggest interest in having its rule applied will prevail (state or fed)

TIP: SCOTUS has not fully synthesized these tests into a comprehensive analysis; if a question has an “unclear” area under Erie, it will most likely be on an essay - discuss each approach and come to some reasonable conclusion