Review

Question 1

Name the three choice-of-law theories

Answer 1

1. Traditional vested rights approach
2. Most significant relationship approach (2d restatement)
3. Interest analysis approach

Question 2

Traditional Vested Rights Approach

Answer 2

Apply the law of the state where the transaction or event occurred

Question 3

Most significant relationship approach (Rest. 2d)

Answer 3

Apply the law of the state having the most significant relationship to the transaction and to the parties

Question 4

Interest analysis approach

Answer 4

The court weighs the interests of the states involved, and the state with the greater interest will have its law applied

Question 5

How does a court determine greater interest?

Answer 5

1. If one state has an interest, and the other doesn’t, court should apply law of interested state
2. If there is an apparent conflict between interests of two states, court should look for a more moderate/restrained interpretation to avoid the conflict
3. If there is still a conflict, law of forum state applies

Question 6

Full Faith and Credit

Answer 6

A state must recognize final judgments of other states so long as the judgment is on the merits, and the other state had jurisdiction

Question 7

Which state’s law governs premarital agreements?

Answer 7

Depends.

Some states: where contract was executed

Other states: most significant relationship

Question 8

Klaxon rule

Answer 8

A federal district court sitting in diversity must apply the choice of law approach prevailing in the state in which it sits

Question 9

Is a statute of limitations considered procedural or substantive?

Answer 9

Procedural, subject to some exceptions

Question 10

What is the characterization exception?

Answer 10

When a statute of limitations is specific to a particular kind of claim and was created by the law that created the cause of action to which it applies, courts will often characterize the SoL as substantive

Question 11

What is the effect of choice of law clause in a contract?

Answer 11

Generally, that law will apply unless 1) chosen state has no substantial relationship to the parties or transaction and no other reasonable basis for parties’ choice; 2) application of law of chosen state would be contrary to a fundamental policy of state that has materially greater interest

Question 12

What conflict theory is applied to tort claims?

Answer 12

The most significant relationship approach

Question 13

What are the factors to determine which state has the most significant relationship to a tort claim?

Answer 13

1. Where the injury occurred;
2. Where the conduct causing the injury occurred;
3. The domicile, resident, nationality, place of incorporation, and place of business of parties
4. The place where the relationship between the parties is centered

ICD,R (I can’t dance, really)

Question 14

Which state law determines the validity of a will?

Answer 14

CL: The law of the state where the testator was domiciled at the time of death

UPC: Either the law of the state in which it was executed, or the law of the place where the testator was domiciled when he signed the will or when he died

Question 15

Which state’s law governs the distribution of personal property (in a will)?

Answer 15

The law of the state in which the decedent was domiciled at the time of his death

Question 16

Which state’s law governs the distribution of real property (in a will)?

Answer 16

The law of the situs (i.e., the law of the place where the property is located)