the Erie Doctrine Flashcards
the Erie Doctrine
Except in matters governed by the Federal Constitution or by Acts of Congress, the law to be applied in any case is the law of the State.
Law includes case law
There is no federal common law
which state do you apply the conflict principles from?
Klaxon v. Stentor (1941): a federal court sitting in diversity must apply the conflicts principles of the forum state
what state procedure law do you use?
federal procedural law
A resident of State A sued a resident of State B in federal district court in State B for breach of contract. Jurisdiction was based on diversity of citizenship. The plaintiff alleged that the contract was entered into in State C and was to be performed in State D. The plaintiff further alleged that the defendant failed to perform. While hearing this case, what substantive law should the federal district court apply?
(A) The law that the State D state court would apply.
(B) The law that the State C state court would apply.
(C) The law that the State B state court would apply.
(D) The law that the federal district court believes most logically applies.
Byrd’s 3-Part Inquiry: Does the federal court have to apply the state rule?
Is the state rule “bound up with the definition of the rights and obligations of the parties”?
If so, the state rule applies. If not, . . .
Is the rule outcome-determinative?
If not, no need to apply it. Even if so, . . .
Are there “affirmative countervailing considerations” in favor of the federal rule?
If they outweigh the interest in uniformity, apply federal rule.
Now, we have a new Part 1, and an alternative test:
Is the applicable federal rule a Federal Rule?
If so, it applies unless it is unconstitutional or the Supreme Court exceeded the Enabling Act.
If not →
Apply Byrd or Hanna:
Would application of the federal rule or practice conflict with the twin goals of discouraging forum-shopping and avoiding inequitable administration of the laws?
If not, apply the federal rule.
NY and PA citizens are in an auto accident in FL. NY citizen sues PA citizen in PA federal court based on diversity.
Whose conflicts law will govern?
Whose negligence law will likely govern?
Whose procedural rules will apply?
NY and PA citizens enter into a contract, signed in NY, to be performed in PA. The contract provides that NY law will apply. NY citizen sues PA citizen in federal court in NY.
Whose contract law will apply?
Whose procedural law will apply?
How does this change if the contract does not have a choice of law provision?
