The Erie Doctrine Flashcards
What is The Erie Doctrine
in diversity cases, the federal court must apply state substantive law.
What do you ask when you apply the Erie Doctrine?
is there a federal law (like federal constitution or statute or FRCP or Federal Rule of Evidence) on point that directly conflicts with state law? If so, apply the federal law, as long as it is valid.
Why do you apply a federal law on point that directly conflicts with state law, as long as it is valid?
because of the supremacy clause.
State law says a particular claim must be asserted individually, and not in a class action. In a diversity case, Federal Rule of Civil Procedure 23 would allow it to proceed as a class action. What does the federal court do?
Apply FRCP 23 as long as it is valid.
How do we know that a rule under the FRCP is valid?
It’s arguably procedural. Every FRCP is valid.
What if there is no federal law on point what do you ask next?
is this issue one of the easy ones?
What 4 issues do you ALWAYS have to apply state law for? Why?
(1) elements of a claim or defense, (2) statute of limitations, (3) rules for tolling statutes of limitations, and (4) conflict (or choice) of law rules.
All of these issues are all substantive, therefore the federal court must follow state law.
What if there is no federal law, and the issue is not an easy one , but the federal judge wants to ignore the state law?
If the issue is substantive, she must follow state law.
What are the 3 tests for finding if the issue is substantive?
a. Outcome determinative: would applying or ignoring the state rule affect outcome of case? If so, it’s probably a substantive rule, so should use state law.
b. Balance of interests: does either federal or state system have strong interest in having its rule applied?
c. Avoid forum shopping: if the federal court ignores state law on this issue, will it cause parties to flock to federal court? If so, should probably apply state law.
